New Mexico Work and $ave Retirement Plan Marketplace RFI Questions
Posted January 10, 2022:
Q. Would you like respondents to put forth a comprehensive platform that offers all of these services including products, platforms, administrators, etc. for all plan types or would you like each respondent to offer up their specialty product (for example annuities, mutual funds, platform, OR administration) so that you may select from the best in class?
A. Respondents should provide information regarding both a comprehensive platform and identify specialty product as applicable.
Q. Are you requiring all providers and platforms offered to be able to host all the plan types listed above or will you select various providers to manage different plan types (for example 403b vs. IRA)?
A. The Board has not determined how providers will be selected and at this time there are no requirements set. The Board is seeking from providers input, information and suggestions regarding requirements and hosting structure.
Q. Are you looking for MULTIPLE providers with their own platforms & products or are you looking to offer a SINGLE provider/platform/administrator for the whole program (Single provider or a host of Multiple providers)?
A. The Board is open to suggestions regarding these questions. Providers are asked to identify preferred design elements, including recommendations for a single or multiple provider model.
Q. When do you anticipate this Marketplace program to take effect (we have seen two dates 2022 and 2024)?
A. The statutory deadline for launching the Marketplace is July 1, 2024. However, the Board wishes to test and launch the program as early as 2022.
Posted January 5, 2022:
Q. Are the SIMPLE auto enrollment and the IRA program expected to be a part of an initial rollout or delayed?
A. The Work and $ave Retirement Plan Marketplace will be the online platform for a firm seeking to offer one or more employer-sponsored retirement plans, such as a SIMPLE IRA plan. The Marketplace is expected to rollout prior to the Work and $ave IRA Program—the state-facilitated payroll-deduction Roth IRA program, which does not permit employer contributions.
Q. Is this program a substitute for a state mandate?
A. No. The Retirement Plan Marketplace is intended as a tool to help reduce the retirement savings gap among New Mexico’s private-sector workers by providing simple and affordable employer-sponsored retirement plan options for employers not currently offering a retirement plan.
Q. What tools will be developed for the marketplace website as to avoid duplication on our end?
A. The answer to this question is unknown to the Board at this time and illustrates one of the purposes of the RFI. In your response, your firm should identify tools you provide that need not be duplicated by the Board as it designs and implements the Marketplace. Your firm should identify tools you require or prefer to see developed by the Board. Please also provide suggestions to the Board related to the development of any Marketplace website tools.
Q. What is the size of your targetable market that has been identified for these services?
A. The Marketplace is meant to provide retirement savings options for New Mexico’s private-sector employers and workers. Research indicates there are 15,561 private-sector employers in New Mexico not currently offering an employer sponsored retirement plan, and approximately 430,000 private-sector workers in New Mexico without access to a retirement plan at work.