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Exhibit A <br /> Scope of Services <br /> �`� ��._�_ ��r �... <br /> , _. <br /> ��__ ; lr�.�� � �. �_ � �.. <br /> October 16,2012 <br /> Brian Ponty <br /> Finance Director <br /> Redwood City <br /> 1017 Middlefield Road <br /> Redwood City, CA 94063 <br /> Re: Possible Redwood City Fire Deparhnent Full Service Contract with San Carlos—Ca1PERS&OPEB <br /> Actuarial Issues <br /> Dear Mr.Ponty: <br /> Bartel Associates would be happy to provide Redwood City actuarial consulting services. The City <br /> participates in Ca1PERS,providing Miscellaneous employees the 2.7%@55 benefit and Safety employees <br /> the 3%@50 benefit. For new hires after September 201 l,the City provides Miscellaneous employees the <br /> 2%@60 benefit and Safety employees the 3%@55 benefit. We understand Redwood City is in <br /> negotiations with the City of San Carlos to expand the fire services agreement to a full service agreement <br /> and has questions regarding the impact of this agreement on the City's Ca1PERS pension plan and OPEB <br /> plan. Accordingly,Bartel Associates would provide the following consulting services: <br /> 1. Ca1PERS Pension: <br /> a. Estimate the impact on the City"s Ca1PERS pension plan of a full service agreement with San <br /> Carlos. Explore options for fairly charging San Carlos their portion of the Normal Cost and <br /> Unfunded Actuarial Accrued Liability. Bartel Associates will review CaIPERS actuarial <br /> information and suggest different options to the City. <br /> b. Prepare a general analysis for the possibility of a future dissolution of the agreement with San <br /> Carlos and provide options far assigning the unfunded accrued liability at the time of <br /> dissolution. <br /> 2. OPEB/Retiree Medical—Estimate the impact on the City's OPEB plan of a full service <br /> agreement with San Carlos and explore options for fairly charging San Carlos for this impact. <br /> Bartel Associates prepared the City's last(June 30,2011)OPEB actuarial valuation and is just <br /> beginning wark on the June 30, 2013 actuarial valuation. We suggest basing our analysis on the <br /> June 30, 2013 OPEB valuation since work will start on this valuation shortly. <br /> Fees <br /> ■ We will bill the City at the following hourly rates(however,much of the time for the above project <br /> would be at the Partner level): <br /> Partner $250 -$300 Actuarial Analyst $125 <br /> Assistant Vice President $200- $225 Administrative Support $75 <br /> Senior Actuarial Analyst $150 <br /> ■ Fees for each project will vary. Because facts and circumstances might change we are providing <br /> fee ranges for each project and also suggesting a third category be established for elements than can <br /> not,at this time,be anticipated: <br /> 1. CaIPERS Pension—We estimate fees for this project will be approximately$3-4,000 and <br /> anticipate(but can not guarantee)fees will not exceed$5,000. <br /> 2. OPEB/Retiree Medical—We estimate fees for this project will be approximately$3-4,000 and <br /> anticipate(but can not guarantee) fees will not exceed$5,000. <br /> =t11 H��rd .Avcnuc,Suitc 1O1 •San ,A�1atc��,(:alifc�rnia 91-k02 <br /> ma272:6�0/3?�-1G00 �fax:650�34�-805? •1veb:www.bartcl-associatcs.com <br />