County of San Mateo, Defined Contribution Plan Audit Services

The County sponsors a voluntary defined contribution (DC) retirement program alongside its mandatory defined benefit (DB) retirement plan. The DB assets total almost $1 billion as of 12/31/2025 and consists of five plans:

• §457 Voluntary Plan, $946 million
• §401a Mandatory Plan, $22 million
• §457 OBRA Plan, $17 million
• §401a OBRA Plan (closed), $8 million
• §401a Money Purchase Plan, $5 million
• TOTAL, $998 million

The number of participants in each plan are as follows. Note that some participants are eligible and are participating in multiple plans.

• §457 Voluntary Plan, 9,762
• §401a Mandatory Plan, 1,245
• §457 OBRA Plan, 3,098
• §401a OBRA Plan (closed), 2,219
• §401a Money Purchase Plan, 49
• TOTAL, 16,373

The intended scope of the DC plan audits includes the following:

• Financial Reporting & Statement Audit: Verification of the plan's financial accuracy, including the statement of net assets available for benefits and changes in net assets.
• Participant Data & Eligibility Testing: Review of participant data such as enrollment, birth dates, and hire dates for eligibility compliance.
• Contribution and Payroll Review: Verification that employee and employer contributions are accurately calculated, correctly allocated, and deposited in a timely manner (payroll remittance testing).
• Internal Controls Review: Evaluate internal controls over contributions, distributions, payroll remittances, recordkeeper oversight, etc.
• Distribution and Loan Testing: Review of participant loans and distributions for proper authorization and compliance with plan documents.
• Participant Investment Review: Analysis of investment valuation and allocation.
• Administrative Expense Check: Verification of the legitimacy of expenses paid by the plan.
• Compliance with Plan Document & Regulations: Checking that the plan is operating according to its written document and regulatory requirements.
• Documentation Review: Reviewing signed plan documents, amendments, committee meeting minutes, and summary plan descriptions.

Background

The County DC plan previously has not been independently audited. The Deferred Compensation Advisory Committee (DCAC, the plan's governing body) made the decision to obtain a voluntarily audit. The initial audit will be the baseline audit. The DCAC intends annual audits.

Project Details

• Reference ID: 2026-RFP-00350
• Department: Human Resources Department
• Department Head: Michelle Kuka (Director)

Important Dates

• Questions Due: 2026-06-17T00:00:00.000Z

Evaluation Criteria

• Project Approach (30 pts) —
  • Timeline
  • Technology
  • Communication
  • Acceptance of County's exemplar agreement

  Ratings for this criterion will be based primarily but not exclusively on responses in Section 4.3.1 to 4.3.6.

• Firm Qualifications (20 pts) —
  • Established accounting firm
  • Public sector accounting and auditing experience
  • Understanding of §457 and §401a plans

  Ratings for this criterion will be based primarily but not exclusively on responses in Section 4.3.7 and 4.3.9.

• Team Qualifications (20 pts) —
  • Experience of leaders of engagement team
  • Experience of engagement team
  • Reference Checks
    • Check client satisfaction
    • Check the diligence and clarity of communications
    • Check ability to abide by timelines and deadlines

  Ratings for this criterion will be based primarily but not exclusively on responses in Section 4.3.8 to 4.3.9.

• Price (30 pts) —

  Evaluation will be based on a "Best Value" methodology. While absolute price is a factor, the DCAC reserves the right to award to the proposer who provides the best overall solution, balancing technical, service, and cost considerations to deliver the highest value.

  Ratings for this criterion will be based primarily but not exclusively on responses in Section 4.3.8 to 4.3.10.

• Preferential Points (10 pts) —

  Where price is not the sole evaluation factor for a solicitation (e.g., in the case of a "best-value" solicitation), five percent (5%) of the total evaluation points awardable will be added to the proposal score for each Local Business or Local Non-Profit score for evaluation purposes. In the event of a tie between a Local Business or Local Non-Profit and another bidder, the Local Business or Non-Profit shall be awarded the Contract, assuming agreement on other contract terms.

  An additional three percent (3%) preference shall be given to a Local Business or Local Non-profit (for a total of eight percent (8%) of total points awardable) if the proposer is a Small Business or Small Non-Profit, or an additional 5 percent preference (for a total of ten percent (10%) of total points awardable) if the proposer is a Micro Business or Micro Non-Profit.

Submission Requirements

• Minimum Qualifications (required) —

  1. Mandatory Licensing and Regulatory Compliance 

  • Certified Public Accountant (CPA): The auditor must be licensed or certified by a state regulatory authority.
  • Independence: The auditing firm must meet the independence standards of the AICPA and the DOL. The auditor cannot have any financial interests in the plan, the plan sponsor, or act as the plan’s recordkeeper.
  • Peer Review: The firm must submit a copy of its latest peer review report, which should be clean (no significant deficiencies).

   

  2. Specialized Experience

  • Minimum Portfolio Size: Experience auditing at least 10–25 defined contribution plans (457(b), 401(a), etc.) similar in size and complexity to the sponsor's plan.
  • Specific Experience: Demonstrated experience in auditing plans with similar asset types, participant counts, and automated recordkeeping systems.
  • Proposer has been providing similar services for the past five (5) years.

   

  3. Professional Education and Training

  • The engagement partner and key staff must demonstrate recent, relevant specialized training (continuing professional education - CPE).
  • Membership in the AICPA Employee Benefit Plan Audit Quality Center (EBPAQC)  or equivalent.

   

  4. Staffing and Service Capabilities

  • The audit team (specifically the manager and partner) must have at least 3-5 years of specialized experience in audits.
  • The firm must have robust policies in place to protect sensitive participant data. 

   

  5. Standing

  • Regulatory Record: The firm must disclose any DOL findings, peer review deficiencies, or legal issues against their EBP practice. 
• Statement of Minimum Qualifications (required) —

  If any of the Minimum Qualifications are not met, explain any mitigating circumstances or exceptions that justify why this proposal should be considered further in this process.

• Is your firm registered with System for Award Management (SAM)? (Visit SAM.gov.) (required)
• If registered with SAM.gov (U.S. government's System for Award Management), what is the registered Business Name and Unique Entity ID (UEI) Number? (required) —
  • UEI number can be obtained by registering your business through SAM.gov.
• Procurement Preference for Local Businesses and Local Non-Profits
• Is the Proposer a "Local Business"? —

  As Defined by Chapter 2.89.020 of the San Mateo County Ordinance Code, a “Local Business” means any for-profit business which has its principal place of business, or is headquartered, in San Mateo County. If this designation applies to the proposer, a self-attestation form must be completed and provided with this response. 

  Please download the below documents, complete, and upload. If this designation is not applicable, please leave blank. 

• Is the Proposer a Local "Small" or "Micro" Business? —

  As Defined by Chapter 2.89.020 of the San Mateo County Ordinance Code:

  “Small Business” means any business which holds a Small Business Certification awarded by the California Office of Small Business and Disabled Veteran Business Enterprise Services (OSDS).

  “Micro Business” means any Small Business certified by the OSDS which is automatically designated by the OSDS as a Micro Business due to gross annual receipts falling below the OSDS-designated dollar amount.

  If the above designations apply, please provide the OSDS provided Certification ID. 

  If this designation is not applicable, please leave blank. 

• Is the Proposer a Local "Small" or "Micro" Non-Profit? —

  As Defined by Chapter 2.89.020 of the San Mateo County Ordinance Code:

  “Small Non-Profit" means a Local Non-Profit with an annual revenue of $1,000,000 to $2,500,000 according to its most recently filed IRS Form 990.

  “Micro Non-Profit" means a Local Non-Profit with an annual revenue of less than $1,000,000, according to its most recently filed IRS Form 990.

  If the above designations apply, please provide your latest filed IRS form 990. A filing from the last two calendar years is acceptable. 

  If this designation is not applicable, please leave blank. 

• Technical Proposal
• Introduction and Executive Summary (required) —

  Submit a letter of introduction and executive summary of the proposal.  The letter must contain:

  • Name, title and contact information (email, phone, and address) for representative of proposer that is responsible for communication related to this RFP.
  • Name, title, contact information, and signature of person authorized to obligate firm to perform the commitment contained in the proposal.

  Submission of the letter will constitute a representation by proposer that it is willing and able to perform the commitments contained in the proposal and has not violated the terms of this RFP.

• Project Approach (required) —

  This section should correlate to the Scope of Work.

  • Proposer should give a short summary describing how it will perform the relevant work.
  • Include a report produced for another public agency with a similar scope of work.
  • Describe any unique considerations when performing a first-time audit for a defined contribution plan.
• Scope of Work tasks/milestones (required) —

  Describe your proposed approach to developing and gaining stakeholder concurrence on tasks/milestones at the beginning of projects.

• Proposed schedule (required) —

  Attach proposed schedule reference ability to complete the project within the County's required time frame. The DCAC would like to review and approve of the initial audit in February 2027. Subsequent reviews would also targeted for the DCAC's February meetings.

• Innovations (required) —

  Refence any notable innovations or improvements that you expect to provide (with respect to, for example, efficiency, technology, sustainability) 

• Performance Measures (required) —

  Describe a plan for establishing and achieving performance measures.

• Firm Qualifications (required) —

  Attach information regarding background and qualifications, including the following:

  • A brief description of the proposer.
  • A description of not more than three (3) projects similar in size and scope conducted by the proposer, including the client, reference and telephone numbers, primary staff members involved, budget, schedule, and project summary.  Descriptions should be limited to one (1) page for each project.
  • If subcontractors are anticipated, identify them (if known) and provide information on how they will be used.
• Team Qualifications (required) —

  Provide a chart identifying:

  5. 2. • Project team and reporting structure
        • Lead project manager
        • Role each person will play in the project

  Provide a description of the experience and qualifications of the project team members, including short resumes.

  Written assurance that the key individuals listed and identified will be performing the work and will not be substituted or reassigned without the County’s prior approval.

• References (required) —

  Provide Three references from existing clients, two references from former clients. Provide contact information for all clients. for each of the following, including the name, address, email address and telephone number of recent clients (preferably other public agencies):

  • Three references from existing clients
  • Two references from former clients
• Fee Proposal (required) —

  Please download the below documents, complete, and upload.

  The primary fee proposal should assume that audits will be performed in each of the five years of the contract. To provide the DCAC with flexibility with regard to cost and workload management, include a second fee proposal for a scenario that assumes audits are performed in the first, third and fifth year of the five-year contract.

  The County reserves the right to accept other than the lowest priced offer and to reject any proposals that are not responsive to this request.

• Agreement term (years) (required) —

  Update below if needed.

• Is there an extension to this agreement? (required) —

  Is there an extension to this agreement?

• Extension (required) —

  Modify the extension information below, if needed

• Will there be a Pre-Proposal Meeting and/or a Site Visit? (required)
• Include the information that will be covered in the site visit. (required)
• Require vendors to provide References? (required)
• References (required) —

  How many references are required by the vendor? (Number)

• Use Electronic Line Item Pricing? (required)
• Allow vendors to submit Confidential Information? (required) —

  In rare circumstances where there is an expectation that proposers will need to submit trade secrets or other confidential information in order to respond to an RFP. 

• Sample Agreement (required)