DEPARTMENT: Human Resources
DEPARTMENT HEAD: Lori Steward, Human Resources Director
COUNCIL DISTRICTS IMPACTED: City-wide
SUBJECT:
Student Loan Employer Contribution Program
SUMMARY:
This ordinance authorizes the City Manager or his designee to execute a contract with Tuition.io, Inc. to administer a student loan repayment program for benefit-eligible civilian employees and City Council Aides for an annual administrative cost of $57,186. The term of this contract is three years, beginning April 1, 2019 and ending March 31, 2022, with the option to renew for two additional one year periods, subject to and contingent upon funding by City Council.
BACKGROUND INFORMATION:
The City proposes adding a Student Loan Employer Contribution Program to its complement of comprehensive benefits offered to the approximately 7,000 full time civilian employees and approximately 65 City Council Aides. The City's goal to attract and retain a highly skilled workforce to serve the citizens of San Antonio requires innovative and relevant benefits programs. It is estimated that by 2025 half of the City's workforce will be made up of millennials born between 1984 and 1994. The majority of these employees will come to the City with some form of student debt.
To assist these employees, funding is for a new student loan program was included in the FY 2019 Adopted Budget. This program will provide a monthly employer contribution of $50 sent directly to the loan servicer to pay down employee's loan principal.
The City issued a Request for Proposal (RFP) for "Student Loan Employer Contribution Program" on November 27, 2018, with a submission deadline of December 19, 2018 seeking proposals for a qualified respondent interested in administering a Student Loan Employer Contribution Program. The RFP was advertised in the San Antonio Express-News on November 27, 2018. A pre-submittal conference was held on December 4, 2018, to allow for respondent questions and clarificat...
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