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HomeMy WebLinkAboutSan Luis Obispo - Cover Letter and RFP Response It’s the right time for the right partner. The City of San Luis Obispo Request for Proposal June 2026 2 The City of San Luis Obispo 06/10/2026 Kate Auslen City of San Luis Obispo, Department of Finance 990 Palm Street San Luis Obispo, CA 93401 Re: The City of San Luis Obispo – Qualified Plan Recordkeeping and Administration Services Dear Ms. Auslen, Nationwide is pleased to submit our response to City of San Luis Obispo (the City’s) Request for Proposals to deliver comprehensive recordkeeping, communication, education, and investment services for the 457, 40(a), 457 OBRA-PST and PEHP Plans. We confirm that we meet all minimum qualifications listed in the proposal request. Founded in 1926 as a small, regional mutual insurer serving America’s farming communities, Nationwide has grown into a leading financial services organization with a national reach. While our solutions and services have evolved over the past century, our purpose has remained constant: to protect people, businesses, and futures with extraordinary care. We believe Nationwide is the right partner for the City and your employees. Three key differentiators illustrate why Nationwide is uniquely positioned to continue to serve as the City’s trusted partner and exclusive provider: Better Participant Experiences We go the extra mile to create personalized experiences, approaching every interaction with empathy and care to help employees achieve their goals. Administrative Simplicity We provide you with a dedicated Account Manager and focus on taking responsibility for the critical processes related to your Plan, alleviating burdens on your staff. Values that Translate to Service Our values create a purpose-driven culture resulting in engaged associates committed to providing you and your employees with extraordinary service. Better Participant Experiences Helping participants understand their retirement outlook, and take meaningful steps to improve it, is at the heart of what we do. Through a powerful combination of digital tools, targeted outreach, and personalized support, Nationwide equips participants with the guidance and confidence they need to make decisions that lead to better retirement outcomes . At the center of our digital experience is My Income & Retirement Planner, a comprehensive retirement planning ecosystem that acts as a participant’s financial command center. Unlike competitors’ tools, which often separate long -term planning into multiple disconnected experiences, our planner brings everything together in one seamless journey. Participants can easily aggregate outside retirement income including their CalPERS pension, Social Security (if applicable) and spousal/partner savings, explore various “what-if” scenarios, and build a clear, holistic view of their financial future. Your employees will also benefit from our Participant Engagement Program, which delivers ongoing, timely, and motivational education through email, website messaging, social media, text, and traditional mail. This “always -on” program meets participants where they are and proactively provides information that encourages positiv e financial behaviors. Our 2025 results* demonstrate its impact: • 20% increase in participant conversations • 28% increase in engagement with My Income & Retirement Planner • 15% increase in participants rolling in assets *Nationwide Results: 2025 year-end results across ~9000 plans, lift is based on comparison to control group. Nationwide recognizes that a diverse workforce needs a robust, multi-channel education strategy. For those who prefer personal interaction, our local Retirement Specialist, Gina Ponce offers one-on-one consultations and group workshops at convenient 3 The City of San Luis Obispo times and locations. Gina works with each employee to educate them on all components and benefits of the Plan, showing how it works in conjunction with other pension, social security, and personal/spousal/partner savings to help them understand where they stand today and assist in putting an action plan in place to prepare for and live in retirement with confidence. Administrative Simplicity With an emphasis on flexibility and innovative thinking, we can tailor administrative services to your Plan and participant ’s needs. We take on the responsibility for the critical administrative processes like distributions, loans and domestic relatio ns orders, freeing up your staff to focus on what is important to you. In addition to Plan updates, education, and innovative solutions, you will have access to a wide range of support and services including: • Direct access to the Plan’s assigned Account Manager, Jenna Kozicki • A proprietary recordkeeping system that allows us to customize and tailor to your needs. • 100% U.S.-based support from Relationship Managers to Solutions Center Representatives. Providing exceptional administrative services also means protecting your employees’ information. With more than 1,000 security and infrastructure associates, Nationwide leads the marketplace in providing superior protection and prevention, giving you peace of mind. Our Defense in Depth approach leverages people, processes, and technology working together to protect plan and participant data. Values That Inspire Exceptional Service As Nationwide celebrates our 2026 centennial, we embrace a legacy of values that have shaped who we are, guided how we do business, and set the foundation for our future. This milestone reflects not only our financial strength and long-term stability, but also our enduring commitment to extraordinary care. Our purpose-driven culture, both inside our company and throughout the communities we serve, creates a meaningful impact you can see and feel. A few highlights include: • $7 million donated by associates in 2025 to organizations such as the American Red Cross, United Way, Feeding America, and others. • 72,000 volunteer hours contributed by associates in 2025. • Recognized as one of Fortune’s 100 Best Companies to Work For & People’s Companies That Care in 2025. Your Trusted Partner For more than 52 years, Nationwide has remained focused on a simple mission: helping America’s workers prepare for and live in retirement. We bring decades of specialized experience, a deep understanding of participant needs, and a commitment to exceptional service for both Plan Sponsors and employees. We appreciate this opportunity to continue and expand our partnership with The City of San Luis Obispo, and to help your employees build a more secure retirement. If you have questions, please contact: Greg Watson, Nationwide Sales Director Address: Three Nationwide Plaza, Columbus, OH 43215 Phone: (614) 435-8428; Email: WATSONG3@nationwide.com. Sincerely, Adam Lacks Associate Vice President Retirement Solutions - Finance Forms Included with our response: • RFP Response • Pricing Request Form • Fixed Product Data (Nationwide True Flex & Nationwide Fixed Account) • Nationwide True Flex Fact Sheet • Nationwide Fixed Account Fact Sheet • Sample Administrative Service Agreement • Insurance Certificates • Statement of Past Contract Disqualifications 4 The City of San Luis Obispo 2. Recordkeeper Profile a. Please provide a record-keeper profile, including: i. Firm name, address, and contact information. (Please designate a single point of contact for purposes of interactions involving this RFP.) • Firm Name: Nationwide Retirement Solutions, Inc. • Address: Three Nationwide Plaza, Columbus, OH 43215 • Contact: Greg Watson, Nationwide Sales Director P: (614) 435-8428; E: WATSONG3@nationwide.com ii. Type of firm: individual, partnership, corporation, or other entity. Corporation. Nationwide Retirement Solutions, Inc. (NRS), the legal entity providing recordkeeping, third -party administrative and communication/education services described in this RFP, is a Delaware corporation and is wholly owned by NFS Distributors, Inc. (NFSD), which is in turn wholly owned by Nationwide Financial Services, Inc. (NF), a holding company for long-term savings operations and financial services. NF is wholly owned by Nationwide Corporation, which in turn is wholly owned by Nationwide Mutual Insurance C ompany (NMIC). iii. History of the firm, including number of years in existence, number of years providing record -keeping services to public agencies, location of offices, etc. Nationwide is an American insurance and financial company founded by farmers one hundred years ago in 1926 to collectively protect what mattered most to them. Since then, we have continued our focus on our customers while growing into one of the largest, financially stable financial services companies in America. As a Fortune 100 company, currently #69, we have built a diversified business portfolio that provides the financial guarantees to help deliver on our promises. We have been providing recordkeeping and administration for the public sector for more than 52 years. All participant calls, recordkeeping, and administrative services will be handled in either our Corporate Headquarters in Columbus, Ohio or our Western Operations Center in Scottsdale, Arizona. 3. Qualification and Experience Summary a. Please provide an explanation of how you meet each of the minimum qualifications set forth in Section C: Minimum Qualifications. Nationwide meets the minimum qualifications set forth in Section C as follows: 1. Nationwide confirms that it satisfies the required experience threshold for governmental Section 457 deferred compensation plan administration. Nationwide has been in the retirement plans business for over half a century, services more 457 plans than any other provider in the market, and proudly works with several of the largest state, county, and municipal 457(b) plans across the nation. 2. Nationwide can support a fee structure with no front-end or back-end charges and no restrictions or penalties on plan- or participant-initiated transfers or withdrawals other than standard stable value or fixed account provisions, where applicable. For governmental 457(b) plans, Nationwide offers multiple fixed and stable value solutions, including options with book value puts, market value structures, and equity wash provisions, enabling a clear and tailored approach to any required MVA buy-out strategy. Our proposal clearly describes the products, process, applicable recovery period, and initial net rate. 3. Nationwide accurately and fully discloses fund expense and revenue sharing arrangements. Nationwide’s materials confirm any revenue-sharing arrangements for sub-advised and retail funds are disclosed (if applicable), and the amount and type of revenue sharing are disclosed or available upon request. 4. Nationwide also discloses expenses and revenue associated with services made available under the plans. Recent fee schedules separately identify charges for services such as managed accounts, self -directed 5 The City of San Luis Obispo brokerage, loans, QDROs, and other participant transactions, allowing the Plan Sponsor to evaluate all service-related costs transparently. 5. Nationwide is willing to agree, under contract, not to sell or promote products that are not directly affiliated with the plan unless specifically authorized in writing by the City. 6. Nationwide can satisfy and exceed the required participant education and service commitment. Nationwide provides local and national enrollment support, initial and ongoing meetings, on -site education meetings, with more than 300 region-based specialists for in-person support, 200 licensed representatives available by phone, and one-on-one comprehensive financial planning available at no added cost. 7. Nationwide is duly qualified to do business in the State of California and will comply with all applicable state and local contracting requirements. 8. Nationwide supports transition and continued administration of existing plan loans. Our administrative capabilities include participant loan processing with no Plan Sponsor signature required, paperless loan functionality, and both online and hard-copy processing workflows. Nationwide can also accommodate the transfer of existing loans without setup fees as proposed. 9. Nationwide supports transition and continued administration of existing systematic distributions. Our administrative capabilities include in-service withdrawals and termination processing, with established workflows for online and hard-copy transactions and no Plan Sponsor signature required for in-service withdrawals. Nationwide can also accommodate transferred directives without setup fees, if applicable. 10. Nationwide offers a self-directed brokerage option through our relationship with Charles Schwab. 11. Nationwide can accommodate the joint administration of multiple plans and support the related payroll processing, account transfer, and separate recordkeeping requirements. Nationwide’s proprietary DCdirect recordkeeping platform supports payroll integration, electronic data transfer, contribution processing, and plan-level administration, and Nationwide assigns a dedicated implementation manager to coordinate plan transfer, setup, onboarding, payroll submission, and required notices during conversion. 12. Nationwide is willing to have representatives attend Committee meetings virtually once per year. Nationwide’s service model includes a dedicated relationship manager and ongoing Plan Sponsor support, which aligns well with this governance expectation. 13. Nationwide has extensive knowledge of and complies with applicable federal, state, and local requirements governing governmental retirement plans and investment options. Nationwide supports plan document and compliance services with dedicated legal and compliance resources, including 18 ERISA attorneys and 18 compliance specialists, as well as reporting and document support capabilities. Accordingly, Nationwide understands these minimum qualifications and is prepared to meet them as part of its proposed governmental retirement plan solution. b. Please describe examples of your experience as a recordkeeper for the plan types listed above, and how many years have you been providing recordkeeping services for each plan type. Nationwide has extensive recordkeeping experience across all of the listed plan types: • 457(b) plans: Nationwide has been in the retirement plans business since 1973 and is the leading provider of 457 plans in the market, by number of plans served. We proudly provide bundled recordkeeping, third-party administrative, education and communication, and investment services for more than 8,392 governmental plans. We are proud to have been one of the City’s current 457(b) providers for more than 30 years. • 401(a) plans: We have longstanding public sector recordkeeping experience and currently support 1,574 401(a) plans on our platforms. We have over 37 years of experience providing services to 401(a) plans. • OBRA-PST plans: Nationwide currently administers a large active PST block that includes over 260 plans, 182,270 participants, and $236.8 million in assets across the country, including the City’s OBRA-PST plan. • HRA plans: Nationwide has administered our public-sector retiree healthcare funding solution, Nationwide PEHP, since 1997 (29 years) and we currently serve 533 PEHP plans. 6 The City of San Luis Obispo c. Please describe why you believe your firm would be a good fit as the City’s Recordkeeper. Our approach is centered on simplifying complex retirement issues, reducing administrative burden for the City, and delivering a participant experience that is personal, accessible, and effective. Nationwide believes we are an excellent fit to serve as the single City’s recordkeeper because we combine the strength and stability of a large, diversified financial services organization with a high-touch service model, deep public sector experience, and a clear focus on improving participant outcomes. We also bring the advantage of an existing relationship with the City, and because of this we understand the City cares tremendously about its employees and places significant emphasis on ensuring they receive outstanding service, support, and education. As the City evaluates consolidating from four recordkeepers to a single provider, Nationwide is well positioned to help simplify the current structure, reduce administrative complexity, and create a more seamless experience for both the City and participants. We have extensive experience in consolidating plans, including some of the most challenging multi-provider plans in our industry, including the consolidation of assets from the City’s other providers. We know your Plan and your participants and welcome the opportunity to partner with the City to enhance and streamline your retirement program. In our retirement solutions business, we go above and beyond to do the right thing at the right time, so participants achieve better outcomes and Plan Sponsors gain a better partner, with a key differentiator being our high-touch service model. Nationwide offers a combination of onsite and virtual support designed to meet participants where they are and how they prefer to engage. Through personalized consultations, enrollment support, proactive education, and access to toll-free licensed representatives, we help employees make informed decisions throughout their careers and into retirement. Retirement Specialist, Gina Ponce, will continue to serve as a visible, accessible resource to the City, helping ensure meaningful employee engagement, and providing a service experience that reflects the City’s strong commitment to caring for its workforce. We do not limit service based on account balance, contribution level, gender, race, or employment status, and we offer the same high level of support to retirees as we do to active employees. This inclusive approach helps ensure all participants have access to meaningful guidance and a more secure path toward a dignified retirement. We also believe Nationwide is a strong fit because of our integrated approach to retirement readiness. We surround participants with multiple touchpoints, including targeted communications, one-on-one support, live webinars, and award-winning digital tools. Our Participant Engagement Program uses data and analytics to deliver the right message at the right time to encourage action. Participants also have access to intuitive planning tools such as My Income & Retirement Planner which illustrates the participants level of retirement readiness taking into consideration all sources of retirement income include CalPERS Pension, Social Security and other outside assets; My Investment Planner to assist in proper asset allocation taking into consideration risk tolerance and timelines; and a robust learning center, as well as a mobile -responsive website and app designed to make retirement planning easier and more actionable. Together, these resources help participants better understand where they stand, what steps they can take, and how those decisions may improve long-term retirement outcomes. Nationwide’s service philosophy is also supported by experienced specialists and a strong culture of care. Our Retirement Resource Group (RRG) and Nationwide Retirement Institute (NRI) help participants and Plan Sponsors navigate complex issues such as Social Security, Medicare, health care costs in retirement, tax-efficient planning, and retirement income strategies. At the same time, our culture emphasizes belonging, respect, fairness, and collaboration. The way we care for our associates and communities translates directly into how we serve Plan Sponsors and participants. We are proud to be recognized for our workplace culture and community impact, and we believe those values make us a thoughtful, responsive, and collaborative long-term partner for the City. Finally, Nationwide offers the financial strength, long-term perspective, and operational experience the City should expect in a recordkeeper. As a mutual company owned by our members rather than shareholders, we are able to focus on long-term client outcomes and service excellence. Our diversified business model, longstanding presence in retirement services, and commitment to innovation position us to remain a stable and dependable partner in changing markets and evolving regulatory environments. For these reasons, we believe Nationwide is well positioned to deliver the administrative simplicity, participant support, and trusted partnership the City is seeking in its exclusive recordkeeper. 7 The City of San Luis Obispo d. How many governmental plan transitions has your firm completed from the following record -keepers in the last 24 months: CalPERS, Nationwide, Empower, MSQ, Nationwide, Lincoln and Voya. Please segregate by record-keeper, plan sponsor and combined plan assets of >$50m, $50m-$100m, $100m- $250m, and $250m+ Plans Won CalPERS Nationwide Empower MSQ Lincoln Voya $50m 0 N/A 67 98 3 13 $50m-$100m 0 N/A 1 3 0 0 $100m-$250m 0 N/A 0 4 0 0 $250m+ 0 N/A 1 0 0 1 Total 0 N/A 69 105 3 14 e. How many governmental plan transitions has your firm lost to the following record keepers in the last 24 months: CalPERS, Nationwide, Empower, MSQ, Lincoln and Voya. by record-keeper, plan sponsor and combined plan assets of >$50m, $50m-$100m, $100m-$250m, and $250m+. Plans Lost CalPERS Nationwide Empower MSQ Lincoln Voya $50m 0 N/A 37 19 3 16 $50m-$100m 0 N/A 1 0 0 0 $100m-$250m 0 N/A 1 0 0 0 $250m+ 0 N/A 6 0 0 1 Total 0 N/A 45 19 3 17 f. Please acknowledge whether your proposed services can satisfy each of the following: i. Ability to provide open architecture platforms, websites, phone apps, and service representatives Confirmed. Open Architecture Platform Our proprietary recordkeeping platform, DCdirect, offers full open-architecture with access to institutional share class investment options and non-SEC registered Collective Investment Trusts (CITs) for Plan Sponsors to select from – a broad mix to help manage results for retirement plan participants. We have agreements in place with more than 200 fund houses offering over 13,000 mutual funds across a wide spectrum of asset classes. Websites and Mobile App • Plan Sponsor Website – The Plan Sponsor experience is designed to simplify plan management through flexible support, tailored communications, and easy -to-use tools. Its primary hub provides 24/7 self-service access to industry news, legislative updates, and a personalized portal for managing all plan activities. A key feature is the Plan Health Dashboard, offering real-time insights, performance metrics, and actionable recommendations. Plan Sponsors can customize reports and track important data such as employee engagement, retirement readiness, demographics, and contributions. The platform also supports efficient administration with tools to co-browse participant accounts, receive alerts for required actions, and manage tasks like payroll updates and withdr awal approvals. • Participant Website – Nationwide’s participant experience is designed to engage and support employees throughout their financial journey, from initial awareness to retirement. Our digital platform plays a central role, delivering personalized tools, education, and guidance that encourage participants to take meaningful actions toward financial wellness and retirement readiness and can be utilized on a ‘Do it my self’ basis or as part of the consultations provided by our Retirement Specialists. Enrollment is streamlined and accessible through multiple entry points, allowing employees to join quickly with minimal information. Once enrolled, participants are guided through onboarding with personalized dashboards and action-oriented content. They can adjust and optimize their savings using intuitive tools like the My Income & Retirement Planner (MIRP), which provides comprehensive financial planning, scenario modeling, and retirement readiness insights. Additional features include account management tools, a mobi le app, and our GrowForth financial wellness program, which promotes healthy financial habits through personalized, actionable steps. For investing, participants can access advice, managed accounts, or self -directed 8 The City of San Luis Obispo options, where applicable. As retirement approaches, participants can model income strategies and easily manage distributions online, ensuring informed decisions and long-term financial confidence. • Mobile App – We offer both a mobile-responsive website experience, designed to meet participant needs quickly and simply, and a mobile app, My Retirement, which is available in the App Store or on Google Play. My Retirement is one of the highest user-rated retirement planning apps available. Our mobile app is fully functional and all transactions that can be done through Nationwide’s mobile-enhanced website can also be done through the app. Service Representatives • Solutions Center – Nationwide staffs Solutions Centers at our Corporate Headquarters in Columbus, OH with an additional site located in Scottsdale, AZ. We staff both Solutions Centers with representatives who speak both English and Spanish. Our Solutions Centers are open Monday through Friday, 6 a.m. to 9 p.m. PT, Monday through Friday, in addition to weekend access on Saturday from 7 a.m. to 4 p.m. PT. to accommodate the diverse work schedules of your employees. All full-time Solutions Center Representatives are encouraged to obtain the FINRA Series 6 license. Those who do so will be able to assist participants with all requests, including financial transactions. To prepare new Solutions Center Representatives to assist participants, we have developed a six-week training course that educates new representatives in policies, procedures, regulations, and the ability to provide an “On Your Side” experience for each participant. • Retirement Specialists – Our offer includes licensed Retirement Specialist, Gina Ponce, to serve participants virtually and in person. Gina will continue to be available to conduct enrollment meetings, educational presentations, and one-on-one consultations for both active and retired participants across all worksites as mutually agreed upon. Retirement Specialists are also available via toll-free lines to assist employees with a holistic Financial Needs Assessment, Social Security, and Health Care in Retir ement assessment and assist with asset consolidation education and processing. Additionally, our online scheduling tool allows participants to select dedicated time slots for personal consultations with one of their Retirement Specialists. • Retirement Resource Group (RRG) – An extension of the services offered through the City's Local Retirement Specialist; our full team of internal Retirement Specialists are available via toll-free telephone lines to help participants address retirement questions and concerns over the phone with the same experience participants would receive face-to-face. The RRG is staffed by 40 licensed professionals who maintain the required FINRA registrations and state Life and Health licenses. Nationwide’s Retirement Specialists and Personal Retirement Counselors are licensed Investment Advisor Representatives of Nationwide Investment Advisors, LLC (NIA) and offer investment advice. NIA assumes the fiduciary responsibility for the advice provided and the assets under management through its services. ii. Provide Certified Financial Planning (CFP) services Confirmed. Through the RRG, Nationwide offers access to Personal Retirement Counselors, many of who maintain the CFP designation, both in person and via the telephone. Our Personal Retirement Counselors provide advice and guidance over the phone; available between 5:30 a.m. and 2:00 p.m. PT, Monday through Friday to help your participants prepare for and transition into retirement. These services are provided at no additional fee to you or your employees no matter the size of the account. iii. Quarterly onsite in-person visits by a local representative Confirmed. Our offer to the City includes a minimum of four onsite/virtual visits by the City’s assigned Retirement Specialist, Gina Ponce. Our onsite and virtual commitment to the City ensures all employees at all worksites and during all shifts have an opportunity to meet with Gina to discuss their investment strategies. Gina is responsible for providing an enhanced level of service with the goal of employee education and provides investment education through seminars, workshops, and one-on-one meetings to ensure the participants have a thorough understanding of the investment options available within the Plan. iv. Compliance with all County, State and Federal regulations Confirmed. Nationwide has an established Office of Compliance and Ethics that manages regulatory risk and we are familiar with the County, State, and Federal regulations applicable to your Plans. 9 The City of San Luis Obispo v. No selling or promoting other record-keeper products unless previously approved by City Confirmed. Nationwide’s representatives are prohibited from cross-selling non-retirement products or services to defined contribution plan participants without prior approval from the City. vi. No plan set-up or termination fees Confirmed. vii. No additional fee for access to all available 40 Act mutual funds Confirmed. viii. Plan level and participant fee transparency and disclosures as if the plans are subject to ERISA Confirmed. 408(b)(2) Notice: Although governmental plans are not subject to ERISA fee disclosure requirements, Nationwide provides Plan Sponsor fee disclosures modeled after the requirements of ERISA 408(b)(2) via the website. Plan sponsors can view all fees associated with their retirement plan from these four categories: Gross Expense Ratios, Mutual Fund Service Fee Payment information, Redemption Fees, and Recordkeeping fees. A fee explanation guide is available to assist in understanding what is included in the fe es associated with the Plan. Options to print and view historical Plan Sponsor Fee Disclosures are available as well. 404(a)(5) Notice: Additionally, Nationwide offers the option of providing participant level fee disclosures modeled after the requirements of ERISA Regulation 404(a)(5) on the website. If you choose to offer access to this disclosure, participants can currently view a Comparative Chart of Investment Options and Annual Operating Expenses modeled upon the corresponding portion of the 404(a)95 ) fee disclosure requirements. ix. Ability to manage small and large plans Confirmed. Nationwide’s unique position in the market is providing service to all ranges of the market , from the smallest start-up plans to the largest 457 plans in the Public Sector, including the states of California, New York, and Florida. g. Sample login i. Please provide demonstration logins for both the Plan Sponsor website and Participant website. Participant Demo Website: https://www.nationwide.com/campaigns/choosenationwide Participant Demo Credentials: • Username: demopart29 • Password: sing2Jingle# Plan Sponsor Demo Site: https://www.nationwide.com/campaigns/choosenationwide Select Try the Plan Sponsor Demo. You will be automatically directed to the Plan Sponsor demo website. Participant Demo Credentials: • Username: Southmetro • Password: RonRocks123! Because of our focus on data and information security, we change our passwords from time to time. If you find this password has expired, please contact Sales Director Greg Watson, at (614) 435-8428. 10 The City of San Luis Obispo 4. Work Plan a. Plan Sponsor Service team i. Describe how the client service team will be structured for this engagement Each plan is supported by a team of experienced Nationwide associates focused on ensuring that we provide each Plan and their employees exceptional service from our initial interactions, through conversion, and ongoing day-to-day service. Nationwide’s model is centered on people and high-touch participant services, and our comprehensive education and enrollment program provides the right information at the right time for employees to help ensure they experience better retirement outcomes. We will work with the Plan Sponsor to create a schedule to connect with employees when, where, and how it’s most convenient. • Transition Manager, TBD – Nationwide staffs a team of Business Project Managers, led by Dave Hall, who support plan transitions and consolidations to Nationwide. Upon award of the contract, a Transition Manager will be assigned. The Transition Manager assigned to transition will have overall relationship management responsibilities throughout the process and will serve as your primary point of contact. Our transition managers have extensive experience in consolidating governmental 457, 401(a), OBRA and HRA plans, and have familiarity with our competitor’s file formats, products and staff. • Relationship Manager, Amber Peters – Will continue to work closely with the City to develop a personalized, long-term education campaign and strategy centered on the Plan’s needs and goals. Amber currently oversees the local service team for the Plan and is based in the southern California region. She provides management and development of the on-site education services conducted by the City’s assigned local Retirement Specialist, Gina Ponce, and drives the strategy of all education and outreach services and will work with the Plan Sponsor to define strategic goals for the Plan. • Retirement Specialist, Gina Ponce – Will continue to provide onsite, phone-based, and virtual education, communication, and enrollment services through individual consultations and group workshops. Gina will continue to work with each participant to educate them on all components and benefits of the City’s Plans so they take advantage of provisions that will successfully help them prepare for a dignified retirement. • Account Manager, Jenna Kozicki – Works closely with the Amber Peters and Gina Ponce to oversee all aspects of the services provided from our Corporate Headquarters in Columbus, OH. Jenna helps to ensure the Plan is administered according to the contract and Plan Document, and that processes and enhancements to the Plan are implemented successfully through our corporate office Jenna will serve as the City’s primary point of contact to resolve any administrative issues that may occur , working with our team of associates who support our governmental plan support services. Nationwide’s offer also includes meetings with two additional Nationwide teams at no cost to the Plan or participants. We believe that supplementing traditional education efforts with content around advanced retirement concepts and topics will help engage participants so they will be better prepared for retirement. These teams are differentiators unique in the industry. • First, Nationwide provides access to internal Retirement Specialists through our phone -based Nationwide Retirement Resource Group (RRG) which offers participants a holistic financial needs assessment, regardless of their plan account balance, to help them understand their retirement savings outlook, savings, and distribution strategies and assists them in making an informed decision on where to place their retirement assets. • Second, we offer periodic educational meetings with a member of the Nationwide Retirement Institute (NRI), who will conduct group seminars around advanced retirement topics such as Health Care, Medicare, and Social Security. ii. Will the client service team be dedicated or pooled? Each member of your service team is responsible for additional clients. Your service team’s caseloads are assigned according to region and participant/asset size. Caseloads are continuously monitored to ensure you and your participants receive the highest level of service. 11 The City of San Luis Obispo iii. Provide a brief biography for the core team, including role on the service team, role in the firm, industry experience, firm experience, location, and other relevant experience and current and at - capacity caseloads for each member. Relationship Manager, Amber Peters Amber Peters serves as Relationship Manager for the plan and leads the overall service and education strategy in partnership with the Plan Sponsor. She oversees the local service team and helps align participant education and outreach efforts with the plan’s long-term goals. Amber has spent 19 years with Nationwide supporting public - sector retirement plans. She maintains FINRA Series 6, 63, 65, and 26 registrations, holds a Life & Health license, and has earned the Certified Retirement Counselor (CRC) designation. She received a Bachelor of Science degree from Marquette University and is based in Temecula, California. Retirement Specialist, Gina Ponce Gina Ponce serves as Retirement Specialist for the plan, delivering participant education, communication, and enrollment support through onsite, phone -based, and virtual consultations, as well as group workshops. She works directly with participants to help them understand plan features and make informed retirement planning decisions. Gina has 20 years of industry experience, including 17 years with Nationwide. She earned a bachelor’s degree from San Diego State University and a Master of Financial Services from The American College. She maintains FINRA Series 6, 63, and 65 registrations, holds a Life & Health license, and has earned both the CRC and Chartered Financial Consultant (ChFC) designations. Account Manager, Jenna Kozicki Jenna Kozicki serves as Account Manager for the plan, coordinating day -to-day administrative support from Nationwide’s home office and helping ensure plan operations remain aligned with contractual and plan document requirements. She also supports implementation of plan changes and enhancements through partnership with internal operational teams. Jenna has been with Nationwide for 4 years and is based in Peoria, Arizona. She earned a Bachelor of Science degree from Southern Illinois University Carbondale and maintains FINRA Series 6 and 63 licenses. The number of plans assigned to each service team member varies based on Plan needs. To ensure On Your Side service to each Plan, we proactively monitor the caseload of associates and adjust accordingly so they can provide the highest level of service required to meet each Plan’s unique needs. b. Information or data to be provided by the City. Nationwide provides two options for plans to securely submit contribution information. The City currently uses Secure File Transport. Please see below for additional details: 1. Secure File Transport (SFT) – Nationwide offers CSV file formats for contribution, census, enrollment data as well as deferral and demographic changes of participant data. Nationwide also supports a full suite of file transfer protocols (FTP) with secure file transport. We offer both push and pull of the files between our servers. This option works best for large plans with frequent changes to the contribution, loan payment and demographic data. SFT ensures the security of business-critical data to and from Nationwide with our external business partner with industry standard options. • FTPS (FTP over SSL) SFTP (FTP over SSH) – Unencrypted data over an encrypted transport. • PGP – Encrypted data. Once encrypted you can send the data over the Internet using FTP or HTTP. • Web Browser or HTTPS – Unencrypted data over secure connection. This option requires client to log onto secure web site and attach the file for transfer. 12 The City of San Luis Obispo 2. FastPay – Nationwide’s online payroll submission tool, available through the Plan Sponsor website, allows for efficient, flexible payroll submission through two different methods: • FastPay Import: FastPay Import allows Plans to use their own file configuration and upload a comma- delimited (CSV) file directly into Nationwide’s system. Once uploaded, the list of active participants is completely editable online reducing the chance of errors. The import process is ideal for mid -sized plans with up to 2,000 entries or those that have the frequent payroll detail data changes from one pay date to the next. • FastPay Create/Copy: FastPay Create/Copy allows Plans to set up a payroll file upon first use and then use it as an editable template to create the future payroll files. The processes to add, delete or change participants deferral amounts are done easily and directly in the sy stem. This is perfect for smaller plans or those with little to no data variations from pay date to pay date. To transfer participant contributions, a Nationwide-initiated ACH debit is our primary payment option for all of the payroll submission options. We also accept wire or ACH credit through your financial institution. New enrollments and deferral changes are reported by daily change letter or may be a scheduled change notification on a communication date set to your payroll calendar. For plans that would use Secure File Transport, Nationwide provides the option of a CSV change file arranged around your payroll calendar on a scheduled communication date. c. Information or data to be provided by the Recordkeeper. Plan Sponsor Reporting Capabilities To assist you in managing your Plan, we provide robust reporting through our website where you can monitor the Plan’s progress via the Plan Health Dashboard and generate self-service reports. Our two most requested reports are the Plan Health Dashboard and the Participant Census Data Report. Report Name Description Plan Health Dashboard The Plan Health Dashboard summarizes all Plan level information and retirement readiness statistics. Through the dashboard, employers have access to a differentiating experience that allows them to: • See Plan balances and how the Plan is performing, including enrollment, contribution, investment, Plan demographics, and retirement readiness plan data. • Drill down into additional Plan level details and compare to benchmarks and peer groups by selecting the appropriate tiles. • Summarize specific actions to take to improve Plan performance. • Generate and print ad hoc reports. • Generate and print quarterly Plan performance reports. Participant Census Data Report The Participant Census Data Report details basic information about Plan participants, including demographics and basic account information. The report offers customizable options to add or omit data by clicking the “customize table” link within the report. Quarterly Employer Statement This report is produced in conjunction with participant statements and provides a summary of participant activity that transpired during the reporting period. 13 The City of San Luis Obispo Self-Service Plan Sponsor Reporting In addition to the Participant Census Data Report, other self-service online reports available to employers are: • Contributions Report - This report details information relating to contributions submitted on behalf of Plan participants. • Enrollment and Contribution Changes for Payroll Report - This report provides enrollment and contribution change activity information on accountholders within a plan. • Enrollment Detail Information Report - This report provides enrollment activity information on accountholders within a plan. • File Upload Status Report - This report provides the File Upload Success and Error Information. • Participant Census Report - This report details basic information about Plan participants, including demographics and basic account information. • Participant Details Report - This customizable report provides detailed information at a participant level including demographic, account and census information. • Plan Asset Report - This report details asset holdings and total number of participants invested within each investment option. • Plan Distribution Report - This report provides data on distributions that have been taken out of the Plan by participants. • Plan Loan Report - This report provides Plan level loan activity and information about active and defaulted outstanding loans. • Plan Rollover/Transfer Report - This report provides data relating to transfers and rollover activity in and out of the Plan. Ad-Hoc Reporting In addition, to meet any unique reporting needs the Plan may have, we can generate Ad hoc reports for any data housed on our recordkeeping system. Ad-hoc reporting requests submitted through your Account Manager are completed within a mutually agreeable timeframe based on the complexity of the request. These can be provided on a recurring or one-time basis to align with your needs. There is no additional cost to the Plan Sponsor for these requests. Year-End and Audit Reporting Nationwide maintains up-to-date electronic tax tables at the state and federal level and Nationwide will generate 1099-Rs for all individuals who received a distribution while their account is at Nationwide. Participants can view and print their 1099R tax documents from their secure online account no later than January 31 of the year following any distribution. Paper copies of tax documents are mailed no later than January 31. We also complete required federal and state tax withholdings and submit aggregate files to the IRS and appropriate state agencies. d. Description of assumptions critical to development of the response which may impact cost or scope. We are assuming all current fixed assets will map into one of our fixed accounts. The City may choose one of the following options: • Map existing outside fixed assets into the City’s current fixed account (the Nationwide Fixed Account) with a crediting rate of 3.35% (guaranteed for the first contract year, quarterly reset thereafter) -OR- • Map the City’s existing Fixed Account assets and outside fixed assets into the Nationwide True Flex account. Under this arrangement we will cover the Fixed Account MVA by reducing the True Flex Crediting rate. The rate after covering the MVA will be 2.74% (guaranteed for the first contract year, quarterly reset thereafter) Our offer also assumes the use and mapping existing managed account assets into the Nationwide ProAccount managed account service. 14 The City of San Luis Obispo e. Any other information that would assist us in making this contract award decision. Nationwide applauds the City for the efforts it is undertaking to bring industry best practices and great value to your retirement program. We welcome the opportunity to partner with the City and your consultants from Shuster Financial Group to modernize and re-energize the plans, with a goal of assisting all employees to be on target for the retirement they deserve and require. 5. Pricing Request Form a. Please complete the pricing request form in its entirety and attach a narrative that clearly identifies the services included in the pricing, well as disclosure of all other services/transactions with additional ER or EE fees clearly identified. Services included in our pricing include: • Plan set-up / conversion • Eligibility notification • Enrollment support • Investment fund changes • Quarterly hard-copy participant statements mailed to homes • Participant distributions and 1099-R tax reporting • Participant locating services • Hardship approval and distribution • QDRO qualification and QDRO processing • Trustee / custodial services • Employee communication materials, including customized materials • Plan documents, regulatory amendments, and voluntary amendments when the Plan uses Nationwide’s prototype plan document • Required participant notice production and distribution • Participant and plan-level fee disclosure Streamlined Plan Administration Nationwide provides a straightforward, all-inclusive approach for the City to outsource all administrative services that makes administering Plans easier for your staff, and we work with our clients to take on all tasks that they want to outsource. Although governmental plans are not subject to ERISA Department of Labor and 3(16) regulation requirements, Nationwide will provide limited services modeled after 3(16) fiduciary services for select activities delegated to us by the Plan Sponsor. Those limited services include withdrawals, loans, QDROs, and hardships/unforeseeable emergency review and processing. These services are included in our offer. Nationwide offers directed trustee (non-discretionary) or custodial services through the Nationwide Trust Company, FSB (NTC). NTC’s duties are to establish and maintain trust or custodial accounts and take direction from the fiduciary or its authorized representative with respect to the administration and investment of the account following the Plan Document and federal law. NTC is not a plan fiduciary concerning the trustee services that it. A separate agreement would be required for the trustee or custodial services outlined above. We agree to perform all services for the Plans as a professional in defined contribution/deferred compensation administration and agree to hold ourselves out as possessing greater knowledge and skill than the average person concerning third - party administrator services. As a nondiscretionary provider, we are not a plan fiduciary but wil l adhere to the prudent person standard of care. Participant Level Fees Administration Services Cost of Services Loan Initiation Fee $50 Loan Maintenance Fee $50 a year while a loan is outstanding Loan Insufficient Funds Fee $25 at occurrence Loan Default Fee $50 annually until loan is paid in full Overnight Mailing of Loan Check $25 per occurrence Wire transfer/ETF No charge 15 The City of San Luis Obispo Nationwide ProAccount - Optional participant-level Managed Account Assets Under Management Annual Program Fee The first $99,999.99 0.50% The next $150,000 0.45% The next $150,000 0.40% The next $100,000 0.35% Assets of $500,000 and above 0.30% Self-Directed Brokerage Option (Charles Schwab) SDBO Initiation Fee $50 SDBO Maintenance Fee $50 annually b. Please provide pricing based on a bundled, open architecture platform and without an advisor fee. Please do not provide any suggested line-ups other than the options requested below for the stable value/fixed. If a fund in the menu generates institutional revenue to your company, there should be no change in the plan asset charge if the client makes a fund change in the future. 457(b)/401(a) Offers Nationwide proposes an open architecture revenue requirement of 0.17% on all plan assets. If the City elects to retain Nationwide as recordkeeper but terminate the current fixed contract and transfer those assets to a non- proprietary stable value or fixed account, Nationwide can make participants whole from any the Market Value Adjustment (MVA) that may apply on the fixed assets by increasing the quoted fee. Based on the current projections, the fee would increase by 0.02%, resulting in a total revenue requirement of 0.19%. Nationwide’s proprietary offer #1 assumes that the existing fixed assets remain in place in the current Fixed contract, and that all outside stable value/fixed assets are be mapped to the Nationwide Fixed Account. Under this option, the revenue requirement will be 0.03% on all plan assets, with a gross crediting rate of 3.35%. This offer assumes we receive all variable assets on day one, the MSQ PLUS assets after the 12-month put, and the Empower fixed assets over a 60-month put. This offer also requires the continued use of ProAccount as the managed account solution for both existing and future plan assets. Alternatively, Nationwide’s proprietary offer #2 assumes that both the existing Nationwide fixed assets and all outside stable value/fixed assets are mapped to the Nationwide True Flex Account, which featured a 12 month Put provision in place of the MVA. Under this option, the revenue requirement will remain 0.03% on all plan assets, with a gross crediting rate of 2.90%. Nationwide will make participants whole from the MVA of approximately $63,000 by reducing the crediting rate by 0.16%, resulting in a crediting rate of 2.74% before the revenue requirement is applied. This offer assumes we receive all variable assets on day one, the MSQ PLUS assets after the 12-month put, and the Empower fixed assets over a 60-month put. This option also requires the continued use of ProAccount as the managed account solution for both existing and future plan assets. 457(b) OBRA-PST Plan Offer The OBRA-PST plan offer assumes continued use of the Nationwide Fixed Account as the investment option, with a crediting rate of 2.46%. No additional revenue requirement or per head fee applies. RHS/HRA Plan Offer Our offer includes the option of taking over the current RHS plan with use of our standard Post Employment Health Plan (PEHP). An asset charge of 0.50% would apply on all variable investments, with Nationwide retaining any mutual fund service fee payments, plus a $30 annual administrative fee per account with a Nationwide Fixed Account crediting rate of 2.00%. The standard PEHP investment lineup includes 28 proprietary and non- proprietary funds representing a full range of asset classes and investment allocations. c. It is required that there is no determined contract/agreement period with the record keeper. All contracts/agreements must be open-ended with the ability of the City to terminate the contract/agreement with at least 90-days’ notice. Nationwide confirms that our offer to the City includes an evergreen contract that renews annually. Our standard contract termination provisions require a 120 written notice between either party. 16 The City of San Luis Obispo d. If there are customization fees, please specify. Nationwide’s offer includes the following customization opportunities at no additional cost: • Participant Statements: The Plan Sponsor has the flexibility to customize participant statements with the Plan's name and logo, personal rate of return, beneficiary designations, and custom messaging. We will work with the Plan quarterly to include specific messaging of interest to Plan participants. • Print Content: Informational flyers and brochures can be customized with the Plan's Retirement Specialist contact information and mailed confirmations will show the Plan name and the Plan logo/brand. • Website: Nationwide will provide a website specific to the Plan and that highlights the Plan name and investment options. Additional customization and personalization needs may vary by Plan and we will work with you to offer customized solutions specifically for your Plan. e. Fee terms. Please provide detail regarding any terms and conditions related to the proposed pricing . We are assuming all current fixed assets will map into one of our fixed accounts . The City may choose one of the following options: • Map existing outside fixed assets into the City’s current fixed account (the Nationwide Fixed Account) with a crediting rate of 3.35% (guaranteed for the first contract year, quarterly reset thereafter). -OR- • Map the City’s existing Fixed Account assets and outside fixed assets into the Nationwide True Flex account. Under this arrangement we will cover the Fixed Account MVA by reducing the True Flex Crediting rate. The rate after covering the MVA will be 2.74% (guaranteed for the first contract year, quarterly reset thereafter). Our offer also assumes the use and mapping existing managed account assets into the Nationwide ProAccount managed account service. i. How long will the quoted fees remain in effect after the initial contract date? Fees will remain guaranteed for the life of the contract. ii. How often does your firm typically adjust fees? What is the basis for the adjustment? If there are significant changes in plan demographics, it is not uncommon for Nationwide to revisit and renegotiate the cost proposal before the contract being up for renewal if a renegotiation would benefit the Plan and your participants. We can also revisit the contract upon request iii. What contract termination provisions do you typically require? The following termination language is included in the Nationwide Administrative Services Agreement. Termination Either the Plan Sponsor or Nationwide may terminate the Agreement for any reason upon providing 120 days written notice to the other party. a. In the event either party fails to perform any or all of its obligations as defined in the Agreement, the non - defaulting party shall give the defaulting party written notice, specifying the particulars of the default. If such default is not cured within sixty days from the date in which notice of default is given, the non- defaulting party may terminate the Agreement upon 60 days written notice to the defaulting party. b. Provision of such written notice of termination by Plan Sponsor to Nationwide does not relieve the Plan Sponsor of any termination requirements that may be associated with specific investment options. c. Plan Sponsor further acknowledges and agrees that the Plan is responsible for any investment product liquidation fees, if applicable, and that neither Nationwide nor any of its affiliates assumes liability for any such fees. 17 The City of San Luis Obispo d. Upon the effective date of termination of this Agreement the following shall occur: i. Nationwide will no longer accept contributions to the Plan except by agreement of the parties. ii. Nationwide will: 1. Provide Plan Sponsor, or such other entity as the Plan Sponsor may designate in writing, with a copy of all participant records in an electronic format and within a time frame as mutually agreed upon between Nationwide and Plan Sponsor. 2. Transfer any periodic distribution amounts and schedules, continuing loan repayments, or other ongoing participant transactional activity to the Plan Sponsor, or such other entity as the Plan Sponsor may designate in writing, in accordance with the time fr ame agreed to by the parties for the delivery of participant records. 3. Transfer all Plan assets under its control to the Plan Sponsor or to such other entity as the Plan Sponsor may designate in writing in accordance with the funding arrangement terms. Nationwide agrees to provide a final accounting of all Plan assets for which Nationwide provides recordkeeping. e. If the Plan is not funded within 180 days of the date this Agreement is signed by the parties or the Effective Date of the Agreement, if late, Nationwide reserves the right to terminate the Agreement by providing written notice of the termination to Plan Sponsor. iv. Are there fees associated with converting to another recordkeeper? No. v. Under what conditions would the quoted fees change (i.e. if there was a significant change to plan design, asset size, etc.)? If there are significant changes in Plan demographics, it is not uncommon for Nationwide to revisit and renegotiate the cost proposal before the contract being up for renewal if a renegotiation would benefit the Plan and your participants. We can also revisit the contract upon request vi. The pricing/fee and credited rates (products) are to be the same for both the 457(b) and 401(a) Plans. It is encouraged to provide a solution for the HRA/RHS and 457 PT-OBRA plans. If you are providing a proposal, the product fees and stability of principal option can be different from what is provided for the 457(b) & 401(a) Plans. Please include an affirmative statement as to whether you are providing a proposal for the HRA/RHS and PT-OBRA plans as part of your response. Confirmed. Nationwide’s offer includes service for the 457(b), 401(a), PEHP (HRA), and PT -OBRA plans. vii. For all Asset charges with your managed account solution, assume voluntary participant usage only. There can be no default or QDIA for managed accounts. Confirmed. viii. Current Credited Rates provided must be net of management fees and any record keeping revenue retained by you, and gross of your Asset Charge. Confirmed. ix. iv. A Fixed Product Data sheet is included with this RFP to be provided for any stable value/fixed product proposed. If it is not provided or not complete in our opinion, your proposal may not be considered. Confirmed. Please reference the Nationwide Fixed Account Fact Sheet and the Nationwide True Flex Fact Sheet included with our response. 18 The City of San Luis Obispo x. Note that Target Date conversions will not be accepted. Confirmed. f. Additional Fees and Services Please verify your firm can provide all the following services and whether they are covered by the quoted fees or if there are any additional fees per service. Recordkeeping and Administration • Eligibility Tracking • Enrollment Processing • Vesting Tracking • Hardship Processing • In-service Processing • RMD Processing and Communication • Termination distributions (lump sum) • Termination distributions (installment) • Mandatory de minimis distributions • Address maintenance for terminated employees • Beneficiary maintenance • Lost participant services/search • DRO qualification • DRO processing • 1099-Rs Compliance • Plan document restatement at transition* • Plan document restatement project outside of transition* • Required plan document amendments* • Plan Sponsor requested plan document amendments* • Summary Plan Description** • Limits monitoring • Required employee notifications Participant Support • Participant statements • Core communication materials • Targeted messaging • Education meetings (beyond required) • Participant advice (for non-managed accounts) Plan Sponsor Support • Plan sponsor meeting(s) • Annual plan review meetings Other • Trust / custody services • Fulfillment, postage and handling Confirmed we can provide all the listed services for no additional fee unless noted below. *If the Plan Sponsor adopts Nationwide’s Plan Document, we will review and update the document as required. There is no additional cost for this service. If the Plan Sponsor uses a customized Plan Document drafted by their counsel, Nationwide will be available for consultation at no additional charge. **A Summary Plan Description is not applicable for governmental plans, but we will create and post a Plan Highlights document for the Plan. 19 The City of San Luis Obispo 6. Certificate of insurance. a. Please provide a certificate of insurance meeting the requirements set forth in the sample Professional Services Agreement in Exhibit B. Please reference the Insurance Certificates Included with our response. i. The insurance carrier and its A.M. Best rating. Our Errors & Omissions (Professional Liability) policy is provided by Chubb Limited who has an A.M Best Financial Strength Ratings of A++ (Superior). Our General Liability and Workers Comp policies are provided by Arch Insurance Company who has an A.M Best Financial Strength Ratings (FSR) of A+ (Superior). ii. Scope of coverage and limits. Please see the table below for a summary of Nationwide’s insurance coverage: Policy Type Policy Limit Deductible Underwriter Errors & Omissions (Professional Liability) $10 M $15 M Chubb Directors & Officers $15 M $10 M Chubb General Liability $5 M $5 M Arch Fidelity $15 M $10 M Chubb Cyber Security $10 M $25 M National Casualty Company Workers’ Comp Statutory Limit $0 Arch Auto $5 M $5 M Arch Fiduciary Liability $10 M $15 M Chubb iii. Deductibles and self-insured retention. Please review the table above. iv. The purpose of this submittal is to generally assess the adequacy of the bidder’s insurance coverage during proposal evaluation; as discussed under paragraph 12 below, endorsements are not required until contract award. Acknowledged. 7. References from at least three public agencies, preferably California cities that are comparable to the City of San Luis Obispo, for whom you have provided similar services as specified in the RFP. Reference #1 Agency Name: City of Moreno Valley Contact Named: Natalie Potter, HR Manager Telephone & Email: 951-413-3043/No email provided Street Address: 14177 Frederick St City, State, Zip Code: Moreno Valley, CA 92553 Services Provided: Fully bundled retirement plan recordkeeping and administration 20 The City of San Luis Obispo Reference #2 Agency Name: City of Redlands, CA Contact Named: Jennifer Gutjahr, Human Resources Specialist Telephone & Email: 909-307-7458/jgutjarh@cityofredlands.org Street Address: 33 Cajon St. Suite 10 City, State, Zip Code: Redland, CA 92373 Services Provided: Fully bundled retirement plan recordkeeping and administration Reference #3 Agency Name: City of El Cajon, CA Contact Named: Vincent DiMaggio, Asst City Manager Telephone & Email: 619-441-1725/vdimaggio@elcajon.gov Street Address: 200 Civic Center Way El Cajon CA 92020 City, State, Zip Code: El Cajon, CA 92020 Services Provided: Fully bundled retirement plan recordkeeping and administration We are also providing a fourth reference, the County of San Luis Obispo, who will be supported by the same service team as the City: Reference #4 Agency Name: County of San Luis Obispo Contact Named: Kate Girardi, Executive Director Telephone & Email: 805-788-2313/kgirardi@co.clo.ca.us Street Address: 1000 Mill Street City, State, Zip Code: San Luis Obispo, CA 93408 Services Provided: Fully bundled retirement plan recordkeeping and administration 8. Statement and explanation of any instances in the last five years where your firm or sub consultant has been removed from a project or disqualified from proposing on a project. No instances. 9. Statement and explanation of any instances in the last five years where your firm was required to cancel a consolidation of plans/transfer of plans to your firm. No instances. 21 The City of San Luis Obispo Important Disclosures Our Relationships with the Mutual Funds Nationwide Retirement Solutions, Inc. and its affiliates (Nationwide) offer a variety of investment options to public sector retirement plans through variable annuity contracts, trust or custodial accounts. Nationwide may receive payments from mutual funds or their affiliates in connection with those investment options. Additionally, Nationwide may enter into arrangements to allocate all or a portion of these payments to pl an sponsors for plan expenses. For more detail about the payments Nationwide receives, please visit www.nrsforu.com Nationwide Fixed Account The objective of the Nationwide Fixed Account is to provide a low-risk, competitive option for participants. The Nationwide Fixed Account seeks to achieve a competitive return, consistent with, and providing for, preservation of capital, credit quality, liquidity to pay plan benefits, and reasonable tracking of interest rates. Stability and consistency while providing a competitive return are key attributes. Although the Nationwide Fixed Account currently does not have any explicit asset management charges, Nationwide Life Insuranc e Company’s (NLIC) compensation is derived from the difference between what NLIC earns on investments and what it credits to partic ipants. Costs and expenses (such as plan charges and any expense credits issued to the Plan, including NLIC’s compensation) are reflected in the crediting rate. The crediting rate is determined by the investment return earned on NLIC’s portfolio, reduced by expenses (including compensation to NLIC). Fixed Account MVA Standard If the Plan Sponsor terminates the Fixed Account contract and withdraws its assets in a lump sum, a Market Value Adjustment (MVA) may apply. The MVA is the amount that Nationwide Life Insurance Company (NLIC), an affiliate, determines would be the net cap ital loss, if any, resulting to NLIC if investments were liquidated to satisfy the lump sum withdrawal. The MVA would be calculated using NLIC's current procedures applicable to all contracts of this type and class at the time of withdrawal. If (the entity) withdraws its assets over a 60 – month period (5 years) instead of in a lump sum, the MVA would not apply. There are no fees associated with early withdrawal at the participant level. Nationwide True Flex The Nationwide True FlexSM is a group fixed annuity contract issued by Nationwide Life Insurance Company that provides an interest rate that is determined quarterly. The Nationwide True Flex Contract currently does not have any explicit asset management charges. Nationwide Life’s compensation and its cost and expenses are reflected in the contract’s net crediting rate, as opposed to the gross crediting rate. The difference between the two represents what Nationwide Life earns on investments and what it credits plan participants as i nterest. If the plan sponsor terminates the True Flex Contract and withdraws its assets in a lump sum a market value adjustment (MVA) will apply. The MVA is the amount that Nationwide Life determines would be the net capital loss, if any, resulting to Nationwide Life if investments were liquidated to satisfy the lump sum withdrawal. For more information, including the specific MVA applicable to your contract please see your group annuity contract. If the plan sponsor withdraws its assets over a 12-month period (1 year) instead of in a lump sum, the MVA will not apply. There are no fees associated with early withdrawal at the participant level. Participants may withdraw 20% per year unless the plan sponsor otherwise elects at the time of purchase of the contract. If t he plan sponsor does not elect to limit participant withdrawals, the net crediting rate will be lower. PRC/TSS/NSLLC Nationwide offers access to the Retirement Resource Group through our affiliate NSLLC and the products and services offered by NSLLC are separate and distinct from the third party plan administration services that are provided by Nationwide. Securities and advisory services offered through Nationwide Securities, LLC, member FINRA, SIPC and a Registered Investment Advisor, Columbus, OH. DBA Nationwide Advisory Services, LLC. In AR, CA, FL, IL, NY, TX and WY.  NSLLC is an affiliate of Nationwide. The products and services offered by NSLLC are separate and distinct from the third party plan administration services that are provided by Nationwide. Nationwide Fiduciary Disclosure Nationwide serves our clients as a nondiscretionary provider of bundled third-party administrative and record keeping services and does not exercise any discretionary control or authority over clients, the Plans, or Plan assets. We agree to perform all services for our clients as a professional in defined contribution/deferred compensation administration and agree to hold ourselves out as possessing greater knowledge and skill t han the average person with respect to client third-party administrator services. As a nondiscretionary provider, we are not a plan fiduciary, but will adhere to the prudent person standard of care. NIA/ProAccount Nationwide Investment Advisors, LLC (NIA) provides investment advice to plan participants enrolled in Nationwide ProAccount. NIA is an SEC- registered investment adviser and a Nationwide affiliate. NIA has retained Wilshire Advisors, LLC® (Wilshire) as an Independent Financial Expert for Nationwide ProAccount. Wilshire provides investment allocation portfolios based on participant ages and their personal tolerance for investment risk. NIA assesses participants an asset-based fee for the managed account services. When applicable, retirement products are offered by Nationwide Trust Company, FSB or Nationwide Life Insurance Company. Wilshire is a registered service mark of Wilshire Advisors, LLC, which is not an affiliate of Nationwide or NIA.