TO: AC Transit Board of Directors
FROM: Michael A. Hursh, General Manager
SUBJECT: Contract Award for Actuarial Services
ACTION ITEM
RECOMMENDED ACTION(S):
Title
Consider approving the award of a five (5) year contract to Buck Global, LLC. for actuarial services.
Body
BUDGETARY/FISCAL IMPACT:
The total cost for actuarial consulting services for the five (5) year period of the contract is $537,535, which was deemed fair and reasonable during the procurement review process. Further, it is lower than the last five-year actuarial services contract by $94,000.
BACKGROUND/RATIONALE:
Board Policy 360 requires that the District provide for an independent actuarial evaluation of the pension plan every 2 years, an experience study every 3 to 4 years, as well as an actuarial audit once every 5 years. The District is also required to annually obtain actuarial studies of Workers Compensation, Sick Leave, General Liability and Automotive as well as Trust and Non-Trust Other Post-Employment Benefits (OPEB) plans.
The District's existing contract for actuarial services expires on July 15, 2019. Actuarial services for Workers Compensation, Sick Leave, General Liability and Automotive (Public Liability Property Damage), the OPEB Trust, and OPEB Non-Trust commence immediately as of July 15, 2019 to meet the requirements of the Fiscal Audit timeline.
The Request For Proposals (RFP 2019-1463) for a new actuarial contract was released on April 17, 2019 and closed on May 24, 2019. Despite sending the RFP out to 51 actuarial firms, the District received two proposals. The technical analysis was performed by the RFP evaluation committee with the price analysis/evaluation being completed independently by the Procurement Department using the following factors.
Technical: Weight
a. Understanding of the Project 20
b. Samples of Recent Actuarial Valuations 10
c. Past Performance/Relevant Experience 25
d. References 10
e. Cost 35
Total 100
Weighted Sco...
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