DATE: May 20, 2026
TO: Honorable Mayor and City Councilmembers
FROM: Human Resources Department
TITLE: PROFESSIONAL SERVICES AGREEMENT WITH ATHENS ADMINISTRATOR FOR THIRD-PARTY ADMINISTRATION OF WORKERS' COMPENSATION CLAIMS
RECOMMENDATION
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Staff recommends that the City Council approve a Professional Services Agreement (PSA) with Athens Administrator for Third-Party Administration (TPA) of Workers' Compensation claims; and authorize the City Manager (or designee) to execute the agreement.
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BACKGROUND AND ANALYSIS
On June 5, 2012, the City Council authorized the City to join the San Diego Pooled Insurance Program Authority (SANDPIPA) which included an agreement with Tristar Risk Management for Citywide workers' compensation claims administration. Following the dissolution of SANDPIPA and subsequent City Council approval to transition general liability Risk Pool coverage to the California State Association of Counties-Excess Insurance Authority (CSAC-EIA), and pursuant to a formal Request for Proposals (RFP) process, on March 16, 2016, Council approved an initial 13-month PSA with Adminsure, with four one-year renewal options. In 2021, the City issued an RFP for these same services, electing to continue service with Adminsure. The final term of the current agreement with Adminsure is scheduled to expire on June 30, 2026.
In anticipation of the expiring contract, and in compliance with the City's Administrative Directive on the Procurement of Goods and Services (AD-21), the Risk Management Division released an RFP on October 23, 2025, to solicit interest and responses from qualified organizations to provide third-party Workers' Compensation administration for the City's Self-Insured Workers' Compensation Program. The City received five detailed responses from qualified entities, including the current contractor - Adminsure.
An Evaluation Committee was convened, and each member independently reviewed and scored the written submittals provided by...
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