City of San Antonio - File #: 14-2316

• File #: 14-2316
• Type: Misc - Professional Services Agreements
• In control: City Council A Session
• On agenda: 10/9/2014
• Posting Language: An Ordinance approving a Professional Services Agreement with AMI Risk Consultants, Inc., to provide actuarial services to the City for a 3-year term beginning October 1, 2014 and ending September 30, 2017, with two renewal terms of one year each at the City’s option, with total compensation not to exceed $65,000.00. [Ben Gorzell, Chief Financial Officer; Troy Elliott, Director]

Date	Ver.	Action By	Action	Result
10/9/2014	1	City Council A Session	adopted	Pass

DEPARTMENT: Finance


DEPARTMENT HEAD: Troy Elliott, CPA


COUNCIL DISTRICTS IMPACTED: City Wide


SUBJECT:

Engagement of Actuarial Firm

SUMMARY:
This ordinance authorizes the City Manager or her designee to enter into a contract with AMI Risk Consultants, Inc. to provide actuarial services for the City of San Antonio Finance Department. The term of this contract is three (3) years, beginning October 1, 2014, and ending September 30, 2017, with an option to extend the contract for up to two (2) one (1) year extensions, subject to and contingent upon funding by City Council, with total compensation not to exceed $65,000.00. The estimated annual expense is approximately $13,000.00.
BACKGROUND INFORMATION:

The City maintains Workers' Compensation and General Liability Internal Service Funds ("WC/GL Internal Service Funds") from which it pays approximately 1,400 workers' compensation and 1,000 general liability claims annually. The City retains the services of a licensed Independent Consulting Actuary who is a member of the Casualty Actuarial Society to conduct a comprehensive annual actuarial analysis and a mid-year adjustment to the annual actuarial analysis of the City's self-insured workers' compensation and liability programs to ensure the program is adequately funded. The City may also request the Consulting Actuary to evaluate the existing methodology for City-wide assessments to be charged against individual City department's cost centers within the City budget, which will enhance the current process. The assessment methodology will be created by utilizing the Consultant's expertise, skills and identified industry best practices.

On May 15, 2014, the Finance Department issued a Request for Proposals (RFP) for a licensed Independent Consulting Actuary who is a member of the Casualty Actuarial Society to conduct a comprehensive annual actuarial analysis and, at the City's option, a mid-year adjustment to the annual actuarial analys...