HomeMy WebLinkAbout2022 Insurance Broker
VILLAGE OF OAK BROOK
REQUEST FOR PROPOSAL
CONSULTING/BROKER SERVICES FOR HEALTH,
DENTAL, VISION, FSA/HSA, COBRA AND LIFE
INSURANCE
July 2022
Please mail all responses to:
Rania Serences, CPPB
Senior Purchasing Assistant
Village of Oak Brook
1200 Oak Brook Road
Oak Brook, IL 60523
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SECTION I: OVERVIEW
The Village of Oak Brook is seeking proposals from qualified Proposers for Consulting/Broker
Services for group health, dental, vision, FSA/HSA Cobra, and life insurance programs
(“Services”). The term of the agreement will be for five (5) plan years 2023 - 2027. The
Village will have the sole option to renew for two (2) additional one-year (1) plan years (2028 &
2029).
For the purpose of this RFP and the anticipated Agreement, "Village" means the Village of Oak
Brook and the selected Proposer that is awarded the Agreement is the “Proposer.”
The selected Proposer will be invited to enter into an agreement with the Village, in a form to be
provided by the Village (“Agreement”), to provide the Services in accordance with the Project
Scope section of this RFP. The Village Board has the ultimate authority to approve any proposal
and to authorize execution of the negotiated Agreement.
SECTION II: PROJECT DESCRIPTION
Health Benefit Program:
The Village operates a self-insured health insurance program for all PPO (including a high deductible
plan) claims on a per individual basis for the first $85,000 (“individual specific attachment point”) of
claims in a given plan year (January 1 to December 31). In addition, the Village also offers a fully
insured HMO plan. This program has been in place in this format since 1993, but with different
specific attachment points and TPAs. The Village secures Stop Loss Coverage for claims that
exceed $85,000 per individual or over 125% of the annual aggregate specific attachment point of
expected claims. The Village health benefit program has approximately 151 employees, which
includes 36 Park District Employees and approximately 30 retirees (retirees/COBRA employees on
the traditional insurance plan who pay 100% of the equivalent premium for their coverage) in the
program, plus eligible dependents for a total of approximately 468 participants (70 in the HMO and
398 in the PPO plans). The Village's program is a three-tier premium system consisting of single,
single +1 and family coverage for health, dental and vision coverage with network discounts through
Blue Cross Blue Shield (BC/BS). In addition, the Village provides group term life insurance coverage
of $100,000 for all employees, with an option for an additional $50,000 in coverage.
Overall, the Village has five different plan designs and 17 different contribution structures. The plan
is projected to cost approximately $3.3 million in plan year 2022 (July 1, 2022 – December 31, 2022).
Dental:
The Village utilizes Aetna for dental insurance with an estimated total cost of $193,482.96 for plan
year 2022/2023. The dental rate is locked for one (1) year.
Life/AD&D:
The Village is currently with Dearborne National to provide Life and AD&D insurance. The
agreement will expire June 30, 2023 with a total cost of $20,697.30 in plan year 2022/2023.
Vision:
The Village is currently with EyeMed for vision insurance and the projected cost is $18,714.60.
The vision rate is locked in for four (4) years.
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FSA/HSA:
The Village provides employees access to a Benefit Resources (BRI), Dependent–Care FSA
and a Health Savings Account (HSA). We currently have an agreement with Payflex and have
approximately 60 employees enrolled in these programs.
COBRA Administration:
The Village utilizes Asure as our Cobra provider. We currently have no one on COBRA
coverage.
SECTION III: SCOPE OF SERVICES
The Village is seeking a Proposer to perform the full range of services related to the design,
implementation, maintenance, communication, and improvement of the Village’s group health,
dental, vision, FSA/HSA, cobra, and life insurance programs, and related insurance plans.
Specific responsibilities include, but are not limited to:
1. Assisting the Village in administering all group insurance plans, responding to questions from
and providing information to staff, and providing other consulting services during the course
of the plan year.
2. Analyzing claims experience on a quarterly basis. This includes a detailed breakdown on
prescription drugs and other claim categories.
3. Resolving discrepancies in the Plan documents.
4. Resolving claim disputes for members.
5. Negotiating on the Village’s behalf with providers if certain claims are not covered.
6. Providing updates on legal and regulatory issues as they relate to benefits.
7. Assisting with compliance and regulatory issues.
8. Wellness Consulting
9. Review of Pharmacy Benefit
10. Review of Stop Loss Levels
11. Representing the Village in all negotiations with vendors to secure the lowest possible rates
and maximum discount levels.
12. Attending Village Board Meetings, Open Enrollment Meetings, and various other informational
meetings throughout the year.
13. Recommending cost containment strategies, including ways to implement, on all benefit
plans.
14. Providing verification of claims accuracy.
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15. Preparing specifications, seek quotes, analyze quotes and make recommendations for
placement of existing and any new benefits.
16. Securing timely quotes from vendors.
17. Facilitating the successful transition of any coverage or administrative services due to a
change in the administrator or service provider.
18. Providing training and support for administrative staff in all areas of benefit administration.
19. Assisting the Village with the implementation and communication of new programs or changes
to existing programs, which will include attending and presenting information at open
enrollment meetings.
20. Provide on-line employee self-service portal and administrator database with scheduled
reminders.
SECTION IV: SUBMITTAL REQUIREMENTS
All proposals must be signed by an authorized officer of the Proposer. Proposals that contain
omissions, erasures, alterations, conditional quotes, or that contain irregularities of any kind may
be rejected.
The proposal should contain, without limitation, the following information at a minimum:
1. Name of Proposer;
2. Office address, main telephone and fax numbers, e-mail address, and website address;
3. Detailed cost and broker fee structure for plan years 2023-2027. The proposal must state
that the proposal fee is all-inclusive and represents the total compensation your firm would
receive for all services from all sources. No carrier bonuses, over rides or contingencies
are allowed. The Village will have the sole option to renew for two (2) additional one-year
(1) plan years (2028 & 2029);
4. References;
5. Statement of Qualifications:
• Provide background information on your firm including, but not limited
to, the age of the business, the number of employees, and pertinent
financial data that will permit the Village to determine the capability of
the Proposer to meet all contractual requirements;
• List the abilities, qualifications, and experience of the persons who
would be assigned to the engagement and their experience on similar
agreements;
6. Project Approach;
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7. Additional Information and Comments:
• Describe your firm's expertise in the Public Sector, including number of
years, and include information on your relationship with insurance
carriers and cooperatives/pools that currently write business in the
Chicago land area. Please list any pools or insurance programs in
which your firm is not eligible to participate; and
• Provide examples of proactive and aggressive pursuits of negotiation
of favorable policy terms, conditions and pricing of insurance
coverage's and related services; and
• Indicate whether the firm has provided any services to the Village in the
past and if so describe the nature of services provided;
• Include any other information you believe to be pertinent but not
specifically mentioned elsewhere.
8. All Proposers shall include a letter indicating that all information in the proposal is true and
complete and signed by the authorized owner, partner, officer of the corporation, or
manager of the limited liability company submitting the proposal, with said signature duly
notarized by a notary public.
SECTION V: EVALUATION OF PROPOSALS
The Village staff will evaluate all properly submitted proposals. Properly submitted proposals will
be graded and ranked based on their responsiveness to this RFP, the total cost of the Services,
the Proposer’s experience and understanding of Services requested, its ability to complete the
Services within the specified deadlines, and the factors listed in Section 1-7-4 of the Village Code
of the Village of Oak Brook, Illinois. The Village may conduct interviews of all or some of the
Proposers, as it deems advisable.
The Village will then select the top preferred Proposer, with whom the Agreement, on a form to
be provided by the Village, or on a form approved by the Village Attorney, will be negotiated. The
Village Board of Trustees has the ultimate authority to approve any proposal and to authorize
execution of the negotiated Agreement.
The Village reserves the right to make clarifications, corrections, or changes in this RFP at any
time prior to the deadline for the submission of proposals. All Proposers or prospective Proposers
that register with the Village prior to the deadline for the submission of proposals will be informed
of said clarifications, corrections, or changes. To register, Proposers must email their contact
information to Rania Serences, CPPB, Senior Purchasing Assistant, at rserences@oak-
brook.org.
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SECTION VI: SUBMITTAL PROCEDURES
A. Questions and Clarifications.
All questions regarding this RFP must be directed in writing to Rania Serences, CPPB, Senior
Purchasing Assistant, rserences@oak-brook.org. Questions will be accepted until 12:00 p.m.
CST on Friday, August 5, 2022.
All questions and responses will be compiled and submitted to all Proposers electronically in one
general response memorandum by Wednesday, August 10, 2022. In order to enable the Village
to equitably respond to requestor questions, the Village requests that prospective Proposers
register in advance with the Village via e-mail at rserences@oak-brook.org.
B. RFP Submittals.
All proposals shall be submitted in an opaque sealed envelope on or before the time stated and
shall bear the name of the individual, firm, or corporation submitting the proposal. The envelope
must state the project name: “Consulting/Broker Services for Health, Dental, and Life Insurance.”
Four (4) copies of the proposal must be submitted to:
Rania Serences, CPPB
Senior Purchasing Assistant
Village of Oak Brook
1200 Oak Brook Road
Oak Brook, IL 60523
Proposals must be received no later than 3:00 p.m. CST on Friday, August 19, 2022. Proposals
will not be opened publically. Proposals submitted after this time will not be opened. No oral,
telephone, e-mail or facsimile proposals will be considered.
C. Standard Terms and Conditions.
1. Proposals submitted are offers only, and the decision to accept or reject is a function of
quality, reliability, capability, reputation, and expertise of the Proposers submitting proposals.
Issuance of this RFP does not obligate the Village to pay any costs incurred by a Proposer in its
submission of a proposal or making any necessary studies or designs for the preparation of that
proposal, or for procuring or contracting for the services to be furnished under this RFP.
2. A Proposer may withdraw its proposal, either personally or by written request, at any time
prior to the scheduled deadline for submittals. No proposal shall be withdrawn for 90 days after
the date set for opening proposals. Proposals shall be subject to acceptance during this period.
3. The Village reserves the right to accept the proposal that is, in its judgment, the best and
most favorable to the interests of the Village and to the public; to reject the low price proposal; to
accept any item of any proposal; to reject any and all proposals; and to waive irregularities and
informalities in any proposal submitted or in the RFP process; provided, however, that the waiver
of any prior defect or informality shall not be considered a waiver of any future or similar defect or
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informality. Proposers should not rely upon, or anticipate, such waivers in submitting their
proposal.
4. The Village reserves the right to negotiate specifications, terms, and conditions, which
may be necessary or appropriate to the accomplishment of the purpose of the RFP. The Village
may require the entire proposal be made an integral part of the resulting agreement. This implies
that all responses, supplemental information, and other submissions provided by the Proposer
during discussions or negotiations will be held by the Village as contractually binding on the
successful Proposer.
5. If, through any cause, the firm fails to fulfill any of the obligations agreed to in a timely
and proper manner, the Village shall have the right to terminate the agreement by notifying the
firm in writing of such termination at least 30 calendar days in advance of such termination.
6. The Village reserves the right to request clarification of information submitted and request
additional information as needed.
7. The term of the agreement will be for five (5) plan years 2023 - 2027. The Village will
have the sole option to renew for two (2) additional one-year (1) plan years (2028 & 2029).
8. The proposal shall be submitted in an opaque sealed envelope on or before the time stated
and shall bear the name of the individual, firm, or corporation submitting the Proposal and the
Project Name: “Consulting/Broker Services for Health, Dental, Vision, FSA/HAS, Cobra and
Life Insurance.”
9. The proposer agrees to execute all documents within this Proposal Package, obtain a
Certificate of Insurance to the Village within fifteen (15) days after the receipt of the Notice of Award
and the Agreement.
10. Insurance – Certificates of Insurance and Additional Insured Endorsement shall be
presented to the Village within fifteen (15) days after the receipt by the proposer of the Notice of
Award and the unexecuted agreement, it being understood and agreed that the Village will not
approve and execute the agreement until acceptable insurance certificates are received and
approved by the Village.
Each proposer performing any work pursuant to an agreement with the Village and each permittee
working under a permit as required pursuant to the provisions of Title 1, Chapter 8 of the Code of
Ordinances of the Village (hereinafter referred to as "Insured") shall be required to carry such
insurance as specified herein. Such proposer and permittee shall procure and maintain for the
duration of the agreement or permit insurance against claims for injuries to persons or damages to
property, which may arise from or in connection with the performance of the work under the
agreement or permit, by either the proposer, permittee, or their agents, representatives, employees
or subcontractors.
A proposer or permittee shall maintain insurance with limits no less than:
a) General Liability - $10,000,000 combined single limit per occurrence for bodily injury,
personal injury and property damage, provided that when the estimated cost of the work
in question does not exceed $5,000 the required limit shall be $500,000;
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b) Automobile Liability (if applicable) - $1,000,000 combined single limit per accident for
bodily injury and property damage;
c) Worker's Compensation and Employer's Liability - Worker's Compensation limits as
required by the Labor Code of the State of Illinois and Employer's Liability limits of
$1,000,000 per accident.
Any deductibles or self-insured retention must be declared to and approved by the Village.
At the option of the Village, either the insurer shall reduce or eliminate such deductible or
self-insured retention as respects the Village, its officers, officials, employees and
volunteers; or the Insured shall procure a bond guaranteeing payment of losses and related
investigations, claim administration and defense expenses to the extent of such deductible
or self-insured retention.
The policies shall contain, or be endorsed to contain, the following provisions:
d) General Liability and Automobile Liability Coverage -
I. The Village, its officers, officials, employees and volunteers are to be covered
as additional insureds as respects: liability arising out of activities performed
by or on behalf of the Insured; premises owned, occupied or used by the
Insured. The coverage shall contain no special limitations on the scope of
protection afforded to the Village, its officers, officials, employee’s volunteers
or agents.
II. The Insured's insurance coverage shall be primary insurance as respects the
Village, its officers, officials, employees, volunteers and agents. Any
insurance or self-insurance maintained by the Village, its officers, officials,
employees, volunteers or agents shall be in excess of the Insured's insurance
and shall not contribute with it.
III. Any failure to comply with reporting provisions of the policies shall not affect
coverage provided to the Village, its officers, officials, employees, volunteers
or agents.
IV. The Insured's insurance shall apply separately to each covered party against
whom claim is made or suit is brought except with respect to the limits of the
insurer's liability.
e) Worker's Compensation and Employer's Liability Coverage
The policy shall waive all rights of subrogation against the Village, its officers, officials,
employees, volunteers and agents for losses arising from work performed by the
insured for the Village.
Each insurance policy shall be endorsed to state that coverage shall not be
suspended, voided, canceled by either party, reduced in coverage or in limits except
after thirty (30) days prior written notice by certified mail has been given to the Village.
Each insurance policy shall name the Village, its officers, officials and employees,
volunteers and agents as additional Insureds. Insurance is to be placed with insurers
with a Best's rating of no less than A: VII.
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Each Insured shall furnish the Village with certificates of insurance and with original
endorsements effecting coverage required by this provision. The certificate and
endorsements for each insurance policy are to be signed by a person authorized by that
insurer to bind coverage on its behalf. The certificates and endorsements are to be on forms
approved by the Village and shall be subject to approval by the Village Attorney before work
commences. The Village reserves the right to require complete, certified copies of all
required insurance policies, at any time.
Each insured shall include all subcontractors as insureds under its policies or shall furnish
separate certificates and endorsements for each subcontractor. All coverages for
subcontractors shall be subject to all of the requirements stated herein.
11. In submitting this proposal, the proposer further declares that the only person or party
interested in the proposal as principals are those named herein, and that the proposal is made
without collusion with any other person, firm or corporation.
12. By submitting a proposal, the proposer understands and agrees that, if the proposal is
accepted, and the proposer fails to enter into an agreement forthwith, the company shall be liable to
the Village for any damages the Village may thereby suffer.
13. The Village is exempt from Federal excise tax and the Illinois Retailer's Occupation Tax. This
proposal cannot include any amounts of money for these taxes.
14. The Village authorizes the payment of invoices on the second and fourth Tuesday of the
month. For consideration on one of these dates, payment request must be received no later than
fourteen (14) days prior to the second or fourth Tuesday of the month
15. Indemnification – The Proposer shall protect, indemnify, save, defend and hold forever
harmless the Village and/or its officers, officials, employees, volunteers and agents from and against
all liabilities, obligations, claims, damages, penalties, causes of action, costs and expenses, including
without limitation court costs, insurance deductibles and attorney's fees and expenses, which the
Village and/or its officers, officials, employees, volunteers and agents may incur, suffer or sustain, or
for which the Village and/or its officers, employees and agents may become obligated by reason for
any accident, injury to or death of persons or loss of or damage to property, or civil and/or
constitutional infringement of rights (specifically including violations of the Federal Civil Right
Statutes), arising indirectly or directly in connection with or under, or as a result of, this or any
Agreement by virtue of any act or omission of any of the Proposer's officers, employees,
subcontractors, and/or agents, provided that the Proposer shall not be liable for claims, obligations,
damages, penalties, causes of action, costs and expenses arising solely from any act or omission of
the Village's officers, officials, employees, volunteers and/or agents.
The proposer shall hold the Village harmless for any and all claims for labor, material, apparatus,
equipment, fixtures or machinery furnished to the proposer for the purpose of performing the work
under the agreement; and the payment of all direct and indirect damages to any person, firm,
company or corporation suffered or sustained on account of the performance of such work during
the time the agreement is in force.
16. Equal Opportunity – The Proposer will not discriminate against any employee or applicant
for employment because of race, color, religion, sex, ancestry, national origin, place of birth, age or
handicap unrelated to bona fide occupational qualifications.
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17. Execution of Documents – The Proposer, in signing his Proposal on the whole or on any
portion of the work, shall conform to the following requirements:
Proposals signed by an individual other than the individual represented in the Proposal documents
shall have attached thereto a power of attorney evidencing authority to sign the Proposal in the name
of the person for whom it is signed.
Proposals that are signed for a partnership shall be signed by all of the partners or by an attorney-
in-fact. If signed by an attorney-in-fact, there shall be attached to the Proposal a power of attorney
evidencing authority to sign the proposal, executed by the partners.
Proposals that are signed for a corporation shall have the correct corporate name thereof and the
signature of the President or other authorized officer of the corporation manually written below the
corporate name.
If an official other than the President of the Corporation manually signs such Proposal, a certified
copy of a resolution of the board of directors evidencing the authority of such official to sign the
Proposal shall be attached to it. Such Proposal shall also bear the attesting signature of the
Secretary of the corporation and the impression of the corporate seal.
The Agreement shall be deemed as have been awarded when formal notice of award shall have
been duly served upon the intended awardee.
18. Non-Discriminating – The Proposer, its employees and subcontractors, agrees not to commit
unlawful discrimination and agrees to comply with applicable provisions of the Illinois Human Rights
Act, the U.S. Civil Rights Act and Section 504 of the Federal Rehabilitation Act, and rules applicable
to each.
19. Incurred Costs – The Village will not be liable in any way for any costs incurred by
respondents in replying to this RFP. Proposer agrees to comply with all laws, ordinances, and
rules of the Village and the State of Illinois.
20. Proposer Responsibilities – The selected Proposer will be required to assume
responsibility for all services offered in this proposal. The Village will consider the selected
Proposer to be the sole point of contact with regard to contractual matters, including payment of
any and all charges resulting from the agreement.
21. Default – The Agreement may be canceled or annulled by the Village in whole or in part
by written notice of default to the Proposer upon nonperformance or violation of agreement terms.
An award may be made to another proposer with services similar to those so terminated. Failure
of the Proposer to deliver services within the time stipulated on his offer, unless extended in writing
by the Village, shall constitute agreement default.
22. Independent Contractor – There is no employee/employer relationship between the
Proposer and the Village. Proposer is an independent contractor and not the Village’s employee
for all purposes, including, but not limited to, the application of the Fair Labors Standards Act
minimum wage and overtime payments, Federal Insurance Contribution Act, the Social Security
Act, the Federal Unemployment Tax Act, the Worker’s Compensation Act (820 ILCS 305/1, et
seq.). The VILLAGE will not (i) provide any form of insurance coverage, including but not limited
to health, worker’s compensation, professional liability insurance, or other employee benefits, or
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(ii) deduct any taxes or related items from the monies paid to Proposer. The performance of the
services described herein shall not be construed as creating any joint employment relationship
between the Proposer and the Village, and the Village is not and will not be liable for any
obligations incurred by the Proposer, including but not limited to unpaid minimum wages and/or
overtime premiums, nor does there exist an agency relationship or partnership between the
Village and the Proposer.
23. Governing Law – The laws of the State of Illinois as to interpretation, performance and
enforcement shall govern this Agreement. The forum for resolving any disputes concerning the
parties’ respective performance or failure to perform under this Agreement shall be the Circuit
Court for the Eighteenth Judicial Circuit, DuPage County, Illinois.
SECTION VI: ANTICIPATED PROJECT TIMELINE
• RFP Released July 22, 2022
• Questions Due August 5, 2022
• Issuance of Responses to Questions August 10, 2022
• RFP Due Date August 19, 2022
• Selection of Proposer October 11, 2022
• Approval of Agreement October 11, 2022
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SECTION VII: REQUIRED FORMS
A. References.
1. Company Name:
Address:
Phone #:
Contact:
2. Company Name:
Address:
Phone #:
Contact:
3. Company Name:
Address:
Phone #:
Contact:
4. Company Name:
Address:
Phone #:
Contact:
5. Company Name:
Address:
Phone #:
Contact:
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B. Consultants Certification.
The undersigned, being first duly sworn an oath, deposes and states that he has the authority to
make this certification on behalf of the proposer for the construction, product, commodity, or service
briefly described as follows:
“Consulting/Broker Services for Health, Dental, Vision, FSA/HAS, Cobra and Life
Insurance.”
1) The undersigned certifies that, pursuant to Chapter 720, Section 5/33E of the Illinois
Compiled Statutes, 1993, the proposer is not barred from bidding on this agreement as a
result of a conviction for the violation of State of Illinois laws prohibiting bid rigging or
bid-rotating.
2) The undersigned states under oath that, pursuant to Chapter 65, Section 5/11-42.1-1 of the
Illinois Compiled Statutes, 1993, the proposer is not delinquent in the payment of any tax
administered by the Illinois Department of Revenue.
3) The undersigned certifies that, pursuant to Chapter 775, Section 5/2-105. of the Illinois
Compiled Statutes, 1993, the proposer has a written sexual harassment policy in place
including the following information:
a) An acknowledgment of the illegality of sexual harassment.
b) The definition of sexual harassment under State law.
c) A description of sexual harassment, utilizing examples.
d) The Consultant’s internal complaint process including penalties.
e) The legal recourse, investigative and complaint process available through the Illinois
Department of Human Rights and the Human Rights Commission.
f) Directions on how to contact the Department or the Commission.
This business firm is: (check one)
_____ Corporation _____ Partnership _____ Individual
Firm Name:
Address:
City, State, ZIP:
Signature:
Name Printed:
Title:
Telephone:
Date:
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ATTEST:
___________________________
-SEAL-
SUBSCRIBED AND SWORN TO
before me this ______ day
of _____________, 2022.
_____________________________
Notary Public
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C. Sexual Harassment Policy.
hereinafter referred to as “Consultant” having
submitted a bid/proposal for to the Village of Oak
Brook, DuPage/Cook Counties, Illinois, hereby certifies that said Consultant has a written sexual
harassment policy in place in full compliance with 775 ILCS 5/2-105(A)(4) including the following
information:
1) An acknowledgment of the illegality of sexual harassment.
2) The definition of sexual harassment under State law.
3) A description of sexual harassment, utilizing examples.
4) The proposer’s internal complaint process including penalties.
5) The legal recourse, investigative and complaint process available through the Illinois
Department of Human Rights and the Human Rights Commission.
6) Directions on how to contact the Department or the Commission.
7) An acknowledgment of protection of a complaint against retaliation as provided in Section 6-
101 of the Human Rights Act.
Each consultant must provide a copy of such written policy to the Illinois Department of Human Rights
upon request.
By:
Authorized Agent of Proposer
ATTEST:
___________________________
-SEAL-
SUBSCRIBED AND SWORN TO
before me this ______ day
of _____________, 2022.
_____________________________
Notary Public