HomeMy WebLinkAboutContracts & Agreements_101-2026AGREEMENT TO PERFORM PROFESSIONAL SERVICES
This agreement for the provision of employee assistance services ("Agreement") is made
and entered in this 7s day of July, 2026 ("Effective Date"), by and between the City of Redlands,
a municipal corporation ("City)" and Alliant Insurance Services, Inc., a California corporation
("Consultant"). City and Consultant are sometimes individually referred to herein as a "Party"
and, together, as the "Parties." In consideration of the mutual promises contained herein, City
and Consultant agree as follows:
ARTICLE I — ENGAGEMENT OF CONSULTANT
1.1 City hereby engages Consultant to provide broker services for employee benefits (the
"Services").
L2 The Services shall be performed by Consultant in a professional manner, and Consultant
represents that it has the skill and the professional expertise necessary to provide the
Services to City at a level of competency presently maintained by other practicing
professional consultants in the industry providing like and similar types of Services.
ARTICLE 2 -• SERVICES O(�NITLTANT
2.1 The Services that Consultant shall perform are more particularly described in Exhibit
"A," entitled "Scope of Services and Fees," which is attached hereto and incorporated
herein by reference.
2.2 ' Consultant shall comply with applicable federal, state and local taws and regulations in
the performance of this Agreement including but not limited to State prevailing wage
laws.
ARTICLE 3—RESPONSIBILITIES-OF CITY
3.1 City shall make available to Consultant information in its possession that may assist
Consultant in performing the Services.
3.2 City designates the Jenna Yorck, Human Resources Manager, as City's representative
with respect to performance of the Services, and such person shall have the authority to
transmit instructions, receive information, interpret and define City's policies and
decisions with respect to performance of the Services.
ARTICLE 4 m. PERFORMANCE OF SERVICES
4.1 The term of this agreement shall commence on July 1, 2026, and end on June 30, 2029
("Initial Term"). City shall have the right to extend the Initial Term of the Agreement for
two (2) additional one (1) year terms (each, a "Renewal Term"), on the same terms and
conditions of this Agreement by providing not less than thirty (30) days written notice to
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Consultant prior to the expiration of the Initial Term, The Initial Term and the Renewal
Term are collectively referred to herein as the "Penn."
4.2 If Consultant's Services include deliverable electronic visual presentation materials, such
materials shall be delivered in a form, and made available to the City, consistent with
City Council adopted policy for the same. It shall be the obligation of Consultant to
obtain a copy of such policy from City Staff.
ARTICLE 5 -- PAYMENTS TO CONSULTANT
5.1 Consultant agrees to accept carrier commissions as full compensation for the services
performed under this agreement, in accordance with Exhibit "A" entitled "Scope of
Services and Fees."
5.2 Any notice or other communication required, or which may be given, pursuant to this
Agreement, shall be in writing. Any such notice shall be deemed delivered (i) on the date
of delivery in person; (ii) five (5) days after deposit in first class registered mail, with
return receipt requested; (iii) on the actual delivery date if deposited with an overnight
courier; or (iv) on the date sent by facsimile, if confirmed with a copy sent
contemporaneously by first class, certified, registered or express mail; in each case
properly posted and fully prepaid to the appropriate address set forth below, or such other
address as a Party may provide notice in accordance with this section:
CX
City Clerk
City of Redlands
35 Cajon Street, Suite 200
P.O. Box 3005 (mailing)
Redlands, CA 92373
Phone: 909-798-7531
jdonaldson@cityofredlands.org
Con us ltannt
Henry Beceiro
First Vice President, Lead Consultant
Alliant Insurance Services, Inc.
18100 Von Karman Ave., 101 Floor
Irvine, CA. 92612
Phone: 949-756-0271
Henry.Beceiro@Alliant.com
5.3 In addition to the compensation described in this Agreement, Consultant and/or its related
entities may receive additional compensation for underwriting, program administration,
and other services that are (a) provided to either City or the insurance carrier, (b) not
contracted for directly by City, and (c) outside the scope of Services described in Exhibit
A. This additional compensation, if any, will be included in the cost of the premium City
pays to the carrier and accordingly, will create no additional cost for City.
Notwithstanding this paragraph, any services contracted for directly by City may be
subject to additional costs.
5.4 With exception, Consultant may also receive income as a result of a contingent or
supplemental income agreement with the insurance carriers. City may opt -out of having
its premiums included in the calculation of indirect income by accessing the "opt -out"
form from the link on Consultant's website: http://www,alliant.com/Legal-
Notices/Pages/Disclosure-Policy.aspx. The parties acknowledge that indirect income, if
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any, is determined by insurance carriers, and if City does not opt -out, it remains the
carriers' exclusive decision to include or exclude certain premiums in any calculation.
The availability of information regarding the make-up of any indirect income payment is
at the carrier's discretion.
ARTICLE 6 --• INSURANCE AND INDEMNIFICATION
6, t insurance required by this Agreement shall be maintained by Consultant for the duration
of its performance of the Services. Consultant shall not perform any Services unless and
until the required insurance listed below is obtained by Consultant. Consultant shall
provide City with certificates of insurance and endorsements evidencing such insurance
prior to commencement of the Services. Except for Professional Liability, Insurance
policies shall include a provision prohibiting cancellation or modification of the policy
except upon thirty (30) days prior written notice to City.
A. Workers' Compensation and Employer's Liability insurance in the amount that meets
statutory requirements with an insurance carrier acceptable to City, or certification to
City that Consultant is self -insured or exempt from the workers' compensation laws of
the State of California. Consultant shall execute and provide City with Exhibit "B,"
entitled "Workers' Compensation Insurance Certification," which is attached hereto
and incorporated herein by this reference prior to occupancy of the Premises.
B. Comprehensive General Liability insurance with carriers acceptable to City in the
minimum amount of One Million Dollars ($1,000,000) per occurrence and Two
Million Dollars ($2,000,000) aggregate, for public liability, property damage and
personal injury is required. City shall be named as an additional insured, and such
insurance shall be primary and non-contributing to any insurance or self-insurance
maintained by City.
C. Professional Liability insurance throughout the Term of this agreement in the amount
of One Million Dollars ($1,000,000) per claim made.
D. Business Auto Liability coverage, with minimum limits of One Million Dollars
($1,000,000) per occurrence, combined single limit bodily injury liability and property
damage liability. This coverage shall include all Consultant owned vehicles used in
connection with Consultant's provision of the Services, hired and non -owned vehicles,
and employee non -ownership vehicles. City shall be named as an additional insured,
and such insurance shall be primary and non-contributing to any insurance or self-
insurance maintained by City.
E. Consultant is expressly prohibited from assigning or subcontracting any of the
Services without the prior written consent of City. in the event of mutual agreement by
the Parties to assign or subcontract a portion of the Services, Consultant shall add such
assignee or subcontractor as an additional insured to the insurance policies required
hereby and provide City with the insurance endorsements prior to any Services being
performed by the assignee or subcontractor.
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6.2 Consultant shall defend, indemnify and hold harmless City and its elected officials,
employees and agents from and against any and all claims, losses or liability, including
reasonable attorneys' fees, arising from injury or death to persons or damage to property
occasioned by any negligent act or omission by, or the willful misconduct of, Consultant,
or its officers, employees and agents in performing the Services.
ARTI LE1-- --ICTS OF INTEREST
7.1 Consultant covenants and represents that it does not have any investment or interest in
any real property that may be the subject of this Agreement or any other source of
income, interest in real property or investment that would be affected in any manner or
degree by the performance of Consultant's Services. Consultant further covenants and
represents that in the performance of its duties hereunder, no person having any such
interest shall perform any Services under this Agreement.
7.2 Consultant agrees it is not a designated employee within the meaning of the Political
Reform Act because Consultant:
A. Does not make a governmental decision whether to:
(i) approve a rate, rule or regulation, or adopt or enforce a City law;
(ii) issue, deny, suspend or revoke any City permit, license, application,
certification, approval, order or similar authorization or entitlement;
(iii) authorize the City to enter into, modify or renew a contract;
(iv) grant City approval to a contract that requires City approval and to which City
is a party, or to the specifications for such a contract;
(v) grant City approval to a plan, design, report, study or similar item;
(vi) adopt or grant City approval of, policies, standards or guidelines for City or
for any subdivision thereof.
B. Does not serve in a staff capacity with City and in that capacity, participate in making
a governmental decision or otherwise perform the same or substantially the same
duties for City that would otherwise be performed by an individual holding a
position specified in City's Conflict of Interest Code under Government Code
section 87302.
7.3 In the event City officially determines that Consultant must disclose its financial
interests, Consultant shall complete and file a Fair Political Practices Commission Form
700, Statement of Economic Interests, with the City Clerk's office pursuant to the written
instructions provided by the City Clerk.
ARTICLE 8 -- GENERAL CONSIDERATIONS
8.1 In the event any action is commenced to enforce or interpret any of the terms or
conditions of this Agreement the prevailing Party shall, in addition to any costs and other
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relief, be entitled to the recovery of its reasonable attorneys' fees, including fees for the
use of in-house counsel by a Party.
8.2 Consultant shall not assign any of the Services, except with the prior written approval of
City and in strict compliance with the terms and conditions of this Agreement. Any
assignment or attempted assignment without such prior written consent may, in the sole
discretion of City, result in City's immediate termination of this Agreement.
8.3 Records, drawings, designs, cost estimates, electronic data files, databases and any other
documents specifically developed by Consultant for City in connection with its
performance of the Services, and any copyright interest in such documents, shall become
the property of City and shall be delivered to City upon completion of the Services, or
upon the request of City, Any reuse of such documents, and any use of incomplete
documents, shall be at City's sole risk. Notwithstanding the foregoing, City
acknowledges that Consultant, in performing the Services, may use patented and
copyrighted materials, trade secrets, proprietary data, know-how, ideas, concepts,
methodologies, practices, processes, procedures, techniques and written materials of
Consultant that existed prior to the commencement of the Services or are developed
independently of this Agreement, and City agrees that Consultant shall retain all right,
title, and interest in and to such items; provided, however, that Consultant hereby grants
City a non-exclusive, non -assignable, perpetual, royalty -free license to use such items
that are embedded in Consultant's deliverables and are required for City's own internal
use of Consultant's deliverables.
8.4 Consultant is for all purposes under this Agreement an independent contractor and shall
perform the Services as an independent contractor. Neither City nor its agents shall have
control over the conduct of Consultant or Consultant's employees, except as herein set
forth, Consultant shall supply all necessary tools and instrumentalities required to
perform the Services. Assigned personnel employed by Consultant are for its account
only, and in no event shall Consultant or personnel retained by it be deemed to have been
employed by City or engaged by City for the account of, or on behalf of City. Consultant
shall have no authority, express or implied, to act on behalf of City in any capacity
whatsoever as an agent, nor shall Consultant have any authority, express or implied, to
bind City to any obligation.
8.5 This Agreement may be terminated by City, in its sole discretion, by providing not less
than five (5) days prior written notice to Consultant of City's intent to terminate. If this
Agreement is terminated by City, an adjustment to Consultant's compensation shall be
made, but (1) no amount shall be allowed for anticipated profit or unperformed Services,
and (2) any payment due Consultant at the time of termination may be adjusted to the
extent of any additional costs to City occasioned by any default by Consultant, Upon
receipt of a termination notice, Consultant shall immediately discontinue its provision of
the Services and, within five (5) days of the date of the termination notice, deliver or
otherwise make available to City, in accordance with Section 8.3 herein, copies (in both
hard copy and electronic form, where applicable) of project related data, design
calculations, drawings, specifications, reports, estimates, summaries and such other
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information and materials as may have been accumulated by Consultant in performing
the Services. Consultant shall be compensated on a pro-rata basis for Services completed
up to the date of termination.
8.6 Consultant shall maintain books, ledgers, invoices, accounts and other records and
documents evidencing costs and expenses related to the Services for a period of three (3)
years, or for any longer period required by law, from the date of final payment to
Consultant pursuant to this Agreement. Such books shall be available at reasonable times
for examination by City at the office of Consultant.
8.7 This Agreement, including the Exhibits incorporated herein by reference, represents the
entire agreement and understanding between the Parties as to the matters contained
herein, and any prior negotiations, written proposals or verbal agreements relating to such
matters are superseded by this Agreement. Except as otherwise provided for herein, an
amendment to this Agreement shall be in writing, approved by City and signed by City
and Consultant.
8.8 This Agreement shall be governed by and construed in accordance with the laws of the
State of California, without regard to its conflicts of law's provisions. The Parties agree
that all actions or proceedings arising in connection with this Agreement shall be tried
and litigated only in the state courts located in San Bernardino County, California, and
the federal courts located in Riverside County, California.
8.9 If one or more of the sentences, clauses, paragraphs or sections contained in this
Agreement is declared invalid, void or unenforceable by a court of competent
jurisdiction, the same shall be deemed severable from the remainder of this Agreement
and shall not affect, impair or invalidate the remaining sentences, clauses, paragraphs or
sections contained herein, unless to do so would deprive a Party of a material benefit of
its bargain under this Agreement.
IN WITNESS WHEREOF, duly authorized representatives of City and Consultant have
signed in confirmation of this Agreement.
CITY OF R DLANDS
4y'A`�
Mario Saucedo, Mayor
ATTEST:
iea onaldson, City Eierk
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ALLIANT INSURANCE SERVICES, INC.
By: /2\
Henry Becei , First Vice President
EXHIBIT W
SCOPE OF SERVICES AND FEES
SCOPE OF SERVICES:
Consultant will provide broker services for employee benefits. The pricing will include the
following broker services
A. Strategic Planning
Development of a multi -year benefits strategy aligned with organizational goals, budget
objectives, workforce needs, and market trends.
B. Pre -renewal Meeting (strategy, market update, compliance, etc.)
A meeting held prior to renewal to review claims experience, discuss cost drivers, evaluate
market conditions, address compliance changes, and align on the upcoming renewal approach.
C. Renewal Negotiation, Analysis, and Recommendations
Negotiating with carriers for the most competitive rates and terms, analyzing renewal proposals,
and providing recommendations based on data, benchmarks, and cost projections.
D. Procurement of Alternative Cost Saving Initiatives and Options
Identifying and evaluating alternative vendors, plan designs, funding models, and programs that
may reduce costs while maintaining quality coverage.
E. Utilization Review and Trend Analysis
Assessment of how employees are using benefits, identifying cost trends, and recommending
interventions to manage claims and improve care quality.
F. Access to Consultant Purchasing Programs
Providing access to preferred pricing or programs available through the broker's network, group
purchasing power, or proprietary offerings.
G. Legislative Compliance Support and Contract Review
Guidance on federal and state benefits laws (e.g., ACA, ERISA), along with reviewing contracts
to ensure compliance and appropriate terms.
H. Health Care Reform Compliance and Consulting
Monitoring changes in health care reform laws and advising on necessary adjustments to stay
compliant and avoid penalties.
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I. Contract Review
Review of carrier, vendor, and benefits administration contracts to ensure accuracy, proper rates,
performance terms, and protections for the employer.
J. Administration and Implementation Support
Assistance with annual renewals, plan changes, system updates, carrier coordination, and overall
benefits administration logistics.
K. Benchmarking
Comparison of your benefit plans to similar organizations or regional/national data to ensure
competitiveness and alignment with public sector standards.
L. Employer Advocacy and Problem Resolution
Support for HR/benefits staff` in resolving carrier issues, escalations, billing discrepancies, and
service concerns.
M. Employee Advocacy Services
Direct support for employees when resolving claims issues, understanding benefits, or navigating
carriers and vendors.
N. Open Enrollment Coordination and Support
Planning and executing open enrollment activities, including scheduling, materials, carrier
sessions, and system readiness.
0. Employee Communication Development (brochures, notices, wallet card)
Creation of benefits communication materials that are clear, compliant, and easy for employees
to understand.
P. Employee Surveys
Designing and administering surveys to measure employee satisfaction, needs, and perception of
benefits to inform future planning.
Q. Wellness Program Consulting, Analysis, and Recommendations
Evaluation and development of wellness strategies, programs, and initiatives aimed at improving
employee health and reducing claims costs.
R. HR Workplace Services
Access to an HR compliance and resource platform that provides tools, training modules, policy
templates, and HR/legal guidance.
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FEES:
Compensation to the broker is made through insurance carrier commissions from entities.
Consultant will serve as a broker and shall be compensated on a commission -based structure by
insurance carriers for each policy sold and maintained by the City.
OPTIONAL SERVICES:
1. The Consultant (broker) or its related companies might earn extra money
They can receive additional compensation for certain behind the scenes
services such as:
a Underwriting support
• Program administration
• Other insurance related services
2. These services may be provided too:
The. City, or
a The insurance carrier (the insurance company)
3. These services are not part of the City's direct contract
Meaning:
• The City did not specifically hire or pay the Consultant for these tasks.
• They are outside the scope of the required Services listed in Exhibit A.
4. flow is this extra compensation paid
a Any extra payments to the Consultant come from the insurance carrier, not directly from
the City.
• They are built into the insurance premium the City pays --just like normal carrier
operating costs.
a Because of that, the City does not pay anything extra out of pocket,
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IM 11171107Y
WORKERS' COMPENSATION INSURANCE CERTIFICATION
Every employer, except the State, shall secure payment of compensation in one or more of the
following ways:
(a) By being insured against liability to pay compensation by one, or more insurers duly
authorized to write compensation insurance in this State.
(b) By securing from the Director of Industrial Relations, a certificate of consent to
self -insure, either as an individual employer, or as one employer in a group of
employers, which may be given upon furnishing proof satisfactory to the Director
of Industrial Relations of ability to self -insure and to pay any compensation that
may become due to his or her employees,
CHECK ONE
)< I am aware of the provisions of Section 3700 of the Labor Code which requires every
employer to be insured against liability for Workers' Compensation or to undertake self-insurance
in accordance with the provisions of that Code, and I will comply with such provisions before
commencing the performance of the work and activities required or permitted under this
Agreement. (Labor Code § 1861).
_I affirm that at all times; in performing the work and activities required or permitted under
this Agreement, I shall not employ any person in any manner such that I become subject to the
workers' compensation laws of California. However, at any time, if I employ any person that I
become subject to the workers' compensation laws of California, immediately I shall provide the
City with a certificate of consent to self -insure, or a certification of workers' compensation
insurance.
I certify under penalty of perjury under the laws of the State of California that the information and
representations made in this certificate are true and correct.
ALLIANT INSURANCE SERVICES, INC.
By. /I - 2..- y _ Date: %✓NP 2 q � 'O?C
Henry Beceirn, irst Vice President
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