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HomeMy WebLinkAboutR-00-0777J-00-759 9/12/00 00— 777 RESOLUTION NO. A .RESOLUTION OF THE MIAMI CITY COMMISSION ACCEPTING THE RECOMMENDATION OF THE CITY MANAGER APPROVING THE FINDINGS OF THE EVALUATION COMMITTEE THAT THE MOST QUALIFIED FIRMS TO PROVIDE ACTUARIAL SERVICES FOR THE OFFICE OF LABOR RELATIONS ARE, IN RANK ORDER: 1) WILLIAM M. MERCER, INC. .("WMM"), AND (2) ACTUARIAL SCIENCES ASSOCIATES, INC. ("ASA"); AUTHORIZING THE CITY MANAGER TO NEGOTIATE.AND EXECUTE AN AGREEMENT,.IN A FORM ACCEPTABLE TO THE CITY ATTORNEY, WITH WMM, THE FIRST -RANKED FIRM, FOR A PERIOD OF TWO YEARS, WITH THE OPTION TO EXTEND FOR TWO ADDITIONAL ONE YEAR PERIODS, AT AN ANNUAL COST NOT TO EXCEED $45,000.00; FURTHER AUTHORIZING THE CITY MANAGER TO NEGOTIATE AND EXECUTE AN AGREEMENT WITH ASA, IN THE EVENT A FAIR, COMPETITIVE AND REASONABLE AGREEMENT CANNOT BE NEGOTIATED AND EXECUTED WITH WMM; ALLOCATING FUNDS THEREFOR FROM THE PENSION ADMINISTRATION TRUST FUND,, ACCOUNT CODE NO. 681001.440101.6.270. ..WHEREAS, the Office of Labor Relations requires the engagement of expert actuarial consulting services, including the review and analysis of the Firefighters' and Police Officers' ("FIPO") and General Employees' and Sanitation Employees' ("GESE") Retirement Trusts annual actuarial valuation reports, preparation of the State -required annual valuation report for the Public Officials Retirement Fund, expert testimony in litigation related to -pension matters and advice on union pension proposals, including funding alternatives; and CITY COMMISSION MEETING OF SEP 1 4 2000 Resolutico No. Pa. X 7 7 WHEREAS, Letters of Interest were mailed to ten (10) qualified actuarial firms to seek proposals for the provision of the necessary actuarial services; and WHEREAS, on August 9, 2000, the Evaluation Committee evaluated four responsive and responsible proposals, and selected, in rank order, the following two firms as most qualified to provide the required professional services: (1) William M. Mercer, Inc. ("WMM"), and (2) Actuarial Sciences Associates, Inc. ("ASA"); and WHEREAS, the City Manager has approved the findings of the Evaluation Committee; and WHEREAS, it is now in order for the City Commission to accept the City Manager's recommendation approving the Evaluation Committee's findings and authorize the City Manager to negotiate and execute an agreement with WMM, the top-ranked firm, and in the event that negotiations with WMM fail, to authorize the City Manager to negotiate and execute an agreement with ASA, the second -ranked firm, until a fair, competitive and reasonable agreement is executed; and WHEREAS, funding, in an amount not to exceed $45,000.00, is available for said services from the Pension Administration Trust Fund, Account Code No. 681001.440101.6.270; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Page 2 of 4 Section 1. The recitals and findings contained in the Preamble to this Resolution are hereby adopted by reference and incorporated as if fully set forth in this Section. Section 2. The recommendation of the City Manager approving the findings of the Evaluation Committee that the most qualified firms to provide actuarial services for the Office of Labor Relations, in rank order, are: 1) William M. Mercer, Inc. ("WMM"), and (2) Actuarial Sciences Associates, Inc. ("ASA"), is hereby.accepted. Section 3. The City Manager is herby authorized" to negotiate and execute an Agreement, in a form acceptable to the City Attorney, with WMM, the first -ranked firm, for a period of two years,with the option to extend for two additional one year periods, at an annual cost not to exceed $45,000, with funds therefor hereby allocated from the Pension Administration Trust Fund, Account Code No. 681001.440101.6.270. Section 4. The City Manager is hereby further authorized to negotiate and execute an agreement with ASA, the second -ranked firm, in the event that a fair, competitive and reasonable agreement cannot be negotiated and executed with WMM. The herein authorization is further subject to compliance with all requirements that may be imposed by the City Attorney, including but not limited to those prescribed by applicable City Charter and Code provisions. Page 3 of 4 7 • 0 Section 5. This Resolution shall become effective immediately upon its adoption and signature of the Mayor./ PASSED AND ADOPTED this 14th day of September , 2000. JOE CAROLLO, MAYOR In accordance with Miami Code Sec. 2-36, since the Mayor did not indicate approval of this legislation by signing it in ti becomes effective with the elapse regarding same, without the Mayo ATTEST: RRECTNESS:t/ If the Mayor does not sign this Resolution, it shall become effective at the end of ten calendar days from the date it was passed and adopted. If the Mayor vetoes this Resolution, it shall become effective immediately upon override of the veto by the City Commission. Page 4 of 4 00— 777 CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM 35 The Honorable Mayor and AUGI2 9 TO: DATE Members of the City Commission : FILE SUBJECT: Resolution — Professional Service Agreement - William M. Mercer, Inc. FROM: C lmen REFERENCES City Manager ENCLOSURES: RECOMMENDATION The City Administration recommends the City Commission adopt the attached Resolution authorizing the City Manager or his designee to negotiate and execute a Professional Service Agreement with William M. Mercer, Inc. to provide expert actuarial services for a two-year period beginning October 1, 2000, authorizing the option to extend the agreement for two additional one-year periods and allocating an amount not to exceed $45,000 annually from the Pension Administration Trust Fund for said services. BACKGROUND The City requires expert actuarial consulting services, including the review and analysis of FIPO and GESE annual actuarial valuation reports, preparation of the State -required annual actuarial valuation report for the Public Officials Retirement Fund, expert testimony in litigation related to pension matters and advice on union pension proposals, including funding alternatives. On October 1, 2000, the current Professional Service Agreement for actuarial services with William M. Mercer, Inc., expires. In August 2000, the City requested ten actuarial companies to submit a proposal for providing expert actuarial services to the City. On August 15, 2000, an Evaluation Committee met and reviewed four proposals that were received and deemed responsive and responsible. The proposals were evaluated on each company's ability to perform, price, and experience. The Evaluation Committee ranked the firm, William M. Mercer, Inc., a non-local/non-minority vendor, located in Washington, D.C., as the highest ranked firm. William M. Mercer, Inc., is extremely knowledgeable of the City's retirement programs and their history, and has demonstrated the ability to assist the City in developing consensus with all interested parties in effecting changes that address employees' needs while observing the City's budgetary constraints. If negotiations with William M. Mercer, Inc. do not succeed, the Evaluation Committee will proceed with the second ranked firm, Actuarial Sciences Associates, Inc. ie►!� CAGIR W/rsw vu 777 TO: Carlos A. Gimenez City Manager FROM: 41sue Weller . Labor Relations Officer CITY OF MIAMI, FLORIDA 0 INTER -OFFICE MEMORANDUM DATE: August 17, 2000 FILE: SUBJECT: Approval for Funds for a Professional Service Agreement With William M. Mercer REFERENCES: ENCLOSURES: This memorandum serves to confirm that the Department of Management and Budget verifies that funds will be allocated from the Pension Administration Trust Fund for actuarial services. A professional service agreement will be negotiated with William M. Mercer, for actuarial services dealing with pension matters. The Professional Service Agreement contract will be for two (2) years, with the option to extend for two (2) additional one-year periods, at a cost of $45,000 per year. The Department of Management and Budget verifies that funds will be allocated from the Pension Administration Trust Fund for actuarial services. The amount allocated will be $45,000, per year using the Account No. 681001.440101.6.270, beginning October 1, 2000 — October 1, 2001. Approve U'��-u- � - 7 - Linda Haskins, Budget Director Date �8 ®udget DO. �-t2-p0 Time M �� 777 TO: Carlos A. Gimenez City Manager FRO/R. Sue Weller Labor Relations Officer CITY OF MIAMI, FLORIDA INTER -OFFICE MEMORANDUM DATE : August 15, 2000 FILE: SUBJECT:. Approval to Negotiate a Professional Service Agreement With William M. Mercer REFERENCES: ENCLOSURES: This is a request for approval to negotiate and execute a Professional Service Agreement with William M. Mercer, Inc., an actuarial company for actuarial services. On August 15, 2000, an Evaluation Committee met and reviewed four (4) proposals that were received and deemed responsive and responsible. The Evaluation Committee consisted of Robert Nachlinger, Assistant City Manager, Linda Haskins, Director of Budget, and myself. The proposals were evaluated on each company's ability to perform, price and experience. The top two (2) rankings of the proposals were as follows: 1. William M. Mercer, Inc. 2. Actuarial Sciences Associates, Inc. (ASA) It is the recommendation of the Evaluation Committee that the City Manager or his designee negotiate with the highest ranked firm, William M. Mercer, Inc. and proceed with the second ranked firm, Actuarial Sciences Associates, Inc., if negotiations with the first ranked firm does not succeed. If you have any questions, please call me. RSW:MF Approved: 414os. Gime ez, 'ty Manager o 717 2 I 7= 4 t PROPOSERS RATER #1 EFI Letter TABULATION ACTUARIAL RATER #2 of Interest No. 99-00-276 BY THE EVALUATION COMMITTEE CONSULTING SERVICES TOTAL RATER #3 SCORES for RANKING .' 1150 18th Street, N.W. 35 45 40 120 4 Suite 225 Washington, D.C. 20036 Gabriel, Roeder, Smith & Company 301 East Las Olas Blvd. 40 45 42 127 3 Suite 200 Ft. Lauderdale, Fla. 33301 ASA 5200 Town Center Circle 48 48 47 143 #2 Suite 201 Boca Raton, Fla. 33486 William M. Mercer, Inc.' 1255 23rd Street, NW 50 50 50 150 #1 Suite 500 Washington, DC 20037 APPROVED BY: 4~ Judy S. Carter Chief Procurement Officer I Date: 611/ Evaluation Committee members: Rater #1: R. Sue Weller, Labor Relations Officer Rater #2: Linda Haskins, Director Dept. of Management and Budget Rater #3: Robert Nachlinger, Assistant,City Manager Approved by:, -2, 54 . Director/ Designee Date: 0c) —�--� [AN PROFESSIONAL SERVICES AGREEMENT AWARD SHEET ITEM: DEPARTMENT: RECOMMENDATION: AwardSheet Expert Actuarial Services Labor Relations It is recommended that the City Manager execute a Professional Services Agreement, in a form acceptable to the City Attorney, with William M. Mercer, Inc. to provide expert actuarial services, for a two-year period beginning October 1, 2000, authorizing the option to extend the agreement for two additional one- year periods, in an amount not to exceed $45,000 annually; with funds therefor hereby allocated from the Pension Administration Trust Fund for said services. Direct r of Purcha ng S�f3/UD Date '60—M 101 1(1