A RESOLUTION OF THE MAYOR AND CITY COMMISSION OF THE CITY OF MIAMI BEACH, FLORIDA, ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER, PURSUANT TO REQUEST FOR PROPOSALS ("RFP") 2020-056-WG RISK MANAGEMENT AND CLAIMS SOFTWARE SYSTEM; AUTHORIZING NEGOTIATIONS WITH ORIGAMI RISK LLC, AS THE TOP-RANKED PROPOSER; FURTHER, IF THE ADMINISTRATION IS NOT SUCCESSFUL IN NEGOTIATING AN AGREEMENT WITH ORIGAMI RISK LLC, AUTHORIZING THE ADMINISTRATION TO ENTER INTO NEGOTIATIONS WITH VENTIV TECHNOLOGY INC., AS THE SECOND RANKED PROPOSER; AND FURTHER AUTHORIZING THE CITY MANAGER AND CITY CLERK TO EXECUTE AN AGREEMENT UPON CONCLUSION OF SUCCESSFUL NEGOTIATIONS BY THE ADMINISTRATION.

The Administration recommends that the Mayor and City Commission of the City of Miami Beach, Florida approve the resolution accepting the City Manager’s recommendation pertaining to bids received, pursuant to RFP 2020-056-WG, Risk Management and Claims Software System.

The Human Resources/Risk Management Division (“RMD”) is responsible for directing and coordinating the Risk Management Program for the City of Miami Beach (CMB) which consists of various components, including the following:

a.     Management of the CMB’s insurance program

b.     Management of third-party claims made against the CMB

 c.    Identifying and assisting in the implementation of policies and procedures designed to reduce the exposure of the CMB operations to risk

The Risk Management Division has identified the need to procure and implement a professional, commercially available Risk Management and Information System (RMIS).  The RMIS platform should provide an overall solution for managing incidents, property and casualty insurance claims, insurance certificates, policy management, asset tracking, and cost of risk exposure analysis.

This system will be used to replace the existing RiskMaster product, which is end of life. It is expected that the selected vendor will migrate the current information in the RMIS platform.

On February 13, 2020, the Administration issued Request for Proposals (RFP) 2020-056-WG for Risk Management and Claims Software.  A publicly advertised pre-bid conference was conducted on February 27, 2020. RFP responses were due and received on April 14, 2020.  The City received proposals from the following five firms: American Technical Services, Inc., Computer Sciences Corp. DBA DXC Technology Co., JDI Date Corporation, Origami Risk LLC and Ventiv Technology Inc. All of the proposals submitted were found to be responsive to the requirements of the RFP.

On May 13, 2020, pursuant to LTC# 155-2020, the City Manager appointed Evaluation Committee convened to consider proposals received.  The Committee was comprised of Ed Beecher, Human Resources Director, City of Pompano, Sonia Bridges, Division Director, Risk Management & Benefits, Ralph Lavaud, Senior Systems Analyst, Information Technology Department, Fernando Pestana, Budget Analyst, Budget Department and Ashraf Sohaib, Chief Information Security Officer, Information Technology Department.  The Committee was provided an overview of the project, information relative to the City’s Cone of Silence Ordinance and the Government Sunshine Law. The Committee was also provided with general information on the scope of services and a copy of each proposal.  The Committee was instructed to score and rank each proposal pursuant to the evaluation criteria established in the RFP. The RFP required that the Evaluation Committee evaluate proposals as to qualifications and the proposed system. 

The evaluation process resulted in the proposers being ranked by the Evaluation Committee in the following order (See Attachment A):

1st – Origami Risk

2nd – Ventiv Technology

3rd – Computer Sciences/DXC Technology

4th – JDI Date 

5th – American Technical Services

Staff has considered the Evaluation Committee’s rankings and has determined that the top two firms, Origami Risk and Ventiv Technology have proposed systems that address the City’s needs. A summary of the two top-ranked firms follows, as articulated in their proposals:

Origami Risk

Origami is led by a team of industry leaders with deep expertise in the risk management technology needs of government and public entities. With nearly 100 government and public entity clients, including 32 counties, 37 cities, 20 states, a federal agency, and more, they have become firmly established as a leading risk management provider. These public sector clients range from small municipalities to cities, states, and the federal government, and make up nearly 20 percent of their client base. The majority of their clients’ projects have involved the conversion of data from historical sources and, as such, they have tremendous experience in this area. In particular, they have successfully performed more than 30 historical data migrations from RiskMaster, the City’s current system. 

Ventiv Technology

Ventiv Technology has been serving the claims market, particularly the public sector, since 2002. With more than 625 implementations across their product suite, they have extensive experience implementing systems and developing proven best practices. Their history in the market and their strong client base, 48% of which are public entities or public risk pools, have allowed them to develop a solution that meets the needs of many different claims organizations out-of-the-box. Their comprehensive claims management and administration system, Ventiv Claims Premier covers all lines of insurance and has a complete suite of optional compliance programs for MMR, EDI, medical bill review, and more.

Because of the variability in how bidders normally price system implementations and to allow for the maximum flexibility, the RFP stipulated that cost would be considered as a factor by the City Manager. For example, some bidders did not quote fixed costs and, therefore, it is difficult to determine the actual costs the City would incur.

*Average cost of all proposals that provided fixed costs.

After reviewing all the submissions and the results of the evaluation process, I concur with the Evaluation Committee and staff that the two top-ranked proposer Origami Risk and Ventiv Technology will provide the Risk Management Division with the best combination of system and cost. In particular, I am very impressed with the number of implementations that Origami has completed that have required data to be migrated from Risk Master, the City’s current system. This advantage will help assure a more successful and expeditious implementation, which is important since the City’s current system is end of life.  

Therefore, I recommend that the Mayor and City Commission approve the Resolution authorizing the Administration to negotiate with Origami Risk LLC, as the top-ranked proposer and, if the Administration is not successful in negotiating an agreement with Origami Risk LLC, authorizing the Administration to negotiate with Ventiv Technology Inc., as the second ranked proposer. Finally, the Resolution authorizes the Mayor and City Clerk to execute the agreement upon conclusion of successful negotiations by the Administration and approval by the City Attorney.