RFP Third Party Administrator for Workers Compensation

The City of Yuma is soliciting proposals for a Third Party Administrator to manage workers compensation claims for approximately 1,069 full-time employees, various part-time staff, and 200 volunteers and board members. The selected specialist firm will be responsible for processing, reviewing, investigating, and documenting all claims in accordance with the Arizona Workers Compensation Act and city policies. Key deliverables include providing regulatory support for Industrial Commission of Arizona filings, maintaining a claims management system for city access, delivering quarterly medical provider savings reports, and providing annual incurred but not reported claims estimates by July 15th. The contract features an initial twelve month term with the option for four additional one year renewals. Awarding is based on the most advantageous proposal, considering the fee proposal and evaluation factors such as references and demonstrated competence. The contractor must adhere to strict legal standards, including A.R.S. 23-214 for employment eligibility and A.R.S. 38-511 regarding conflicts of interest, while complying with ADA and OSHA standards. Invoicing is permitted once per month, with a specific requirement for June invoices to be submitted by the first week of July for fiscal year closing. Proposals must be submitted via the Bonfire Procurement Portal by October 6, 2026, and include a detailed technical questionnaire covering claims staffing, medical management, and cost containment.