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HomeMy WebLinkAbout2009 10 07 Regular 600 Gallagher Benefit Services, Inc.Submit proposal to: SUBMITTAL COVER SHEET Purchasing Department CITY OF WINTER SPRINGS 1 126 East State Road 434 Winter Springs, Florida 32708 407 327 -5959 Proposal Due Date Time: September 16, 2009 3:00 p.m. REQUEST FOR PROPOSAL (RFP) #0211091J D PENSION PLAN ACTUARIAL SERVICES I hereby certify that the information contained herein is true. I agree and understand that any misstatement or misrepresentation or falsification of facts shall be cause for disqualification of the submittal, immediate cancellation of any contract with the City that might arise from the representations contained herein, and forfeiture of rights for further consideration for work in the City of Winter Springs. VENDOR NAME: Gallagher Benefit Services, Inc. MAILING ADDRESS: 3600 American Blvd. W. Suite 500 City: Bloomington State: MIN Name/Title: Doug Anderson, ASA, EA, MAAA, Director of Actuarial Services Authorized Signature /Date: R /C /e4 Email Address: Doug_Anderson @ajg.com Phone 952) "39F1 'RL4R Fax (800) 743 -5313 Zip: 55431 This Form Must Be Completed and Returned With Your Submittal. G Gallagher Benefit Services, Inc September 16, 2009 CONFIDENTIAL Purchasing Coordinator City of Winter Springs, Florida 1126 East State Road 434 Winter Springs, Florida 32708 Re: RFP #021/09/JD Pension Plan Actuarial Services Dear Sir or Madam: A Subsidiary of Artlmr J. Gallagher Co. Gallagher Benefit Services, Inc. (GBS) is pleased to present the City of Winter Springs, FL (City) our proposal to provide actuarial consulting and valuation services for the City's Defined Benefit Plan. We possess the professional credentials and experience to successfully meet the City's needs. GBS is highly respected in the marketplace and is backed by the strength of our parent company, Arthur J. Gallagher Et Co. GBS Actuarial Services is located in Minneapolis, MN with a team of six credentialed actuaries and two actuarial students. We have extensive experience in the public sector including experience with entities in Florida, Arizona, Georgia, Hawaii, Michigan, Minnesota, North Dakota, Tennessee, Texas, and Guam. Our proposal includes all required information ordered as specified in the RFP. Our profile is described in sections titled GBS Overview, Actuarial Services Overview, and GBS Clients /References. Our qualifications are summarized in the GBS Service Team section. Please find all required forms beginning on page 16 of our proposal. GBS greatly appreciates the opportunity to propose our services. We look forward to applying our approach and expertise to the City of Winter Springs' Defined Benefit Plan. If you have any questions, please do not hesitate to contact me. You can call me at 952 -356- 3848 or e -mail me at doug_anderson @ajg.com. Sincerely, Douglas A. Anderson, E.A., A.S.A., M.A.A.A. Director of Actuarial Services Enclosures 3600 American Blvd. West Suite 500 Bloomington, MN 55431 Main 952.356.3840 Toll Free 800.754.9867 www. gallagherbenefits .com /minneaoolis Gallaghe Benefit Se e tykes Inc. thinking ahead 3600 Minneapolis Branch American Blvd. Wes Bloo mington, t �'"^'w•gallaghe b.356.3840 800.7 459867 nefits. coin /minneapo! is Gallagher Benefit Services, Inc. t h i n k i n g a h e a d City of Winter Springs, FL 1 1 1 1 1 G Gallagher Benefit Services, Inc. (GBS) Overview Actuarial Services Overview GBS Clients /References GBS Service Team Proposal Forms 1 2 6 10 13 16 5 GALLAGHER BENEFIT SERVICES OVERVIEW WHO WE ARE Et WHAT WE DO 2 G Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d Gallagher Benefit Services, Inc. (GBS) was founded in 1961 as a unit of Arthur J. Gallagher Et Co. From the beginning, our commitment has been to Thinking Ahead about cost effective ways to help clients attract, retain, and reward the best performers in their field. GBS is highly respected in the marketplace. In fact, Business Insurance magazine ranks us among the top five employee benefits consulting firms in its prestigious 2008 Readers Choice Awards. We are backed by the strength of our parent organization, Arthur J. Gallagher Et Co., which was founded in 1927. With operations in 13 countries and business relationships through a network of correspondent brokers and broker consultants in more than 100 countries, Arthur J. Gallagher Et Co. has traded on the NYSE under the symbol AJG since 1984. We are listed among Forbes' Platinum 400 as one of the best big businesses in America. GBS provides a total solution approach focused on cost management, offering local /national /international resources for: Actuarial Et retirement planning Employee benefits consulting Award winning health cost management consulting Executive benefits Compensation consulting Et surveys Training Et development (Stanton University) Property Et casualty services Our Client Commitment Managing our client's risks is our highest commitment We try to anticipate our client's needs in advance We seek to understand the client's business, not just our own We always recommend that which is in the client's best interest, even if it diminishes our revenues We lead our clients to more effective risk management techniques We seek long -term relationships, not quick profit Getting the order is only the beginning of our commitment, not the end We never promise what we cannot produce Honesty and integrity are paramount if we make a mistake, we admit it, and we make it right Every client, large or small, has full access to all of our expertise and capability 3 G Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d Our Mission &t Values To build the best benefit service practice with brokers and consultants who understand the value of building relationships, trust, and inspiring confidence to our clients. To provide superior, cost effective benefit products and services that meet the ever changing needs of our current and prospective clients, while continuing to strive for the highest professional excellence in the delivery of those products and services. To measurably help our clients manage and grow their businesses through our expertise and experience in benefits services. We will accomplish our mission with the kind of leadership that will ensure the growth of our company culture. We will honor the moral and ethical standards that are inherent to building our clients' trust and confidence to create and maintain a GBS team that is the very best at what we do. The Gallagher Way The Gallagher Way is the rock foundation of our company and culture. It is comprised of 25 shared values that guide how we conduct our business. 1. We are a Sales and Marketing Company dedicated to providing excellence in Risk Management Services to our clients. 2. We support one another. We believe in one another. We acknowledge and respect the ability of one another. 3. We push for professional excellence. 4. We can all improve and learn from one another. 5. There are no second -class citizens everyone is important and everyone's job is important. 6. Were an open society. 7. Empathy for the other person is not a weakness. 8. Suspicion breeds more suspicion. To trust and be trusted is vital. 9. Leaders need followers. How leaders treat followers has a direct impact on the effectiveness of the leader. 10. Interpersonal business relationships should be built. 11. We all need one another. We are all cogs in a wheel. 12. No department or person is an island. 13. Professional courtesy is expected. 14. Never ask someone to do something you wouldn't do yourself. 15. I consider myself support for our Sales and Marketing. We can't make things happen without each other. We are a team. Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d G 16. Loyalty and respect are earned not dictated. 17. Fear is a turn -off. 18. People skills are very important at Arthur J. Gallagher Et Co. 19. Were a very competitive and aggressive Company. 20. We run to problems not away from them. 21. We adhere to the highest standards of moral and ethical behavior. 22. People work harder and are more effective when they're turned on not turned off. 23. We are a warm, close Company. This is a strength not a weakness. 24. We must continue building a professional Company together as a team. 25. Shared values can be altered with circumstances but carefully and with tact and consideration for one another's needs. Our Value Proposition It is our goal to help clients make the best decisions when it comes to managing their benefits, compensation and insurance needs. This includes helping our clients: Achieve cost savings when possible Attract and retain employees Minimize the risks associated with running a successful business Increase productivity and explore new ideas Markets Served We are connected to the greater GBS network with over 1300 employees who specialize in the employee benefits market in 70+ offices throughout the nation. GBS has an estimated 11,000 clients ranging from small to mid to large accounts. We have specific niche expertise including our: Public entity 6t scholastic group Higher education practice group Healthcare practice group Religious 6t nonprofit practice group Hospitality services group Professionals GBS professionals are some of the best and brightest in the industry. Our local Minneapolis branch is pleased to say that our consultants average over 20 years of experience and account managers average seven years. We promote a culture based on continued professional growth and learning, ensuring that our professionals have the right tools and resources to be well informed and up -to -date when it comes to industry trends and leading -edge solutions. 4 GALLAGHER BENEFIT SERVICES OVERVIEW WHO WE ARE Et WHAT WE DO Actuarial &t Retirement Consulting Defined benefit and 401 K assessments Accounting and compliance reporting Employee education and communication tools Plan administration outsourcing Plan liability audits Retirement health benefit liability analysis ESOP repurchase obligation studies Employee Benefits Employee benefits consulting, including international expertise Executive benefits Insurance marketing and placement Interactive web -based technology and tools Employee communication strategies and tools Health cost management programs Employer compliance and education Compensation &t Survey Consulting Annually published surveys Custom surveys Compensation planning and strategy Executive and board of directors compensation HR consulting Training &t Development (Stanton University) Benefits and HR compliance seminars and webcasts Leadership and management workshops Team building and organization development Other professional development workshops Compliance consulting Property &t Casualty Insurance Risk evaluation and program development Workers' compensation, liability and property insurance Personal insurance Annual reviews and analysis 5 G Gallagher Benefit Services, Inc. chinking ahead 1 ACTUARIAL SERVICES OVERVIEW G Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d GBS Actuarial Services is located in our Minneapolis office. GBS Actuarial Services provides funding and financial accounting valuations, administration, compliance, employee communications, plan design, and consulting services to clients throughout the country. We have over 60 clients and serve more than 70 defined benefit and postretirement medical plans. Our clients include public sector, publicly owned, and privately owned entities. GBS' actuary Et retirement consultants provide services tailored to fit your organization's specific needs. Whether you want expertly prepared actuarial and compliance reports, assistance with product placement for defined benefit, defined contribution and non qualified plans, or help with outsourcing your plan administration, our team can deliver the right solution for your situation. OUR SERVICES Because of our broad array of services and clients and our background working in both the private and public sector, we bring a well balanced perspective to retirement consulting projects. GBS Actuarial Services has significant public sector experience offering a variety of services including: Experience with public sector plans across the United States the Actuarial Services group has worked with public sector plans across the country including plans in Florida, Arizona, Georgia, Hawaii, Michigan, Minnesota, North Dakota, Tennessee, Texas, and Guam. Actuarial audit experience We have completed approximately 15 independent actuarial reviews of the work of other actuaries. We have seen and critiqued the work of most public sector actuarial service providers operating in the U.S. This has exposed us to many of the best practices currently in place. We have also seen some cases of mistakes, poor judgment, or poor communication. GASB No. 43 Et GASB No. 45 experience In addition to traditional defined benefit plan valuation services, we provide postretirement medical valuation services. We have completed projects in Florida, Minnesota, North Dakota, Tennessee, and Texas. Retirement philosophy transition consulting We have helped cities reevaluate their benefit philosophy. This includes transitioning from a Defined Benefit (DB) to a Defined Contribution (DC) plan and vice versa. We have helped assess both the benefits and the costs of each type of transition. 6 7 G Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d Valuation and Administration Services GBS Actuarial Services produces an annual actuarial valuation report that will provide a determination of the employer contribution amount and calculation of all amounts required for disclosure by the Governmental Accounting Standards Board (GASB). The report will show a reconciliation of the current and prior contribution amounts including an analysis of actuarial gains and losses. Participant data will include tables showing a distribution of participants by age, service, and compensation and tables reconciling the participant census and the compensation of participating employees. The report will also contain a reconciliation of the value of assets, an analysis of the investment return rate, and a valuation of the present value of accumulated plan benefits displayed according to the different benefit groups or participants and their vested status. GBS Actuarial Services will match the previous actuarial valuation for the plan to ensure that we understand the plan and are prepared for the initial valuation. As part of our valuation work, we monitor compliance with all rules and regulations applicable for governmental plans. Our reports meet all actuarial standards. A sample report is available upon your request. Individual Benefit Certifications GBS Actuarial Services offers day -to -day administration including benefit calculations and distribution packets for terminated, retired, or disabled participants. These distribution packets provide all communication materials (tax notices, election forms, etc.) in accordance to each individual's requirements. A sample package is available upon request. We will customize the distribution packets to meet your specifications. Communication Services GBS Actuarial Services will provide individual benefit statements for all active plan participants on an annual basis. The statements will be completed concurrently with the actuarial valuation. In addition to the individual benefit statements, GBS consultants can prepare custom materials to help educate participants about their benefits as well as conduct participant meetings. We will prepare a listing of the amounts on the statements for use by management, too. Sample Benefit Statement CLIENT ABC COMBINED BENEFIT STATEMENT J.ntery 1, 2008 Harm. Ion. Bate Re late Ruled AS Date Nor.' P.e3Rema. ERI.aIM 541443 MInsee Anatol Conant Mtru. Dana. 51.473 Projected Banatat Mae A AS bale 53.177 erolec.11.4. N age el 6441e Estimated DC Men terms. [Want.. 5 r�€0 4_1994111 LIMED] 5ai09t1524a1e 5164.577 5169.577 514.7.577 Paeedai pea 581.342 5671.60( 5133,741 Ole 6S 3931.47 5%W V/ 6799,315 R4. Ratios [4119242} Repeconet ewes let yt 311 Rump DC Plan5003111 40 br 26 DBPW aenefa 314. 344 344, 50512Smcailly 245 245 246 T.124 let 1156 135.[ Participant Information TA. Riot 395en5 5ens76 1611071555 Annual e. Percentag 1112471M Stlary 1211073531 •611k1.1.rt0elm.e 171104707 Employee Defame! Pate DnPord 5enefit (DB) Plan Deft ed Contribution (DCI Plan F ti IPA 1000 51(5,56e 514345n 7330 1n. apmfera 8255 Yew a.....•w3PUm43..a•rdamen..1 sea maw. ea2ml.4 mortMatbe'.75. 8 G Gallagher Benefit Services, Inc. 111 i 11. k i n g a h c .v d C I I €NT ABC COMBINED BENEFIT STATEMENT Benefit Definitions and Assumptions Refined &meet IRS) ►W. Ma menW.yDB plan derma!Re5nemet Peale• hdtermlrcdty the ran nr yw Benefit Credal, D I tsar dr5g.d193 you b I.003a mat lama. 031 re. eBement Gedlt equal to7.75 thnes 11123 y2ur lake., id Ile ytel, Mt n od est van $n. Yn a pat.,/ you data. kin Pr A.M. when 165 run 1 your ale al yea oe stn%. b o f ermere Mule. .f55Dace)orIlpar retire altar amirentaert5 M or at Resnemam Da.. 11.9.11417141657119 monthly lla11t1 ..we retcJa4.d 5.5Na4 yw*M.ryw1lo,rrmaeat 1 per, year and that am continue to awn tell Dcnefk Cmdilsunta retirement. oeflned CCnmibltgan (0114 Plus DC pen Ierefln Monk* em.Pne dermas rd In awpilata .14ea.1W1045 min frtx Bed amuel ma.kmm MOD. aa•tkl. 1320441AM1924[14ee1B1 or 0240.44e 4ef446 Wt .404 Theempl0ye& 10 BOY( MWl1ll( enfWMN. YOU MEI 00.5 3.411. N WM. and be 1Tp10.[dtll 177 ta5 ey/ d lneyea• to rer.l• 5ranplgvr males. Me animated DC pan arrthre balances werer alnaat. am.. that year salary v011.the.at 1' pa year and that you oom9m m x!a 0. Snore palm l d slimy Itrcpgm oel..4..I este;.,nix neavem ,11 Yw.ecaaidbelare at rmlrement mil dep441 .n 4141 rates of retain e.nx9anfr arm.,_ Ter 114.211lre 90MPlea. etc ammo. be/maw are 11m..m any.. mum Of retain elan. C., aM 5 Replacement Ratios A replateeteetta07rla 5 e r e e t roe 96409 felkesnt. J4•14 0 By Ihle rd[5!Mown beime 1etPenrlN. Thk a e be tomato mesas a ralramenl plan) erne* nemy r 144 a 577 .0r e. want d 91*atrarla5 math can t .mgt a peen well wee In aam move.. 4ralr 4Wrd 41 Thor. Aeed waa•aa mad lea crone anal reeve wee,. mem eorrraa, 550615aeety1 ,350 rreep4ttnr..we medlar bra them. 3 n on keys. Dermary. A repl..nmt dano d 45 to w mexveln a pm[rtermtint •1MSd 955retedle Wparellrmm[. The Steel kooky rteletement,eOO met. elknete6eklaadby that 1Wyrwe0e(6 are 54.4 to tataele w ale We Yllrwsea;3.4~06aad4y4 .annual 5alt+t SetaellywtaMN tad en. Info... mead, Sts went. 171•e1• 5e5.545•n0 r.tenleeeaacm a ...Cs regime rereat.s. Ilan! plan rapluemmt rv .11 ron..3. 3 al Wanes alale AS M•wtN71140p1lw,S la 11da rag 0:,, t res n, and al. ima •d.4n era 4e 1% 0,09.a1 (4 o*0441 y table. Additional Information GBS Actuarial Services will perform additional services as needed, such as responding to auditor requests for information in connection with the retirement plan. Examples of other services include preparing presentations and assumption and method reviews. Additional services would be quoted on a case -by -case basis. QUALITY CONTROL METHODOLOGY Throughout the engagement, GBS Actuarial Services adheres to specific actuarial standards to ensure the quality of services provided. GBS actuaries are required to ensure that all work performed by them or under their direction satisfies all Actuarial Standards of Practice (ASOPs) and Actuarial Compliance Guidelines (ACGs) as issued by the Actuarial Standards Board (ASB). GBS actuaries take a good faith approach in applying ASOPs, exercising judgment and common sense, and observe the ASOPs that are most relevant to each engagement. The standards most relevant to this engagement are the following: ASOP No. 23 Data Quality ASOP No. 27 Selection of Economic Assumptions for Measuring Pension Obligations ASOP No. 35 Selection of Demographic and Other Non economic Assumptions for Measuring Pension Obligations ASOP No. 41 Actuarial Communications 9 G Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d The above ASOPs describe recommended general practices and procedures that would ensure product quality control. A more specific listing of quality control steps relevant for this engagement include, but are not limited to, the following review procedures: Census data is updated and reconciled by an Actuarial Analyst. Each data field is checked for unusual outliers. Data fields are cross checked to identify conflicting data. Census data updates, reconciliation, and checking procedures are reviewed by an Actuarial Manager. Plan provisions are summarized by an Analyst /Manager and reviewed by a Lead Actuarial Consultant. An Authority representative is requested to approve the provision summary. Liability valuation programming is updated by an Actuarial Analyst and reviewed by an Actuarial Manager. Individual sample life calculations are completed and reviewed by both an Actuarial Analyst and an Actuarial Manager. A list of liability results by individual is checked by an Actuarial Analyst or an Actuarial Manager for reasonableness. Programming results are completed by an Actuarial Analyst and reviewed by an Actuarial Manager. A reconciliation of assets is performed by an Actuarial Analyst and reviewed by an Actuarial Manager. An actuarial gain /loss analysis is developed by an Actuarial Analyst /Manager and reviewed by a Lead Actuarial Consultant. All aspects of the valuation are reviewed by a Lead Actuarial Consultant. Valuation reports and other large projects are subject to a Professional Standards Review (PSR) by a Lead Actuary /Enrolled Actuary (EA) not otherwise involved. In addition to these project specific standards, our credentialed actuaries meet ongoing continuing education requirements to maintain their EA status. GBS CLIENTS REFERENCES G Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d Below is a sample of cities who have engaged GBS Actuarial Services within the last few years to provide ongoing defined benefit pension actuarial valuations or other related consulting services. We encourage you to contact any of these clients to discuss our services: City of Sanford, FL Scope of Work: GBS Actuarial Services determines the postretirement healthcare liability and annual required contribution under GASB 45 for active and retired participants based on current plan design, provides a GASB 45 actuarial valuation with required GASB No. 45 financial statement disclosure information, and reviews assumptions through experience studies. Effective Date of Client Relationship: December 2007 Contact: Jim Poulalion Director, Finance and Administrative Services 300 N Park Ave Sanford, FL 32772 (407) 330 -5610 City of Minot, North Dakota Scope of Work: GBS' services include annual pension and postretirement medical plan actuarial valuation reports for City and Police Funds, presentations to the pension committees and city council as needed, and completion of cost studies. Effective Date of Client Relationship: Spring 1994 Contact: Ms. Sue Greenheck Comptroller 515 2 Ave SW Minot, ND 58701 (701) 857-4773 10 G Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d City of Jamestown, North Dakota Scope of Work: Actuarial Services prepares an annual pension actuarial valuation report and completes cost studies as requested. We also provided assistance regarding the City's consideration of joining the North Dakota Public Employees' Retirement System (NDPERS) as well. Effective Date of Client Relationship: Early 1980's Contact: Mr. Jeff Fuchs City Administrator 102 3' Ave SE Jamestown, ND 58401 (701) 252-5900 City of Garland, Texas* Scope of Work: GBS' services included a review of the City's unfunded actuarial accrued liability (UAAL) and contribution rate related to their employee's participation in the Texas Municipal Retirement System. The project also involved a review of the assumptions and methods used to determine the UAAL and contribution rate. Additionally, we forecasted expected future growth in the UAAL. At present we are providing guidance to the City as they reconsider their future benefit philosophy. Effective Date of Client Relationship: 2005 Contact: Mr. George Kauffman Managing Director for Financial Services 200 North Fifth Garland, TX 75040 (972) 205-2469 *We also provided these services to Abilene, Amarillo, Arlington, Cedar Hill, Collegeville, Denton, DeSoto, Duncanville, and Grand Prairie. 11 G Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d City of Fort Worth, Texas Score of Work: GBS' services included a plan liability audit and an assumption and method review. The assumption and method review provided estimates of the impact of some alternative assumptions on the plan's accrued liability and contribution rate. We have also assisted the City with an analysis of several major plan changes. Effective Date of Client Relationship: April 2006 Contact: Ms. Karen Montgomery Assistant City Manager 1000 Throckmorton Street Fort Worth, TX 76102 (817) 392-6222 12 YOUR GBS SERVICE TEAM G Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d The world of retirement benefits, from innovative plan design to the complexities of regulation, demands that you have an experienced partner who is continually Thinking Ahead. Your client team will be your committed resource that brings the entire strength of the Gallagher team to work for your retirement program. Each member of the service team has extensive experience providing retirement plan actuarial consulting services to both public and private sector clients. They are experienced in working with all types of plan designs including defined benefit and defined contribution plans. The team consists of an Actuarial Lead Consultant and an Actuarial Manager. Other members of GBS' Actuarial Services department will be involved in the engagement in a support role, including a Professional Standards Review (PSR) by a senior member of the Actuarial Services department. Douglas A. Anderson, ASA, EA, MAAA Actuarial Lead Consultant Doug Anderson is the Director of Actuarial Services at Gallagher Benefit Services, Inc. Doug has a bachelor's degree in Mathematics and Statistics from the University of Minnesota. He is an Associate of the Society of Actuaries (ASA), an Enrolled Actuary (EA), and a Member of the American Academy of Actuaries (MAAA). Doug manages and supervises the Actuarial Services department and provides consulting advice and assistance to clients on all types of retirement plans. Doug's experience has included analysis of annual funding and accounting requirements as well as analyzing costs and cash flows related to changes in plan provisions and actuarial assumptions. Doug has worked with plan sponsors to change current retirement plans as well as transitioning from one type of benefit philosophy to another. His experience includes presentations to boards of directors, pension committees, and city councils. He has presented on topics including defined benefit trends, GASB No. 43 and No. 45, and Social Security. Doug has over 20 years of consulting experience with public sector retirement plans including work for the following cities in Texas: Fort Worth, El Paso, Arlington, Garland, Amarillo, Abilene, DeSoto, Cedar Hill, Collegeville, Duncanville, Denton, and Grand Prairie. Doug is also currently providing actuarial services to the following current North Dakota clients: City of Bismarck, ND (City Employees Et Police Employees); City of Minot, ND; City of Jamestown, ND; Grand Forks Park District. Doug came to Gallagher Benefit Services, Inc. (formerly Stanton Group) in 1998 after spending 11 years with Deloitte Et Touche. His consulting experience at Deloitte Et Touche included work 13 G Gallagher Benefit Services, Inc. c h i n I< i n g a h c .v d on the City of Grand Forks, ND; City of Fargo, ND; Minnesota State Retirement System; Government of Guam; Fulton County; and Fulton County School District. Ben Holle, EA Actuarial Manager Ben has bachelor's degrees in both Sociology and Mathematics with an emphasis in Actuarial Science from Minnesota State University Moorhead. He is an Enrolled Actuary and is progressing toward becoming an Associate of the Society of Actuaries. He has worked on many public sector pension actuarial valuations, audits, and plan design projects including actuarial valuations and experience studies for the City of Bismarck, ND and the City of Minot, ND. Most recently he has spent significant time with public sector plans analyzing and comparing current plan benefit levels and associated costs with those available under alternative plan designs. Bruce A. Johnson, EA, MAAA Professional Standards Review Bruce Johnson is an Actuarial Consultant within GBS' Actuarial Services. He has bachelor's degrees in Mathematics and Business from Bethel University in Roseville, Minnesota. He is an Enrolled Actuary and Member of the American Academy of Actuaries. Bruce consults with clients on defined benefit plan administration, plan design services, and nondiscrimination testing, as well as accounting under SFAS Nos. 87 and 88. In addition, he has extensive experience with SFAS No. 106 analysis for postretirement medical and life insurance plans. Bruce has over 18 years of experience in employee benefit consulting and administration. Bruce joined GBS (formerly Stanton Group) in 2000 after spending periods with both Aon Consulting and Deloitte Et Touche. Sarah G. Johnson, ASA, MAAA Actuarial Analyst Sarah graduated summa cum laude with a bachelor's degree in Statistics from the University of Minnesota Duluth. She is an Associate of the Society of Actuaries and a Member of the American Academy of Actuaries. She is currently pursuing her EA designation. Sarah has been involved in several public sector client projects including actuarial valuation and benefit administration functions for the Brazos River Authority in Texas and the GASB 45 annual valuation for the City of Sanford, Florida. She has reviewed assumptions through experience studies for numerous clients including the City of Sanford, FL; Smith County, TX; and Morrison County, MN. 14 Primary service team: Doug Anderson, ASA, EA, MAAA Ben Holle, EA Additional client resources: S arah Johnson, SA, MAAA Michael O'Brien Actuarial Lead Consultant primary contact Strategic leadership: client relationship, benefit strategies Actuarial Manager Account service contact: daily questions and plan management Professional Standards Review Ensures quality of services and adherence to all actuarial standards Actuarial Analyst Technical support to the Actuarial Manager Area President, Managing Partner, Key Accounts Strategic vision and direction, people development and marketplace differentiation. Works closely with consultants on key accounts. (952) 356 -3848 (866) 743 -5313 (fax) (952) 356 -0724 (866) 743 -5313 (fax) (952) 356 -0718 ben holle ®aie.com (866) 743 -5313 (fax) (952) 356 -0732 (866) 743 -5313 (fax) (952) 356 -3844 (866) 701 -1125 (fax) 15 G Gallagher Benefit Services, Inc. elhinking ahcad Sarah joined the team in April 2008 with a varied actuarial background, from pension consulting for non profit and private sector clients at Towers Perrin to life insurance product development and financial reporting at Minnesota Life Insurance Company. Actuarial Services Department The Actuarial Services department currently employs six credentialed actuaries and two actuarial students. Our Actuarial Services department averages 8 years of experience ranging from one year to 20 years of individual experience working with defined benefit pension plans, postretirement healthcare, and postretirement life insurance. Name i t le /Role Direct Phone /Fax Email doue anderson®aie.com Name Title /Role Direct Phone /Fax Email brute iohnson®aie.com sarah_iohnson ®aie.com mike obrien ®aie.com Category of Employee Actuarial Lead Consultant Actuarial Manager Professional Standards Review Actuarial Analyst VENDOR RATE /FEE SCHEDULE Please include a breakdown of the dollar amount of and the basis for your fees as appropriate based on the following categories (generally defined in Scope of Services): Benefits Administration Functions Annual Valuation and SAD Preparation Ad hoc Calculations and General Analysis Total proposed annual fee for base services as per scope of work $175 /Benefit Calculation $9,000 /year $175 /hour $9,000 plus fees for services described above Fee /Rate Schedule for any additional services (above and beyond that stated in the base scope of services) that may be requested: Hourly Rate $225 $175 $200 $150 For all additional work, vendor is requested to provide a proposal which shall include a breakdown of the hourly rate which will be applicable, in determining the cost of these services, by major category of employee (actuary, associate, clerical, etc.); for these additional services, billing will be broken down into time per category by major task. These fees will be fixed for the initial period of two years, and negotiated thereafter. Prior to accepting an assignment for additional work, you will be requested to provide a proposed fee for the task on a "not to exceed" basis prior to receiving authority to proceed. This Form Must Be Completed and Returned With Your Submittal. 16 DISPUTES DISCLOSURE FORM Answer the following questions by answering "YES" or "NO If you answer "YES please explain in the space provided, please add a page(s) if additional space is needed. 1. Has your firm, or any of its officers, received a reprimand of any nature or been suspended by the Department of Professional Regulation or any other regulatory agency or professional association within the last five (5) years? see below. I hereby certify that the statements contained herein are true. I agree and understand that any misstatement or misrepresentation or falsification of facts shall be cause for disqualification of the submittal, immediate cancellation of any contract with the City that might arise from the representations contained herein, and forfeiture of rights for further consideration for work in the City of Winter Springs. Firm: 2. Has your firm, or any member of your firm, been declared in default, terminated or removed from a contract or job related to the services your firm provides in the regular course of business within the last five (5) years? see below. 3. Has your firm had filed against it or filed any requests for equitable adjustment, contract claims or litigation in the past five (5) years that is related to the services your firm provides in the regular course of business? See beloqf yes, the explanation must state the nature of the request for equitable adjustment, contract claim or litigation, a brief description of the case, the outcome or status of suit and the monetary amounts or extended contract time involved. Arthur J. Gallagher Company and Gallagher Benefit Services, Inc. face no pending litigation that would impact our ability to provide the services described in the proposal to the City of Winter Springs. Gallagher Benefit Services, Inc. Name 1 Title: Doug Anderson, ASA, EA, MAAA, Director of Actuarial Services Authorized Signature Date: This Form Must Be Completed and Returned with your Submittal 17 INSURANCE REQUIREMENTS FORM The vendor shall be required to provide to the Purchasing Coordinator, prior to signing a contract for or commencing any work, a Certificate of Insurance which verifies coverage in compliance with the requirements outlined below. Compliance of said certificate must be acknowledged by the Purchasing Coordinator prior to start of work. Any work initiated without completion of this requirement shall be unauthorized and the City of Winter Springs will not be responsible. 2. The City of Winter Springs reserves the right to require coverage and limits as considered to be in its best interests. Insurance requirements shall be on a case by case basis determined by the project, conditions and exposure. 3. Except for Professional Liability and Workers Compensation Policies, when required, all policies are to be endorsed to include the City of Winter Springs as Additional Insured. In the cancellation clause the number "30" shall be inserted into the blank space provided prior to the words "days prior notice... All vendor policies are to be considered primary to City coverage and shall not contain co- insurance provisions. 4. In the event that the insurance coverage expires prior to the completion of services, a renewal certificate shall be issued 30 days prior to said expiration date. 5. Subvendors or sub- contractors retained by the primary vendor are the responsibility of said primary vendor in all respects. 6. Insurance requirements: COVERAGE REQUIRED MINIMUM POLICY LIMITS Workers' Compensation Commercial General Liability including Contractual Liability, Products and Completed Operations, XCU and Owners and Contractors Protective Comprehensive Auto Liability, CSL, shalt include "any auto" Professional (NOTE: All limits are per occurrence and must include Bodily Injury and Property Damage. Deductibles and self insured retentions must be approved by the City of Winter Springs, and all insurers must have an A.M. Best rating of at least A: VII.) 7. Bonding Required: None This Submittal 8. Vendor will be required to provide a certificate of insurance in compliance with the above, within four (4) days of notification of award with continuing coverage, without a break. 9. I hereby certify that the insurance and bonding requirements outlined above shall be met as required, if I am awarded a contract for the services specified herein. Firm: Gallagher Benefit Services, Inc. Name /Title: Doug Anderson, ASA ,E, MAAA, Director of Actuarial Services Authorized Signature Date: This Form Must Be Completed and Returned with your Submittal 18 Statutory 1,000,000 Occurrence 1 ,000,000 CSL $1,000,000 Occurrence FLORIDA STATUTES ON PUBLIC ENTITY CRIMES FORM THIS FORM MUST BE SIGNED AND SWORN TO IN THE PRESENCE OF A NOTARY PUBLIC OR OTHER OFFICIAL AUTHORIZED TO ADMINISTER OATHS. 1. This sworn statement is submitted to the City of Winter Springs by: Doug Anderson on behalf of: Gallagher Benefit Services, Inc. whose business address is: 3600 American Blvd W, Suite 500 Bloomington, MN 55431 Federal Employer Identification Number (FEIN) or Social Security of the person signing this statement: 475 82 5215 2. I understand that a "public entity crime" as defined in Paragraph 287.133(1)(g), F.S., means a violation of any state or federal law by a person with respect to and directly related to the transaction of business with any public entity or with an agency or political subdivision of any other state or with the United States, including, but not limited to, any bid or contract for goods or services, any lease for real property, or any contract for the construction or repair of a public building or public work, involving antitrust, fraud, theft, bribery, collusion, racketeering, conspiracy, or material misrepresentation. 3. 1 understand the "convicted" or "conviction" as defined in Paragraph 287.133(1)(b), F.S., means a finding of guilt or a conviction of a public entity crime, with or without an adjudication of guilt, in any federal or state trial court of record relating to charges brought by indictment or information after July 1, 1989, as a result of a jury verdict, non -jury trial, or entry of a plea of guilt or nolo contendere. 4. I understand that an "affiliate" as defined in Paragraph 287.133(1)(a), F.S., means: A predecessor or successor of a person convicted of a public entity crime or an entity under the control of any natural person who is active in the management of the entity and who has been convicted of a public entity crime. The term "affiliate" includes those officers, directors, executives, partners, shareholders, employees, members, and agents who are active in the management of an affiliate. The ownership by one person of shares constituting a controlling interest in another person, or a pooling of equipment or income among persons when not fair market value under an arm's length agreement, shall be a prima facie case that one person controls another person. A person who knowingly enters into a joint venture with a person who has been convicted of a public entity crime in Florida during the preceding 36 months shall be considered an affiliate. 19 5. I understand that a "person" as defined in Paragraph 287.133(1)(e), F.S., means any natural person or entity organized under the laws of any state or of the United States with the legal power to enter into a binding contract and which bids or applies to bid on contracts let by a public entity, or which otherwise transacts or applies to transact business with a public entity. The term "person" includes those officers, directors, executives, partners, shareholders, employees, members, and agents who are active in management of an entity. 6. Based on information and belief, the statement which I have marked below is true in relation to the entity submitting this sworn statement. (Please indicate which statement applies.) Neither the entity submitting this sworn statement, nor any of its officers, director, executives, partners, shareholders, employees, members, or agents who are active in the management of the entity, nor any affiliate of the entity were charged with and convicted of a public entity crime after July 1, 1989. The entity submitting this sworn statement, or one or more of the officers, directors, executives, partners, shareholders, employees, members, or agents who are active in the management of the entity, or any affiliate of the entity was charged with and convicted of a public entity crime after July 1, 1989. The entity submitting this sworn statement, or one of its officers, directors, executives, partners, shareholders, employees, members, or agents who are active in the management of the entity, or any affiliate of the entity was charged with and convicted of a public entity crime subsequent to July 1, 1989. However, there has been a subsequent proceeding before a Hearing Officer of the State of Florida, Division of Administrative Hearings and the Final Order entered by the Hearing Officer determined that it was not in the public interest to place the entity submitting this sworn statement on the convicted vendor list. (Attach a copy of the final order.) I understand that the submission of this form to the City of Winter Springs is for the City of Winter Springs only, and that this from is valid through December 31, 2007. I also understand that I am required to inform the City of Winter Springs prior to entering into a contract in excess of $25,000 of any change in the information contained in this form. Signature State of Florida, County of g e n p, yA On this 16 day of .m r, 20 69, before me, the undersigned Notary Public of the State of Florida., personally appeared: Minnesota Doug Anderson (Name(s) of individuals who appeared before notary) 20 fiCio Date whose name(s) is/are Subscribed to the within instrument, and he/she /they acknowledge that he /she /they executed it. Sworn to and subscribed before me this x Q.A.>Onty),( t 5 day of mile r 20 D9 Notary Public My Commission expires: Personally Known Produced Identification: (Type) Did take an Oath Did Not take an Oath Julia Christine Kindy Notary Public Minnesota My Commission Expires January 31, 2012 This Form Must Be Completed and Returned with your Submittal 21 DRUG -FREE WORK PLACE FORM The undersigned, in accordance with Florida Statute 287.087 hereby certifies that the company named below does: 1 Publish a statement notifying employees that the unlawful manufacture, distribution, dispensing, possession, or use of a controlled substance is prohibited in the workplace and specifying the actions that will be taken against employees for violations of such prohibition. 2. Inform employees about the dangers of drug abuse in the workplace, the business's policy of maintaining a drug -free workplace, any available drug counseling, rehabilitation, and employee assistance programs, and the penalties that may be imposed upon employees for drug abuse violations. 3. Give each employee engaged in providing the commodities or contractual services that are proposed a copy of the statement specified in subsection (1). 4. In the statement specified in subsection (1), notify the employees that, as a condition of working on the commodities or contractual services that are under bid, the employee will abide by the terms of the statement and will notify the employer of any conviction of, or plea of guilty or nolo conteridere to, any violation of Chapter 893 or of any controlled substance law of the United States or any state, for a violation occurring in the workplace no later than five (5) days after such conviction. 5. Impose a sanction on, or require the satisfactory participation in a drug abuse assistance or rehabilitation program if such is available in the employee's community, by any employee who is so convicted. 6. Make a good faith effort to continue to maintain a drug -free workplace through implementation of this section. Firm: Gallagher Benefit Services, Inc. Name /Title: Doug Anderson, ASA, EA, MAAA, Director of Actuarial Services Authorized Signature Date: This Form Must Be Completed and Returned with your Submittal 22 CONFLICT OF INTEREST STATEMENT ACC �J•.• of r r ..41l..lrr.:v Name of Affiant Name of Company 23 deposes and states that 44 7; 1 c the above named entity is submitting a proposal to the City of Winter Springs for the project identified above. 2. The Affiant has made diligent inquiry and provides the information contained in this Affidavit based upon his own knowledge. 3. The Affiant states that only one submittal for the above project is being submitted and that the above named entity has no financial interest in other entities submitting qualifications for the same services. 4. Neither the Affiant nor the above named entity has directly or indirectly entered into any agreement, participated in any collusion, or otherwise taken any action in restraint of free competitive pricing in connection with the entity's submittal for the above project. This statement restricts the discussion of pricing data until the completion of negotiations and execution of the Agreement for this project. 5. Neither the entity nor its affiliates, nor anyone associated with them, is presently suspended or otherwise ineligible from participating in contract lettings by any local, state, or federal agency. 6. Neither the entity, nor its affiliates, nor anyone associated with them have any potential conflict of interest due to any other clients, contracts, or property interests for these services. 7. I certify that no member of the entity's ownership, management, or staff has a vested interest in any aspect of or department of the City of Winter Springs. 8. 1 certify that no member of the entity's ownership or management is presently applying for an employee position or actively seeking an elected position with City of Winter Springs. 9. In the event that a conflict of interest is identified in the provision of services, I, on behalf of the above named entity, ill immediately notify the City of Winter Springs in writing. Signature of Affiant Date Director of Actuarial Services Doug Anderson Title Typed or Printed Name of Affiant Minnesota State of Florida, County of OF n nw p i On this 1 day of '5,. 20 b before me, the undersigned Notary Public of the State of- Florida, personally appeared Minnesota and Doug Anderson (Name(s) of individuals who appeared before notary) whose name(s) is /are subscribed to the within instrument, and he/she/they acknowledge that he/she/they executed it. WITNESS my hand and official seal. NOTARY PUBLIC, STATE OF FLORID NOTARY PUBLIC MINNESOTA Julia Christine Kindy Notary Public Minnesota y Commission Expires January 31, 2012 SEAL OF OFFI (Name of Notary Public: Print, Stamp, or Type as Commissioned.) hsilt l n d AR This Form Must Be Completed and Returned with your Submittal 24 CERTIFICATION OF NON SEGREGATED FACILITIES FORM By affixing his signature to this form, the consultant certifies that he does not maintain or provide for his employees any segregated facilities at any of his establishments, and that he does not permit his employees to perform their services at any location, under his control, where segregated facilities are maintained. The consultant certifies further that he will not maintain or provide for his employees any segregated facilities at any location under his control where segregated facilities are maintained. The consultant agrees that a breach of this certification will be a violation of the Equal Opportunity clause in any contract resulting from acceptance of this Bid. As used in this certification, the term "segregated facilities" means any waiting rooms, work areas, restrooms and washrooms, restaurants and other eating areas, time clocks, locker rooms and other storage and dressing areas, parking lots, drinking fountains, recreation or entertainment area, transportation and housing facilities provided for employees which are segregated by explicit directive, or are in fact segregated on the basis of race, color, religious disability or national origin, because of habit, local custom, or otherwise. The consultant agrees that (except where he has obtained identical certifications from proposed subcontractors for specific time periods) he will obtain identical certifications from proposed subcontractors prior to the award of subcontracts exceeding $10,000 which are not exempt from the provisions of the Equal Opportunity clause, and that he will retain such certifications in his files. The nondiscriminatory guidelines as promulgated in Section 202, Executive Order 11246, and as amended by Executive Order 11375 and as amended, relative to Equal Opportunity for all persons and implementations of rules and regulations prescribed by the United States Secretary of Labor are incorporated herein. NOTE: The penalty for making false statements in offers is prescribed in 18 U.S.C. 1001. By: ✓y Doug Anderson Print Name Official Address: 3600 American Blvd, W, Suite 500, Bloomington, MN 55431 This Form Must Be Completed and Returned with your Submittal 25 Title Date: 947/ Director of Actuarial Services All proposals are subject to the Florida Public Records Act, F.S. 119. The submission of a proposal authorizes release of your firm's credit data to the City of Winter Springs. Responsive proposals are "public records" and shall be subject to public disclosure consistent with Chapter 119.07(3) (0), Florida Statutes. Vendors must invoke any exemptions to disclosure provided by Iaw in the response to the proposal, and must identify the data or other materials to be protected, and must state the applicable statutory exemption for exclusion from public disclosure. Please list below any exemptions to disclosure as provided by Iaw and sign and date the form where indicated.: If you are not claiming any Public Records Exemptions, please check the box below and sign and date the form where indicated. We are claiming no exemptions PUBLIC RECORDS FORM Vendor Signature /Date This Form Must Be Completed and Returned with your Submittal 26