Questions when interviewing new Plan Council

[Guest jgroves]

We will be looking to hire new 401(k) plan counsel. We can come up with questions to ask on our own but were wondering if there was anything out there already. Basically, looking for around 10 "must ask" questions to prospectives. Thanks!!

[This message has been edited by Dave Baker (edited 05-26-2000).]

[Guest [Pat M]]

If you are hiring an employee, you may want to use some of the following from selecting an ERISA consultant.

What are you buying? Just consulting? Litigation? Some administration?

If you're sending out an RFP, then you want compare apples to apples between firms.

For example, get the list of names of your designated ERISA team. Request degrees & ERISA experience of each attorney. Ask for amount of past experience with special services, such as plan terminations, plan mergers, and due diligence. Have they handled SEC filings? Ask for at least five clients of the firm of similar nature that your team has serviced. Ask for phone number and reference contact name. In a Services Chart, be sure to list services at the Plan level and services at the Participant level. For example, at the plan level, under consulting, ask for a description of their internal process for determining "best practices." Ask if they publish a benefits newsletter for clients. Ask for copies. Can you submit unlimited legal questions to their Web site? What is the turnaround time on responses?

Will they provide expert testimony, and ask them to check Yes or No and indicate if cost will be an hourly rate or if included in an annual fee. Hourly rates pile up quickly on some special services such as PT correspondence, model QDRO design and administration. If they are providing any administration, what is their file process, correspondence library, etc.

Once you get back responses to your request for proposal, you may decide to use alternate sources for various components.

[This message has been edited by [Pat M] (edited 05-26-2000).]