Watertown School Board Votes to Solicit Proposals for Self-Funded Health Insurance Consulting Services
Northeast Radio SD News – Watertown, SD - The Watertown School Board voted unanimously Monday night, Nov. 9, to solicit competitive proposals for self-funded health insurance consulting and benefits advisory services ahead of the 2027 plan year.
Moved by board member Jean Moulton and seconded by Kari Lohr under Agenda Item 6.4, the measure passed on a unanimous voice vote.
Benchmarking the Market Alongside Current Advisor Freimark & Associates
Business Manager Heidi Clausen explained that the Request for Proposals is designed to evaluate consulting firms with expertise in administering self-funded public school health insurance plans, managing healthcare and prescription claims costs, assessing stop-loss coverage and plan design alternatives, and providing long-term benefits advisory services for the district's more than 700 K-12 and Lake Area Technical College employees.
Superintendent Dr. Jeff Danielsen noted that the district currently contracts with Freimark & Associates for benefits consulting, and compared the RFP process to the district's periodic review of its banking services.
"Just to understand from the board is that we currently have an agreement—we are with Freimark & Associates," Danielsen told the board. "This would just be to—they would put in an RFP if they're interested, and then other firms would as well if they're interested."
RFP Timeline and Evaluation Criteria
According to the RFP document included in the board packet, the solicitation issues on Tuesday, Nov. 10, 2026, with proposals due back to Clausen by Dec. 1, 2026, for an initial one-year contract starting in January 2027.
The RFP requires full disclosure of all direct and indirect compensation—including any carrier commissions, overrides, bonuses, or pharmacy benefit rebates—and states the district's preference for a transparent, fixed annual consulting fee.
Submissions will be evaluated on relevant experience and qualifications (20%), public school district and self-funded plan experience (20%), quality of proposed services and analytical approach (20%), independence and conflict-of-interest protections (15%), proposed fees and overall value (15%), and references (10%).
