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HomeMy WebLinkAboutR-89-1033J-89-1059 11/6/89 RESOLUTION N0. 89�-1033 A RESOLUTION# WITH ATTACHMENT, AUTHORIZING THE CITY MANAGER TO EXECUTE A PROFESSIONAL SERVICES AGREEMENT, IN SUBSTANTIALLY THE FORM ATTACHED HERETO, WITH THE FIRM OF A. FOSTER HIGGINS & CO., INC., FOR EXPERT ACTUARIAL ASSISTANCE IN PENSION MATTERS AT A COST NOT TO EXCEED $409000 WITH FUNDS THEREFOR ALLOCATED FROM SPECIAL PROGRAMS AND ACCOUNTS. WHEREASt the City of Miami is concerned about the fiscal stability of it municipal operation; and WHEREAS, State laws require annual actuarial valuation reports; and WHEREAS, the City of Miami must make contributions on an actuarial basis to the pension plans for its employees; and WHEREAS, the firm of A. Foster Higgins & Co., Inc. has expertise in the area of pension and is extremely knowledgeable about the City's pension program; NOW, THEREFORE, BE IT RESOLVED BY THE COMMISSION OF THE CITY OF MIAMI, FLORIDA: Section 1. The recitals and findings contained in the Preamble to this Resolution are hereby adopted by reference thereto and incorporated herein as if fully set forth in this Section. Section 2. The City Manager is hereby authorized to execiite a professional services agreement;) in substantially the form attached hereto, with the firm of A. Foster Higgins Co., Inc. for expert actuarial assistance in pension matters at a cost not to exceed $40,0000 with funds therefor allocated from Special. f_ a� Programs and Accounts, w / The herein authorization is further subject to 1.481: aomP ca t a _ requirements that may be am - posed by the City Attorney, including but not col Iftited to those prescribed by applicable City ' Charter Code provisions. Nov ATTACHMENTS - Ow A114 7777-77711077 ;f �.���'a �ut r�r—ac�3(y¢ 4ay ��'�¢. 6c�' ''� fix" a N-- `�}aka' �'+u Yy����r �e' �y� rtwt e. '�`w", � YYSia C $4�`f�� M1i: fir: ..'Y���'.Liv�v. �'u<. +e+iiP a �%;'r4�.S'1'.mu'�y�.,..M1�trY..c�-�T.^ii.5f^9"" 3'�`!�� a _— _ 'GR• it iY ..' .�_ x PROFESSIONAL SERVICES AGREEMENT This Agreement entered into this day of , 1989, by and between the City of Miami, a municipal corporation of the State of Florida, hereinafter referred to as "CITY" and A. Foster Higgins & Co., Inc. hereinafter referred to as "CONSULTANT"• RECITAL: WHEREAS, THE CITY OF MIAMI, FLORIDA, requires professional services, in the nature of actuarial consulting; and WHEREAS, the CONSULTANT has expressed a desire to perform the required actuarial services for the CITY; and WHEREAS, the City Commission authorized the City Manager to — negotiate and execute a professional service agreement by Resolution No. NOW, THEREFORE, in consideration of the promises and the mutual covenants and obligations herein contained, and subject to the terms and conditions hereinafter stated, the parties hereto understand and agree as follows: I. — TERM The term of this Agreement shall be from October 1, 1989, {' through September 30, 1990..i w ` SCOPE OF SERVICE The CONSULTANT may provide the following professional ` services as part of this Agreement, as needed: (1) Assist the City Administration in the preparation o ' policies related to the City's pension plans. (2) Present and explain pension policies to the Ctty 4 ts # _ r Commission. x..i- (3) Prepare special actuarial reports for both C.- y pen�'��� ` plans •4 — ! Analyze and explain to the City As ainistratU� sR� k Vvi iZ ��!! Qq dyq pagf4 _ L� (5) Prepare funding alternatives for the City's pension plans. (6) Assist the City Administration in complying with the requirements of Florida's Public Employees' Retirement Benefits Act. (7) Keep City Administration informed on Federal and State laws affecting pension plans. (8) Provide expert testimony in litigations related to pension matters, including but not limited to methodology and soundness of pension systems. (9) Other pension related activities and additional work as required by the City Manager. COMPENSATION i (A) The CITY shall pay the CONSULTANT, as compensation for the services required pursuant to Paragraph 2 hereof, a fee not to exceed Forty Thousand Dollars ($40,000), to be calculated - and billed upon a time and expense basis based on the ' CONSULTANT'S standard hourly rate schedules and expense -� charges which, at this date, are approximately as follows: (1) Professional fees - hourly rates October 1, 1989 - September 30, 1990 Chief actuary $ 2 5 .002 ,.._.,::. Senior consultants/actuaries 140.00 - 200.00 Consultants/actuaries 106.00 - 13900 Junior Consultants/actuaries 71.00 - 10500 Actuarial associates/senior Admiinistrative:staff 34.00--:`7000 ti Computer systems manager 85--00 13509 Statisticians/Clerical. 22.00-`'33:00 (2) 'Computer expense charges -`150% of costs is charged Olrecttiy F� 'ii to. theclient account; of which the 50% margin covers -# unassigned overhead costs associated with a1up ter processing; efforts relating to generalized sub-rcuttae �# N S d •.xT s II 1 ��r'tli�st���i`,�YT i3::CY i ... _.l.s, er. •S. ..< ... .. _ .. .. ,. .- ._ ... ., . u. ..�v�'iiyl...`.� i i development and analysis, training, terminal maintenance, record keeping, auditing of invoice charges, management, = etc. (3) Additional expense costs not included in professional fees (other than computer charges) - 100% of the cost for the items listed below are charged directly to the client account without additional margin. (a) copying/printing (b) postage (c) telephone (d) delivery (e) travel (B) Such fee shall be paid upon submission by the CONSULTANT of -- monthly billings; such monthly billings shall be paid within fifteen (15) days of submission by the CONSULTANT. The CITY shall have the right to review and audit the time records - } and related records of the CONSULTANT pertaining to any such =} billings. (C) Notwithstanding the above rates or the time and cost involved, the CONSULTANT shall be reimbursed for attending meetings in Miami at a cost not to exceed Five Hundred & Twenty Five Dollars ($525.00) for any one meeting. All R expenses relating to travel shall be approved in advance by the CITY. *§" (D) The CONSULTANT and the CITY hereby agree that the maximum amount payable under this contract shall not exceed Forty, w' Thousand Dollars ($40v000)q and that any Party may �immediately and at any time terminate this Agreement when:,:. the costa here nabove reaches Forty -Eight Thousand Dollars.:: ' (E) City shall have the right to review and audit the time ' - _' records and related records of CONSULTANT pertaining to any r payment by the CITY, t z. 4. --- IV. COMPLIANCE WITH FEDERAL, STATE, AND LOCAL LAWS: Both parties shall comply with all applicable lawst ordinances, and codes of Federal, State, and Local Government. V. t GENERAL CONDITION: A. All notices or other communications which shall or may be z_ ,s given pursuant to this Agreement shall be in writing and - shall be delivered by personal service, or by registered — mail addressed to the other party at the address indicated herein or as the same may be changed from time to time. Such notice shall be deemed given on the day on which personally served; or, if by mail, on the fifth day after being posted or the date of actual receipt, whichever is earlier. CITY OF MIAMI CONSULTANT.__ City of Miami A. Foster Higgins & Co., Inca 3500 Pan American Drive 125 Broad Street Miami, Florida 33133 New York, New York 10004 B. Title and Paragraph headings are for convenient reference s and are not part of this Agreement. C. In the event of conflict between terms of this Agreement and , any terms or conditions contained in any attached documents,>_ the terms in this Agreement shall rule. D. No waiver or breach of any provision of this Agreement shall' constitute a waiver of any subsequent breach of the same or any other provision hereof, and no waiver shall be effective l unless made in writing.^ ff; E. Should any provision, paragraphs, sentences, words ...or phrases contained in this Agreement be determined by'a o�urt k1rFt of competent p jurisdiction to be invalid, illegal- s= otherwise unenforceable under the laws of the StatecaF.�- Florida or the Cityof Miami such rovie.ions - F p paragraph$ q y. YY2p'"1 a'v p'O 4��t If — ,i L3 sentences, words or phrases shall be deemed modified to the - extent necessary in order to conform with such laws, or if - not modifiable to conform with such laws, then same shall be deemed severable, and in either event, the remaining terms = and provisions of this Agreement shall remain unmodified and - - in full force and effect.- -- = VI. OWNERSHIP OF DOCUMENTS: }_ All documents developed by CONSULTANT under this Agreement 3 - shall be delivered to CITY by said CONSULTANT upon f t= — completion of the services required pursuant to paragraph II hereof and shall become the property of CITY, without '- f restriction or limitation on its use. CONSULTANT agrees t that all documents maintained and generated pursuant to this contractual relationship between CITY and CONSULTANT shall l be subject to all provisions of the Public Records Law, Chapter 119, Florida Statutes. - _ It is further understood by and between the parties that any — information, writings, maps, contract documents, reports or = any other matter whatsoever which is given by CITY to CONSULTANT pursuant to this Agreement shall at all times remain the property of CITY and shall not be used by CONSULTANT for any other purposes whatsoever without the s written consent of CITY. 3r VII. NONDELEGABILITY That the obligations undertaken by CONSULTANT pursuant to z }}- this Agreement shall not be delegated or assigned to'any r -jjother person of firm unless CITY shall first consent.n : -04ill I writing to the performance or assignment of such serv:WW- r any part thereof by another person of firm' -' T �5 a 3y ;,_ /. yy MI. AUDIT RIGHTS CITY reserves the right to audit the records of CONSULTANT at any time during the performance of this Agreement and for a period of one year after final payment is made under this - Agreement. IX. AWARD OF AGREEMENT CONSULTANT warrants that he/she has not employed or retained any person employed by the CITY to solicit or secure this Agreement and that he/she has not offered to pay, paid, or agreed to pay any person employed by the CITY any fee, commission percentage, brokerage fee, or gift of any kind contingent upon or resulting from the award of this Agreement. X. CONSTRUCTION OF AGREEMENT: This Agreement shall be construed and enforced according to the laws of the State of Florida. XI. SUCCESSORS AND ASSIGN: This Agreement shall be binding upon the parties herein, their heirs, executors, legal representatives, successors, and assigns. ' i —� XII. t INDEMNIFICATION: F CONSULTANT shall indemnify and save CITY harmless from and against any and all claims liabilities, losses, and causes ' of action which may arise out of CONSULTANT's activities" :° udder this Agreement, includ.tng all other acts or to act on: the pact of CONSULTANT, including any prsQn� acting for or on big/her behalf, ,and, from and;agai.ne ordera, Judgakento, or decrees which may be entered 440, f 40.11.., atainat all- : cosh, attorne ' 4 fees, i iabi.. i+�a incurred in the defense of .4ny such, oil tad eeten there-0 1 xr '�.:3#�_ #.Y'r. .•, v�. rt�iva .: _,v.,,. i r;i .. _. ,. , . �. .. . s , .. ., _ .. ,«nr.��. kig XIII. - CONFLICT OF INTEREST! A. CONSULTANT covenants that no person under its employ who presently exercises any functions or responsibilities in connection with this Agreement has any personal financial - interest, direct or indirect with CITY. CONSULTANT further covenants that, in the performance of this Agreement, no person having such conflicting interest shall be employed. Any such interests on the part of CONSULTANT or its employees, must be disclosed in writing to CITY. B. CONSULTANT is aware of the conflict of interest laws of the City of Miami (City of Miami Code Chapter 2, Article V), — Dade County Florida (Dade County Code Section 2-11.1) and the State of Florida, and agrees that it shall fully comply _ in all respects with the terms of said laws. XIV. INDEPENDENT CONTRACTOR: r. CONSULTANT and its employees and agents shall be deemed to be independent contractors, and not agents or employees of CITY, and shall not attain any rights or benefits under the Civil Service or Pension Ordinances of CITY, or any rights- generally afforded classified or unclassified employees, further he/she shall not be deemed entitled to the Florida Workers' -Compensation benefits as an employee of CITY. XV. TERMINATION OF CONTRACT: CITY retains the right to terminate this Agreement at any time prior to the completion of the - services require'= pursuant to paragraph II hereof without ,;penalty to CITY,.,.. In that- event, notice of= termination of, thin Agreement in writing to CONSULTANTCox-.,-,; g .who shall be paid thps�e t r service$ : ,performed prior. to the date of h�e�her .receipt r c#' iF. notoe of termination, ,. in- no .cave, ,..however, gill, CTTT F .Yl CONSULTANT an amount �i�n exval of the {tgtal sum- :this Agreement.:.. ,e.i +� s f4iz R. _ It is hereby understood by and between CITY and CONSULTANT that any payment made in accordance with this Section to CONSULTANT shall be made only if said CONSULTANT is not its default. If said CONSULTANT is in default then CITY shall in no way be obligated and shall not pay to CONSULTANT any sum whatsoever. XVI. NONDISCRIMINATION: CONSULTANT agrees that it shall not discriminate as to race, sex, color, creed, or national origin or handicap in ?- connection with his/her performance under this Agreement. XVII. MINORITY PROCUREMENT COMPLIANCE CONSULTANT acknowledges that he/she has been furnished a copy of Ordinance No. 10062, the Minority Procurement Ordinance of the City of Miami, and agrees to comply with all applicable substantive and procedural provisions — therein, including any amendments thereto. — XVIII. CONTINGENCY CLAUSE: Funding for this Agreement is contingent on the availability of funds and continued authorization for program activities and is subject to amendment or termination due to lack of ;. -k funds, or authorization, reduction of funds, and/or change in regulations. — XIX. - DEFAULT PROVISION: - ;. In the event the CONSULTANT shall fail to comply with each _ and every term and condition of this Agreement or fails tQ 4. r perform any of the terms and conditions contained herein,k. ,. then CITY, at its sole option, upon written notice tQ r:. - CONSULTANT may cancel and terminate this Agreement, ,and alb' payxenta_ , advances, or other compensation paid to COWLTANT by CITY while CONSULTANT was in default of the pr>wles � herein contained. shall be Forthwith returned =t4 CITY • t _ x�� - ,p - - 1 XX. ENTIRE AGREEMENT: This instrument and its attachments constitute the sole and only Agreement of the parties hereto relating to said grant and correctly sets forth the rights, duties, and obligations of each to the other as of its date. Any prior agreements, promises; negotiations; or representations not expressly set forth in the Agreement are of no force of effect. XX I . AMENDMENTS: No amendments to this Agreement shall be binding on either party unless in writing and signed by both parties. IN WITNESS WHEREOF, the parties hereto have caused this instrument to be executed by the respective officials thereunto duly authorized, this the day and year first above written. ATTEST: CITY OF MIAMI, a municipal _ corporation of the State of Florida MATTY HIRAI, CITY CLERK By: CESAR H. ODIO, pz CITY MANAGER ATTEST: CONSULTANT: A. FOSTER_ HIGGINS & CO., INC. �- } By; CORPORATE SECRETARY APPROVED BY: t 1 _ f A. VICKY LEIVA t, ; ASSISTANT CITY ATTORNEY F 't E APPROVED AS TO FORM Ry' AND CORRECTNESS: C, r JORGE L FERNANOEZ ji CITY ATTORNEY x#� art r <� A { �9- z, .- �. __� - ��i�'iz�'���iSrdi' j: ems. .5 mid'�_�i.:Y'%q•=h(=u"M-Nv.t..MES ahyq:..Z41i1R"`P T�",.'i{.'gSrv'F - — — CACITY OF MIAMI. FLORIDA _ INTER -OFFICE MEMORANDUM Honorable Mayor and Members To : of The City Commission °A FILE NOV N : - • SUBJECT: Resolution Authorizing City Manager to Negotiate Professional Cesar H. Odio REFERENCES : Services Agreement FROM: City Manager With A. Foster Higgins ENCLOSURES : & Co., Inc. _ RECOMMENDATION: _ it is respectfully recommended that the City Commission adopt the — attached resolution authorizing the City Manager to execute a professional services agreement with A. Foster Higgins & Co.; _ Inc., for expert actuarial assistance in pension matters at a cost not to exceed $409000. BACKGROUND: The Finance Department recommends executing an agreement- with A. Foster.Higgins & Co., Inc., for professional services, related to pension issues; such as the review of' the Annual Pension- _ Valuation- Reports presented to the City by the Independent Retirement Board, the preparation of cost information for labor negotiations, and other related pension matters.. It is. necessary, at this. time to execute an agreement .to cover these services for fiscal- year 1989-90. Funds are appropriated And available under Special Programs -and Accounts for this purpose: L" Law ,Department .. w 4 s, r rGh 4, Ir . r' J - Ing i>.