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Staff Report PREPARED BY: STEPHEN CONWAY Finance Director Reviewed by: Town Manager, Assistant Town Manager, and Finance Director _____________________________________________________________________________________________________________________ 110 E. Main Street Los Gatos, CA 95030 ● 408-354-6832 www.losgatosca.gov TOWN OF LOS GATOS COUNCIL AGENDA REPORT MEETING DATE: 06/18/19 ITEM NO: 4 DATE: JUNE 6, 2019 TO: MAYOR AND TOWN COUNCIL FROM: LAUREL PREVETTI, TOWN MANAGER SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE A FIRST AMENDMENT TO THE AGREEMENT FOR ACTUARIAL SERVICES WITH BARTEL ASSOCIATES FOR A TOTAL CONTRACT AMOUNT NOT TO EXCEED $58,400. RECOMMENDATION: Authorize the Town Manager to execute a first amendment to the agreement for actuarial services with Bartel Associates for a total contract amount not to exceed $58,400. BACKGROUND: In March 2007, the Town issued a Request for Proposal (RFP) for actuarial consulting services. The Town received five proposals from qualified actuaries. Bartel Associates was selected due to their familiarity with the Town, professional expertise and reputation, and their experience performing Governmental Accounting Standards Board (GASB) studies for many similar sized California cities. DISCUSSION: Over the past two years, Bartel Associates have been newly engaged in additional analysis related to the Town’s Pension and Other Post-Employment Benefits (OPEB) Trusts Oversight Committee which resulted in increased costs to the Town. Additional services have included initiating an annual review of the CalPERS generated actuarial valuations for the Town’s pension plans and analysis regarding the effects of additional lump-sum payments to the OPEB plan. Staff anticipates engaging Bartel to perform additional lump-sum payment analysis in the coming year. In addition, the firm also provided services related to labor negotiations. PAGE 2 OF 2 SUBJECT: AUTHORIZE THE TOWN MANAGER TO EXECUTE A FIRST AMENDMENT TO THE AGREEMENT FOR ACTUARIAL SERVICES WITH BARTEL ASSOCIATES FOR A TOTAL CONTRACT AMOUNT NOT TO EXCEED $58,400 JUNE 4, 2019 S:\COUNCIL REPORTS\2019\06-18-19\04 Bartel agreement\Staff Report.FINAL.docx 6/13/2019 9:48 AM CONCLUSION: Authorize the Town Manager to execute a first amendment to the agreement for actuarial services with Bartel Associates for a total contract amount not to exceed $58,400. FISCAL IMPACT: There are sufficient funds for this amendment available in the FY 2018/19 budget. ENVIRONMENTAL ASSESSMENT: This is not a project defined under CEQA, and no further action is required. Attachment: 1. First Amendment to Agreement for Services containing the original agreement.