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HomeMy WebLinkAboutMINUTES - 10222013 - C.64RECOMMENDATION(S): APPROVE and AUTHORIZE the County Administrator, or designee, to execute a contract with Milliman, Inc. in an amount not to exceed $400,000 for actuarial services for the period October 1, 2013 through September 30, 2016, subject to approval as to form by County Counsel. FISCAL IMPACT: The costs of the contract will be recovered through the Benefits Administration Charges to all County Departments. BACKGROUND: The County issued an RFP and RFI for actuarial and consulting services in 2007 and awarded bids to Buck Consultants. The terms of those agreements have expired. It is County policy that requests for proposals/information are issued every three-to-five years. Due to significant services being required over the last few years and the County’s need for continuous service, the Buck contract was extended several times. In August, the County Administrator’s Office issued a request for proposals from actuarial consultants to advise the County on strategies for managing its post-employment liabilities, other than pensions (“OPEB”), and complying with the requirements of GASB 43, Financial Reporting for Postemployment Benefit Plans Other Than Pension Plans, and GASB 45, Accounting and Financial Reporting by Employers for Postemployment Benefits Other Than Pensions, and Government Code Section 7507 for the next three to five years. The County received eight responses to the issuance and a management panel interviewed the top four respondents. Based on those interviews and reference checks, the panel recommended that Milliman, Inc. be contracted to assist APPROVE OTHER RECOMMENDATION OF CNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE Action of Board On: 10/22/2013 APPROVED AS RECOMMENDED OTHER Clerks Notes: VOTE OF SUPERVISORS AYE:John Gioia, District I Supervisor Candace Andersen, District II Supervisor Mary N. Piepho, District III Supervisor Karen Mitchoff, District IV Supervisor Federal D. Glover, District V Supervisor Contact: Lisa Driscoll (925) 335-1023 I hereby certify that this is a true and correct copy of an action taken and entered on the minutes of the Board of Supervisors on the date shown. ATTESTED: October 22, 2013 David Twa, County Administrator and Clerk of the Board of Supervisors By: Chris Heck, Deputy cc: Christine Penkala, County Benefits Manager, Ted Cwiek, Human Resources Director C. 64 To:Board of Supervisors From:David Twa, County Administrator Date:October 22, 2013 Contra Costa County Subject:Contract with Milliman, Inc. for Actuarial and Consulting Services the County with meeting the actuarial and accounting requirements of GASB 43/45, Government Code 7507, and with actuarial advice on developing strategies for the ongoing management of its OPEB liabilities. The County’s Other Post Employment Benefit liability issue is complex. The liability grew over a period of almost fifty years. The Board of Supervisors has developed a sound strategy to address the obligation and the Board’s goals are being achieved. All OPEB reports and materials are available on the County’s internet site at: BACKGROUND: (CONT'D) http://ca-contracostacounty.civicplus.com/index.aspx?NID=756 CONSEQUENCE OF NEGATIVE ACTION: The County will not be able to meet its legal responsibilities regarding actuarial reporting of other post employment benefits.