Several public agencies have been working with the Association of Bay Area
Governments to form a buying pool to select a deferred comp provider.  We've
prepared an RFP and are ready to send it out to vendors.  Highlights
include:
1.      All California public agencies can join.
2.      Required vendor site visits to each agency every year.
3.      At least 10 categories of assets (e.g. Money Market, Balanced,
Growth & Income, etc) with 3-5 top rated choices in each category.
4.      Self-directed mutual funds.
5.      Self-directed equity issue choices offered to those agencies wishing
to have this investment option available to its employees.
We expect vendor responses that offer:
1.      No Administrative fee to participants.
2.      No Asset-based fee to participants.
3.      No yearly Maintenance fees to participants.
4.      Clear fee structure for those extra services beyond the core
investment choices (like self-directed equity issues).
5.      Top-flight investment choices and multiple, easy-to-use interactive
systems for participant use.
So far we have the following agencies signed on as "Interested Parties",
meaning they're under no obligation to do anything other than review what
the winning vendor has to offer and, if it is better than their current
provider plan(s), offer it to their employees.
ABAG, Cities of San Carlos, Millbrae, Tracy, Benicia, Colma, Tiburon,
Emeryville, West Hollywood, and Clovis.  These agencies represent about $45
million in plan assets.  We need at least $100M in plan assets to get the
best vendor responses.
Please sign on so we can get the RFP issued.  A core group of agencies will
review the vendor responses to the RFP, make an award, and offer the
contract to any agency wanting to participate.  But, we need you to say
you're interested (and tell us what plan provider(s) and the total assets
under each provider) so we can get great proposals from the vendors.  E-mail
your interest to me, or call if you have questions.

Richard Averett, Finance Director, City of San Carlos (CA)
(650) 802.4205     fax (650) 802-4106   [EMAIL PROTECTED]
<mailto:[EMAIL PROTECTED]> 

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