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12/13/2021Monday, December 13, 2021 9:00 AM City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 Main Library - Council Chambers Pension Trustees Meeting Agenda December 13, 2021Pension Trustees Meeting Agenda Citizens wishing to provide comments on an agenda item are encouraged to do so in advance through written comment. The City has established the following four options to ensure public comment for a virtual meeting: 1)eComments via Granicus - eComments is integrated with the published meeting agenda. Individuals may review the agenda item details and indicate their position on the item. You will be prompted to set up a user profile to allow you to comment, which will become part of the official public record. The eComment period is open from the time the agenda is published. Comments received during the meeting will become part of the official record, if posted prior to the closing of public comment. The City Clerk will read received comments into the record. 2)Email – Individuals may submit written comments or videos to ClearwaterCouncil@myclearwater.com. All comments received by 5 p.m. the day before the meeting (December 12) will become part of the official record. The City Clerk will read received comments into the record. 3)Council Chambers - Additionally, like any other council meeting, the public may provide public comment at the Main Library, Council Chambers, 100 N Osceola Avenue. Due to COVID-19, all speakers desiring to appear in person will be subject to all applicable emergency measures in place to prevent the further spread of COVID-19. Speakers who appear in person will be subject to screening for symptoms of COVID-19. Any persons exhibiting any symptoms of COVID-19 will not be permitted to enter council chambers but will be able to participate through the remote options described above. 1. Call To Order 2. Approval of Minutes 2.1 Approve the October 18, 2021 Pension Trustees Meeting Minutes as submitted in written summation by the City Clerk. 3. Citizens to be Heard Regarding Items Not on the Agenda 4. New Business Items 4.1 Award a contract for pension plan actuarial services for the five-year period ending December 31, 2026 to Gabriel, Roeder, Smith and Company for a not-to-exceed total of $284,950 and authorize the appropriate officials to execute same. 4.2 Approve the termination of large cap growth equity money manager Voya Investment Management and authorize the appropriate officials to execute same. 4.3 Approve the new hires for acceptance into the Pension Plan as listed. 4.4 Approve the following request of employee Valerie Craig, Finance Department, to vest her pension as provided by Section 2.419 of the Employees’ Pension Plan. Page 2 City of Clearwater Printed on 12/7/2021 December 13, 2021Pension Trustees Meeting Agenda 4.5 Approve the following request of Douglas Alvarez, Parks and Recreation Department, Leonard Aragones, Parks and Recreation Department, and Robert Strieder, Public Utilities Department for a regular pension as provided by Sections 2.416 and 2.424 of the Employees’ Pension Plan. 5. Adjourn Page 3 City of Clearwater Printed on 12/7/2021 Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#20-8604 Agenda Date: 12/13/2021 Status: Agenda ReadyVersion: 1 File Type: MinutesIn Control: Pension Trustees Agenda Number: 2.1 SUBJECT/RECOMMENDATION: Approve the October 18, 2021 Pension Trustees Meeting Minutes as submitted in written summation by the City Clerk. SUMMARY: APPROPRIATION CODE AND AMOUNT: USE OF RESERVE FUNDS: Page 1 City of Clearwater Printed on 12/7/2021 Pension Trustees Meeting Minutes October 18, 2021 Page 1 City of Clearwater City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 Meeting Minutes Monday, October 18, 2021 9:00 AM Main Library - Council Chambers Pension Trustees Draft Pension Trustees Meeting Minutes October 18, 2021 Page 2 City of Clearwater Roll Call Present 5 - Chair Frank Hibbard, Trustee David Allbritton, Trustee Hoyt Hamilton, Trustee Kathleen Beckman, and Trustee Mark Bunker Also Present – Micah Maxwell – Interim City Manager, Michael Delk – Assistant City Manager, Pamela K. Akin – City Attorney, Rosemarie Call – City Clerk, and Jennifer Poirrier – Human Resources Director To provide continuity for research, items are listed in agenda order although not necessarily discussed in that order. Unapproved 1. Call to Order – Chair Hibbard The meeting was called to order at 9:03 a.m. 2. Approval of Minutes 2.1 Approve the August 16, 2021 Pension Trustees Meeting Minutes as submitted in written summation by the City Clerk. Trustee Hamilton moved to approve the August 16, 2021 Pension Trustees Meeting Minutes as submitted in written summation by the City Clerk. The motion was duly seconded and carried unanimously. 3. Citizens to be Heard Regarding Items Not on the Agenda – None. 4. New Business Items 4.1 Approve the new hires for acceptance into the Pension Plan as listed. Name/ Job Classification/ Department Pension Eligibility Date Scott Lewis, Parking - Facility & Security Aide, Engineering/Parking 07/06/2021 Robert Jovic, Survey Assistant, Engineering 07/06/2021 Wendy Pioquinto, Librarian, Library 07/06/2021 Hunter Carlson, Management Analyst, Parks & Recreation 07/06/2021 Maurice Hunter, Parks Service Technician, Parks & Recreation 07/06/2021 William Brabant, Code Enforcement Inspector, Planning & Development 07/06/2021 Jason Detwiler, Wastewater Collections Technician, Public Utilities 07/06/2021 Egbert Joseph Genty, Water Distribution Operator Trainee, Public Utilities 07/06/2021 Stacey Barnett-Koerts, Police Records Specialist, Police 07/06/2021 Draft Pension Trustees Meeting Minutes October 18, 2021 Page 3 City of Clearwater Ivan Herandez-Perez, Police Officer, Police 07/05/2021 Ryan Belding, Police Officer, Police 07/05/2021 Bryanna Bora, Police Officer, Police 07/05/2021 Bryan Cerezo, Police Officer, Police 07/05/2021 Jared Coupland, Police Officer, Police 07/05/2021 Anthony Curcio, Police Officer, Police 07/05/2021 Jessica Dylla, Police Officer, Police 07/05/2021 Courtland Harrison, Police Officer, Police 07/05/2021 John Heisler, Police Officer, Police 07/05/2021 Jonathon Kline, Police Cadet, Police 07/05/2021 Benden Lee Peterson, Police Officer, Police 07/05/2021 Cole VanDeusen, Police Cadet, Police 07/05/2021 Kelsey Troyer, CAD & GIS Technician, Engineering 07/19/2021 Dylan Richards, Skilled Tradesworker, Marine & Aviation 07/19/2021 Aailyah Gray, Recreation Leader, Parks & Recreation 07/19/2021 Mark Rivera, Wastewater Collections Technician, Public Utilities 07/19/2021 Anthony White, Parks Service Technician, Parks & Recreation 07/19/2021 Arnold Santillan, Parking, Facility & Security Aide, Engineering/Parking 08/02/2021 Melissa Serrano, Parking Enforcement Specialist, Engineering/Parking 08/02/2021 Nichole Wadkins, Parking Enforcement Specialist, Engineering/Parking 08/02/2021 Jordan Hicks, Professional Engineer, Engineering 08/02/2021 Quintavius Williams, Gas Technician Apprentice, Gas 08/02/2021 Zoe Pappas, Police Telecommunicator, Police 08/02/2021 Jacob Blackburn, Water Distribution Operator Trainee, Public Utilities 08/02/2021 Courtney Woods, Solid Waste Equipment Operator, Solid Waste 08/02/2021 Kelsey McCray, Recreation Leader , Parks & Recreation 08/02/2021 Dianna Woodcock, Parking Citation Assistant, Engineering/Parking 08/16/2021 Gage Wilson, Gas Technician Apprentice, Gas 08/16/2021 Laura Love, Senior Human Resources Analyst, Human Resources 08/16/2021 Paula Casey, Solid Waste Accounts Coordinator, Solid Waste 08/16/2021 Mario Montgomery, Solid Waste Worker, Solid Waste 08/16/2021 Charlie Gordon, Solid Waste Worker, Solid Waste 08/16/2021 Jerome Kirkland, Solid Waste Worker, Solid Waste 08/16/2021 Richard Renaud, Business Systems Analyst, Utility Customer Service 08/16/2021 Isaiah Walton, Senior WW Collections Technician, Public Utilities 08/16/2021 Joel Silcox, Parks Service Technician, Parks & Recreation 08/30/2021 Steven Nolen, Parks Service Technician, Parks & Recreation 08/30/2021 Trustee Allbritton moved to approve the new hires for acceptance into the Pension Plan as listed. The motion was duly seconded and carried unanimously. 4.2 Approve the following request of employees Steven Cook, Parks and Recreation Department, Scott Durivou, Police Department, William Hodgson, Police Department, Rosanne Lacey, Library Department, William Muniz, Fire Department, Michael Olesh, Draft Pension Trustees Meeting Minutes October 18, 2021 Page 4 City of Clearwater Public Utilities Department, Janice Overby, Public Utilities Department, Charles Scrivens, Parks and Recreation Department, Scott Smith, Customer Service Department, Karen Smoak, Customer Service Department, David Taggart, Engineering Department, Clement Vericker, Finance Department, James Wagner, Planning and Development Department, and Aundra William, Solid Waste and Recycling Department for a regular pension as provided by Sections 2.416 and 2.424 of the Employees’ Pension Plan. Steven Cook, Senior Parks Service Tech, Parks and Recreation Department, was employed by the City on December 11, 1995, and his pension service credit is effective on that date. His pension will be effective August 1, 2021. Based on an average salary of approximately $41,915.47 over the past five years, the formula for computing regular pensions and Mr. Cook’s selection of the 50% Joint and Survivor Annuity, this pension benefit will be approximately $25,571.44 annually. Scott Durivou, Police Officer, Police Department, was employed by the City on July 16, 2001, and his pension service credit is effective on that date. His pension will be effective August 1, 2021. Based on an average salary of approximately $90,837.91 over the past five years, the formula for computing regular pensions and Mr. Durivou’s selection of the 100% Joint and Survivor Annuity, this pension benefit will be approximately $48,943.08 annually. William Hodgson, Police Sergeant, Police Department, was employed by the City on June 9, 1997, and his pension service credit is effective on that date. His pension will be effective October 1, 2021. Based on an average salary of approximately $107,803.78 over the past five years, the formula for computing regular pensions and Mr. Hodgson’s selection of the 100% Joint and Survivor Annuity with a 30% partial lump sum, this pension benefit will be approximately $49,279.08 annually. Rosanne Lacey, Senior Staff Assistant, Library Department, was employed by the City on April 18, 2005, and her pension service credit is effective on that date. Her pension will be effective October 1, 2021. Based on an average salary of approximately $37,632.52 over the past five years, the formula for computing regular pensions and Ms. Lacey’s selection of the Life Annuity, this pension benefit will be approximately $17,009.64 annually. William Muniz, Fire Lieutenant, Fire Department, was employed by the City on April 17, 2000, and his pension service credit is effective on June 27, 2000. His pension will be effective August 1, 2021. Based on an average salary of approximately $94,548.37 over the past five years, the formula for computing regular pensions and Mr. Muniz’s selection of the 10 Year Certain and Life Annuity with a 30% partial lump sum, this pension benefit will be approximately $38,388.12 annually. Michael Olesh, Water Quality Technician, Public Utilities Department, was Draft Pension Trustees Meeting Minutes October 18, 2021 Page 5 City of Clearwater employed by the City on February 11, 1991, and his pension service credit is effective on September 11, 1991. His pension will be effective August 1, 2021. Based on an average salary of approximately $54,650.76 over the past five years, the formula for computing regular pensions and Mr. Olesh’s selection of the 50% Joint and Survivor Annuity, this pension benefit will be approximately $47,296.44 annually. Janice Overby, Utilities Chemist, Public Utilities Department, was employed by the City on May 31, 2005, and her pension service credit is effective on that date. Her pension will be effective August 1, 2021. Based on an average salary of approximately $50,085.88 over the past five years, the formula for computing regular pensions and Ms. Overby’s selection of the Life Annuity, this pension benefit will be approximately $22,213.20 annually. Charles Scrivens, Parks Service Technician II, Parks and Recreation Department, was employed by the City on November 29, 2004, and his pension service credit is effective on that date. His pension will be effective January 1, 2022. Based on an average salary of approximately $35,635.41 over the past five years, the formula for computing regular pensions and Mr. Scrivens’ selection of the 100% Joint and Survivor Annuity, this pension benefit will be approximately $13,124.04 annually. Scott Smith, Customer Service Supervisor, Customer Service Department, was employed by the City on April 19, 1999, and his pension service credit is effective on that date. His pension will be effective May 1, 2022. Based on an average salary of approximately $65,538.10 over the past five years, the formula for computing regular pensions and Mr. Smith’s selection of the 100% Joint and Survivor Annuity, this pension benefit will be approximately $33,778.92 annually. Karen Smoak, Customer Service Specialist, Customer Service Department, was employed by the City on September 16, 1985 and her pension service credit is effective on that date. Her pension will be effective October 1, 2021. Based on an average salary of approximately $49,625.37 over the past five years, the formula for computing regular pensions and Ms. Smoak’s selection of the Life Annuity, this pension benefit will be approximately $49,185.96 annually. David Taggart, Traffic Signal Technician, Engineering Department, was employed by the City on February 29, 1988, and his pension service credit is effective on that date. His pension will be effective December 1, 2021. Based on an average salary of approximately $61,112.26 over the past five years, the formula for computing regular pensions and Mr. Taggart’s selection of the 100% Joint and Survivor Annuity, this pension benefit will be approximately $48,055.20 annually. Clement Vericker, Debt and Accounting Manager, Finance Department, was employed by the City on February 9, 2004, and his pension service credit is effective on that date. His pension will be effective September 1, 2021. Based on an average salary of approximately $72,819.03 over the past five years, the Draft Pension Trustees Meeting Minutes October 18, 2021 Page 6 City of Clearwater formula for computing regular pensions and Mr. Vericker’s selection of the Life Annuity this pension benefit will be approximately $35,149.92 annually. James Wagner, Senior Development Review Technician, Planning and Development Department, was employed by the City on April 23, 2001, and his pension service credit is effective on that date. His pension will be effective October 1, 2021. Based on an average salary of approximately $43,275.44 over the past five years, the formula for computing regular pensions and Mr. Wagner’s selection of the 75% Joint and Survivor Annuity this pension benefit will be approximately $18,489.48 annually. Aundra Williams, Solid Waste Equipment Operator, Solid Waste and Recycling Department, was employed by the City on November 27, 1989, and his pension service credit is effective on December 17, 1990. His pension will be effective October 1, 2021. Based on an average salary of approximately $52,451.22 over the past five years, the formula for computing regular pensions and Mr. Williams’ selection of the 100% Joint and Survivor Annuity this pension benefit will be approximately $40,151.64 annually. Section 2.416 provides for normal retirement eligibility for non-hazardous duty employees hired prior to the effective date of this reinstatement (January 1, 2013), a member shall be eligible for retirement following the earlier of the date on which a participant has reached the age of fifty-five years and completed twenty years of credited service; the date on which a participant has reached age sixty-five years and completed ten years of credited service; or the date on which a member has completed thirty years of service regardless of age. For non-hazardous duty employees hired on or after the effective date of this restatement, a member shall be eligible for retirement following the earlier of the date on which a participant has reached the age of sixty years and completed twenty-five years of credited service; or the date on which a participant has reached the age of sixty-five years and completed ten years of credited service. Mr. Cook, Ms. Lacey, Mr. Olesh, Ms. Overby, Mr. Scrivens, Mr. Smith, Ms. Smoak, Mr. Taggart, Mr. Vericker, Mr. Wagner and Mr. Williams have met the non-hazardous duty criteria. Section 2.416 provides for normal retirement eligibility for hazardous duty employees, a member shall be eligible for retirement following the earlier of the date on which the participant has completed twenty years of credited service regardless of age, or the date on which the participant has reached fifty-five years and completed ten years of credited service. Mr. Durivou, Mr. Hodgson, and Mr. Muniz have met the hazardous duty criteria. Trustee Beckman moved to approve the following request of employees Steven Cook, Parks and Recreation Department, Scott Draft Pension Trustees Meeting Minutes October 18, 2021 Page 7 City of Clearwater Durivou, Police Department, William Hodgson, Police Department, Rosanne Lacey, Library Department, William Muniz, Fire Department, Michael Olesh, Public Utilities Department, Janice Overby, Public Utilities Department, Charles Scrivens, Parks and Recreation Department, Scott Smith, Customer Service Department, Karen Smoak, Customer Service Department, David Taggart, Engineering Department, Clement Vericker, Finance Department, James Wagner, Planning and Development Department, and Aundra William, Solid Waste and Recycling Department for a regular pension as provided by Sections 2.416 and 2.424 of the Employees’ Pension Plan. The motion was duly seconded and carried unanimously. 4.3 Approve the following request of employees Laura Davis, Engineering Department, Adam Kraft, Police Department and Jeremy Williams, Information Technology to vest their pensions as provided by Section 2.419 of the Employees’ Pension Plan. Laura Davis, Contracts and Procurement Specialist, Engineering Department, was employed by the City on May 28, 1991, and began participating in the Pension Plan on July 25, 2000. Ms. Davis terminated from city employment on June 28, 2021. Adam Kraft, Police Officer, Police Department, was employed by the City on April 17, 2006, and began participating in the Pension Plan on that date. Mr. Kraft terminated from city employment on July 15, 2021. Jeremy Williams, Information Technology Manager, Information Technology Department, was employed by the City on May 31, 2005, and began participating in the Pension Plan on that date. Mr. Williams terminated from city employment on September 17, 2021. The Employees’ Pension Plan provides that should an employee cease to be an employee of the City of Clearwater or change status from full-time to part-time after completing ten or more years of creditable service (pension participation), such employee shall acquire a vested interest in the retirement benefits. Vested pension payments commence on the first of the month following the month in which the employee normally would have been eligible for retirement. Section 2.416 provides for normal retirement eligibility for non-hazardous duty employees hired prior to the effective date of this reinstatement (January 1, 2013), a member shall be eligible for retirement following the earlier of the date on which a participant has reached the age of fifty-five years and completed twenty years of credited service; the date on which a participant has reached Draft Pension Trustees Meeting Minutes October 18, 2021 Page 8 City of Clearwater age sixty-five years and completed ten years of credited service; or the date on which a member has completed thirty years of service regardless of age. For non-hazardous duty employees hired on or after the effective date of this restatement, a member shall be eligible for retirement following the earlier of the date on which a participant has reached the age of sixty years and completed twenty-five years of credited service; or the date on which a participant has reached the age of sixty-five years and completed ten years of credited service. Ms. Davis will meet the non-hazardous duty criteria and begin collecting a pension in December 2023. Mr. Williams will meet the non-hazardous duty criteria and begin collecting a pension in December 2034. Section 2.416 provides for normal retirement eligibility for hazardous duty employees, a member shall be eligible for retirement following the earlier of the date on which the participant has completed twenty years of credited service regardless of age, or the date on which the participant has reached fifty-five years and completed ten years of credited service. Mr. Kraft will meet the hazardous duty criteria and begin collecting pension in May 2026. Trustee Bunker moved to approve the following request of employees Laura Davis, Engineering Department, Adam Kraft, Police Department and Jeremy Williams, Information Technology to vest their pensions as provided by Section 2.419 of the Employees’ Pension Plan. The motion was duly seconded and carried unanimously. 5. Director's Report – None. 6. Board Members to be Heard – None. 7. Adjourn The meeting adjourned at 9:05 a.m. Chair Employees’ Pension Plan Trustees Attest City Clerk Draft Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#21-10039 Agenda Date: 12/13/2021 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Pension Trustees Agenda Number: 4.1 SUBJECT/RECOMMENDATION: Award a contract for pension plan actuarial services for the five-year period ending December 31, 2026 to Gabriel, Roeder, Smith and Company for a not-to-exceed total of $284,950 and authorize the appropriate officials to execute same. SUMMARY: Annually the pension plan requires an actuarial valuation of the plan to determine the City’s funding contribution, as well as annual benefit statements to be provided to all employees participating in the plan. In addition, a separate actuarial valuation is required annually for financial reporting per Governmental Accounting Standards Board (GASB) requirements. The State of Florida also requires separate annual reporting from the actuary per Chapter 112.664 Florida Statutes. Finally, the pension plan ordinance requires an actuarial “experience study” at least every six years, analyzing the mortality, service, and compensation experience to determine whether related actuarial assumptions require adjustment. Request for Proposals (RFP) 47-21 was issued in August 2021, with proposals received in September. The RFP selection committee consisting of the HR Director, HR Assistant Director, Finance Director, Finance Assistant Director, and Senior Pension Payroll Analyst unanimously chose Gabriel, Roeder, Smith & Company (GRS) from the eight respondents for pension plan actuarial services. GRS has been the actuary for the pension plan since January 2010. The annual fee for the actuarial valuation for funding purposes, along with employee benefit statements, will be $29,500. The annual fee for the actuarial valuation for financial reporting purposes, per GASB, is $5,900. The fee for annual reporting required per Chapter 112.664 Florida Statutes will be $3,750. Finally, the experience study fee is $24,000. Subsequent fees will be adjusted annually for inflation, not to exceed 3% in any year. As needed, additional services will be provided per various hourly rates provided in the agreement fee schedule, to be adjusted annually. APPROPRIATION CODE AND AMOUNT: Funds are available in cost code 6467410-530100, Professional Services, to fund this contract. Page 1 City of Clearwater Printed on 12/7/2021 Procurement Division 100 S Myrtle Ave Clearwater FL 33756-5520 PO Box 4748, 33758-4748 727-562-4633 Tel v 11.2018 REQUEST FOR PROPOSALS #47-21 Actuarial and Related Services August 10, 2021 NOTICE IS HEREBY GIVEN that sealed proposals will be received by the City of Clearwater (City) until 10:00 AM, Local Time, September 14, 2021 to provide Actuarial and Related Services. Brief Description: The City of Clearwater (City) administers a defined benefit pension plan that requires annual actuarial services for both funding and financial reporting purposes, in compliance with Governmental Accounting Standards Board (GASB) and State of Florida reporting requirements. Additionally, the City has other post-employment benefits (OPEB) that require actuarial services and similar compliance with GASB and State of Florida reporting requirements, as applicable. The City also requires related services to include the preparation of annual employee benefit statements and other actuarial services and advice on a project or fee per-hour basis as-needed. Proposals must be in accordance with the provisions, specifications and instructions set forth herein and will be received by the Procurement Division until the above noted time, when they will be publicly acknowledged and accepted. Proposal packets, any attachments and addenda are available for download at: https://www.myclearwater.com/business/rfp Please read the entire solicitation package and submit the bid in accordance with the instructions. This document (less this invitation and the instructions) and any required response documents, attachments, and submissions will constitute the bid. General, Process, or Technical Questions concerning this solicitation should be directed, IN WRITING, to the Procurement contact below: This Request for Proposals is issued by: Lori Vogel, CPPB Procurement Manager Lori.vogel@myclearwater.com INSTRUCTIONS Actuarial and Related Services 2 RFP #47-21 i.1 VENDOR QUESTIONS: All questions regarding the contents of this solicitation, and solicitation process (including requests for ADA accommodations), shall be directed solely to the contact listed on Page 1. Questions should be submitted in writing via letter, fax or email. Questions received less than ten (10) calendar days prior to the due date and time may be answered at the discretion of the City. i.2 ADDENDA/CLARIFICATIONS: Any changes to the specifications will be in the form of an addendum. Addenda are posted on the City website no less than seven (7) days prior to the Due Date. Vendors are cautioned to check the Purchasing Website for addenda and clarifications prior to submitting their proposal. The City cannot be held responsible if a vendor fails to receive any addenda issued. The City shall not be responsible for any oral changes to these specifications made by any employees or officer of the City. Failure to acknowledge receipt of an addendum may result in disqualification of a proposal. i.3 VENDOR CONFERENCE / SITE VISIT: Yes No Mandatory Attendance: Yes No If so designated above, attendance is mandatory as a condition of submitting a proposal. The conference/site visit provides interested parties an opportunity to discuss the City's needs, inspect the site and ask questions. During any site visit you must fully acquaint yourself with the conditions as they exist and the character of the operations to be conducted under the resulting contract. i.4 DUE DATE & TIME FOR SUBMISSION AND OPENING: Date: September 14, 2021 Time: 10:00 AM (Local Time) The City will open all proposals properly and timely submitted and will record the names and other information specified by law and rule. All proposals become the property of the City and will not be returned except in the case of a late submission. Respondent names, as read at the bid opening, will be posted on the City website. Once a notice of intent to award is posted or 30 days from day of opening elapses, whichever occurs earlier, proposals are available for inspection by contacting the Procurement Division. i.5 PROPOSAL FIRM TIME: 120 Days from Opening Proposal shall remain firm and unaltered after opening for the number of days shown above. The City may accept the proposal, subject to successful contract negotiations, at any time during this time. i.6 PROPOSAL SECURITY: Yes $ 0.00 No If so designated above, a proposal security in the amount specified must be submitted with the proposal. The security may be submitted in any one of the following forms: an executed surety bond issued by a firm licensed and registered to transact such business with the State of Florida; cash; certified check, or cashier's check payable to the City of Clearwater (personal or company checks are not acceptable); certificate of deposit or any other form of deposit issued by a financial institution and acceptable to the City. Such proposal security shall be forfeited to the City of Clearwater should the proposer selected fail to execute a contract when requested. PERFORMANCE SECURITY: Yes $ 0.00 No If required herein, the Contractor, simultaneously with the execution of the Contract, will be required to furnish a performance security. The security may be submitted in one-year increments and in any one of the following forms: an executed surety bond issued by a firm licensed and registered to transact such business with the State of Florida; cash; certified check, cashier's check or money order payable to the City of Clearwater (personal and company checks are not acceptable); certificate of deposit or any other form of deposit issued by a financial institution and acceptable to the City. If the Contractor fails or refuses to fully comply with the terms and conditions of the contract, the City shall have the right to use all or such part of said security as may be necessary to reimburse the City for loss sustained by reason of such breach. The balance of said security, if INSTRUCTIONS Actuarial and Related Services 3 RFP #47-21 any, will be returned to Contractor upon the expiration or termination of the contract. i.7 SUBMIT PROPOSALS TO: It is recommended that bids be submitted electronically through our bids website at https://www.myclearwater.com/business/rfp. Bidders may mail or hand-deliver bids to the address below. E-mail or fax submissions will not be accepted. Use label at the end of this solicitation package. City of Clearwater Attn: Procurement Division 100 S Myrtle Ave, 3rd Fl, Clearwater FL 33756-5520 or PO Box 4748, Clearwater FL 33758-4748 Proposals will be received at this address. Proposers may mail or hand-deliver proposals; e-mail or fax submissions will not be accepted. No responsibility will attach to the City of Clearwater, its employees or agents for premature opening of a proposal that is not properly addressed and identified. i.8 LATE PROPOSALS. The proposer assumes responsibility for having the proposal delivered on time at the place specified. All proposals received after the date and time specified shall not be considered and will be returned unopened to the proposer. The proposer assumes the risk of any delay in the mail or in handling of the mail by employees of the City of Clearwater, or any private courier, regardless whether sent by mail or by means of personal delivery. It shall not be sufficient to show that you mailed or commenced delivery before the due date and time. All times are Clearwater, Florida local times. The proposer agrees to accept the time stamp in the City’s Procurement Office as the official time. i.9 LOBBYING; LOBBYING NO-CONTACT PERIOD; QUESTIONS REGARDING SOLICITATION. From the time a competitive solicitation is posted until such time as the contract is awarded by the city or the solicitation is cancelled, all bidders, offerors, respondents, including their employees, representatives, and other individuals acting on their behalf, shall be prohibited from lobbying city officers, city employees, and evaluation committee members. Violation of this section may result in rejection/disqualification from award of the contract arising out of the competitive solicitation. All questions regarding the competitive solicitation must be directed to the procurement manager or designee, who will respond in writing and post such response to ensure that all respondents receive the same information during the No-Contact Period. The penalty for violating the No-Contact Period may include suspension or debarment i.10 COMMENCEMENT OF WORK. If proposer begins any billable work prior to the City’s final approval and execution of the contract, proposer does so at its own risk. i.11 RESPONSIBILITY TO READ AND UNDERSTAND. Failure to read, examine and understand the solicitation will not excuse any failure to comply with the requirements of the solicitation or any resulting contract, nor shall such failure be a basis for claiming additional compensation. If a vendor suspects an error, omission or discrepancy in this solicitation, the vendor must immediately and in any case not later than (seven (7) business days in advance of the due date notify the contact on page one (1). The City is not responsible for and will not pay any costs associated with the preparation and submission of the proposal. Proposers are cautioned to verify their proposals before submission, as amendments to or withdrawal of proposals submitted after time specified for opening of proposals may not be considered. The City will not be responsible for any proposer errors or omissions. i.12 FORM AND CONTENT OF PROPOSALS. Unless otherwise instructed or allowed, proposals shall be submitted on the forms provided. An original and the designated number of copies of each INSTRUCTIONS Actuarial and Related Services 4 RFP #47-21 proposal are required. Proposals, including modifications, must be submitted in ink, typed, or printed form and signed by an authorized representative. Please line through and initial rather than erase changes. If the proposal is not properly signed or if any changes are not initialed, it may be considered non-responsive. In the event of a disparity between the unit price and the extended price, the unit price shall prevail unless obviously in error, as determined by the City. The City may require that an electronic copy of the proposal be submitted. The proposal must provide all information requested and must address all points. The City does not encourage exceptions. The City is not required to grant exceptions and depending on the exception, the City may reject the proposal. i.13 SPECIFICATIONS. Technical specifications define the minimum acceptable standard. When the specification calls for “Brand Name or Equal,” the brand name product is acceptable. Other products will be considered upon showing the other product meets stated specifications and is equivalent to the brand product in terms of quality, performance and desired characteristics. Minor differences that do not affect the suitability of the supply or service for the City’s needs may be accepted. Burden of proof that the product meets the minimum standards or is equal to the brand name product is on the proposer. The City reserves the right to reject proposals that the City deems unacceptable. i.14 MODIFICATION / WITHDRAWAL OF PROPOSAL. Written requests to modify or withdraw the proposal received by the City prior to the scheduled opening time will be accepted and will be corrected after opening. No oral requests will be allowed. Requests must be addressed and labeled in the same manner as the proposal and marked as a MODIFICATION or WITHDRAWAL of the proposal. Requests for withdrawal after the bid opening will only be granted upon proof of undue hardship and may result in the forfeiture of any proposal security. Any withdrawal after the bid opening shall be allowed solely at the City’s discretion. i.15 DEBARMENT DISCLOSURE. If the vendor submitting a proposal has been debarred, suspended, or otherwise lawfully precluded from participating in any public procurement activity, including being disapproved as a subcontractor with any federal, state, or local government, or if any such preclusion from participation from any public procurement activity is currently pending, the proposer shall include a letter with its proposal identifying the name and address of the governmental unit, the effective date of this suspension or debarment, the duration of the suspension or debarment, and the relevant circumstances relating to the suspension or debarment. If suspension or debarment is currently pending, a detailed description of all relevant circumstances including the details enumerated above must be provided. A proposal from a proposer who is currently debarred, suspended or otherwise lawfully prohibited from any public procurement activity may be rejected. i.16 RESERVATIONS. The City reserves the right to reject any or all proposals or any part thereof; to rebid the solicitation; to reject non-responsive or non-responsible proposals; to reject unbalanced proposals; to reject proposals where the terms, prices, and/or awards are conditioned upon another event; to reject individual proposals for failure to meet any requirement; to award by item, part or portion of an item, group of items, or total; to make multiple awards; to waive minor irregularities, defects, omissions, technicalities or form errors in any proposal. The City may seek clarification of the proposal from proposer at any time, and failure to respond is cause for rejection. Submission of a proposal confers on proposer no right to an award or to a subsequent contract. The City is responsible to make an award that is in the best interest of the City. All decisions on compliance, evaluation, terms and conditions shall be made solely at the City’s discretion and made to favor the City. No binding contract will exist between the proposer and the City until the City executes a written contract or purchase order. i.17 OFFICIAL SOLICITATION DOCUMENT. Changes to the solicitation document made by a proposer may not be acknowledged or accepted by the City. Award or execution of a contract does not constitute acceptance of a changed term, condition or specification unless specifically acknowledged and agreed to by the City. The copy maintained and published by the City shall be the official solicitation document. i.18 COPYING OF PROPOSALS. Proposer hereby grants the City permission to copy all parts of its INSTRUCTIONS Actuarial and Related Services 5 RFP #47-21 proposal, including without limitation any documents and/or materials copyrighted by the proposer. The City’s right to copy shall be for internal use in evaluating the proposal. i.19 CONTRACTOR ETHICS. It is the intention of the City to promote courtesy, fairness, impartiality, integrity, service, professionalism, economy, and government by law in the Procurement process. The responsibility for implementing this policy rests with each individual who participates in the Procurement process, including Respondents and Contractors. To achieve this purpose, it is essential that Respondents and Contractors doing business with the City also observe the ethical standards prescribed herein. It shall be a breach of ethical standards to: a. Exert any effort to influence any City employee or agent to breach the standards of ethical conduct. b. Intentionally invoice any amount greater than provided in Contract or to invoice for Materials or Services not provided. c. Intentionally offer or provide sub-standard Materials or Services or to intentionally not comply with any term, condition, specification or other requirement of a City Contract. i.20 GIFTS. The City will accept no gifts, gratuities or advertising products from proposers or prospective proposers and affiliates. The City may request product samples from vendors for product evaluation. i.21 PROTESTS AND APPEALS. If a Respondent believes there is a mistake, impropriety, or defect in the solicitation, believes the City improperly rejected its proposal, and/or believes the selected proposal is not in the City’s best interests, the Respondent may submit a written protest. All protests and appeals are governed by the City of Clearwater Purchasing Policy and Procedures Section 18 (“Purchasing Policy”). If there exists any discrepancy in this Section i.21 and the Purchasing Policy, the language of the Purchasing Policy controls. Protests based upon alleged mistake, impropriety, or defect in a solicitation that is apparent before the bid opening must be filed with the Procurement Manager no later than five (5) business days before Bid Opening. Protests that only become apparent after the Bid Opening must be filed within the earlier of ten (10) business days of the alleged violation of the applicable purchasing ordinance. The complete protest procedure can be obtained by contacting the Procurement Division. ADDRESS PROTESTS TO: City of Clearwater - Procurement Division 100 So Myrtle Ave, 3rd Fl Clearwater FL 33756-5520 or PO Box 4748 Clearwater FL 33758-4748 INSTRUCTIONS – EVALUATION Actuarial and Related Services 6 RFP #47-21 i.22 EVALUATION PROCESS. Proposals will be reviewed by a screening committee comprised of City employees. The City staff may or may not initiate discussions with proposers for clarification purposes. Clarification is not an opportunity to change the proposal. Proposers shall not initiate discussions with any City employee or official. i.23 CRITERIA FOR EVALUATION AND AWARD. The City evaluates three (3) categories of information: responsiveness, responsibility, the technical proposal/price. All proposals must meet the following responsiveness and responsibility criteria. a) Responsiveness. The City will determine whether the proposal complies with the instructions for submitting proposals including completeness of proposal which encompasses the inclusion of all required attachments and submissions. The City must reject any proposals that are submitted late. Failure to meet other requirements may result in rejection. b) Responsibility. The City will determine whether the proposer is one with whom it can or should do business. Factors that the City may evaluate to determine "responsibility" include, but are not limited to: excessively high or low priced proposals, past performance, references (including those found outside the proposal), compliance with applicable laws, proposer's record of performance and integrity- e.g. has the proposer been delinquent or unfaithful to any contract with the City, whether the proposer is qualified legally to contract with the City, financial stability and the perceived ability to perform completely as specified. A proposer must at all times have financial resources sufficient, in the opinion of the City, to ensure performance of the contract and must provide proof upon request. City staff may also use Dun & Bradstreet and/or any generally available industry information. The City reserves the right to inspect and review proposer’s facilities, equipment and personnel and those of any identified subcontractors. The City will determine whether any failure to supply information, or the quality of the information, will result in rejection. c) Technical Proposal. The City will determine how well proposals meet its requirements in terms of the response to the specifications and how well the offer addresses the needs of the project. The City will rank offers using a point ranking system (unless otherwise specified) as an aid in conducting the evaluation. d) If less than three (3) responsive proposals are received, at the City’s sole discretion, the proposals may be evaluated using simple comparative analysis instead of any announced method of evaluation, subject to meeting administrative and responsibility requirements. For this RFP, the criteria that will be evaluated and their relative weights are: Evaluation Criteria (proposal format pages 21-22) Points Qualifications and Experience of the Firm (Tab 2) 35 Qualifications of Personnel (Tab 3) 20 Approach, Methodology and Timeline (Tab 4) 15 Familiarity with GASB and State of Florida reporting requirements (Tab 5) 15 References (Tab 6) 5 Contract Compensation - Costs for Services (Tab 7) 10 i.24 SHORT-LISTING. The City at its sole discretion may create a short-list of the highest ranked proposals based on evaluation against the evaluation criteria. Short-listed proposers may be invited to give presentations and/or interviews. Upon conclusion of any presentations/interviews, the City will finalize the ranking of shortlisted firms. i.25 PRESENTATIONS/INTERVIEWS Presentations and/or interviews may be requested at the City’s discretion. The location for these presentations and/or interviews will be determined by the City and may be held virtually. INSTRUCTIONS – EVALUATION Actuarial and Related Services 7 RFP #47-21 i.26 BEST & FINAL OFFERS. The City may request best & final offers if deemed necessary, and will determine the scope and subject of any best & final request. However, the proposer should not expect that the City will ask for best & finals and should submit their best offer based on the terms and conditions set forth in this solicitation. i.27 COST JUSTIFICATION. In the event only one response is received, the City may require that the proposer submit a cost proposal in sufficient detail for the City to perform a cost/price analysis to determine if the proposal price is fair and reasonable. i.28 CONTRACT NEGOTIATIONS AND ACCEPTANCE. Proposer must be prepared for the City to accept the proposal as submitted. If proposer fails to sign all documents necessary to successfully execute the final contract within a reasonable time as specified, or negotiations do not result in an acceptable agreement, the City may reject proposal or revoke the award, and may begin negotiations with another proposer. Final contract terms must be approved or signed by the appropriately authorized City official(s). No binding contract will exist between the proposer and the City until the City executes a written contract or purchase order. i.29 NOTICE OF INTENT TO AWARD. Notices of the City’s intent to award a Contract are posted to Purchasing’s website. It is the proposer’s responsibility to check the City of Clearwater’s website at https://www.myclearwater.com/business/rfp to view relevant RFP information and notices. i.30 RFP TIMELINE. Dates are tentative and subject to change. Release RFP: August 10, 2021 Advertise Tampa Bay Times: August 18, 2021 Responses due: September 14, 2021 Review proposals: September 14-28, 2021 Presentations (if requested): Week of October 11, 2021 Award recommendation: October 15, 2021 Council authorization: December 13, 2021 (Pension Trustees); December 16, 2021 Contract begins: January 1, 2022 TERMS AND CONDITIONS Actuarial and Related Services 8 RFP #47-21 S.1 DEFINITIONS. Uses of the following terms are interchangeable as referenced: “vendor, contractor, supplier, proposer, company, parties, persons”, “purchase order, PO, contract, agreement”, “city, Clearwater, agency, requestor, parties”, “bid, proposal, response, quote”. S.2 INDEPENDENT CONTRACTOR. It is expressly understood that the relationship of Contractor to the City will be that of an independent contractor. Contractor and all persons employed by Contractor, either directly or indirectly, are Contractor’s employees, not City employees. Accordingly, Contractor and Contractor’s employees are not entitled to any benefits provided to City employees including, but not limited to, health benefits, enrollment in a retirement system, paid time off or other rights afforded City employees. Contractor employees will not be regarded as City employees or agents for any purpose, including the payment of unemployment or workers’ compensation. If any Contractor employees or subcontractors assert a claim for wages or other employment benefits against the City, Contractor will defend, indemnify and hold harmless the City from all such claims. S.3 SUBCONTRACTING. Contractor may not subcontract work under this Agreement without the express written permission of the City. If Contractor has received authorization to subcontract work, it is agreed that all subcontractors performing work under the Agreement must comply with its provisions. Further, all agreements between Contractor and its subcontractors must provide that the terms and conditions of this Agreement be incorporated therein. S.4 ASSIGNMENT. This Agreement may not be assigned either in whole or in part without first receiving the City’s written consent. Any attempted assignment, either in whole or in part, without such consent will be null and void and in such event the City will have the right at its option to terminate the Agreement. No granting of consent to any assignment will relieve Contractor from any of its obligations and liabilities under the Agreement. S.5 SUCCESSORS AND ASSIGNS, BINDING EFFECT. This Agreement will be binding upon and inure to the benefit of the parties and their respective permitted successors and assigns. S.6 NO THIRD PARTY BENEFICIARIES. This Agreement is intended for the exclusive benefit of the parties. Nothing set forth in this Agreement is intended to create, or will create, any benefits, rights, or responsibilities in any third parties. S.7 NON- EXCLUSIVITY. The City, in its sole discretion, reserves the right to request the materials or services set forth herein from other sources when deemed necessary and appropriate. No exclusive rights are encompassed through this Agreement. S.8 AMENDMENTS. There will be no oral changes to this Agreement. This Agreement can only be modified in a writing signed by both parties. No charge for extra work or material will be allowed unless approved in writing, in advance, by the City and Contractor. S.9 TIME OF THE ESSENCE. Time is of the essence to the performance of the parties’ obligations under this Agreement. S.10 COMPLIANCE WITH APPLICABLE LAWS. a. General. Contractor must procure all permits and licenses, and pay all charges and fees necessary and incidental to the lawful conduct of business. Contractor must stay fully informed of existing and future federal, state, and local laws, ordinances, and regulations that in any manner affect the fulfillment of this Agreement and must comply with the same at its own expense. Contractor bears full responsibility for training, safety, and providing necessary equipment for all Contractor personnel to achieve throughout the term of the Agreement. Upon request, Contractor will demonstrate to the City's satisfaction any programs, procedures, and other activities used to ensure compliance. b. Drug-Free Workplace. Contractor is hereby advised that the City has adopted a policy establishing a drug-free workplace for itself and those doing business with the City to ensure the safety and health of all persons working on City contracts and projects. Contractor will require a drug-free workplace for all Contractor personnel working under this Agreement. Specifically, all Contractor personnel who are working under this Agreement must be notified TERMS AND CONDITIONS Actuarial and Related Services 9 RFP #47-21 in writing by Contractor that they are prohibited from the manufacture, distribution, dispensation, possession, or unlawful use of a controlled substance in the workplace. Contractor agrees to prohibit the use of intoxicating substances by all Contractor personnel, and will ensure that Contractor personnel do not use or possess illegal drugs while in the course of performing their duties. c. Federal and State Immigration Laws. Contractor agrees to comply with the Immigration Reform and Control Act of 1986 (IRCA) in performance under this Agreement and to permit the City and its agents to inspect applicable personnel records to verify such compliance as permitted by law. Contractor will ensure and keep appropriate records to demonstrate that all Contractor personnel have a legal right to live and work in the United States. (i) As applicable to Contractor, under this provision, Contractor hereby warrants to the City that Contractor and each of its subcontractors will comply with, and are contractually obligated to comply with, all federal immigration laws and regulations that relate to their employees (hereinafter “Contractor Immigration Warranty”). (ii) A breach of the Contractor Immigration Warranty will constitute as a material breach of this Agreement and will subject Contractor to penalties up to and including termination of this Agreement at the sole discretion of the City. (iii) The City retains the legal right to inspect the papers of all Contractor personnel who provide services under this Agreement to ensure that Contractor or its subcontractors are complying with the Contractor Immigration Warranty. Contractor agrees to assist the City in regard to any such inspections. (iv) The City may, at its sole discretion, conduct random verification of the employment records of Contractor and any subcontractor to ensure compliance with the Contractor Immigration Warranty. Contractor agrees to assist the City in regard to any random verification performed. (v) Neither Contractor nor any subcontractor will be deemed to have materially breached the Contractor Immigration Warranty if Contractor or subcontractor establishes that it has complied with the employment verification provisions prescribed by Sections 274A and 274B of the Federal Immigration and Nationality Act. d. Nondiscrimination. Contractor represents and warrants that it does not discriminate against any employee or applicant for employment or person to whom it provides services because of race, color, religion, sex, national origin, or disability, and represents and warrants that it complies with all applicable federal, state, and local laws and executive orders regarding employment. Contractor and Contractor’s personnel will comply with applicable provisions of Title VII of the U.S. Civil Rights Act of 1964, as amended, Section 504 of the Federal Rehabilitation Act, the Americans with Disabilities Act (42 U.S.C. § 12101 et seq.), and applicable rules in performance under this Agreement. S.11 SALES/USE TAX, OTHER TAXES. a. Contractor is responsible for the payment of all taxes including federal, state, and local taxes related to or arising out of Contractor’s services under this Agreement, including by way of illustration but not limitation, federal and state income tax, Social Security tax, unemployment insurance taxes, and any other taxes or business license fees as required. If any taxing authority should deem Contractor or Contractor employees an employee of the City, or should otherwise claim the City is liable for the payment of taxes that are Contractor’s responsibility under this Agreement, Contractor will indemnify the City for any tax liability, interest, and penalties imposed upon the City. b. The City is exempt from paying state and local sales/use taxes and certain federal excise taxes and will furnish an exemption certificate upon request. TERMS AND CONDITIONS Actuarial and Related Services 10 RFP #47-21 S.12 AMOUNTS DUE THE CITY. Contractor must be current and remain current in all obligations due to the City during the performance of services under the Agreement. Payments to Contractor may be offset by any delinquent amounts due the City or fees and charges owed to the City. S.13 OPENNESS OF PROCUREMENT PROCESS. Written competitive proposals, replies, oral presentations, meetings where vendors answer questions, other submissions, correspondence, and all records made thereof, as well as negotiations or meetings where negotiation strategies are discussed, conducted pursuant to this RFP, shall be handled in compliance with Chapters 119 and 286, Florida Statutes. Proposals or replies received by the City pursuant to this RFP are exempt from public disclosure until such time that the City provides notice of an intended decision or until 30 days after opening the proposals, whichever is earlier. If the City rejects all proposals or replies pursuant to this RFP and provides notice of its intent to reissue the RFP, then the rejected proposals or replies remain exempt from public disclosure until such time that the City provides notice of an intended decision concerning the reissued RFP or until the City withdraws the reissued RFP. A proposal or reply shall not be exempt from public disclosure longer than 12 months after the initial City notice rejecting all proposals or replies. Oral presentations, meetings where vendors answer questions, or meetings convened by City staff to discuss negotiation strategies, if any, shall be closed to the public (and other proposers) in compliance with Chapter 286 Florida Statutes. A complete recording shall be made of such closed meeting. The recording of, and any records presented at, the exempt meeting shall be available to the public when the City provides notice of an intended decision or until 30 days after opening proposals or final replies, whichever occurs first. If the City rejects all proposals or replies pursuant to this RFP and provides notice of its intent to reissue the RFP, then the recording and any records presented at the exempt meeting remain exempt from public disclosure until such time that the City provides notice of an intended decision concerning the reissued RFP or until the City withdraws the reissued RFP. A recording and any records presented at an exempt meeting shall not be exempt from public disclosure longer than 12 months after the initial City notice rejecting all proposals or replies. In addition to all other contract requirements as provided by law, the contractor executing this agreement agrees to comply with public records law. IF THE CONTRACTOR HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE CONTRACTOR’S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS CONTRACT, CONTACT THE CUSTODIAN OF PUBLIC RECORDS, Rosemarie Call, phone: 727-562-4092 or Rosemarie.Call@myclearwater.com, 600 Cleveland Street, Suite 600, Clearwater, FL 33755. The contractor’s agreement to comply with public records law applies specifically to: a) Keep and maintain public records required by the City of Clearwater (hereinafter “public agency”) to perform the service being provided by the contractor hereunder. b) Upon request from the public agency’s custodian of public records, provide the public agency with a copy of the requested records or allow the records to be inspected or copied within a reasonable time at a cost that does not exceed the cost provided for in Chapter 119, Florida Statutes, as may be amended from time to time, or as otherwise provided by law. c) Ensure that the public records that are exempt or confidential and exempt from public records disclosure requirements are not disclosed except as authorized by law for the duration of the contract term and following completion of the contract if the contractor does not transfer the records to the public agency. TERMS AND CONDITIONS Actuarial and Related Services 11 RFP #47-21 d) Upon completion of the contract, transfer, at no cost, to the public agency all public records in possession of the contractor or keep and maintain public records required by the public agency to perform the service. If the contractor transfers all public records to the public agency upon completion of the contract, the contractor shall destroy any duplicate public records that are exempt or confidential and exempt from public records disclosure requirements. If the contractor keeps and maintains public records upon completion of the contract, the contractor shall meet all applicable requirements for retaining public records. All records stored electronically must be provided to the public agency, upon request from the public agency’s custodian of public records, in a format that is compatible with the information technology systems of the public agency. e) A request to inspect or copy public records relating to a public agency’s contract for services must be made directly to the public agency. If the public agency does not possess the requested records, the public agency shall immediately notify the contractor of the request and the contractor must provide the records to the public agency or allow the records to be inspected or copied within a reasonable time. f) The contractor hereby acknowledges and agrees that if the contractor does not comply with the public agency’s request for records, the public agency shall enforce the contract provisions in accordance with the contract. g) A contractor who fails to provide the public records to the public agency within a reasonable time may be subject to penalties under Section 119.10, Florida Statutes. h) If a civil action is filed against a contractor to compel production of public records relating to a public agency’s contract for services, the court shall assess and award against the contractor the reasonable costs of enforcement, including reasonable attorney fees, if: 1. The court determines that the contractor unlawfully refused to comply with the public records request within a reasonable time; and 2. At least eight (8) business days before filing the action, the plaintiff provided written notice of the public records request, including a statement that the contractor has not complied with the request, to the public agency and to the contractor. i) A notice complies with subparagraph (h)2. if it is sent to the public agency’s custodian of public records and to the contractor at the contractor’s address listed on its contract with the public agency or to the contractor’s registered agent. Such notices must be sent by common carrier delivery service or by registered, Global Express Guaranteed, or certified mail, with postage or shipping paid by the sender and with evidence of delivery, which may be in an electronic format. A contractor who complies with a public records request within 8 business days after the notice is sent is not liable for the reasonable costs of enforcement. S.14 AUDITS AND RECORDS. Contractor must preserve the records related to this Agreement for five (5) years after completion of the Agreement. The City or its authorized agent reserves the right to inspect any records related to the performance of work specified herein. In addition, the City may inspect any and all payroll, billing or other relevant records kept by Contractor in relation to the Agreement. Contractor will permit such inspections and audits during normal business hours and upon reasonable notice by the City. The audit of records may occur at Contractor’s place of business or at City offices, as determined by the City. S.15 BACKGROUND CHECK. The City may conduct criminal, driver history, and all other requested background checks of Contractor personnel who would perform services under the Agreement or who will have access to the City’s information, data, or facilities in accordance with the City’s current TERMS AND CONDITIONS Actuarial and Related Services 12 RFP #47-21 background check policies. Any officer, employee, or agent that fails the background check must be replaced immediately for any reasonable cause not prohibited by law. S.16 SECURITY CLEARANCE AND REMOVAL OF CONTRACTOR PERSONNEL. The City will have final authority, based on security reasons: (i) to determine when security clearance of Contractor personnel is required; (ii) to determine the nature of the security clearance, up to and including fingerprinting Contractor personnel; and (iii) to determine whether or not any individual or entity may provide services under this Agreement. If the City objects to any Contractor personnel for any reasonable cause not prohibited by law, then Contractor will, upon notice from the City, remove any such individual from performance of services under this Agreement. S.17 DEFAULT. a. A party will be in default if that party: (i) Is or becomes insolvent or is a party to any voluntary bankruptcy or receivership proceeding, makes an assignment for a creditor, or there is any similar action that affects Contractor’s capability to perform under the Agreement; (ii) Is the subject of a petition for involuntary bankruptcy not removed within sixty (60) calendar days; (iii) Conducts business in an unethical manner or in an illegal manner; or (iv) Fails to carry out any term, promise, or condition of the Agreement. b. Contractor will be in default of this Agreement if Contractor is debarred from participating in City procurements and solicitations in accordance with Section 27 of the City’s Purchasing and Procedures Manual. c. Notice and Opportunity to Cure. In the event a party is in default then the other party may, at its option and at any time, provide written notice to the defaulting party of the default. The defaulting party will have thirty (30) days from receipt of the notice to cure the default; the thirty (30) day cure period may be extended by mutual agreement of the parties, but no cure period may exceed ninety (90) days. A default notice will be deemed to be sufficient if it is reasonably calculated to provide notice of the nature and extent of such default. Failure of the non-defaulting party to provide notice of the default does not waive any rights under the Agreement. d. Anticipatory Repudiation. Whenever the City in good faith has reason to question Contractor’s intent or ability to perform, the City may demand that Contractor give a written assurance of its intent and ability to perform. In the event that the demand is made and no written assurance is given within five (5) calendar days, the City may treat this failure as an anticipatory repudiation of the Agreement. S.18 REMEDIES. The remedies set forth in this Agreement are not exclusive. Election of one remedy will not preclude the use of other remedies. In the event of default: a. The non-defaulting party may terminate the Agreement, and the termination will be effective immediately or at such other date as specified by the terminating party. b. The City may purchase the services required under the Agreement from the open market, complete required work itself, or have it completed at the expense of Contractor. If the cost of obtaining substitute services exceeds the contract price, the City may recover the excess cost by: (i) requiring immediate reimbursement to the City; (ii) deduction from an unpaid balance due to Contractor; (iii) collection against the proposal and/or performance security, if any; (iv) collection against liquidated damages (if applicable); or (v) a combination of the aforementioned remedies or other remedies as provided by law. Costs includes any and all, fees, and expenses incurred in obtaining substitute services and expended in obtaining reimbursement, including, but not limited to, administrative expenses, attorneys’ fees, and costs. TERMS AND CONDITIONS Actuarial and Related Services 13 RFP #47-21 c. The non-defaulting party will have all other rights granted under this Agreement and all rights at law or in equity that may be available to it. d. Neither party will be liable for incidental, special, or consequential damages. S.19 CONTINUATION DURING DISPUTES. Contractor agrees that during any dispute between the parties, Contractor will continue to perform its obligations until the dispute is settled, instructed to cease performance by the City, enjoined or prohibited by judicial action, or otherwise required or obligated to cease performance by other provisions in this Agreement. S.20 TERMINATION FOR CONVENIENCE. The City reserves the right to terminate this Agreement in part or in whole upon thirty (30) calendar days’ written notice. S.21 CONFLICT OF INTEREST F.S. Section 112. Pursuant to F.S. Section 112, the City may cancel this Agreement after its execution, without penalty or further obligation, if any person significantly involved in initiating, securing, drafting, or creating the Agreement for the City becomes an employee or agent of Contractor. S.22 TERMINATION FOR NON-APPROPRIATION AND MODIFICATION FOR BUDGETARY CONSTRAINT. The City is a governmental agency which relies upon the appropriation of funds by its governing body to satisfy its obligations. If the City reasonably determines that it does not have funds to meet its obligations under this Agreement, the City will have the right to terminate the Agreement without penalty on the last day of the fiscal period for which funds were legally available. In the event of such termination, the City agrees to provide written notice of its intent to terminate thirty (30) calendar days prior to the stated termination date. S.23 PAYMENT TO CONTRACTOR UPON TERMINATION. Upon termination of this Agreement, Contractor will be entitled only to payment for those services performed up to the date of termination, and any authorized expenses already incurred up to such date of termination. The City will make final payment within thirty (30) calendar days after the City has both completed its appraisal of the materials and services provided and received Contractor’s properly prepared final invoice. S.24 NON-WAIVER OF RIGHTS. There will be no waiver of any provision of this agreement unless approved in writing and signed by the waiving party. Failure or delay to exercise any rights or remedies provided herein or by law or in equity, or the acceptance of, or payment for, any services hereunder, will not release the other party of any of the warranties or other obligations of the Agreement and will not be deemed a waiver of any such rights or remedies. S.25 INDEMNIFICATION/LIABILITY. a. To the fullest extent permitted by law, Contractor agrees to defend, indemnify, and hold the City, its officers, agents, and employees, harmless from and against any and all liabilities, demands, claims, suits, losses, damages, causes of action, fines or judgments, including costs, attorneys’, witnesses’, and expert witnesses’ fees, and expenses incident thereto, relating to, arising out of, or resulting from: (i) the services provided by Contractor personnel under this Agreement; (ii) any negligent acts, errors, mistakes or omissions by Contractor or Contractor personnel; and (iii) Contractor or Contractor personnel’s failure to comply with or fulfill the obligations established by this Agreement. b. Contractor will update the City during the course of the litigation to timely notify the City of any issues that may involve the independent negligence of the City that is not covered by this indemnification. c. The City assumes no liability for actions of Contractor and will not indemnify or hold Contractor or any third party harmless for claims based on this Agreement or use of Contractor-provided supplies or services. S.26 WARRANTY. Contractor warrants that the services and materials will conform to the requirements of the Agreement. Additionally, Contractor warrants that all services will be performed in a good, workman-like and professional manner. The City’s acceptance of service or materials provided by Contractor will not relieve Contractor from its obligations under this warranty. If any materials or TERMS AND CONDITIONS Actuarial and Related Services 14 RFP #47-21 services are of a substandard or unsatisfactory manner as determined by the City, Contractor, at no additional charge to the City, will provide materials or redo such services until in accordance with this Agreement and to the City’s reasonable satisfaction. Unless otherwise agreed, Contractor warrants that materials will be new, unused, of most current manufacture and not discontinued, will be free of defects in materials and workmanship, will be provided in accordance with manufacturer's standard warranty for at least one (1) year unless otherwise specified, and will perform in accordance with manufacturer's published specifications. S.27 THE CITY’S RIGHT TO RECOVER AGAINST THIRD PARTIES. Contractor will do nothing to prejudice the City’s right to recover against third parties for any loss, destruction, or damage to City property, and will at the City’s request and expense, furnish to the City reasonable assistance and cooperation, including assistance in the prosecution or defense of suit and the execution of instruments of assignment in favor of the City in obtaining recovery. S.28 NO GUARANTEE OF WORK. Contractor acknowledges and agrees that it is not entitled to deliver any specific amount of materials or services or any materials or services at all under this Agreement and acknowledges and agrees that the materials or services will be requested by the City on an as needed basis at the sole discretion of the City. Any document referencing quantities or performance frequencies represent the City's best estimate of current requirements, but will not bind the City to purchase, accept, or pay for materials or services which exceed its actual needs. S.29 OWNERSHIP. All deliverables, services, and information provided by Contractor or the City pursuant to this Agreement (whether electronically or manually generated) including without limitation, reports, test plans, and survey results, graphics, and technical tables, originally prepared in the performance of this Agreement, are the property of the City and will not be used or released by Contractor or any other person except with prior written permission by the City. S.30 USE OF NAME. Contractor will not use the name of the City of Clearwater in any advertising or publicity without obtaining the prior written consent of the City. S.31 PROHIBITED ACTS. Pursuant to Florida Constitution Article II Section 8, a current or former public officer or employee within the last two (2) years shall not represent another organization before the City on any matter for which the officer or employee was directly concerned and personally participated in during their service or employment or over which they had a substantial or material administrative discretion. S.32 FOB DESTINATION FREIGHT PREPAID AND ALLOWED. All deliveries will be FOB destination freight prepaid and allowed unless otherwise agreed. S.33 RISK OF LOSS. Contractor agrees to bear all risks of loss, injury, or destruction of goods or equipment incidental to providing these services and such loss, injury, or destruction will not release Contractor from any obligation hereunder. S.34 SAFEGUARDING CITY PROPERTY. Contractor will be responsible for any damage to City real property or damage or loss of City personal property when such property is the responsibility of or in the custody of Contractor or its employees. S.35 WARRANTY OF RIGHTS. Contractor warrants it has title to, or the right to allow the City to use, the materials and services being provided and that the City may use same without suit, trouble or hindrance from Contractor or third parties. S.36 PROPRIETARY RIGHTS INDEMNIFICATION. Without limiting the foregoing, Contractor will without limitation, at its expense defend the City against all claims asserted by any person that anything provided by Contractor infringes a patent, copyright, trade secret or other intellectual property right and must, without limitation, pay the costs, damages and attorneys' fees awarded against the City in any such action, or pay any settlement of such action or claim. Each party agrees to notify the other promptly of any matters to which this provision may apply and to cooperate with each other in connection with such defense or settlement. If a preliminary or final judgment is obtained against the City’s use or operation of the items provided by Contractor hereunder or any part thereof by reason of any alleged infringement, Contractor will, at its expense and without TERMS AND CONDITIONS Actuarial and Related Services 15 RFP #47-21 limitation, either: (a) modify the item so that it becomes non-infringing; (b) procure for the City the right to continue to use the item; (c) substitute for the infringing item other item(s) having at least equivalent capability; or (d) refund to the City an amount equal to the price paid, less reasonable usage, from the time of installation acceptance through cessation of use, which amount will be calculated on a useful life not less than five (5) years, plus any additional costs the City may incur to acquire substitute supplies or services. S.37 CONTRACT ADMINISTRATION. The contract will be administered by the Procurement Division and/or an authorized representative from the using department. All questions regarding the contract will be referred to the Procurement Division for resolution. Supplements may be written to the contract for the addition or deletion of services. S.38 FORCE MAJEURE. Failure by either party to perform its duties and obligations will be excused by unforeseeable circumstances beyond its reasonable control, including acts of nature, acts of the public enemy, riots, fire, explosion, legislation, and governmental regulation. The party whose performance is so affected will within five (5) calendar days of the unforeseeable circumstance notify the other party of all pertinent facts and identify the force majeure event. The party whose performance is so affected must also take all reasonable steps, promptly and diligently, to prevent such causes if it is feasible to do so, or to minimize or eliminate the effect thereof. The delivery or performance date will be extended for a period equal to the time lost by reason of delay, plus such additional time as may be reasonably necessary to overcome the effect of the delay, provided however, under no circumstances will delays caused by a force majeure extend beyond one hundred-twenty (120) calendar days from the scheduled delivery or completion date of a task unless agreed upon by the parties. S.39 COOPERATIVE USE OF CONTRACT. The City has entered into various cooperative purchasing agreements with other Florida government agencies, including the Tampa Bay Area Purchasing Cooperative. Under a Cooperative Purchasing Agreement, any contract may be extended for use by other municipalities, school districts and government agencies with the approval of Contractor. Any such usage by other entities must be in accordance with the statutes, codes, ordinances, charter and/or procurement rules and regulations of the respective government agency. Orders placed by other agencies and payment thereof will be the sole responsibility of that agency. The City is not responsible for any disputes arising out of transactions made by others. S.40 FUEL CHARGES AND PRICE INCREASES. No fuel surcharges will be accepted. No price increases will be accepted without proper request by Contractor and response by the City’s Procurement Division. S.41 NOTICES. All notices to be given pursuant to this Agreement must be delivered to the parties at their respective addresses. Notices may be (i) personally delivered; (ii) sent via certified or registered mail, postage prepaid; (iii) sent via overnight courier; or (iv) sent via facsimile. If provided by personal delivery, receipt will be deemed effective upon delivery. If sent via certified or registered mail, receipt will be deemed effective three (3) calendar days after being deposited in the United States mail. If sent via overnight courier or facsimile, receipt will be deemed effective two (2) calendar days after the sending thereof. S.42 GOVERNING LAW, VENUE. This Agreement is governed by the laws of the State of Florida. The exclusive venue selected for any proceeding or suit in law or equity arising from or incident to this Agreement will be Pinellas County, Florida. S.43 INTEGRATION CLAUSE. This Agreement, including all attachments and exhibits hereto, supersede all prior oral or written agreements, if any, between the parties and constitutes the entire agreement between the parties with respect to the work to be performed. S.44 PROVISIONS REQUIRED BY LAW. Any provision required by law to be in this Agreement is a part of this Agreement as if fully stated in it. S.45 SEVERABILITY. If any provision of this Agreement is declared void or unenforceable, such provision will be severed from this Agreement, which will otherwise remain in full force and effect. The parties will negotiate diligently in good faith for such amendment(s) of this Agreement as may TERMS AND CONDITIONS Actuarial and Related Services 16 RFP #47-21 be necessary to achieve the original intent of this Agreement, notwithstanding such invalidity or unenforceability. S.46 SURVIVING PROVISIONS. Notwithstanding any completion, termination, or other expiration of this Agreement, all provisions which, by the terms of reasonable interpretation thereof, set forth rights and obligations that extend beyond completion, termination, or other expiration of this Agreement, will survive and remain in full force and effect. Except as specifically provided in this Agreement, completion, termination, or other expiration of this Agreement will not release any party from any liability or obligation arising prior to the date of termination. DETAILED SPECIFICATIONS Actuarial and Related Services 17 RFP #47-21 1. INTRODUCTION. The City of Clearwater (City) is located on the West Coast of Florida in the Tampa Bay region. It is the third largest city in the region with an estimated population of nearly 118,017 residents. The City of Clearwater is also a major tourist destination – Clearwater Beach was rated #1 U.S. Beach by TripAdvisor’s Traveler’s Choice Awards in 2018 and 2019 and is consistently ranked as one of the top beaches in the world. The City of Clearwater is home to the Philadelphia Phillies Spring Training and Clearwater Threshers Minor League Baseball, as well as hosting several sports tournaments through the year that attract visitors from across the country. Clearwater is home to Winter the Dolphin and the Clearwater Marine Aquarium. Winter’s story made it all the way to Hollywood in the motion pictures “Dolphin Tale” and “Dolphin Tale 2”, both filmed here in Clearwater. 2. BACKGROUND. The City operates a single employer, self-administered defined benefit pension plan for eligible City employees. The City’s Employee Pension Plan (Plan) is included as a fiduciary fund in the City’s Annual Comprehensive Financial Report (fiscal year-ends September 30th) and does not have separately issued financial statements. Public safety members contribute ten percent (10%) of their earnings on a pre-tax basis, while all other members contribute eight percent (8%). The City contributes the balance required per the actuarial valuation, but the pension plan ordinance requires a minimum City/employer contribution of seven percent (7%) of covered salaries and wages regardless of the actuarial funding requirement. The Plan has differing benefits for public safety versus other employees, as well as a two-tier structure resulting from pension reform changes implemented January 1, 2013. Additional information on the Plan can be found on the City’s website at: https://www.myclearwater.com/government/city-departments/finance-budget/documents-publications. The City has a liability for other post-employment benefits due to the inclusion of retirees in the City’s group health insurance and life insurance plans. The health insurance OPEB benefit is the “implicit” subsidy only, due to the inclusion of retirees in the group plan per state law. The City would prefer alternating biannual OPEB actuarial valuations and biannual “roll-forwards” when appropriate. 3. SCOPE OF SERVICES. The City is requesting proposals from qualified actuarial consulting firms to provide actuarial and other related services. The City seeks services for both funding and financial reporting for the City’s Employee Pension Plan (Plan) as well as for the City’s other post-employment benefit (OPEB) services. The City would prefer to utilize the same actuary for both the pension plan and OPEB but will award to separate firms if in the City’s best interest. 3.1 Annual services: a. Prepare and provide actuarial valuation report for the Plan for funding purposes as of January 1st by April 30th annually. Separate funding/required contribution calculations are required for Fire & Rescue, Police, and non-hazardous categories. Twelve (12) hard copies and one (1) electronic PDF version of the report must be provided. b. Provide information to satisfy the requirements of Governmental Accounting Standards Board (GASB) Statement No. 67, Financial Reporting for Pension Plans, and Statement No. 68, Accounting and Financial Reporting for Pensions, using the current fiscal year-end as the measurement date for current year reporting and using data from the most recent January 1st actuarial valuation report. This information must be provided by January 15th annually. Timeliness of this information is critical given the use of current fiscal year-end for the measurement date. One (1) electronic PDF version must be provided. c. Provide disclosure reports to satisfy requirements of Chapter 112.664, Florida Statutes, by May 15th annually. One (1) electronic PDF version must be provided. d. Prepare and provide individual employee benefit statements by May 31st annually. The benefit statements, to be distributed to employees, should include such information as projected plan benefits, employee contributions, accrued plan benefits, date of 100% vesting, etc. Statements are to be provided electronically in PDF format. DETAILED SPECIFICATIONS Actuarial and Related Services 18 RFP #47-21 e. Prepare and provide “Actuarial Confirmation of the Use of State Moneys” per State of Florida Division of Retirement requirements per provisions of Sections 175.351 and 185.35, Florida Statutes, as amended by Chapter 99.1, Laws of Florida. Must be provided by March 15th annually. 3.2 Annual and/or biannual services: a. Prepare and provide actuarial valuation reports for OPEB as of January 1st for fiscal year ending September 30th, annually or biannually, to be delivered by December 31st annually. One (1) electronic PDF version must be provided. b. As appropriate, prepare and provide biannual actuarial roll-forward reports for OPEB using the prior year OPEB valuation report. The roll-forward will be performed on the same basis as the regular actuarial valuation and must also be delivered to the City by December 31st annually. One electronic PDF version is to be provided. 3.3 Related services: a. Prepare and provide an experience study to evaluate current actuarial assumptions and methods used by the Plan and recommend changes as appropriate, including the financial effect of proposed changes. One (1) experience study is expected during the five-year term of this agreement. b. Provide pension buy-back calculations, responses to inquiries from the State of Florida Division of Retirement, and other actuarial advice and calculations as requested. 4. MINIMUM QUALIFICATIONS. Interested firms must demonstrate five (5) years of experience providing actuarial services to public entities in the United States. 5. INSURANCE REQUIREMENTS. The Vendor shall, at its own cost and expense, acquire and maintain (and cause any subcontractors, representatives or agents to acquire and maintain) during the term with the City, sufficient insurance to adequately protect the respective interest of the parties. Coverage shall be obtained with a carrier having an AM Best Rating of A-VII or better. In addition, the City has the right to review the Contractor’s deductible or self-insured retention and to require that it be reduced or eliminated. Specifically the Vendor must carry the following minimum types and amounts of insurance on an occurrence basis or in the case of coverage that cannot be obtained on an occurrence basis, then coverage can be obtained on a claims-made basis with a minimum three (3) year tail following the termination or expiration of this Agreement: a. Commercial General Liability Insurance coverage, including but not limited to, premises operations, products/completed operations, products liability, contractual liability, advertising injury, personal injury, death, and property damage in the minimum amount of $1,000,000 (one million dollars) per occurrence and $2,000,000 (two million dollars) general aggregate. b. Commercial Automobile Liability Insurance coverage for any owned, non-owned, hired or borrowed automobile is required in the minimum amount of $1,000,000 (one million dollars) combined single limit. c. Professional Liability/Malpractice/Errors or Omissions Insurance coverage appropriate for the type of business engaged in by the Respondent with minimum limits of $2,000,000 (two million dollars) per occurrence. If a claims made form of coverage is provided, the retroactive date of coverage shall be no later than the inception date of claims made coverage, unless the prior policy was extended indefinitely to cover prior acts. Coverage shall be extended beyond the policy year either by a supplemental extended reporting period (SERP) of as great a duration as available, and with no less coverage and with reinstated aggregate limits, or by requiring that any new policy provide a retroactive date no later than the inception date of claims made coverage. DETAILED SPECIFICATIONS Actuarial and Related Services 19 RFP #47-21 d. Unless waived by the State of Florida and proof of waiver is provided to the City, statutory Workers’ Compensation Insurance coverage in accordance with the laws of the State of Florida, and Employer’s Liability Insurance in the minimum amount of $500,000 (five hundred thousand dollars) each employee each accident, $500,000 (five hundred thousand dollars) each employee by disease, and $500,000 (five hundred thousand dollars) disease policy limit. Coverage should include Voluntary Compensation, Jones Act, and U.S. Longshoremen’s and Harbor Worker’s Act coverage where applicable. Coverage must be applicable to employees, contractors, subcontractors, and volunteers, if any. The above insurance limits may be achieved by a combination of primary and umbrella/excess liability policies. Other Insurance Provisions. a. Prior to the execution of this Agreement, and then annually upon the anniversary date(s) of the insurance policy’s renewal date(s) for as long as this Agreement remains in effect, the Vendor will furnish the City with a Certificate of Insurance(s) (using appropriate ACORD certificate, SIGNED by the Issuer, and with applicable endorsements) evidencing all of the coverage set forth above and naming the City as an “Additional Insured” on the Commercial General Liability Insurance and the Commercial Automobile Liability Insurance. In addition when requested in writing from the City, Vendor will provide the City with certified copies of all applicable policies. The address where such certificates and certified policies shall be sent or delivered is as follows: City of Clearwater Attn: Procurement Division, RFP #47-21 P.O. Box 4748 Clearwater, FL 33758-4748 b. Vendor shall provide thirty (30) days written notice of any cancellation, non-renewal, termination, material change or reduction in coverage. c. Vendor’s insurance as outlined above shall be primary and non-contributory coverage for Vendor’s negligence. d. Vendor reserves the right to appoint legal counsel to provide for the Vendor’s defense, for any and all claims that may arise related to Agreement, work performed under this Agreement, or to Vendor’s design, equipment, or service. Vendor agrees that the City shall not be liable to reimburse Vendor for any legal fees or costs as a result of Vendor providing its defense as contemplated herein. The stipulated limits of coverage above shall not be construed as a limitation of any potential liability to the City, and City’s failure to request evidence of this insurance shall not be construed as a waiver of Vendor’s (or any contractors’, subcontractors’, representatives’ or agents’) obligation to provide the insurance coverage specified. MILESTONES Actuarial and Related Services 20 RFP #47-21 1. ANTICIPATED BEGINNING AND END DATE OF INITIAL TERM. January 1, 2022 through December 31, 2026. If the commencement of performance is delayed because the City does not execute the contract on the start date, the City may adjust the start date, end date and milestones to reflect the delayed execution. 2. EXTENSION. The City reserves the right to extend the term of this contract, provided however, that the City shall give written notice of its intentions to extend this contract no later than thirty (30) days prior to the expiration date of the contract. 3. RENEWAL. At the end of the initial term of this contract, the City may initiate renewal(s) as provided herein. The decision to renew a contract rests solely with the City. The City will give written notice of its intention to renew the contract no later than thirty (30) days prior to the expiration. One (1), three (3) year renewal is possible at the City’s option. 4. PRICES. All pricing shall be firm for the five (5) year term except where otherwise provided by the specifications, and include all transportation, insurance and warranty costs. The City shall not be invoiced at prices higher than those stated in any contract resulting from this proposal. a. The Contractor certifies that the prices offered are no higher than the lowest price the Contractor charges other buyers for similar quantities under similar conditions. The Contractor further agrees that any reductions in the price of the goods or services covered by this proposal and occurring after award will apply to the undelivered balance. The Contractor shall promptly notify the City of such price reductions. b. At the end of the five (5) year term, pricing may be adjusted for amounts other than inflation based on mutual agreement of the parties after review of appropriate documentation. Renewal prices shall be firm for the three (3) year renewal term. c. No fuel surcharges will be accepted. RESPONSE ELEMENTS Actuarial and Related Services 21 RFP #47-21 1. PROPOSAL SUBMISSION - It is recommended that proposals are submitted electronically through our bids website at https://www.myclearwater.com/business/rfp.    For proposals mailed and/or hand-delivered, firm must submit one (1) signed original (identified as ORIGINAL) proposal, five (5) copies of the proposal and one (1) copy in an electronic format, on a disc or thumb drive, in a sealed container using the label provided at the end of this solicitation.    NOTE:  If submitting proposals electronically, hard copies are not required.  2. PROPOSAL FORMAT (the following should be included and referenced with index tabs) NOTE: Every proposal received by the City will be considered a public record pursuant to Chapter 119, Florida Statutes. Any response marked confidential may be deemed non-responsive to this RFP. Table of Contents: Identify contents by tab and page number TAB 1 - Letter of Transmittal. A brief letter of transmittal should be submitted that includes the following information: 1. The proposer’s understanding of the work to be performed. 2. A positive commitment to perform the service within the time period specified. 3. The names of key persons, representatives, project managers who will be the main contacts for the City regarding this project. TAB 2 – Qualifications and Experience of the Firm. The following information should be included: 1. A statement of qualifications, abilities, experience and expertise in providing the requested services: a. Statement of what qualifies your company, financial and otherwise, to provide the City with these services for the required period of time, provide appropriate staffing, provide necessary resources; and show a history of demonstrated competence. b. Size of firm, organizational structure, location of management, and charter authorization and licenses to do business in the State of Florida. c. Description of resources available to your firm and expertise in the governmental field. d. Overview of any current litigation your firm is a party to. TAB 3 – Qualifications of Personnel. The following information should be included: 1. Provide resumes of the personnel who would be directly involved in performing actuarial services for the City and the pension plan, including: a. Formal and supplemental education, certifications, and licenses if applicable b. Experience in performing actuarial services including pension plan for governmental clients c. Memberships in professional organizations TAB 4 – Approach, Methodology, and Timeline. The following information should be included: a. Proposed approach and methodology for gathering of data and completion of the valuation b. Proposed timeline including all significant milestones TAB 5 – Familiarity with GASB and State of Florida reporting requirements. Demonstrate your understanding of all applicable GASB and State of Florida reporting requirements for the pension plan and the City. TAB 6 – References. Provide at least four (4) complete references for which similar services are currently provided, preferably governmental clients and pension plans in the State of Florida. Include the name of entity, contact person’s names, phone numbers, e-mail addresses, mailing addresses, types of services provided, and dates these services were provided. RESPONSE ELEMENTS Actuarial and Related Services 22 RFP #47-21 TAB 7 - Contract and Compensation – Cost of Services. 1. Provide the firm’s proposed fee schedule for the outlined services, including whether fee is on a project basis or hourly basis, the estimated number of hours and total cost, and any other costs which would be reasonably expected to occur as a result of the contract performance. If applicable, provide projected hourly cost increases for years two (2) through (5) of the contract. Costs should be quoted on each service as follows: a. Annual pension plan actuarial valuation for funding purposes b. Annual pension plan actuarial report for fiscal year-end financial reporting purposes, including all applicable GASB and State of Florida annual reporting requirements c. Annual reporting requirements per Chapter 112.664, Florida Statutes d. Annual and/or biannual postemployment benefits actuarial valuation e. Annual employee benefit statements f. Any other annual fees per scope of services g. Experience study – anticipated to be completed for the five years ended either 12/31/21 or 12/31/22 h. Consultation to City staff on actuarial related issues (hourly rate) as requested TAB 8 - Other Forms. The following forms should be completed and signed: 1. Exceptions/Additional Materials/Addenda form 2. Vendor Information form 3. Vendor Certification of Proposal form 4. Scrutinized Companies form(s) as required 5. E-Verify Eligibility form 6. W-9 Form. Include a current W-9 form (http://www.irs.gov/pub/irs-pdf/fw9.pdf) EXCEPTIONS / ADDITIONAL MATERIAL / ADDENDA Actuarial and Related Services 23 RFP #47-21 Proposers shall indicate any and all exceptions taken to the provisions or specifications in this solicitation document. Exceptions that surface elsewhere and that do not also appear under this section shall be considered invalid and void and of no contractual significance. Exceptions (mark one): **Special Note – Any material exceptions taken to the City’s Terms and Conditions may render a Proposal non-responsive. No exceptions Exceptions taken (describe--attach additional pages if needed) Additional Materials submitted (mark one): No additional materials have been included with this proposal Additional Materials attached (describe--attach additional pages if needed) Acknowledgement of addenda issued for this solicitation: Prior to submitting a response to this solicitation, it is the vendor’s responsibility to confirm if any addenda have been issued. Addenda Number Initial to acknowledge receipt Vendor Name Date: VENDOR INFORMATION Actuarial and Related Services 24 RFP #47-21 Company Legal/Corporate Name: Doing Business As (if different than above): Address: City: State: Zip: - Phone: Fax: E-Mail Address: Website: DUNS # Remit to Address (if different than above): Order from Address (if different from above): Address: Address: City: State: Zip: City: State: Zip: Contact for Questions about this proposal: Name: Fax: Phone: E-Mail Address: Day-to-Day Project Contact (if awarded): Name: Fax: Phone: E-Mail Address: Certified Small Business Certifying Agency: Certified Minority, Woman or Disadvantaged Business Enterprise Certifying Agency: Provide supporting documentation for your certification, if applicable. VENDOR CERTIFICATION OF PROPOSAL Actuarial and Related Services 25 RFP #47-21 By signing and submitting this Proposal, the Vendor certifies that: a) It is under no legal prohibition to contract with the City of Clearwater. b) It has read, understands, and is in compliance with the specifications, terms and conditions stated herein, as well as its attachments, and any referenced documents. c) It has no known, undisclosed conflicts of interest. d) The prices offered were independently developed without consultation or collusion with any of the other respondents or potential respondents or any other anti-competitive practices. e) No offer of gifts, payments or other consideration were made to any City employee, officer, elected official, or consultant who has or may have had a role in the procurement process for the services and or goods/materials covered by this contract. f) It understands the City of Clearwater may copy all parts of this response, including without limitation any documents and/or materials copyrighted by the respondent, for internal use in evaluating respondent’s offer, or in response to a public records request under Florida’s public records law (F.S. 119) or other applicable law, subpoena, or other judicial process. g) Respondent hereby warrants to the City that the respondent and each of its subcontractors (“Subcontractors”) will comply with, and are contractually obligated to comply with, all Federal Immigration laws and regulations that relate to their employees. h) Respondent certifies that they are not in violation of section 6(j) of the Federal Export Administration Act and not debarred by any Federal or public agency. i) It will provide the materials or services specified in compliance with all Federal, State, and Local Statutes and Rules if awarded by the City. j) It is current in all obligations due to the City. k) It will accept such terms and conditions in a resulting contract if awarded by the City. l) The signatory is an officer or duly authorized agent of the respondent with full power and authority to submit binding offers for the goods or services as specified herein. ACCEPTED AND AGREED TO: Company Name: Signature: Printed Name: Title: Date: SCRUTINIZED COMPANIES FORMS Actuarial and Related Services 26 RFP #47-21 SCRUTINIZED COMPANIES AND BUSINESS OPERATIONS WITH CUBA AND SYRIA CERTIFICATION FORM IF YOUR BID/PROPOSAL IS $1,000,000 OR MORE, THIS FORM MUST BE COMPLETED AND SUBMITTED WITH THE BID/PROPOSAL. FAILURE TO SUBMIT THIS FORM AS REQUIRED MAY DEEM YOUR SUBMITTAL NONRESPONSIVE. The affiant, by virtue of the signature below, certifies that: 1. The vendor, company, individual, principal, subsidiary, affiliate, or owner is aware of the requirements of section 287.135, Florida Statutes, regarding companies on the Scrutinized Companies with Activities in Sudan List, the Scrutinized Companies with Activities in the Iran Petroleum Energy Sector List, or engaging in business operations in Cuba and Syria; and 2. The vendor, company, individual, principal, subsidiary, affiliate, or owner is eligible to participate in this solicitation and is not listed on either the Scrutinized Companies with Activities in Sudan List, the Scrutinized Companies with Activities in the Iran Petroleum Sector List, or engaged in business operations in Cuba and Syria; and 3. Business Operations means, for purposes specifically related to Cuba or Syria, engaging in commerce in any form in Cuba or Syria, including, but not limited to, acquiring, developing, maintaining, owning, selling, possessing, leasing or operating equipment, facilities, personnel, products, services, personal property, real property, military equipment, or any other apparatus of business or commerce; and 4. If awarded the Contract (or Agreement), the vendor, company, individual, principal, subsidiary, affiliate, or owner will immediately notify the City of Clearwater in writing, no later than five (5) calendar days after any of its principals are placed on the Scrutinized Companies with Activities in Sudan List, the Scrutinized Companies with Activities in the Iran Petroleum Sector List, or engaged in business operations in Cuba and Syria. __________________________________________ Authorized Signature __________________________________________ Printed Name __________________________________________ Title __________________________________________ Name of Entity/Corporation STATE OF _____________________ COUNTY OF ___________________ The foregoing instrument was acknowledged before me by means of ☐ physical presence or ☐ online notarization on, this _____ day of _________________, 20____, by _____________________________ (name of person whose signature is being notarized) as the ________________________ (title) of ______________________________________(name of corporation/entity), personally known ______, or produced _________________________ (type of identification) as identification, and who did/did not take an oath. __________________________________________ Notary Public __________________________________________ Printed Name My Commission Expires: __________________ NOTARY SEAL ABOVE SCRUTINIZED COMPANIES FORMS Actuarial and Related Services 27 RFP #47-21 SCRUTINIZED COMPANIES THAT BOYCOTT ISRAEL LIST CERTIFICATION FORM THIS FORM MUST BE COMPLETED AND SUBMITTED WITH THE BID/PROPOSAL. FAILURE TO SUBMIT THIS FORM AS REQUIRED MAY DEEM YOUR SUBMITTAL NONRESPONSIVE. The affiant, by virtue of the signature below, certifies that: 1. The vendor, company, individual, principal, subsidiary, affiliate, or owner is aware of the requirements of section 287.135, Florida Statutes, regarding companies on the Scrutinized Companies that Boycott Israel List, or engaged in a boycott of Israel; and 2. The vendor, company, individual, principal, subsidiary, affiliate, or owner is eligible to participate in this solicitation and is not listed on the Scrutinized Companies that Boycott Israel List, or engaged in a boycott of Israel; and 3. “Boycott Israel” or “boycott of Israel” means refusing to deal, terminating business activities, or taking other actions to limit commercial relations with Israel, or persons or entities doing business in Israel or in Israeli-controlled territories, in a discriminatory manner. A statement by a company that it is participating in a boycott of Israel, or that it has initiated a boycott in response to a request for a boycott of Israel or in compliance with, or in furtherance of, calls for a boycott of Israel, may be considered as evidence that a company is participating in a boycott of Israel; and 4. If awarded the Contract (or Agreement), the vendor, company, individual, principal, subsidiary, affiliate, or owner will immediately notify the City of Clearwater in writing, no later than five (5) calendar days after any of its principals are placed on the Scrutinized Companies that Boycott Israel List, or engaged in a boycott of Israel. ______________________________________ Authorized Signature ______________________________________ Printed Name ______________________________________ Title ______________________________________ Name of Entity/Corporation STATE OF _____________________ COUNTY OF ___________________ The foregoing instrument was acknowledged before me by means of ☐ physical presence or ☐ online notarization on, this _____ day of _________________, 20____, by _____________________________ (name of person whose signature is being notarized) as the ________________________ (title) of ______________________________________(name of corporation/entity), personally known ______, or produced _________________________ (type of identification) as identification, and who did/did not take an oath. __________________________________________ Notary Public __________________________________________ Printed Name My Commission Expires: __________________ NOTARY SEAL ABOVE E-VERIFY ELIGIBILITY FORM Actuarial and Related Services 28 RFP #47-21 VERIFICATION OF EMPLOYMENT ELIGIBILITY FORM PER FLORIDA STATUTE 448.095, CONTRACTORS AND SUBCONTRACTORS MUST REGISTER WITH AND USE THE E-VERIFY SYSTEM TO VERIFY THE WORK AUTHORIZATION STATUS OF ALL NEWLY HIRED EMPLOYEES. THIS FORM MUST BE COMPLETED AND SUBMITTED WITH THE BID/PROPOSAL. FAILURE TO SUBMIT THIS FORM AS REQUIRED MAY DEEM YOUR SUBMITTAL NONRESPONSIVE. The affiant, by virtue of the signature below, certifies that: 1. The Contractor and its Subcontractors are aware of the requirements of Florida Statute 448.095. 2. The Contractor and its Subcontractors are registered with and using the E-Verify system to verify the work authorization status of newly hired employees. 3. The Contractor will not enter into a contract with any Subcontractor unless each party to the contract registers with and uses the E-Verify system. 4. The Subcontractor will provide the Contractor with an affidavit stating that the Subcontractor does not employ, contract with, or subcontract with unauthorized alien. 5. The Contractor must maintain a copy of such affidavit. 6. The City may terminate this Contract on the good faith belief that the Contractor or its Subcontractors knowingly violated Florida Statutes 448.09(1) or 448.095(2)(c). 7. If this Contract is terminated pursuant to Florida Statute 448.095(2)(c), the Contractor may not be awarded a public contract for at least 1 year after the date on which this Contract was terminated. 8. The Contractor is liable for any additional cost incurred by the City as a result of the termination of this Contract. __________________________________________ Authorized Signature __________________________________________ Printed Name __________________________________________ Title __________________________________________ Name of Entity/Corporation STATE OF _____________________ COUNTY OF ___________________ The foregoing instrument was acknowledged before me by means of ☐ physical presence or ☐ online notarization on, this _____ day of _________________, 20____, by _______________________________ (name of person whose signature is being notarized) as the ________________________ (title) of ______________________________________(name of corporation/entity), personally known ______, or produced _________________________ (type of identification) as identification, and who did/did not take an oath. ____________________________________ Notary Public ____________________________________ Printed Name My Commission Expires: __________________ NOTARY SEAL ABOVE MAILING LABEL CUT ALONG THE LINE AND AFFIX TO THE FRONT OF YOUR BID CONTAINER Actuarial and Related Services 29 RFP #47-21 --------------------------------------------------------------------------------- For US Mail ------------------------------------------------------------------------------ SEALED PROPOSAL Submitted by: Company Name: Address: City, State, Zip: RFP #47-21, Actuarial and Related Services Due Date: September 14, 2021, at 10:00 A.M. City of Clearwater Attn: Procurement Division PO Box 4748 Clearwater FL 33758-4748 --------------------------------------------------------------------------------- For US Mail ------------------------------------------------------------------------------ ---------------------------------------------- For Hand Deliveries, FEDEX, UPS or Other Courier Services ------------------------------------------------ SEALED PROPOSAL Submitted by: Company Name: Address: City, State, Zip: RFP #47-21, Actuarial and Related Services Due Date: September 14, 2021, at 10:00 A.M. City of Clearwater Attn: Procurement Division 100 S Myrtle Ave 3rd Fl Clearwater FL 33756-5520 ---------------------------------------------- For Hand Deliveries, FEDEX, UPS or Other Courier Services ------------------------------------------------                 City of Clearwater  Proposal For Actuarial and Related Services    Deadline: Tuesday, September 14, 2021 by 10:00 A.M.      Submitted by:  Peter N. Strong, FSA, EA, MAAA, FCA  Gabriel, Roeder, Smith & Company  1 East Broward Blvd., Suite 505  Ft. Lauderdale, FL 33301  Phone: 954‐527‐1616  Email: Pete.Strong@grsconsulting.com        City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21        TABLE OF CONTENTS    TAB 1 – LETTER OF TRANSMITTAL       PAGES 1‐3    TAB 2 – QUALIFICATIONS AND EXPERIENCE OF THE FIRM    PAGES 4‐19    TAB 3 – QUALIFICATIONS OF PERSONNEL      PAGES 20‐25    TAB 4 – APPROACH, METHODOLOGY, AND TIMELINE    PAGES 26‐33    TAB 5 – FAMILIARITY WITH GASB AND    STATE OF FLORIDA REPORTING REQUIREMENTS    PAGES 34‐37    TAB 6 – REFERENCES        PAGES 38‐39    TAB 7 – CONTRACT AND COMPENSATION – COST OF SERVICES    PAGES 40‐42    TAB 8 – OTHER FORMS        PAGES 43‐49  1. EXCEPTIONS/ADDITIONAL MATERIALS/ADDENDA FORM  2. VENDOR INFORMATION FORM  3. VENDOR CERTIFICATION OF PROPOSAL FORM  4. SCRUTINIZED COMPANIES FORM(S) AS REQUIRED  5. E‐VERIFY ELIGIBILITY FORM  6. W‐9 FORM. INCLUDE A CURRENT W‐9 FORM (HTTP://WWW.IRS.GOV/PUB/IRS‐PDF/FW9.PDF)      APPENDICES  A. TEAM RESUMES  B. INSURANCE CERTIFICATE  C. REGISTRATION TO DO BUSINESS IN FLORIDA  D. SAMPLE ACTUARIAL VALUATION REPORT  E. ARTICLES OF INCORPORATION  F. SAMPLE LIST OF FIRM‐WIDE PUBLIC PENSION CLIENTS  G. SAMPLE LIST OF FIRM‐WIDE OPEB CLIENTS  H. FLORIDA PENSION CLIENT LIST  I. FLORIDA OPEB CLIENT LIST      September 13, 2021    City of Clearwater  ATTN: Lori Vogel, CPPB  Procurement Manager  100 S Myrtle Ave, 3rd Floor  Clearwater, FL 33756‐5520    Re:    Proposal for Actuarial and Related Services            RFP #47‐21    Dear Trustees:    We are pleased to have the opportunity to submit a proposal to continue providing actuarial consulting  services to the City of Clearwater Employees’ Pension Plan and Other Post‐Employment Benefits Plan.  This  proposal sets forth our understanding of the work to be performed and the overall qualifications and  capabilities of the consultants and resources of Gabriel, Roeder, Smith and Company (GRS).    GRS has been the actuary for the City of Clearwater (herein after referred to as the “City”) Employees’  Pension Plan and Other Post‐Employment Benefit Plan (OPEB) for the past 12 years.  During this time,  we have provided the City with Annual Valuation Reports, two Experience Study Reports, Actuarial  reports for compliance with GASB 67/68 and Florida Statutes Chapter 112.664 and 112.63 (all such  reports since and including their implementation), and service purchase calculations.  We have also  prepared several studies and provided consulting advice to the City on topics such as actuarial  assumptions and methods, the impact of plan design changes, the creation of a funding policy, and  other issues.  As such, we possess a great deal of knowledge about the Pension Plan and believe that  this, along with our firm’s expertise in the public sector, can provide a continued strong relationship  into the future.      The reasons a City or Board of Trustees decides to change actuaries are usually related to service issues, the  level of fees charged, timeliness of projects, or ineffective communication (presentations that are not easily  understood).  It is our hope that the City recognizes our ability to have worked collaboratively with them in  each of these key areas over the past 12 years.  If there are any issues in these or other areas, we would be  more than happy to discuss them with you.  Our goal has always been to make the City feel that we were  always a phone call away whenever a plan or actuarial issue occurred.  We have greatly enjoyed working  with the City and hope to continue to strengthen our relationship going forward.    GRS offers the City an actuarial firm that uniquely specializes in serving public sector retirement  systems with a nationally recognized reputation, an excellent research center focused on public  employer retirement issues, and a clear understanding of national, state, and local political and  legislative environments and processes.  Our proposed City client service team is highly capable and  experienced in the public sector arena and will meet the specific needs of the City.  City of Clearwater  September 13, 2021  Page 2    We believe there are six key qualification areas that you want to look for in your actuarial firm.   Knowing what firms will likely be proposing for this engagement, we identified these six as genuine  ways to distinguish among various actuarial firms.      CALIBER OF CONSULTANTS – GRS has more consulting actuaries dedicated solely to providing services to  the public sector than any other firm in the nation.  There are 15 full‐time, experienced,  credentialed actuaries in our Fort Lauderdale office dedicated to Florida public sector work.  The  local Team is supplemented by vast firm‐wide resources.  Whatever challenges the Board will face,  the City’s Team will have the resources it needs to offer viable, reasonable solutions.      Pete Strong, a Fellow of the Society of Actuaries with 25 years of actuarial experience, will continue  to serve as the Lead Consultant and Actuary for the Pension Plan.  Trisha Amrose, who has 21 years  of experience, will continue to serve as the Pension Plan’s Managing Actuary, and Jeffrey Amrose,  who has 28 years of experience, will continue to serve as the peer review actuary.  Jim Rizzo, Piotr  Krekora and Nicolas Lahaye, who have a combined total of over 75 years of actuarial experience,  will continue to serve as the actuaries for the OPEB plan.    If retained, Mr. Strong will be attending the Pension Trustees meetings to review the results of the  annual Actuarial Valuation Report.  It will continue to be his goal to present the valuation report in  an easy to understand manner and to foster conversations about actuarial topics.     FLORIDA EXPERIENCE – GRS and its Florida office predecessor have been active in the Florida public sector  pension market since the 1950s. In Florida alone, we are currently engaged by about 130  governmental clients for pension actuarial consulting and about 125 governmental clients for OPEB  actuarial consulting.  We consider it important for Florida municipalities to have an actuarial firm  with substantial Florida experience. We know the statutes and regulations well; we know the  regulatory staff and many of the legislators by name; and we know the trustees, finance directors  and other consultants across the state. This boots‐on‐the‐ground experience impacts the level of  service we provide to our clients.     TECHNICAL FOUNDATION – GRS emphasizes innovative and useful technology for hands‐on management  of the Plans. This includes: web‐based benefit calculation tools for use by in‐house administrators  and/or by plan members, online portal access to a wealth of GRS resources for plan management,  including benchmarking; user‐driven modelling of various what‐if scenarios; and dashboard  graphics designed to provide management‐level snapshots of plan progress, current status and risk  metrics. GRS has more innovative tools for plan management than other firms.     QUALITY, INTEGRITY AND PROFESSIONALISM – GRS maintains strict internal controls for quality assurance.   We have detailed checklists with a doer, checker, reviewer, and peer reviewer for every actuarial  valuation.  This gives GRS clients and their auditors a high degree of comfort in the actuarial and  accounting aspects of our work.  GRS Consultants are national leaders in pension matters – both  TAB 2  QUALIFICATIONS AND EXPERIENCE OF THE FIRM        City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  4  1. A statement of qualifications, abilities, experience and expertise in providing the requested  services:  a. Statement of what qualifies your company, financial and otherwise, to provide the  City with these services for the required period of time, provide appropriate staffing,  provide necessary resources; and show a history of demonstrated competence.    HISTORY OF OUR COMPANY    Gabriel, Roeder, Smith & Company (GRS) was incorporated on October 2, 1962 from a merger  of A. G. Gabriel & Company, a sole proprietorship established in 1938, and another younger  sole proprietorship, Roeder & Company.  In 1995, the company merged with Kruse, O'Connor &  Ling, a Florida based consulting firm located in Fort Lauderdale, Florida.    In 2015, the company formed a health & welfare consulting subsidiary, Gabriel, Roeder, Smith  & Company Health and Welfare Consulting, LLC from its existing health and welfare practice.  For administrative and operating efficiency, both Gabriel, Roeder, Smith & Company and  Gabriel, Roeder, Smith & Company Health and Welfare Consulting, LLC are now wholly owned  subsidiaries of Gabriel, Roeder, Smith & Company Holdings, Inc., a private Michigan  corporation.  Nearly 100% of the company’s shareholders are its employees.    GRS is a national actuarial and benefits consulting firm that focuses on actuarial services for the  public sector. Our public sector work is not confined to a small specialty unit in a larger diverse  organization.  Actuarial consulting for public sector (governmental) entities is essentially all we  do.      This distinguishes GRS from other national firms whose public sector actuarial practice is a  smaller unit amongst a large diverse organization.  We do not have a parent organization that  focuses on other business lines unrelated to public pensions/OPEBs.  Our entire firm is  dedicated to governmental actuarial and benefits consulting.  That single‐mindedness ensures  that the resources needed for public sector services are not crowded out by other corporate  interests.    Our reputation for providing independent advice and quality consulting services has remained  unmatched for 80 years. Our actuarial experience, technology solutions, and nationally  recognized research help our clients develop fiscally sustainable programs and preserve  financial security for millions of Americans.    GRS and its Florida office predecessor have been active in the Florida public sector pension  market since the 1950s. In Florida alone, we are currently engaged by about 130 governmental  clients for pension actuarial consulting and about 125 governmental clients for OPEB actuarial  consulting.  We consider it important for Florida municipalities to have an actuarial firm with  substantial Florida experience.      City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  5  Our total client base includes over 1,000 public sector clients firmwide.  Over the years, we  have worked in almost all 50 states.  The far‐ranging locations of our clients and the long  associations we have maintained with them attest to the quality of our services. We have been  associated with over half of our clients for at least 15 years, many for more than 40 years, and  some for over 60 years.    GRS has more consulting actuaries dedicated solely to providing services to the public sector  than any other firm in the nation.  There are 15 full‐time, experienced, credentialed actuaries in  our Fort Lauderdale office dedicated to Florida public sector work.  The local Team is  supplemented by vast firm‐wide resources.  Whatever challenges the Board will face, the City’s  Team will have the resources it needs to offer viable, reasonable solutions.    Entities that have an ownership stake in GRS:      GRS Employees, as individuals,   GRS Employee Stock Ownership Plan, with pass‐through voting rights to employees, and   One Outside Director    No single shareholder owns more than 6% of the firm.  The owners of GRS understand our  business, because we are owned by ourselves.  This is not always true of actuarial service  providers.  We are employees, and we are owners.  Broad employee ownership (as opposed to  ownership concentrated by one to a few employees or distant ownership) infuses a greater  sense of mission among all of us to serve our clients well.    GRS does not anticipate any imminent changes to its ownership or structure.  GRS will not be  using any subcontractors to complete the work requested by the RFP.    GRS has not been bought and sold over the years.  We have always been an employee‐owned  organization (since 1938).  Our Senior Consultants have unmatched loyalty and tenure with GRS  with very little turnover (except for retirements), with a continual flow of new Consulting‐level  talent joining GRS due to our growth nationally. This brings stability of service to our clients.    We do not compromise service quality for client base growth, and GRS only bids on work that it  has the resources to provide.  Your assigned team will always have backup, if needed.    New communication technologies have improved the ability of firms to provide better client  service.  GRS utilizes all of the new communication methods available — web meetings and  video conferencing, along with email, voicemail, and cell phones — to serve our clients and  communicate across our firm.  But we do not rely solely on these technologies to operate our  company.  We think of these technologies as a complement to our fully‐staffed office structure.         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  6  EXPERIENCE    GRS is our nation’s largest provider of actuarial and consulting services to the public sector  retirement community.     For a sample of pension clients (nationally), please refer to Appendix F.   For a sample of OPEB clients (nationally), please refer to Appendix G.   For a list of Florida pension clients, please refer to Appendix H.   For a list of Florida OPEB clients, please refer to Appendix I.    The addresses and phone numbers of contact persons for some of these clients are provided in  Tab 6 – References.  HI AK FL MI ME NY PA VAWV OH INIL WI NCTN AK MO GA SC KY AL LA MS IA MN OK TX NM KS NE SD ND WY MT CO ID UT AZ NV OR WA CA A Firm with a National Perspective States where GRS currently provides retained  consulting services to statewide systems States where GRS has provided actuarial and  benefits consulting services CT RI MD NH VT       Our long history and tenure with so many clients are a testimony and demonstration of our  commitment to our clients and their needs.  Decades of stability attest to our “past experience  and demonstrated ability” to serve our clients and plan members in meaningful ways.      The far‐ranging locations of our clients, and the long associations we have enjoyed with them,  attest to the quality of our services.     City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  7    Our broad experience in diverse geographical and political environments is a substantial asset  to our clients because it means we have successfully negotiated a wide variety of technically  challenging situations at all levels of government in locations across the country.  Whatever the  client relationship brings to the table, chances are we have dealt with a similar situation before  and will be comfortable navigating the intricacies client situations often present—and we are  more than capable of making the process simpler and smoother for everyone involved.    Some key characteristics of our client base offer an insightful overview of our experience:     We provide actuarial and benefit consulting services to over 400 public sector  pension systems and nearly 600 public sector Other Post‐Employment Benefit  (OPEB) plans;   Our client base is comprised of post‐retirement benefit systems and employers at  state, city, public authority, county, hospital, and not‐for‐profit organizations;   Over 99% of our client base is in the public sector;   Over 95% of our company’s revenue is derived from services to the public sector;   GRS provides independent consulting services generated on a fee‐for‐service basis.   Our consulting is provided solely in the best interests of our clients.  Our philosophy  is to deliver high‐quality consulting services that meet each client’s objectives.   Our services are offered through full‐service offices.  The local office which has  served the City of Clearwater and would continue to provide actuarial services to the  City of Clearwater is in Fort Lauderdale;   We currently serve as actuary and consultant to 35 statewide retirement plans with  an average of over $20 billion in assets.  Of these, 21 have 50,000 or more  participants (they average over 70,000 retirees and over 130,000 active employees  each);   Most GRS clients have multiple retirement structures.  In many cases, our clients  have multiple plans because of multiple classes of employees, such as police, fire,  teachers, and general.  Often, different groups of employees are subject to different  pension provisions because of different collective bargaining agreements.    This national experience and large plan experience enables all of our consultants to deliver  better services to all of our clients regardless of size.  We have seen just about everything and  continually disseminate learned information across all offices and to all consultants, through  intranet portal discussion groups, monthly conference calls, annual face‐to‐face meetings, and  informal subnetworks among consultants and across offices.    Our internal networking among consultants and across offices is unparalleled in its extent and  effectiveness.      City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  8  Our commitment to public employee retirement systems is highlighted by the fact that all our  actuaries have experience in benefit design, plan administration, and legislative issues, as well  as valuation‐related services.    Additionally, GRS has more actuaries and consultants devoted exclusively to serving  governmental retirement systems than any other firm in the country, by a wide margin.   Because all of our actuaries and consultants have extensive public plan experience, the back‐up  needed to deal with unforeseen circumstances is always available.    Our employees are affiliated with numerous governmental groups, from the national  Government Finance Officers Association (GFOA), National Conference on Public Employee  Retirement Systems (NCPERS), the National Association of State Retirement Administrators  (NASRA) to the Florida Public Pension Trustees Association (FPPTA), the Florida GFOA, Florida  Public Pension Trustees Association (FPPTA) and many others.    GRS supports the public sector not only through its provision of services, but by dedicating its  resources to the public sector benefits industry in the form of published articles, conference  presentations, surveys, legislative testimony, and membership on committees of public sector  organizations.    We are committed to supporting your pension and OPEB plan and the members they cover.      GRS OPEB EXPERTISE    GRS has developed resources and services to respond to health care plan sponsors’ needs in the  areas of GASB No. 74 and No. 75 compliance, OPEB funding, health care cost management and  benefit design.    In addition, our OPEB expertise encompasses the following:      GRS has health care actuaries, health care consultants, and health care actuarial analysts  who analyze OPEB benefits promised, health care claims experience and health care  trend assumptions.  Our in‐depth analysis develops the premium rates used in the  actuarial valuation.  Rates are critical components in projecting OPEB liabilities.  Our  expertise in this area ensures that premium rates and the underlying health care  assumptions are reasonable.   GRS has actuaries and consultants with an average of 20 years of experience developing  long‐term actuarial projections.  They are experts in analyzing eligibility requirements,  pre‐funding arrangements, cost‐sharing arrangements and actuarial assumptions, which  affect the direction and size of actuarial liabilities.    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  9   GRS has a peer review process for its OPEB valuations.  This peer review process,  assigned to internal staff, ensures our work meets actuarial standards of practice and  professionalism.   GRS has a research group focused on benefits research for the public sector.   Several GRS employees have directly worked with the Governmental Accounting  Standards Board (GASB) and written actuarial standards for the Actuarial Standards  Board (ASB), both for OPEB‐related work.   GRS has a standing committee of actuaries dedicated to analyzing OPEB issues.      CORPORATE MANAGEMENT PHILOSOPHY    Since its inception, GRS has placed special emphasis on actuarial and benefits consulting  services to the public sector. GRS’ client base includes more than 1,000 public sector entities. A  trusted partner to its clients, GRS brings innovative, practical solutions to the challenges faced  by benefit plans and plan sponsors. GRS offers pension and OPEB consulting, health and welfare  consulting, defined benefit administration services, and retirement technology services, all of  which comprise core competencies for GRS.    The following strengths make GRS’ consulting expertise invaluable to the public sector. GRS  corporate management supports the following approaches:    •  Reputation for an unbiased presentation of facts ‐‐ our role is to present unbiased  information and consulting advice so that pension trustees and governments can make  decisions.  •  Clear understanding that the plan operates towards the beneficial interest of the plan  sponsor and plan participants.  •  Sensitivity to the considerations of the various stakeholders, management, labor  management, private citizens, taxpayers, and pension trustees.  •  We maintain a client‐to‐consultant ratio that balances growth, in terms of both clients  and staff, to a level that facilitates superior client services. Because we do not  compromise service levels for growth, GRS only bids on work that it is qualified and  able to provide.  •  At some actuarial and benefits consulting firms, the provision of consulting services is  secondary to completion of the annual actuarial valuation. In contrast, at GRS, we  consider the provision of retirement consulting services to be equally as important as  the actuarial valuation itself. We view the provision of consulting services as making  our clients’ lives easier and providing them with complete information such that they  will be able to make informed decisions, and anticipate events that may impact this  process.    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  10    GRS has been serving clients for over 75 years, with many client relationships in existence for  more than 50 to 60 years and one that has lasted for 83 years (since the beginning of the  company). As the leading provider of actuarial services to the public sector, we strive to  improve our services to clients using technology, research, client education, and professional  development opportunities for our staff. As a result, we believe GRS has no significant  weaknesses with respect to delivering actuarial and consulting services.    Our Corporate Vision, Mission and Values:    Our Vision—To be known in the industry as the premier provider of innovative and sustainable  benefit solutions.    Our Mission—To provide independent actuarial and consulting services that are designed to  ensure the long‐term success of our clients’ benefit programs considering the needs of all  stakeholders.    Our Values—    Professionalism.  We exhibit professionalism and ethics in all aspects of our business.  Quality.  We provide high quality work products to all of our clients.  Innovation.  We put innovative ideas into action.  Respect.  We provide a collaborative work environment that respects the diversity, talents,  and professional aspirations of our associates.      b. Size of firm, organizational structure, location of management, and charter  authorization and licenses to do business in the State of Florida.    GRS Holdings, Inc. currently has a total of 140 employees with 7 offices throughout the country,  including (in order of size): Southfield, Michigan; Fort Lauderdale, Florida; Dallas, Texas;  Chicago, Illinois; Denver, Colorado; Minneapolis, Minnesota; and Grand Rapids, Michigan.   Approximately 105 employees are directly involved in providing actuarial services to public  sector clients.  Of these, 68 are credentialed actuaries.    The local office selected to service your Plan, the Fort Lauderdale, Florida office, has 37  employees, 15 of whom are credentialed actuaries. The GRS Service Team assembled for your  Pension Plan includes three consultant‐level actuaries:  Pete Strong, Trisha Amrose and Jeffrey  Amrose.  All three consultants, at a minimum, are enrolled actuaries, and each has substantial  experience with Florida public sector pension programs.       City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  11        LOCATION OF MANAGEMENT (CORPORATE HEADQUARTERS)    Gabriel, Roeder, Smith & Company  1 Towne Square, Suite 800  Southfield, Michigan 48076  Telephone number: (248) 799‐9000         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  12  LICENSE TO DO BUSINESS IN FLORIDA         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  13  c. Description of resources available to your firm and expertise in the governmental field.  GRS supports its consultants and analysts through various GRS actuarial and research resources.   These resources help them deliver the highest quality services to clients.    In addition, GRS encourages its consultants to participate in activities that support public sector  benefit plans.  We believe that our professional development support creates an environment  for service excellence, which has resulted in GRS’ low employee turnover compared to other  firms.    A few examples of this support are provided:     GRS’ Internal Software and Programming Group supports our internally written and  maintained actuarial software and provides ongoing training for all actuarial employees  on its use.  Our consultants know that the work they produce uses methods that comply  with the latest actuarial standards, methods, assumptions, and tables required for  public sector work.  Many of our competitors do not place emphasis on software and  training for public sector plans.     Our Research Group provides useful information on plan design, federal and state  legislation, accounting rules, and other regulatory issues on topics of interest to  employee benefit plans.  In addition, our consultants routinely contribute articles to  industry publications.  GRS communicates the results of its research through: 1) GRS  Insight, its newsletter on pension and health care related topics; 2) GRS Perspectives,  our consultant authored articles; and 3) News Scan, brief news summaries produced by  our Research Manager. Our current publications are available on our website at  www.grsconsulting.com. Clients have access to archived publications through GRS  Advantage™, our client services website.    Our consultants remain updated on benefit issues using our internal company portal  that provides them with GRS Research group publications, benefits‐related publications  from external sources, and discussion boards for information sharing.      GRS supports consultants’ activities as speakers, committee members, and as authors of  articles for industry and public sector associations such as the National Association of  Retirement Administrators (NASRA), National Council on Teacher Retirement (NCTR),  National Conference of Public Employee Retirement System (NCPERS), International  Foundation of Employee Benefit Plans (IFEBP), Florida Public Pension Trustees  Association (FPPTA), American Academy of Actuaries (AAA), and Government Finance  Officers Association (GFOA).     GRS’ Chief Actuary, David Kausch, FSA, EA, MAAA, monitors the firm’s adherence to  established actuarial standards, provides oversight and interpretations for the firm’s  actuarial methodologies, and serves as the GRS spokesperson for the company’s  perspectives and positions on actuarial issues.       City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  14  COMPUTER & SOFTWARE RESOURCES    GRS’ Internal Software and Programming Group supports and updates GRS’ proprietary core  calculation software and supports GRS client services teams.  The team consists of three full‐ time employees with over 60 years of combined experience in the public pension field.    Our valuation program distinguishes us from all of our competitors in that it was designed for  the public sector.  Many of our competitors use commercial software that, for the most part, is  private‐sector based.   It has been our experience that private sector software does not handle  well all of the many complex features that are typical in governmental plans.  Typically,  commercial software source code can only be modified by the companies who own it—not by  the firms using it.  Some larger competitors also use software that they have written.  Once  again, their software tends to be private‐sector based and does not do as well with contributory  plans, which are fundamental to governmental plans.    Actuarial Valuation Software    The GRS core calculation software used for the actuarial valuation of defined benefit and hybrid  pension plans and other post‐employment benefit (OPEB) plans has evolved over 40+ years of  internal use and is a very stable platform.    Because our specialty is public pension and retiree medical plans, our software is uniquely  designed to handle those cases.  GRS valuation software is geared to develop the most level  funding possible.  Our software design guarantees that the assumptions and methods used in  the pension valuation are fully compatible with those used in the retiree health valuation— eliminating double handling of data.    The actuarial valuation of a pension plan’s provisions is usually handled by assigning values to at  least five hundred standard valuation parameters.  Our experience is most benefit plans have  some unique features which cannot be handled by standard valuation parameters.  To ensure  reasonable and accurate valuation of these features, our valuation software can be customized  for all pension plans.    Technologically, we are distinguished from many of our competitors in that our valuation  software can handle eight separate decrements corresponding to the following benefit events:   normal retirement,   early retirement,   vested termination,   refunds of member contribution,   pre‐retirement death (duty versus non‐duty), and   pre‐retirement disability (duty versus non‐duty).      City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  15  GRS’ software handles both the inflation‐based and merit‐and‐seniority‐based elements of  salary increase assumptions, which may be a function of   age,   service,   or both age and service.    Our software automatically produces multi‐year projections.  GRS has also developed unique  methods that explicitly value gain‐loss analyses and decrement experience studies by source.    GRS’ software package allows our actuaries to examine the annual reconciliation of data with  unmatched efficiency and truly understand how the liabilities of an actuarial valuation are  affected by the methodologies used to set the assumptions.  Our software package allows the  actuary to examine the data for several parameters, giving the actuary the ability to set the  assumptions based on the most appropriate methodologies for the client.    A distinguishing feature of our system, which has been used to research termination and  retirement assumptions for clients of all sizes, relates to the methodology of basing termination  expectations on years of retirement eligibility, instead of solely on age.    The results of our research are being utilized in the valuations for GRS clients today.  The  process was specifically created by our flexible software.  Unlike many of our competitors, we  can develop innovative valuation techniques needed by public sector plans, such as this  feature, because we own our software.    GOVERNMENTAL EXPERTISE RESOURCES    GRS utilizes its internal Research Group for expertise on plan design, federal and state  legislation, accounting rules and other regulatory issues.  In addition to internal research, GRS  subscribes to legal and regulatory research from a variety of external sources, including:     Commerce Clearing House Pension Plan Guide On‐Line – Provides instant access to the  most current IRS provisions related to employee benefits, updated daily by the staff of  Commerce Clearing House.  This package of services includes daily notices of changes or  additions to IRS documents, current text of relevant federal benefit laws and regulations  and detailed explanations by attorneys and other knowledgeable benefit professionals  of how federal laws affect benefit practice.     Research Institute of America’s Checkpoint Database – Provides instant access to  detailed information about the federal laws and regulations governing pension and  benefit plans, including published private letter rulings and all federal court cases  related to employee benefits.  In addition, Checkpoint provides access to all of the  GASB’s statements, guidelines, and pronouncements.      City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  16   Bureau of National Affairs Pension & Benefits Reporter – Provides on‐line access to  current (as well as previous) issues of the premier journal covering retirement and  benefits news across the U.S.    Whenever there is a regulatory or legal question, because our consultants are well‐versed in  public sector benefit plan issues, we are able to guide our clients towards the most appropriate  resource to answer the question or resolve the matter.  GRS has structured its resources in tiers  based on the scope and depth of our client’s inquiry or service need.  Examples of this include:   GRS publishes articles and news summaries on benefits related to legislative and  regulatory issues through its Research Group.      For client‐specific requests that require more in‐depth technical review, GRS’ subject  matter experts, assigned to GRS’ internal committees (e.g., the 415 Limit Committee, the  GASB Committee, and the Professionalism Committee), are available to support the  team.      While GRS does not practice law, our relationship with the Groom Law Group supports  GRS consultants’ understanding of legal issues affecting governmental plans.   The Groom  Law Group provides support to GRS as needed.  The Groom Law Group's Retirement Expertise   GRS has a relationship with one of the top law firms specializing in employee benefits in the  country.  The Groom Law Group has nationally recognized attorneys and researchers  specializing in public sector retirement systems who can provide expert advice and counsel on  all areas of retirement matters relevant to governmental plans.  Groom's governmental  retirement plan experience includes expertise in IRS code and related tax matters, fiduciary  governance, investment management and related income tax consequences, governmental  plan status, governmental plan bankruptcies, and the interaction with related health care  matters.  The Groom Law Group's team regularly works with the IRS and U.S. Treasury  Department on guidance and compliance matters and maintains a significant lobbying presence  on retirement matters from its headquarters in Washington, D.C.    GRS’ FULLY‐STAFFED OFFICES    We understand the demands and needs of public pension systems and the requirement for  timely communication.    GRS will service your plan through a fully‐staffed office.  Fully‐staffed GRS offices have senior  consultants, consultants, senior analysts, analysts, and administrative staff in one location.  In  addition, each fully‐staffed office has technology resources (network servers, computer  equipment and actuarial and business software) that allow it to operate independently of other  offices.      City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  17  Your GRS team routinely provides consultation to clients using all of the methods expected by  the City.  We understand the proactive measures that must be maintained to provide the  services required.  We will continue to be readily accessible to City staff, as we have been over  the past 12 years.    The City of Clearwater currently has, and will continue to have, an important position as a GRS  client; your telephone calls will always be returned promptly, whether we are out of the office,  on other business, or on vacation.  Of course, Clearwater will continue to be able to reach all  team members by phone and email.    Of course, new communication technologies have improved the ability of firms to provide  better client service.  GRS utilizes all communication methods available—email, voicemail, cell  phones, and web‐based meetings—to serve clients and communicate across our firm.  But we  do not rely solely on these technologies to operate our company.  We think of these  technologies as a complement to our fully‐staffed office structure.    CONSISTENT QUALITY OF STAFFING    At GRS, we believe that professional growth and satisfaction are achieved by offering our  employees challenging projects and responsibilities, along with company‐sponsored programs  that support professional development.    Because we strive to attract and retain employees dedicated to providing services to public  sector benefit plans, the company supports its consultants and analysts through various GRS  actuarial and research resources.  These resources help them deliver the highest quality  services to clients.    It is a job description requirement that our professional staff meet, on an annual basis, the  minimum continuing education requirements described in the “Qualifications Standards for  Actuaries Issuing Statements of Public Opinion in the United States.”  GRS also strongly  supports the ongoing professional development of those who have yet to obtain their  credentials.  This support includes paid study time, payment of exam registration fees, seminar  expenses, and study materials, and bonus payments upon successful exam completion and  receipt of professional credentials.    In addition, GRS encourages its consultants to participate in activities that support public sector  benefit plans.  We believe that our professional development support creates an environment  for service excellence, which has resulted in GRS’ low employee turnover compared to other  firms.         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  18  CORPORATE RESOURCES    GRS maintains a research department responsible for specific client research matters.  This  department also has a nationally respected Washington, DC law firm (the Groom Law Group)  on retainer for legal questions and additional research our clients might need.    GRS maintains a corporate IT department (called ISTP) that manages our in‐house actuarial  software (separate from our commercial actuarial software) and other internal support.    GRS also maintains a separate client‐supporting IT department that serves as the Retirement  Technologies unit for serving client needs including GRS Advantage, Launch Platform, Customer  Information Database, web‐based co‐sourcing census plan administration, web‐based benefit  calculators, and other client‐supporting technology tools.    GRS holds a monthly Consultants Conference Call to communicate, educate, and share  information with all GRS Consultants.  We also conduct a highly professional Annual  Conference.  Over 60 of our Consultants and credentialed Senior Analysts meet each summer in  person to network and attend numerous sessions relating to public sector pension and OPEB  work.  As we mentioned, public sector benefits consulting is virtually all we do.    OTHER SERVICES PROVIDED BY GRS    GRS Holdings, Inc. provides health and welfare consulting through its subsidiary GRS Health and  Welfare Consulting, LLC (GRS HW).   GRS HW provides actuarial and health data analytics  services related to health care (e.g., claims analysis, utilization management, premium rate  setting, IBNR, Medicare Part D attestations, etc.), vendor procurement and management, and  medical and pharmacy consulting.    Our Defined Benefit Administration services include:  a. Team‐based DB Plan Administration is an outsourcing service option that provides all of  the key day‐to‐day administration functions needed by defined benefit pension plans  (e.g., data housing, benefit calculations, call‐center, online benefit calculators, and  other administrative services). Each DB Plan Administration team includes a DB Plan  Administration Consultant, call‐center associates, actuarial consultants, and technology  support personnel.  b. GRS provides many of its pension actuarial clients with online benefit calculators that  can be used by plan staff or participants to estimate or calculate final benefits. Our  calculators provide realistic anticipated benefit amounts because we use clients’ actual  census data and plan provisions.            City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  19  OTHER GRS PRODUCTS AND SERVICES:      GRS and PensionSoft have combined forces to set up pension administration systems  that can be used as web‐based benefit estimators for the members of a plan or as a full  pension administration system.   GRS Foresight™:  GRS provides further valuation insights through projection  technologies.  GRS Foresight™ provides risk analysis, assumption or benefit design and  cost studies that not only reflect the unique nature of public sector benefit plans, but  the client’s unique plan features.    GRS Advantage™:  o GRS TrendLine™, our public sector benefit benchmarking application, provides  public employee retirement systems with a variety of statistical information  related to assumptions, benefit design, and funding.   o GRS publication archives include GRS Insight, GRS Perspectives, and GRS News  Scan.  o Secure file transfer for clients sending confidential information.    o Defined Benefit Plan Administration. Our software provides benefit calculations,  data housing, and access to forms and plan documents.      d. Overview of any current litigation your firm is a party to.    Gabriel, Roeder, Smith & Company is currently not involved in any litigation.          TAB 3  QUALIFICATIONS OF PERSONNEL        City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  20  1. Provide resumes of the personnel who would be directly involved in performing  actuarial services for the City and the pension plan, including:  a. Formal and supplemental education, certifications, and licenses if applicable  b. Experience in performing actuarial services including pension plan for governmental  clients  c. Memberships in professional organizations    OFFICE PROVIDING SERVICES    The City of Clearwater Employees’ Pension Plan and Other Post‐Employment Benefits Plan will  be serviced entirely out of GRS’ fully‐staffed Fort Lauderdale office:    Gabriel, Roeder, Smith & Company  One East Broward Boulevard, Suite 505  Fort Lauderdale, Florida 33301‐1804  Telephone number: (954) 527‐1616    THE GRS TEAM FOR THE CITY OF CLEARWATER:    At GRS, we use a client service team approach in order to leverage our resources in the most  effective and efficient way.  This approach ensures that work is performed at the most  appropriate level so that we deliver services to the City efficiently, at the lowest possible cost,  without compromising quality.  This approach also ensures that a number of associates are  familiar with your Plan, preventing any disruption of services provided to the City.  The key  members of your team — all experienced actuaries — will provide direction to a staff of  associates selected according to the appropriate levels of experience and expertise for this  engagement.  It is important to GRS that our clients are provided with superior and timely  service.  To ensure quality and timely service delivery, we maintain workloads for individuals at  levels that allow them to function at their best level of efficiency.      The following is the GRS Client Service Team proposed for managing the services outlined in the  proposal:    Lead Pension Consulting Actuary and Primary Pension Contact:  Peter Strong, FSA, EA, FCA, MAAA  Managing Pension Consultant and Actuary:  Trisha Amrose, EA, MAAA  Peer Review, Resource and Backup Pension Actuary:  Jeffrey Amrose, EA, MAAA  Lead OPEB Consulting Actuary:  Piotr Krekora, EA, MAAA, FCA        City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  21  Principal / Managing OPEB Consultant and Actuary:  Nicolas Lahaye, FSA, EA MAAA  Resource and Peer Review Actuary for OPEB:    Jim Rizzo, ASA, EA, FCA, MAAA  Senior Actuarial Analysts:  Israel Bichachi, ASA, MAAA and Peter Tramont   Actuarial Analyst:  Victoria Merz    Peter N. Strong (Pete) will continue to serve as the Lead Pension Consulting and Primary Pension  Contact (and Project Manager) assigned to the City of Clearwater Employees’ Pension Plan.  Mr.  Strong is a Senior Consultant with over 25 years of professional pension actuarial and consulting  experience, including over 13 years with GRS.    Pete is a well‐respected consulting actuary as attested by the community of pension  professionals, board trustees and the City staff of his clients, and his peers throughout GRS.    Pete is a frequent speaker at the Florida Public Pension Trustees Association (FPPTA) ‐‐ at its  annual conference and its trustee schools.    Pete is a Fellow of the Society of Actuaries (FSA), a Member of the American Academy of  Actuaries (MAAA), a Fellow of the Conference of Consulting Actuaries (FCA), and an Enrolled  Actuary (EA).  He holds a Bachelor of Science degree in mathematical sciences from the University  of North Carolina at Chapel Hill.  He is currently responsible for 24 public sector pension clients,  including the City of Clearwater Employees’ Pension Plan.    Pete’s current client list includes the following pension clients:  • City of Clearwater Employees’ Pension Plan  • City of Coral Gables Retirement System  • Town of Palm Beach Retirement System  • City of Tallahassee Pension Plans  • City of Jacksonville Police and Fire Pension Fund  • And several others    The City of Coral Gables Retirement System, the Town of Palm Beach Retirement System, and the  City of Tallahassee Pension Plans are all similar to the City of Clearwater Employees’ Pension Plan  in that they all cover all groups of employees ‐‐ General Employees, Firefighters, and Police  Officers, with separate results reported for each group.          City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  22  Trisha Amrose will continue to serve as the Managing Pension Consultant and Actuary for the  City of Clearwater Employees’ Pension Plan and will be directly involved in the preparation of  pension valuation reports, GASB reports, compliance reports, studies and actuarial impact  statements.  She is a Member of the American Academy of Actuaries (MAAA) and an Enrolled  Actuary under ERISA (EA).  Trisha has over 21 years of experience in actuarial, administrative,  and consulting services for employee retirement systems and post‐retirement health care  plans, including over 15 years with GRS.  She has extensive knowledge of Florida Statutes,  including Chapter 175 and 185, as they apply to municipal pension plans.  Trisha also has  experience consulting on hybrid plan arrangements, pension plans with multiple tiers and  groups, COLAs, and Deferred Retirement Option Plans (DROPs).    Jeffrey Amrose (Jeff), Senior Consultant and Actuary, will continue to serve as the Peer Review,  Resource and Back‐up Pension Actuary for the City of Clearwater Employees’ Pension Plan. Jeff  is an Enrolled Actuary under ERISA (EA) and a Member of the American Academy of Actuaries  (MAAA).  He has over 27 years of experience in actuarial, administrative, and consulting  services for employee retirement systems, and he has been with GRS for over 15 years.    As Peer Review Actuary, he is responsible for ensuring the final deliverable reports are  understandable and comply with all GRS internal quality standards and all Actuarial Standards  of Practice.  He currently doubles as a Team Leader with management responsibilities for a  team of approximately 15 Analysts and Consultants.  His actuarial responsibilities for clients  have included valuations for funding and accounting purposes, cost analyses of proposed plan  changes, experience studies, GASB actuarial work, peer review for other clients and cash flow  projections.    Jeff’s current client list includes the retirement systems for:  • City of Lakeland General Employees   • City of West Palm Beach Police Officers  • City of Fort Lauderdale General Employees  • City of Miami Beach General Employees  • And several others    Piotr Krekora will continue to serve as the Lead OPEB Consulting Actuary (and Project Manager)  for the City’s OPEB Plan.  Dr. Krekora is a Consultant and has been with GRS for over 15 years.  He has been involved in the preparation of several hundred OPEB actuarial valuations, including  incorporating the implementation of GASB 43/45 and then GASB 74/75.  He has also performed  numerous OPEB studies, cost analyses of proposed plan changes, population projections, etc.    Piotr has seen just about every type of OPEB provision imaginable, and adheres to the highest  quality standards so that clients and their auditors can have confidence in the measurement of  the OPEB program’s costs and liabilities.  He is currently responsible for directing an internal  team of actuarial analysts and other credentialed actuaries and serves as Managing Actuary and  reviewer of these valuations. He is also an experienced pension actuary.    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  23    Piotr has had several speaking engagements over the years, including at the GFOA, FPPTA,  NCPERS, CCA and Florida GFOA.    Piotr is an Associate of the Society of Actuaries (ASA), a Fellow of the Conference of Consulting  Actuaries (FCA), a Member of the American Academy of Actuaries (MAAA), and holds a Ph.D. in  theoretical and computational physics.  He is active in the Society of Actuaries’ Social Insurance  and Public Finance Community.     Piotr’s current OPEB client list includes:  • City of Clearwater   • Pinellas County and Clerk  • Pinellas County Sheriff’s Office  • Broward County School District  • And several others    Nicolas Lahaye (Nick), Consultant and Actuary with GRS, will serve as the Principal (Managing)  Actuary for the City’s OPEB Plan.  Mr. Lahaye is a Fellow of the Society of Actuaries (FSA), a  Fellow of the Conference of Consulting Actuaries (FCA), a Member of the American Academy of  Actuaries (MAAA), and an Enrolled Actuary (EA).  He is responsible for managing the OPEB  valuation process from beginning to end.      He has been a Consultant with GRS for five years working nearly exclusively on Florida public  pension and OPEB plans.  Including his time before coming to GRS at another national actuarial  firm, he has over 15 years of public sector pension and OPEB actuarial experience.  He has been  involved in the preparation of numerous actuarial valuations, cost analyses of proposed plan  changes, population projections, etc.      Currently, Nick serves as the Principal Actuary for over 30 Florida governmental OPEB plans.    As the Managing OPEB Actuary, Nick brings to the City of Clearwater significant experience in  delivering efficient, accurate and client‐responsive OPEB services under GASB Statement Nos.  74 and 75.    James J. Rizzo (Jim), Senior Consultant and Actuary, will continue to serve as a Resource  Actuary and OPEB Peer Review Actuary.  As a resource actuary, he serves as a guide for high‐ level matters pertaining to actuarial assumptions, methods, and GASB / accounting issues.  He  will also continue to peer review and sign each OPEB valuation report.    With over 40 years of public sector actuarial experience, Mr. Rizzo is one of the nation’s leading  experts on pension actuarial matters.  He serves on the various national actuarial committees  of the American Academy of Actuaries (AAA) and the Conference of Consulting Actuaries (CCA),    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  24  including the CCA Committee that drafted the recently released major White Paper on public  sector pension funding.    Mr. Rizzo is also one of the nation’s leading experts on pension accounting matters, speaking at  GFOA and other national conferences as well as state and local conferences.  He is on a first‐ name basis with the GASB board members and staff, who periodically consult him for input on  their accounting standards.  He also served on the GASB’s Task Force for the development of  Governmental Accounting Standards 67 and 68, and on the GASB’s Implementation Guide  committee for GASB Standards 74 and 75.    Mr. Rizzo is an Associate of the Society of Actuaries (ASA) and Member of its Investment,  Pension, and Health sections; a Member of the American Academy of Actuaries (MAAA); an  Enrolled Actuary under ERISA (EA); and a Fellow of the Conference of Consulting Actuaries  (FCA).    Jim’s current client list includes:  • State of Louisiana  • City of Miami  • Jacksonville Electric Authority  • And several others    Israel Bichachi will continue to serve as a Senior Actuarial Analyst for the pension plan and  as a back‐up Senior Actuarial Analyst for the OPEB plan.  He is involved with preparing and  checking actuarial valuations, GASB reports, compliance reports, pension projections and  studies, experience studies, present value calculations, retirement benefit calculations, and  annual benefit statements for system members.  Israel has over 10 years of actuarial  experience working with public sector pension plans and has also attained his ASA (Associate  of the Society of Actuaries) designation.    Peter Tramont will continue to serve as a Senior Actuarial Analyst for the OPEB Plan and as a  back‐up Senior Actuarial Analyst for the pension plan.  He is involved with preparing and  checking actuarial valuations, GASB reports, compliance reports, and studies.  Peter has over  10 years of pension/OPEB actuarial experience.    Victoria Merz will serve as an Actuarial Analyst for both the pension plan and the OPEB plan.   Victoria is involved with the preparation of actuarial valuations, GASB reports, compliance  reports, pension projections and studies, experience studies, present value calculations,  retirement benefit calculations, and annual benefit statements for system members.   Victoria has over 2 years of pension actuarial experience.    Each of these professionals is a highly qualified actuarial technician.  What sets them apart,  however, is that they are also high‐quality consultants who are sensitive enough to listen,  experienced enough to provide real alternatives, and articulate enough to make themselves    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  25  understood by any audience on any topic in the retirement area—from actuarial concepts to  benefits administration.    All of these Team members are located in the Fort Lauderdale office.  Virtually every  member of our professional staff has in‐depth experience with public employee retirement  plans.  We believe our knowledgeable, responsive approach permits us to offer the highest  level of prompt, informed service and personnel back‐up.    For more information regarding the Team members, please see their resumes, in Appendix  A.             TAB 4  APPROACH, METHODOLOGY, AND TIMELINE          City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  26  a. Proposed approach and methodology for gathering of data and completion of the  valuation  We focus on providing real value to our clients by integrating pension funding and accounting  into their overall business and financial plans (as compared to merely “running the numbers”).    We view the provision of consulting services as making our clients’ lives easier and providing  them with complete information so they can make informed decisions, and anticipate events  that may impact this process.    PENSION PLAN APPROACH AND STEPS    1. The preparation of the annual actuarial valuation report involves the following steps:     • Send a detailed census data request letter within the time frames specified by the City  of Clearwater.  • Upon receipt of the census data, GRS compares the current year’s data to the previous  year’s data and reconciles the two.   • GRS contacts appropriate City staff to correct apparent data discrepancies, if any.  • GRS analyzes the reported financial data and develop the actuarial value of assets.  • GRS applies our actuarial modeling software to compute the liabilities and City  contribution requirements.  • GRS summarizes the results of our calculations in the annual actuarial valuation report.   The report is checked by a senior actuarial analyst and then reviewed and peer‐ reviewed by two credentialed actuaries, including at least one Senior Consultant, and  then forwarded in draft form to the City of Clearwater.  • After the report is reviewed by City staff, GRS finalizes and signs the valuation report.  • GRS presents the report to the Pension Trustees at the next Pension Trustees’ meeting.     2. Our approach to providing general actuarial services (studies, actuarial impact statements  or other special requests):     • An actuarial service is requested by phone, e‐mail, letter, or during a meeting.  • A discussion with the appropriate party results in authorization of the work, followed  by prioritizing the request and establishing a timeline for completion.  • The request is assigned to one or more persons at GRS.  • The project is checked by a senior actuarial analyst and reviewed by a credentialed  actuary.  • The project is peer‐reviewed by a GRS Senior Consultant.  • The projected is completed and the finished product is provided to the requestor.    3. We are readily available, by telephone or in person, on very short notice.  In the unlikely  event that your primary consultant is unavailable, the depth of our staff provides that an  experienced back‐up is always available.    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  27     OPEB OBJECTIVES AND APPROACH    Objectives    1. Prepare reports that comply with the accounting and financial reporting standards  issued by the Governmental Accounting Standards Board (GASB).  2. Prepare reports that comply with actuarial standards of practice issued by the Actuarial  Standards Board (ASB), and that go beyond that in technical standards.  3. Prepare reports that give the reader confidence in our work (City staff and auditor).  4. Prepare reports that provide all the relevant and necessary information, as well as  back‐up and educational material.  5. Prepare reports that are written in plain English.    Approach/Steps    1. GRS sends a detailed data request letter within the time frames specified by the City of  Clearwater requesting census data, health claims data, financial reports, rate tables,  and any other data and information as necessary.  2. Upon receipt of the data, GRS reviews, verifies and performs various tests for  reasonableness on the data.   3. GRS communicates with appropriate City staff to resolve any inconsistencies noticed.  4. GRS develops initial baseline per capita costs for the City’s health and life insurance  plans.  5. GRS discusses with City staff any recommended changes to the actuarial assumptions  and methods.  6. GRS applies our actuarial modeling software to compute the liabilities.  7. GRS prepares the OPEB actuarial valuation report, which summarizes the results of our  calculations.  The report is checked by a senior actuarial analyst and then reviewed and  peer‐reviewed by two credentialed actuaries, including at least one Senior Consultant.  8. The report is finalized and signed and delivered to the City.    Additional services may include:    • Recommending alternatives for reducing the cost of benefits and/or recommendations  on managing the OPEB liability.  • Providing information useful in assessing future funding requirements on the City’s  cash flows.  • Assisting the City’s Finance Department in the information required for their  Comprehensive Annual Financial Report (CAFR), including notes and required  supplementary information (RSI) disclosure requirements.         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  28  KEY DEMOGRAPHIC AND ECONOMIC ASSUMPTIONS    Assumptions that relate to the population should match those used in any related pension  valuation.  For many of these assumptions, we should use the same assumptions used for the  Employees’ Pension Plan.  The OPEB assumptions that may differ from the pension plan  assumptions are those that relate specifically to the retiree health benefits, such as the trend  and discount rate (since the funding / asset allocation may differ from the pension plan).  An  additional assumption for the rate of participation in the retiree health care plan also needs to  be developed.    Demographic Assumptions:  For rates of turnover, retirement, disability, and mortality, we  generally use the same actuarial assumptions used by the pension plan covering the  employees.  We believe it is inappropriate to simply pull actuarial tables off the shelf.  Unless  there are specific reasons to the contrary, we generally recommend relying on the same  demographic assumptions used for the pension plan valuation.    Economic Assumptions:  For an OPEB valuation, the projected salary increase assumption  affects the pattern of normal costs under the entry age normal actuarial cost method.  Again, as  with demographic assumptions, we will lean on the salary increase assumptions employed by  the pension plan.  General price inflation is a fundamental assumption underlying several of the  economic assumptions.  We discuss these assumptions and advise the City in order to get their  input and buy‐in.    The discount rate is a very important actuarial assumption.  Under the current standard set by  GASB No. 75, this input is required to be based on an index reflecting yields for 20‐year, tax‐ exempt general obligation municipal bonds.  We will advise City officials on publicly available  indices to be used in setting the discount rate for each annual measurement.         Health Care Assumptions:  There are numerous other actuarial assumptions related to health  care matters.  These include the aging scale, the participation and lapse rates, the trend and  post‐retirement benefit change rates (initial, ultimate, and year to reach ultimate), etc.      For the aging factors (aka morbidity rates), we rely on the latest tables developed jointly by the  Society of Actuary and the Health Care Cost Institute and published by Dale Yamamoto.    GRS has national and regional data that will be used in setting the near‐term health care trend  rate.  This rate starts higher and then ratchets down until reaching an ultimate rate in 25‐30  years.  We rely on the Getzen model as the most robust method for setting future trend rates.   Again, GRS recommends this assumption and the City adopts it.         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  29  OPEB CHANGES    Changes in the underlying benefits will be reflected in the valuation.  The OPEB liabilities will be  changed (either reduced or increased) to reflect changes in the underlying benefit design of the  plan.      INTERNAL QUALITY CONTROLS (PENSION AND OPEB)    GRS has a total quality management program that includes four steps. Under the Quality  Assurance process:    1. An Actuarial Analyst develops the plan costs,  2. A Senior Actuarial Analyst verifies each value,  3. The Lead Actuary and Oversight Actuary (the two signing actuaries) will review  everything as the valuation process continues to ensure that results not only  look reasonable but are correct, and  4. The Peer Review Actuary has the final set of eyes on the report.    These guidelines were developed by our national Professionalism Committee and are reviewed  and revised as appropriate.    In completing any client assignment, it is the goal of each employee of GRS to produce the  highest quality work.  This practice has been an integral component of our corporate culture  throughout our history.  GRS clients enjoy a high level of assurance and confidence that our  results are reasonable, reliable and fully compliant.    GRS uses its Quality Assurance process on all services we provide to our clients.  This process  provides our clients with confidence that their valuations will (1) be the product of professional  actuarial rigor, (2) withstand auditor scrutiny, and (3) be in technical compliance with all  actuarial standards.  Our thoroughness on the front‐end means far fewer headaches later in the  process.    Professionalism Committee    Quality Assurance Procedures at GRS are developed and monitored by a standing  Professionalism Committee.  The GRS Professionalism Committee performs internal audits of  the work we do for our clients and reports to the firm’s Board of Directors.  The following  paragraphs describe how our quality assurance procedures apply to three specific types of  client assignments:         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  30  Actuarial Valuations    Each actuarial valuation for a defined benefit pension plan or a post‐retirement health care  program is supervised by a qualified consulting actuary, from the beginning of the process until  the final product is sent to the client.  Actuarial valuations are prepared by an actuarial analyst  and are initially checked by a more senior associate.    The two associates work very closely with the consulting actuary to resolve any issues that may  arise throughout the process.  After completion of the initial checking, the valuation is reviewed  by the consulting actuary.  The actuary reviews the results for reasonableness.  Once the results  are finalized and a report is prepared, the report is peer reviewed by another qualified actuary.   Each step of the process is documented using the quality forms, and the documentation is filed  with the work papers.    Special Projects    All other projects other than actuarial valuations also follow our standard quality assurance  procedures.  Initial calculations are prepared by an analyst, checked by a more senior associate  and reviewed and peer reviewed by qualified actuaries.  Each step of the process is  documented using the quality forms, and the documentation is filed with the work papers.    Client Correspondence    Any substantive client correspondence (letters ‐ hard copy or electronic, reports, presentations,  etc.) prepared by one of our actuaries or consultants is peer reviewed by another actuary or  consultant.  Each step of the process is documented using the quality forms, and the  documentation is filed with a copy of the correspondence.    Internal Audits    Our internal audit process ensures that our associates follow our Quality Assurance procedures  and that the services provided to our clients are continuously improving.  Please note this is a  procedural audit.    Through this process, a group of our actuaries and consultants audits the work performed for  our clients.  The audited clients are selected randomly.  A member of the Professionalism  Committee begins the audit by conversing with the actuary or consultant and other client team  members.  Then he or she reviews the work papers, the valuation report and other relevant  files to see if quality assurance procedures have been followed and documented.    After the Committee member has completed these steps, the findings are discussed with the  actuary or consultant responsible for that client.  The findings are shared with the other  members of the Professionalism Committee at its next quarterly meeting, after which the  report is forwarded to the President.    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  31     External Audits    Our work for many of our clients has also been audited by other actuarial firms, and our work  has passed their scrutiny.  This external actuarial audit is a frequent and routine procedure for  large pension funds.  As serious, committed professionals, we always welcome the constructive  suggestions of other qualified professionals.    Many of our plans have been subject to actuarial audits during the last five years.    In all cases the auditing actuary has been able to reproduce our valuation results to within 1%,  and within 0.1% in some cases.  GRS agrees with the consistent and periodic audits of all  actuarial work.  The audit process is typically beneficial to the system, the beneficiaries, and the  retained actuary.    City officials need to have assurance and confidence in the actuarial product they receive from  GRS.  Our Quality Assurance procedures are essential in providing exactly that.         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  32  b. Proposed timeline including all significant milestones  PENSION PLAN VALUATION TIMELINE    CITY OF CLEARWATER EMPLOYEES’ PENSION PLAN  ACTUARIAL VALUATION PROCESS  ACTIVITY TASKS  PHASE 1:  Request, Gather and Review  Census and Financial Data    (By end of February)  City staff submits census data and financial (plan asset) information  Review data provided and compare to prior year’s data  Prepare final database for use in valuation  Analyze demographics and salary trends  PHASE 2:  Incorporate Legislative Changes,  if applicable    (1st week of March)  Analyze legislative changes, if any  Incorporate changes into valuation procedures / software programs  PHASE 3:  Calculate Actuarial Liabilities        (2nd week of March)  Value current‐year census data based on prior‐year assumptions and plan       provisions  Analyze liability gains and losses  Revise programs for assumption changes, if any, and value liabilities on       new assumption basis  Measure impact of assumption changes, if any  Review programs for changes in plan provisions, if any, and value       liabilities on new plan basis  Measure impact of changes in plan provisions, if any  PHASE 4:  Determine Valuation Assets      (2nd week of March)  Review the financial reports (market value of assets)  Analyze change in assets  Calculate rate of return  Calculate actuarial value of assets  Determine asset gain (loss)  PHASE 5:  Prepare Cost Summaries    (3rd week of March)  Import output of valuation system into cost worksheets  Input asset values into cost worksheets  Develop cost calculations and summary tables  Determine actuarial gain or loss  PHASE 6:  Analyze and Review Results    (4th week of March)  Primary Actuary and actuarial staff review liability and cost calculations  Review of assets and summary tables by Primary Actuary  PHASE 7:  Prepare Report    (1st and 2nd week of April)  Review preliminary results with Primary Actuary  Finalize actuarial and statistical tables  Draft discussion sections  Produce draft of visuals  PHASE 8:  Deliver the Report    (By mid‐April)  Forward draft report to Client designee.  Produce final report  Present report to Trustees during the next meeting  PHASE 9:  Prepare Employee Benefit  Statements    (in May)  Prepare and deliver individual Employee Benefit Statements.    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  33  As a result of reviewing this schedule, every responsible person involved with the project gains  an understanding of why timeliness is important and how a delay in one step can potentially  delay the delivery of the entire project.    As shown in the chart, GRS will work with City staff to obtain all of the data necessary to  prepare the annual valuation in early to mid‐February.  A listing of data exceptions / questions  will be sent to the City for verification.  Detailed data checking and a reconciliation of status  changes from year to year will be performed.    OPEB VALUATION TIMELINE    ACTIVITY Task Description for OPEB Valuation  PHASE 1:  Request  Census Data        (June)  GRS prepares and forwards a detailed data request letter.  This involves:   Census data from the insurance company(ies) and from the City  records,   Health claims data (aggregated),   Financial reports for the plan,   Rate tables, and   Other data and information as necessary  GRS submits a summary of substantive plan provisions and requests any  updates from the City staff and sign‐off by the City  PHASE 2:  Gather and  Review Census Data      (July‐August)   City collects and screens data for completeness and submits all data to  GRS, along with City’s rep letter.  GRS reviews, verifies and performs various tests (not audits) on data for  reasonableness; and communicate with staff to resolve any  inconsistencies noticed.  PHASE 3:  Initial Per  Capita Costs and  Assumption Review    (September)  GRS develops initial baseline per capita costs for health plans and life  insurance plan.  GRS discusses with City staff any changes to the actuarial assumptions  and methods that might be recommended.  PHASE 4:  Calculate  Actuarial Liabilities    (October‐November)  GRS programs or updates actuarial software modelling system.  PHASE 5:  Analyze and  Review Results    (November)  GRS performs full actuarial valuation.  PHASE 6:  Prepare  Report    (December)  GRS completes and issues final report.    TAB 5  FAMILIARITY WITH GASB AND STATE OF FLORIDA  REPORTING REQUIREMENTS            City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  34  Demonstrate your understanding of all applicable GASB and State of Florida reporting  requirements for the pension plan and the City    CURRENT REQUIREMENTS    BACKGROUND    GASB No. 67    GASB No. 67 applies to any stand‐alone GAAP‐compliant financial statement prepared for the Plan  and is effective for plan fiscal years beginning after June 15, 2013.  The disclosure of certain asset and  liability amounts, along with other information, is required to be included in the financial statement  for the Plan.      Under GASB No. 67, the reporting date is the Plan’s fiscal year‐end.  The measurement date used to  determine the Plan’s Net Pension Liability must be equal to the reporting date.  The Total Pension  Liability must be determined under one of two alternatives: (1) an actuarial valuation as of the Plan’s  reporting date or (2) a roll‐forward of actuarial valuation results to the Plan’s reporting date (the  valuation date must be no more than 24 months before the reporting date).  The use of a roll‐forward  of actuarial valuation results from a valuation date before the measurement date is very common  since it allows for timelier reporting.  The Plan’s Fiduciary Net Position must be the actual market  value as of the reporting date.        GASB No. 68    GASB No. 68 applies to GAAP‐compliant financial statements prepared by the City and is effective for  fiscal years beginning after June 15, 2014.  The recognition of net pension liabilities (as determined  for GASB No. 67), deferred outflows of resources, deferred inflows of resources, and pension  expense, along with disclosure of other information, needs to be included in the City’s financial  statement.    Under GASB No. 68, the reporting date is the employer’s fiscal year‐end.  GASB 68 allows the  measurement date to be up to one year prior to the reporting date.  If the Total Pension Liability as of  the measurement date is determined using a roll‐forward procedure, the actuarial valuation date  must be no earlier than 30 months and 1 day before the reporting date.    The GASB No. 67 and GASB No. 68 actuarial disclosures for the fiscal year ending September 30, 2022  will use the following timing and linkage dates:     Reporting Date – September 30, 2022   Measurement Date – September 30, 2022   Valuation Date – January 1, 2022    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  35  Use of this timing and linkage provides the reader of the financial statements with the most up to  date information.       GASB No. 74    GASB No. 74 establishes financial reporting standards for state and local governmental OPEB plans— defined benefit OPEB plans and defined contribution OPEB plans—that are administered through  trusts or equivalent arrangements.    As the City does not hold any assets for purposes of pre‐funding its OPEB, provisions of this  statement do not affect City reporting requirements.        GASB No. 75    GASB No. 75 applies to GAAP‐compliant financial statements prepared by the City and is effective for  fiscal years beginning after June 15, 2017.  The recognition of OPEB liabilities, deferred outflows of  resources, deferred inflows of resources, and expense along with disclosure of other information,  must be included in the City’s financial statement.    Under GASB No. 75, the reporting date is the employer’s fiscal year‐end.  GASB 75 allows the  measurement date to be up to one year before the reporting date.  If the Total OPEB Liability as of  the measurement date is determined using a roll‐forward procedure, the actuarial valuation date  must be no earlier than 30 months and 1 day before the reporting date.    Approach – Timing and Linkage (GASB 75)    The GASB No. 75 actuarial disclosures for the fiscal year ending September 30, 2022 will use the  following timing and linkage dates:     Reporting Date – September 30, 2022   Measurement Date – September 30, 2022   Valuation Date – January 1, 2022  Use of this timing and linkage provides the reader of the financial statements with the most up to  date information.     The following table presents the reporting schedule and timing and linkage for the OPEB Plan.       City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  36  Actuarial  Valuation  Date  Measurement  Date  Reporting  Date  Calculation  Method  Accounting  Standard Contract  1/1/22 9/30/22 9/30/22 Full Valuation GASB 75 Per New  Contract  1/1/22 9/30/23 9/30/23 Roll Forward  Update GASB 75 Per New  Contract  1/1/24 9/30/24 9/30/24 Full Valuation GASB 75 Per New  Contract  1/1/24 9/30/25 9/30/25 Roll Forward  Update GASB 75 Per New  Contract  1/1/26 9/30/26 9/30/26 Full Valuation GASB 75 Per New  Contract      Florida Chapter 112.664 Compliance Report    In 2013, the Governor signed Chapter 2013‐100 (Senate Bill No. 534) into law.  This law applies to all  publicly‐funded defined benefit retirement plans in the State of Florida, with the exception of the  Florida Retirement System (FRS), and it adds significant disclosure requirements.  The law was first  effective for the Plan beginning with the January 1, 2015 actuarial valuation reporting cycle.      This law is intended to provide additional disclosures regarding the value of local government  employee defined benefit pension plan liabilities, funded ratios, and contribution levels.  The law  mandates that pension liabilities, including the change in liabilities during the year, contribution  requirements, and the length of time the current market value of assets will sustain expected benefit  payments, be valued using two alternative sets of prescribed actuarial assumptions.    We have prepared this report for the City for the past several years, and we have included additional  information to present a fair and balanced analysis.  The additional information includes a description  of the analysis showing the length of time the assets will sustain benefit payments as well as the  calculation of certain other metrics using an assumed rate of return that is 200 basis points greater  than the current rate (besides only including the mandated calculations using an assumed rate of  return that is 200 basis points lower than the current rate).      GRS EXPERIENCE    GRS has been providing pension recognition and disclosure information pursuant to GASB Statement  Nos. 5/25/27/43/45/47/50/67/68/73/74/75 for many years and under F.S. 112.664 since its  implementation.    GRS’ Chief Actuary, David Kausch, FSA, EA, MAAA, has provided comments and testimony to the  GASB on the Exposure Drafts pointing out issues that could create undue burdens on systems and    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  37  employers, offering suggestions to improve the standards that would simultaneously meet the  GASB’s objectives, improve transparency, and ease systems’ and employers’ reporting burdens.  He  was also involved in assisting GRS clients with field testing the GASB Exposure Drafts before the  Statements No. 67 and 68 were finalized.    Jim Rizzo, a senior consultant in our Fort Lauderdale office and one of the team members assigned to  the OPEB Plan for the City of Clearwater, served on GASB’s Task Force for the initial development of  GASB Standards 67 and 68.  He was later invited by GASB to serve on the OPEB Implementation  Guidance Consultative Group on GASB 74 and 75.  He has been involved in the development of  Standards and Implementation Guides for OPEB and served on the Advisory Education to Board and  Staff on actuarial cost methods during the development of GASB accounting pension standards.    In addition, other GRS consultants have:     Served on the GASB Advisory Committee for Pension research and prepared studies leading to  pronouncement of GASB Statements 67 and 68;   Assisted GASB staff in developing GASB Statements No. 43 and 45;   Assisted in drafting responses to GASB’s Invitation to Comment (on Post‐Employment  Benefits) on behalf of five different groups:  the American Academy of Actuaries, national  GFOA, Florida GFOA, 43 practicing public sector actuaries (comment letter), and GRS;   Served on the GASB Advisory Committee for drafting the first Implementation Guide for  Statements No. 43/45 and a consultative group assisting GASB in drafting Implementation  Guides for Statements 74/75;   Testified at GASB Hearings on the Invitations to Comment and the Exposure Drafts relative to  GASB Statements 67/68 and 74/75;   Conducted numerous speaking engagements on GASB 67/68/74/75 for the national and  Florida GFOA, NCPERS, national AICPA, FICPA, FPPTA and various other national and state  organizations;   Written articles for the Florida GFOA newsletter and other publications on GASB 67/68/74/75;   Successfully implemented GASB 67/68 for over 400 governmental retirement systems,  including the City of Clearwater Employees’ Pension Plan;   Successfully implemented GASB 74/75 for nearly 600 OPEB Plans, including the City of  Clearwater’s OPEB Plan;   Testified before the Florida Legislature before implementation of Florida reporting  requirement under F.S. 112.664;   Engaged in discussions with the Florida legislative staff and the Division of Retirement before  and after enactment of Chapter 2013‐100.  As the nation’s leading provider of actuarial services to the public (governmental) sector, there isn’t  anything we haven’t seen as a firm with regard to GASB 67/68 and GASB 74/75.  The City of  Clearwater can be assured that the GASB 67/68 and GASB 75 reports prepared by GRS will be  accurate and thorough, providing everything the City needs to complete its financial reporting  obligations.    TAB 6  REFERENCES          City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  38  Provide at least four (4) complete references for which similar services are currently  provided, preferably governmental clients and pension plans in the State of Florida. Include  the name of entity, contact person’s names, phone numbers, e‐mail addresses, mailing  addresses, types of services provided, and dates these services were provided.      We provide actuarial and benefit consulting services to over 1,000 public sector (pension and  OPEB) clients throughout the United States.  The GRS client base spans the broad universe of  public employee retirement systems and OPEB Plans.     Unlike other actuarial firms, GRS is committed to the public plan market.  Actuarial and consulting  services for public plans have been our specialty since we were founded in 1938.  Our clients  continue to select GRS because of our commitment to and delivery of the highest level of quality  services to our public plan clients.    A more complete listing of GRS’ more than 400 public pension clients, nationwide, is provided in  Appendix F, while Appendix H narrows this list down to our Florida‐based pension clients only.   Appendix G includes a listing of GRS’ firm‐wide public OPEB clients, and Appendix I narrows this  list down to a list of our Florida public OPEB clients.    Here is a list of four (4) complete references for which similar services are currently provided in  the State of Florida:    City of Coral Gables Retirement System  (Covering Police Officers, Firefighters and General Employees)  Contact Person Mr. Michael Gold,   Pension Board Chairman  Contact Person’s phone number 305‐460‐2716  Contact Person’s e‐mail address Michael.Gold@RaymondJames.com   Mailing address 2333 Ponce De Leon Blvd, 5th Floor  Coral Gables, FL 33134  Dates the services were provided 2013 to the present  Types of services provided Pension; Annual actuarial valuations;  employee benefit statements; GASB  accounting reports; actuarial advisory services  including establishing a formal funding policy;  presentations to the Pension Board and to  City Commission; special studies         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  39  City of Jacksonville Police and Firefighters Pension Fund  Contact Person Mr. Timothy Johnson,  Executive Director  Contact Person’s phone number 904‐255‐8963  Contact Person’s e‐mail address THJohnson@coj.net   Mailing address One West Adams Street, Suite 100  Jacksonville, FL 32202  Dates the services were provided 2017 to the present  Types of services provided Pension; Annual actuarial valuations; GASB  accounting reports; actuarial advisory services;  presentations to Pension Board and  committees; special studies      City of Tallahassee   (Covering Police Officers, Firefighters and General Employees)  Contact Person Mr. James (Jim) O. Cooke, IV  City Treasurer‐Clerk  Contact Person’s phone number 850‐891‐8146  Contact Person’s e‐mail address Jim.Cooke@talgov.com   Mailing address 300 South Adams Street  Tallahassee, FL 32301  Dates the services were provided 2014 to the present  Types of services provided Pension and OPEB; Annual actuarial valuations;  GASB accounting reports; actuarial advisory  services; presentations; special studies      City of Sarasota – General Employees, Police Officers, and Firefighters   Contact Person Ms. Debra Martin,   Pension Plans Administrator  Contact Person’s phone number 941‐263‐6360  Contact Person’s e‐mail address Debra.Martin@sarasotaFL.gov   Mailing address 1565 1st Street  Sarasota, FL 34236  Dates the services were provided 1991 to the present  Types of services provided Pension and OPEB; Annual actuarial valuations;  Employee benefit statements; GASB accounting  reports; actuarial advisory services;  presentations to the Pension Board and to City  Commission; special studies    TAB 7  CONTRACT AND COMPENSATION – COST OF SERVICES          City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  40  TAB 7 ‐ Contract and Compensation – Cost of Services.  1. Provide the firm’s proposed fee schedule for the outlined services, including whether fee is  on a project basis or hourly basis, the estimated number of hours and total cost, and any  other costs which would be reasonably expected to occur as a result of the contract  performance. If applicable, provide projected hourly cost increases for years two (2) through  (5) of the contract. Costs should be quoted on each service as follows:  a. Annual pension plan actuarial valuation for funding purposes  b. Annual pension plan actuarial report for fiscal year‐end financial reporting purposes,  including all applicable GASB and State of Florida annual reporting requirements  c. Annual reporting requirements per Chapter 112.664, Florida Statutes  d. Annual and/or biannual postemployment benefits actuarial valuation  e. Annual employee benefit statements  f. Any other annual fees per scope of services  g. Experience study – anticipated to be completed for the five years ended either 12/31/21  or 12/31/22  h. Consultation to City staff on actuarial related issues (hourly rate) as requested.         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  41          Our current hourly rates are shown on the next page.     Proposed Fees Routine Actuarial Services for Employees' Pension Plan: Annual Pension Plan Actuarial Valuation for Funding Purposes, including  separate results for General Employees, Police Officers and Firefighters, and  annual employee benefit statements and attendance at one Pension Trustees'  meeting to present the results *:29,500$              Annual Pension Plan Actuarial Report for Fiscal Year‐End Financial Reporting  Purposes, including all applicable GASB and State of Florida annual reporting  requirements:5,900$                Annual Reporting Requirements per Chapter 112.664 Florida Statutes:3,750$                Annual Employee Benefit Statements:Included above Biannual Full Actuarial Valuation for OPEB, including GASB 75 reporting*:15,500$              OPEB Roll‐Forward (in intervening years), including GASB 75 reporting:3,750$                Other Actuarial Services: Five‐Year Experience Study including separate analysis of the experience for  hazardous versus non‐hazardous members:24,000$              Actuarial Impact Statements, Studies and Other Calculations, as requested:Hourly rates * The fees for actuarial valuations (pension and OPEB) are applicable for 2022. Fees for subsequent actuarial valuations will be increased by the change in the CPI‐U index from December of one year to December of the next year, not to exceed 3.0% per year. If the actual increase in the CPI‐U exceeds 3.0%, the excess actual CPI‐ U increase will be carried forward, but no single annual increase will exceed 3.0%. City of Clearwater Fee Schedule for Routine Annual Actuarial Services Routine Actuarial Services for OPEB:   City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  42  The following chart shows our current hourly rates for 2021.  These rates are updated annually,  generally to reflect inflation and changes in the cost of overhead.  Based on current inflation  forecasts, these rates are not expected to increase more than 3% per year, on average, throughout  the term of the contract.    In most cases, we will quote a fixed not‐to‐exceed fee for special projects, actuarial impact statements,  and studies, so these rates will have limited applicability.      Title Standard  Hourly Rates  Senior Consultant $393 ‐ $503  Consultant $308 ‐ $388  Senior Actuarial Analyst $244 ‐ $301  Actuarial Analyst $192 ‐ $224  Administrative Assistant $126 ‐ $144      TAB 8  OTHER FORMS              City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  43  The following forms should be completed and signed:  1. Exceptions/Additional Materials/Addenda form  2. Vendor Information form  3. Vendor Certification of Proposal form  4. Scrutinized Companies form(s) as required  5. E‐Verify Eligibility form  6. W‐9 Form. Include a current W‐9 form             City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  44           City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  45      City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  46           City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  47         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  48        City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  49          APPENDIX A  TEAM RESUMES            City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐1    Peter N. Strong, FSA, EA, FCA, MAAA  Senior Consultant  pete.strong@grsconsulting.com        Expertise  Pete Strong is a Senior Consultant located in Gabriel, Roeder, Smith & Company’s (GRS) Fort Lauderdale,  Florida office.  Pete has 25 years of actuarial and benefits consulting experience.  He provides actuarial and  consulting services for both public and private sector (middle market) employee retirement systems and OPEB  plans.      Pete’s pension plan experience includes defined benefit plans and hybrid arrangements, covering plan design  features such as final average pay, career average pay, target benefit, and early retirement windows.    His actuarial work covers valuations, GASB/FASB accounting disclosure, plan design studies, experience  studies, and cash flow projections.   He has particular expertise in modeling studies including asset/liability  studies using deterministic and stochastic approaches.    Pete’s regulatory and compliance knowledge includes the Pension Protection Act of 2006 and Internal Revenue  Code Sections 401(a), 410, and 415. He also has many years of experience with retiree health valuations  related to GASB OPEB and FAS 106.     Pete’s knowledge of actuarial software is an added strength.  In addition to experience with GRS’ internal  actuarial software, he has many years of experience working with ProVal and other actuarial valuation  systems.  He also has experience converting actuarial valuations and models from one valuation system to  another.  His valuation conversion expertise ensures an efficient and timely transition for new clients during  the initial replication process.    Professional Designations   Fellow, Society of Actuaries   Enrolled Actuary   Fellow, Conference of Consulting Actuaries   Member, American Academy of Actuaries    Presentations  Pete has been a regular speaker at the Florida Public Pension Trustees Association (FPPTA) Trustees Schools  over the past several years.    Education  Bachelor of Science, Mathematical Sciences, University of North Carolina at Chapel Hill       City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐2                   City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐3    Trisha Amrose, EA, FCA, MAAA  Consultant   trisha.amrose@grsconsulting.com      Expertise  Trisha Amrose is a Consultant in GRS' Fort Lauderdale, Florida office.  She has 21 years of experience in  actuarial, administrative, and consulting services for employee retirement systems and retiree health  programs.  She has worked with city and county public pension clients in Florida and Tennessee.    Trisha’s work focuses on actuarial valuations, actuarial disclosures under GASB No. 67 and 68, State reporting  requirements under the Florida Statutes, benefit calculations, benefit statements, plan design studies,  experience studies and funding projections.    She has extensive knowledge of Florida Statutes, including Chapter 175 and 185, as they apply to municipal  pension plans.  Trisha also has experience consulting on hybrids, COLAs, Deferred Retirement Option Plans  (DROPs), and closed plans.    Professional Designations   Enrolled Actuary, ERISA   Fellow, Conference of Consulting Actuaries   Member, American Academy of Actuaries    Education   Bachelor of Science, Mathematics, Stony Brook University         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐4                   City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐5    Jeffrey Amrose, EA, MAAA  Senior Consultant   jeffrey.amrose@grsconsulting.com        Expertise  Jeffrey Amrose is a Consultant and Team Leader in GRS' Fort Lauderdale, Florida office.  He has 28 years of  actuarial and benefits consulting experience with municipal general employee and public safety retirement  systems.    Jeff is a seasoned expert in all retirement areas with a special emphasis in actuarial, administrative, and  consulting services for employee retirement systems.  During his career he has handled a wide variety of  consulting assignments, including actuarial valuations, plan design studies, experience studies, early  retirement windows, and cash flow projections.  Jeff has extensive knowledge of Florida Statutes, including  Chapter 175 and 185, as they apply to municipal pension plans.    Professional Designations   Enrolled Actuary, ERISA   Member, American Academy of Actuaries    Presentations  Jeff has served as a speaker at the Florida Public Pension Trustees Association (FPPTA) Trustees School, FGFOA  conferences, and the Annual Police Officers’ and Firefighters’ Pension Trustees’ school on topics such as plan  redesign, Florida pension reform, and funding policies.    Education  Bachelor of Arts, Mathematics and Bachelor of Science, Economics, Binghamton University      Education    Bachelor of Arts, Mathematics, and Bachelor of Science, Economics, Binghamton University       City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐6                   City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐7      Piotr Krekora, ASA, EA, FCA, MAAA, PhD  Senior Consultant   piotr.krekora@grsconsulting.com      Expertise  Piotr Krekora is a Consultant in GRS’ Fort Lauderdale, Florida office. Piotr has more than 15 years of actuarial  and consulting experience.      Piotr’s actuarial expertise covers all aspects of public sector pension and retiree health plan design and  operation, including pension and OPEB valuations, pension and retiree health care studies, cost analyses of  proposed plan changes, liability and contribution projections, and asset simulation and cash flow studies.    Additionally, Piotr is experienced in designing and implementing cash balance plans as well as other alternative  designs.  He has a working knowledge of Florida Statutes governing operations of municipal pension plans, and  group insurance plans offered by public sector employees.     Professional Designations   Associate, Society of Actuaries   Enrolled Actuary, ERISA   Fellow, Conference of Consulting Actuaries   Member, American Academy of Actuaries    Professional Affiliations   American Academy of Actuaries (AAA):  Piotr serves on the Retiree Benefits Subcommittee of the  Academy’s Health Practice Council.   Society of Actuaries:  Piotr is an elected member of a Social Insurance and Public Funding Council where  he serves as a Secretary.     Conference of Consulting Actuaries (CCA)    Presentations & Publications  Piotr’s speaking engagements include national meetings of actuarial organizations and public sector and other  employee benefits associations such as the Conference of Consulting Actuaries (CCA), the National Conference  of Public Employee Retirement Systems (NCPERS), the Florida Public Pension Trustees Association (FPPTA), the  Florida GFOA and FSFOA. He also co‐authored the paper Revisiting Pension Actuarial Science‐A Five Part Series,  by Rizzo, Ostaszewski, and Krekora published by the Society of Actuaries in 2009.    Education  Ph.D., Physics, Polish Academy of Sciences         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐8                   City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐9        Nicolas Lahaye, FSA, EA, FCA, MAAA  Consultant   nicolas.lahaye@grsconsulting.com      Expertise    Nicolas Lahaye is a Consultant in GRS’ Fort Lauderdale, Florida office.  He has more than 15 years of actuarial  and benefits consulting experience. Nicolas provides actuarial and consulting services to both public and private  sector employee retirements systems and OPEB plans.     Nicolas’s work for his clients includes preparation and presentation of actuarial valuations and GASB/FASB  accounting disclosures, benefit redesign studies, experience studies, and cash flow projections.  He also has  significant experience performing modeling studies, including asset/liability studies using deterministic and  stochastic approaches.    Throughout his career, Nicolas has worked for both public sector and private‐sector plans. His pension plan  experience includes defined benefit plans and hybrid arrangements, covering plan design features such as final  average pay, career average pay, target benefit, and early retirement windows. He also has working knowledge  of Florida Statutes, governing operations of municipal pension plans, and group insurance plans offered by public  sector employees.    Professional Designations   Fellow, Society of Actuaries   Enrolled Actuary   Fellow, Conference of Consulting Actuaries   Member, American Academy of Actuaries    Education    Bachelor of Actuarial Sciences, Laval University, Quebec, Canada         City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐10                   City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐11    James J. Rizzo, ASA, EA, FCA, MAAA  Senior Consultant   jim.rizzo@grsconsulting.com        Expertise  James Rizzo is a Senior Consultant in GRS’ Fort Lauderdale, Florida office.  He has more than 35 years of public  sector actuarial and consulting experience. Jim provides actuarial and consulting services to retirements  systems and OPEB plans.  He has served public sector clients in Florida, Georgia, Louisiana, South Carolina, and  Tennessee.    Jim is a subject matter expert in all aspects of pension and retiree health plan design and operations,  including investments, administration, systems, communications, regulatory compliance, actuarial, and plan  design.  His focus is preparing, supervising, and presenting actuarial valuations, calculating projections, and  conducting plan redesign studies. Jim has extensive experience analyzing the actuarial impact of investment  decisions and helping clients with pension risk management.      Professional Designations   Associate, Society of Actuaries   Enrolled Actuary   Fellow, Conference of Consulting Actuaries   Member, American Academy of Actuaries    Professional Affiliations   Actuarial: American Academy of Actuaries’ Pension Accounting Committee, Public Plans Subcommittee  and Retiree Health Committee; Conference of Consulting Actuaries’ Public Plans Community Steering  Committee; Actuarial Standards Board, Retiree Group Benefits Subcommittee on Actuarial Standards  of Practice (ASOPs)   Accounting: Governmental Accounting Standards Board’s task forces on the Standards and  Implementation Guides for OPEB and Advisory Education to Board and Staff on Pension Standards.    Presentations and Publications   Jim has been recruited to speak at conferences for the Government Finance Officers Association (GFOA),  Florida Government Finance Officers Association (FGFOA), Conference of Consulting Actuaries (CCA), American  Academy of Actuaries (AAA) and other organizations. He has authored articles for Contingencies, Government  Finance Review and other publications and co‐authored the paper, “Revisiting Pension Actuarial Science – A  Five‐Part Series”, published by the Society of Actuaries.    Education  Bachelor of Arts, Mathematics (with honors), University of South Florida  Actuarial Course Studies, Georgia State University       City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐12                   City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐13        Israel Bichachi, ASA, MAAA  Senior Analyst  israel.bichachi@grsconsulting.com        Expertise  Israel Bichachi is a Senior Analyst in GRS’ Fort Lauderdale, Florida office.  He has more than ten years of  actuarial consulting and plan administration experience.  Israel provides actuarial, administrative and  consulting services to public sector retirement systems and OPEB plans, and has served clients in Florida and  Louisiana.    Israel’s work focuses on pension and OPEB actuarial valuations for funding and accounting purposes, liability  and cost projections, experience studies, and actuarial impact statements and cost analyses for proposed plan  changes.    Professional Designations   Associate, Society of Actuaries   Member, American Academy of Actuaries    Education  Bachelor of Science, Physics, Brandeis University  Bachelor of Arts, Music, Brandeis University  Master of Science, Physics, Northwestern University       City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐14                   City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  A‐15        Peter G. Tramont   Senior Analyst  peter.tramont@grsconsulting.com      Expertise  Peter Tramont is a Senior Analyst in GRS’ Fort Lauderdale, Florida office.  He has more than seven years of  actuarial and consulting experience.  Peter provides actuarial and consulting services to public sector  retirement systems and OPEB plans, and has served clients in Florida, Louisiana, and Connecticut.    Peter’s actuarial experience encompasses pension and OPEB actuarial valuations for funding and accounting  purposes, liability and cost projections, experience studies, and actuarial impact statements and cost analyses  for proposed plan changes.    Professional Designations  Peter is currently pursuing his Associate designation sponsored by the Society of Actuaries.     Education  Bachelor of Arts, Mathematics/Actuarial Science, University of Connecticut        APPENDIX B  INSURANCE CERTIFICATE                City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  B‐1           City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  B‐2          APPENDIX C   REGISTRATION TO DO BUSINESS IN FLORIDA            City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  C‐1        APPENDIX D   SAMPLE ACTUARIAL VALUATION REPORT        City of Clearwater Employees’ Pension Plan Actuarial Valuation Report as of January 1, 2021 Annual Employer Contribution for the Fiscal Year Ending September 30, 2022 April 26, 2021 Board of Trustees City of Clearwater Employees’ Pension Plan Clearwater, Florida Dear Board Members: The results of the January 1, 2021 Annual Actuarial Valuation of the City of Clearwater Employees’ Pension Plan are presented in this report. This report was prepared at the request of the Board and is intended for use by the Retirement System and those designated or approved by the Board. This report may be provided to parties other than the System only in its entirety and only with the permission of the Board. GRS is not responsible for unauthorized use of this report. The purposes of the valuation are to measure the System’s funding progress and to determine the employer contribution rate for the fiscal year ending September 30, 2022. This report should not be relied on for any purpose other than the purposes described herein. Determinations of financial results, associated with the benefits described in this report, for purposes other than those identified above may be significantly different. The contribution rate in this report is determined using the actuarial assumptions and methods disclosed in Section B of this report. This report includes risk metrics in Section A, but does not include a robust assessment of future experience not meeting the actuarial assumptions. A robust assessment of risks was outside the scope of this assignment. This valuation assumed the continuing ability of the plan sponsor to make the contributions necessary to fund this Plan. A determination regarding whether or not the plan sponsor is actually able to do so is outside our scope of expertise and was not performed. The findings in this report are based on data or other information through December 31, 2020. The valuation was based upon information furnished by the City concerning Retirement System benefits, financial transactions, plan provisions and active members, terminated members, retirees and beneficiaries. We checked for internal and year-to-year consistency, but did not audit the data. We are not responsible for the accuracy or completeness of the information provided by the City. In addition, this report was prepared using certain assumptions approved by the Board as authorized under the Florida and prescribed by the Florida Statutes as described in the section of this report entitled Actuarial Assumptions and Methods. The prescribed assumptions are the assumed mortality rates detailed in the Actuarial Assumptions and Methods section in accordance with Florida Statutes, Chapter 112.63. All actuarial assumptions used in this report are reasonable for purposes of this valuation. Board of Trustees April 26, 2021 Page ii This report was prepared using our proprietary valuation model and related software which in our professional judgment has the capability to provide results that are consistent with the purposes of the valuation and this report. We performed tests to ensure that the model reasonably represents that which is intended to be modeled. This report has been prepared by actuaries who have substantial experience valuing public employee retirement systems. To the best of our knowledge the information contained in this report is accurate and fairly presents the actuarial position of the Retirement System as of the valuation date. All calculations have been made in conformity with generally accepted actuarial principles and practices, with the Actuarial Standards of Practice issued by the Actuarial Standards Board and with applicable statutes. Peter N. Strong and Trisha Amrose are members of the American Academy of Actuaries. These actuaries meet the Academy’s Qualification Standards to render the actuarial opinions contained herein. The signing actuaries are independent of the plan sponsor. This actuarial valuation and/or cost determination was prepared and completed by us or under our direct supervision, and we acknowledge responsibility for the results. To the best of our knowledge, the results are complete and accurate. In our opinion, the techniques and assumptions used are reasonable, meet the requirements and intent of Part VII, Chapter 112, Florida Statutes, and are based on generally accepted actuarial principles and practices. There is no benefit or expense to be provided by the plan and/or paid from the plan’s assets for which liabilities or current costs have not been established or otherwise taken into account in the valuation. All known events or trends which may require a material increase in plan costs or required contribution rates have been taken into account in the valuation. Gabriel, Roeder, Smith & Company will be pleased to review this valuation and Report with the Board of Trustees and to answer any questions pertaining to the valuation. Respectfully submitted, GABRIEL, ROEDER, SMITH & COMPANY Peter N. Strong, FSA, MAAA Trisha Amrose, MAAA Enrolled Actuary No. 20-6975 Enrolled Actuary No. 20-8010 City of Clearwater Employees’ Pension Plan TABLE OF CONTENTS Section Title Page A Discussion of Valuation Results 1. Discussion of Valuation Results A-1 2. Risks Associated with Measuring the Accrued Liability and Actuarially Determined Contribution A-5 B Valuation Results 1. Participant Data B-1 2. Actuarially Determined Contribution (ADC) B-3 3. Actuarial Value of Benefits and Assets B-6 4. Calculation of Employer Normal Cost B-9 5. Reconciliation of Credit Balance B-12 6. Liquidation of the Unfunded Actuarial Accrued Liability B-13 7. Actuarial Gains and Losses B-18 8. Recent History of Valuation Results B-24 9. Recent History of Contributions B-25 10. Actuarial Assumptions and Cost Method B-26 11. Glossary of Terms B-37 C Pension Fund Information 1. Statement of Plan Assets at Market Value C-1 2. Reconciliation of Plan Assets C-2 3. Development of Actuarial Value of Assets C-3 4. Allocation of Plan Assets C-4 5. Investment Rate of Return C-5 D Financial Accounting Information 1. FASB No. 35 D-1 E Miscellaneous Information 1. Reconciliation of Membership Data E-1 2. Active Participant Distribution E-2 3. Inactive Participant Distribution E-6 F Summary of Plan Provisions F-1 SECTION A DISCUSSION OF VALUATION RESULTS City of Clearwater Employees’ Pension Plan A-1 DISCUSSION OF VALUATION RESULTS Comparison of Required Employer Contributions The required employer contribution developed in this year's valuation is compared below to last year's results: Required Employer/State Contribution $11,412,994 $11,534,013 $(121,019) As % of Covered Payroll 12.31 %12.73 %(0.42)% Estimated State Contribution 12,000 12,000 0 As % of Covered Payroll 0.01 %0.01 %0.00 % Required Employer Contribution 11,400,994 11,522,013 (121,019) As % of Covered Payroll 12.30 %12.72 %(0.42)% Credit Balance 31,554,611 28,963,282 2,591,329 1/1/2021 Valuation (Decrease) Increase Valuation 1/1/2020 For FYE 9/30/2022 For FYE 9/30/2021 Based onBased on Required Employer Contribution by Group The required employer contribution for each group developed in this year's valuation is shown below: Required Employer Contribution by Group Non-Hazardous $3,489,438 $3,534,489 $(45,051) As % of Covered Payroll 6.46 %6.64 %(0.18)% Hazardous Police 4,681,293 4,872,378 (191,085) As % of Covered Payroll 21.84 %23.55 %(1.71)% Hazardous Fire 3,230,263 3,115,146 115,117 As % of Covered Payroll 18.68 %18.64 %0.04 % Total 11,400,994 11,522,013 (121,019) As % of Covered Payroll 12.30 %12.72 %(0.42)% Valuation (Decrease) Based on 1/1/2021 Increase Based on 1/1/2020 Valuation For FYE 9/30/2022 For FYE 9/30/2021 City of Clearwater Employees’ Pension Plan A-2 The contribution has been adjusted for interest on the basis that payments are made uniformly during the first two quarters of the City’s fiscal year. The required employer contribution has been computed under the assumption that the amount to be received from the State on behalf of police officers and firefighters in 2021 and 2022 will be $12,000. If the actual payment from the State falls below this amount, then the City must increase its contribution by the difference. The actual Employer and State contributions during the year ending December 31, 2020 were $12,187,284 and $12,000, respectively, for a total of $12,199,284, compared to the required contribution of $11,534,013. The excess contribution of $665,271 was used to increase the credit balance. The minimum required City contribution is 7% of covered payroll. Revisions in Benefits There have been no revisions in benefits since the previous valuation Revisions in Actuarial Assumptions or Methods The investment return assumption has been reduced by 0.10% from 6.65% to 6.55%. Additionally, the mortality tables and improvement scales were updated to reflect the updated mortality assumptions used in the July 1, 2019 Florida Retirement System (FRS) Actuarial Valuation, as mandated by Florida Statutes Chapter 112.63(1)(f). These assumption changes caused the required City contribution to increase by $121,678, or 0.14% of covered pensionable payroll. The Board has approved lowering the investment return assumption further in the next valuation. The rate will be decreased from 6.55% to 6.50% effective January 1, 2022. For informational purposes, if this year’s valuation had been completed using the mortality rates assumed prior to January 1, 2016 (the RP-2000 Combined Healthy Participant Mortality Table for males and females with mortality improvements projected with Scale BB) rather than the mortality rates used by the FRS as mandated by the Florida Statutes, the required City contribution for FY 2022 would have been $12,196,586, or 13.15% of covered payroll, and the funded ratio (excluding the credit balance) as of January 1, 2021 would have been 102.54%. Actuarial Experience There was a net actuarial experience gain of $45,746,487 during the year, which means that actual experience was more favorable than expected. The gain is due to a recognized investment return (on the smoothed actuarial value of assets) above the assumed rate of 6.65%. The investment return on the market value of assets was 15.12%, and the investment return was 11.10% based on the actuarial value of assets. The investment gains were slightly offset by very minor net liability-related experience losses. There were demographic experience losses resulting from salary experience (salaries increased by 6.05% on average versus an expected average increase of 4.30%). Actual mortality experience was a small source of experience loss, as there was a slightly lower decrease in benefit payments due to mortality experience than expected (an actual decrease of $921,472 in City of Clearwater Employees’ Pension Plan A-3 annual retirement benefits versus an expected decrease of $949,503). Actual retirement and disability experience were both sources of experience gains, as there were fewer retirements than expected (43 actual versus 52 expected) and fewer disabilities than expected (0 actual versus 4 expected). The actuarial experience gain caused the required employer contribution to decrease by 0.40% of covered payroll. Under Chapter 112.66 of the Florida Statutes, the annual payment to amortize the UAL may not reduce the contribution required to fund the Normal Cost. As a result, since the annual payment to amortize the UAL is below $0 as of January 1, 2021, the actuarial experience gain had a limited effect on the required employer contribution. The actuarial experience gain also caused the Plan’s funded ratio to increase by approximately 4.4%. Analysis of Change in Employer Contribution The components of change in the required City contribution are as follows: Contribution Rate Last Year 12.72 % Change in Benefits 0.00 Change in Assumptions and Methods 0.14 Amortization Payment on UAAL (0.02) Normal Cost (0.04) Experience Gain/Loss (0.40) Change in Administrative Expenses (0.10) Change in State Revenue (0.00) Contribution Rate This Year 12.30 Funded Ratio One measure of the Plan’s funding progress is the ratio of the actuarial value of assets to the actuarial accrued liability. Including the credit balance in the actuarial value of assets, the funded ratio is 108.70% this year (107.15% before the changes in assumptions) compared to 102.60% last year. Not including the credit balance in the actuarial value of assets, the funded ratio is 105.66% this year (104.15% before the changes in assumptions) compared to 99.76% last year. Variability of Future Contribution Rates The Actuarial Cost Method used to determine the contribution rate is intended to produce contribution rates which are generally level as a percent of payroll. Even so, when experience differs from the assumptions, as it often does, the employer’s contribution rate can vary significantly from year-to-year. The Market Value of Assets exceeds the Actuarial Value of Assets by $129,556,824 as of the valuation date (see Section C). This difference will be gradually recognized in the absence of offsetting losses. However, the investment return assumption is also scheduled to be lowered from 6.55% to 6.50% next year, which will put upward pressure on the required contribution. City of Clearwater Employees’ Pension Plan A-4 Relationship to Market Value If Market Value had been the basis for the valuation, the City contribution rate would have remained at 12.30% of covered payroll (since the annual payment to amortize the UAL would have remained at $0 due to Chapter 112.66 of the Florida Statutes), and the funded ratio (excluding the credit balance) would have been 118.17%. The funded ratio based on the market value of assets (excluding the credit balance) last year was 107.29%. Conclusion The remainder of this Report includes detailed actuarial valuation results, financial information, miscellaneous information and statistics, and a summary of plan provisions. City of Clearwater Employees’ Pension Plan A-5 RISKS ASSOCIATED WITH MEASURING THE ACCRUED LIABILITY AND ACTUARIALLY DETERMINED CONTRIBUTION The determination of the accrued liability and the actuarially determined contribution requires the use of assumptions regarding future economic and demographic experience. Risk measures, as illustrated in this report, are intended to aid in the understanding of the effects of future experience differing from the assumptions used in the course of the actuarial valuation. Risk measures may also help with illustrating the potential volatility in the accrued liability and the actuarially determined contribution that result from the differences between actual experience and the actuarial assumptions. Future actuarial measurements may differ significantly from the current measurements presented in this report due to such factors as the following: plan experience differing from that anticipated by the economic or demographic assumptions; changes in economic or demographic assumptions due to changing conditions; increases or decreases expected as part of the natural operation of the methodology used for these measurements (such as the end of an amortization period, or additional cost or contribution requirements based on the Plan’s funded status); and changes in plan provisions or applicable law. The scope of an actuarial valuation does not include an analysis of the potential range of such future measurements. Examples of risk that may reasonably be anticipated to significantly affect the plan’s future financial condition include: 1. Investment risk – actual investment returns may differ from the expected returns; 2. Contribution risk – actual contributions may differ from expected future contributions. For example, actual contributions may not be made in accordance with the plan’s funding policy or material changes may occur in the anticipated number of covered employees, covered payroll, or other relevant contribution base; 3. Salary and Payroll risk – actual salaries and total payroll may differ from expected, resulting in actual future accrued liability and contributions differing from expected; 4. Longevity risk – members may live longer or shorter than expected and receive pensions for a period of time other than assumed; 5. Other demographic risks – members may terminate, retire or become disabled at times or with benefits other than assumed resulting in actual future accrued liability and contributions differing from expected. The effects of certain trends in experience can generally be anticipated. For example if the investment return since the most recent actuarial valuation is less (or more) than the assumed rate, the cost of the plan can be expected to increase (or decrease). Likewise if longevity is improving (or worsening), increases (or decreases) in cost can be anticipated. The computed contribution rate shown on page 1 may be considered as a minimum contribution rate that complies with the Board’s funding policy. The timely receipt of the actuarially determined contributions is critical to support the financial health of the plan. Users of this report should be aware that contributions made at the actuarially determined rate do not necessarily guarantee benefit security. City of Clearwater Employees’ Pension Plan A-6 Plan Maturity Measures Risks facing a pension plan evolve over time. A young plan with virtually no investments and paying few benefits may experience little investment risk. An older plan with a large number of members in pay status and a significant trust may be much more exposed to investment risk. Generally accepted plan maturity measures include the following: 1/1/2021 1/1/2020 Ratio of the market value of assets to total payroll 13.53 12.37 Ratio of actuarial accrued liability to payroll 11.16 11.23 Ratio of actives to retirees and beneficiaries 1.14 1.19 Ratio of net cash flow to market value of assets (2.68)%(3.02)% Ratio of Market Value of Assets to Payroll The relationship between assets and payroll is a useful indicator of the potential volatility of contributions. For example, if the market value of assets is 2.0 times the payroll, a return on assets 5% different than assumed would equal 10% of payroll. A higher (lower) or increasing (decreasing) level of this maturity measure generally indicates a higher (lower) or increasing (decreasing) volatility in plan sponsor contributions as a percentage of payroll. Ratio of Actuarial Accrued Liability to Payroll The relationship between actuarial accrued liability and payroll is a useful indicator of the potential volatility of contributions for a fully funded plan. A funding policy that targets a funded ratio of 100% is expected to result in the ratio of assets to payroll and the ratio of liability to payroll converging over time. The ratio of liability to payroll may also be used as a measure of sensitivity of the liability itself. For example, if the actuarial accrued liability is 2.5 times the payroll, a change in liability 2% other than assumed would equal 5% of payroll. A higher (lower) or increasing (decreasing) level of this maturity measure generally indicates a higher (lower) or increasing (decreasing) volatility in liability (and also plan sponsor contributions) as a percentage of payroll. Ratio of Actives to Retirees and Beneficiaries A young plan with many active members and few retirees will have a high ratio of active to retirees. A mature open plan may have close to the same number of actives to retirees resulting in a ratio near 1.0. A super-mature or closed plan may have significantly more retirees than actives resulting in a ratio below 1.0. Ratio of Net Cash Flow to Market Value of Assets A positive net cash flow means contributions exceed benefits and expenses. A negative cash flow means existing funds are being used to make payments. A certain amount of negative net cash flow is generally expected to occur when benefits are prefunded through a qualified trust. Large negative net cash flows as a percent of assets may indicate a super-mature plan or a need for additional contributions. City of Clearwater Employees’ Pension Plan A-7 Additional Risk Assessment Additional risk assessment is outside the scope of the annual actuarial valuation. Additional assessment may include scenario tests, sensitivity tests, stochastic modeling, stress tests, and a comparison of the present value of accrued benefits at low-risk discount rates with the actuarial accrued liability. SECTION B VALUATION RESULTS City of Clearwater Employees’ Pension Plan B-1 ACTIVE MEMBERS Number 1,541 1,114 236 191 Covered Annual Payroll $92,726,419 $54,005,534 $21,431,416 $17,289,469 Average Annual Payroll $60,173 $48,479 $90,811 $90,521 Average Age 44.2 45.6 39.9 41.2 Average Past Service 10.7 10.4 11.5 11.5 Average Age at Hire 33.5 35.2 28.4 29.7 RETIREES & BENEFICIARIES Number 1,219 773 270 176 Annual Benefits $47,643,970 $26,611,279 $12,722,711 $8,309,980 Average Annual Benefit $39,084 $34,426 $47,121 $47,216 Average Age 67.7 69.4 63.8 66.1 DISABILITY RETIREES Number 129 36 50 43 Annual Benefits $4,219,162 $787,025 $1,911,064 $1,521,073 Average Annual Benefit $32,707 $21,862 $38,221 $35,374 Average Age 65.4 70.3 62.7 64.6 TERMINATED VESTED MEMBERS Number 74 53 10 11 Annual Benefits $1,475,373 $949,571 $266,611 $259,191 Average Annual Benefit $19,937 $17,916 $26,661 $23,563 Average Age 48.9 50.7 43.9 44.9 January 1, 2021 Total Hazardous Fire PARTICIPANT DATA Non-Hazardous Hazardous Police City of Clearwater Employees’ Pension Plan B-2 ACTIVE MEMBERS Number 1,571 1,136 240 195 Covered Annual Payroll $90,594,113 $53,193,098 $20,686,134 $16,714,881 Average Annual Payroll $57,667 $46,825 $86,192 $85,717 Average Age 43.8 45.1 39.9 41.1 Average Past Service 10.3 9.9 11.4 11.4 Average Age at Hire 33.5 35.2 28.5 29.7 RETIREES & BENEFICIARIES Number 1,186 762 259 165 Annual Benefits $45,654,032 $26,009,288 $11,904,470 $7,740,274 Average Annual Benefit $38,494 $34,133 $45,963 $46,911 Average Age 67.4 69.0 63.4 66.2 DISABILITY RETIREES Number 135 39 51 45 Annual Benefits $4,325,659 $843,564 $1,934,423 $1,547,672 Average Annual Benefit $32,042 $21,630 $37,930 $34,393 Average Age 65.0 69.3 62.1 64.7 TERMINATED VESTED MEMBERS Number 80 58 8 14 Annual Benefits $1,653,557 $1,093,654 $200,345 $359,558 Average Annual Benefit $20,669 $18,856 $25,043 $25,683 Average Age 48.8 50.6 43.2 44.9 PARTICIPANT DATA - PRIOR YEAR January 1, 2020 Total Non-Hazardous Hazardous Police Hazardous Fire City of Clearwater Employees’ Pension Plan B-3 A.Valuation Date B.ADC to Be Paid During Fiscal Year Ending 9/30/2022 9/30/2022 9/30/2022 9/30/2022 C.Assumed Date of Employer Contrib.Evenly during Evenly during Evenly during Evenly during first two quarters first two quarters first two quarters first two quarters of fiscal year of fiscal year of fiscal year of fiscal year D.Annual Payment to Amortize Unfunded Actuarial Liability $0 *$0 *$0 *$0 * E.Employer Normal Cost 10,711,397 3,274,930 4,400,087 3,036,380 F.ADC if Paid on the Valuation Date: D+E 10,711,397 3,274,930 4,400,087 3,036,380 G.ADC Adjusted for Frequency of Payments 11,412,994 3,489,438 4,688,293 3,235,263 H.ADC as % of Covered Payroll 12.31 %6.46 %21.88 %18.71 % I.Assumed Rate of Increase in Covered Payroll to Contribution Year 0.00 %0.00 %0.00 %0.00 % J.Covered Payroll for Contribution Year 92,726,419 54,005,534 21,431,416 17,289,469 K.ADC for Contribution Year: H x J 11,412,994 3,489,438 4,688,293 3,235,263 L.Estimate of State Revenue in Contribution Year 12,000 0 7,000 5,000 M.Required Employer Contribution (REC) in Contribution Year 11,400,994 3,489,438 4,681,293 3,230,263 N.REC as % of Covered Payroll in Contribution Year: M ÷ J 12.30 %6.46 %21.84 %18.68 % O.Credit Balance 31,554,611 15,970,879 9,252,205 6,331,527 Total Non-Hazardous Hazardous Police Hazardous Fire ACTUARIALLY DETERMINED CONTRIBUTION (ADC) - AFTER ASSUMPTION CHANGES January 1, 2021 January 1, 2021 January 1, 2021 January 1, 2021 * The annual payment to amortize the UAL is less than $0; however, under Chapter 112.66 of the Florida Statutes, the annual payment to amortize the UAL may not reduce the contribution below the amount required to fund the Normal Cost. City of Clearwater Employees’ Pension Plan B-4 A.Valuation Date B.ADC to Be Paid During Fiscal Year Ending 9/30/2022 9/30/2022 9/30/2022 9/30/2022 C.Assumed Date of Employer Contrib.Evenly during Evenly during Evenly during Evenly during first two quarters first two quarters first two quarters first two quarters of fiscal year of fiscal year of fiscal year of fiscal year D.Annual Payment to Amortize Unfunded Actuarial Liability $0 *$0 *$0 *$0 * E.Employer Normal Cost 10,587,263 3,267,847 4,334,018 2,985,398 F.ADC if Paid on the Valuation Date: D+E 10,587,263 3,267,847 4,334,018 2,985,398 G.ADC Adjusted for Frequency of Payments 11,291,316 3,485,159 4,622,230 3,183,927 H.ADC as % of Covered Payroll 12.18 %6.45 %21.57 %18.42 % I.Assumed Rate of Increase in Covered Payroll to Contribution Year 0.00 %0.00 %0.00 %0.00 % J.Covered Payroll for Contribution Year 92,726,419 54,005,534 21,431,416 17,289,469 K.ADC for Contribution Year: H x J 11,291,316 3,485,159 4,622,230 3,183,927 L.Estimate of State Revenue in Contribution Year 12,000 0 7,000 5,000 M.Required Employer Contribution (REC) in Contribution Year 11,279,316 3,485,159 4,615,230 3,178,927 N.REC as % of Covered Payroll in Contribution Year: M ÷ J 12.16 %6.45 %21.53 %18.39 % O.Credit Balance 31,554,611 15,970,879 9,252,205 6,331,527 Total Non-Hazardous Hazardous Police Hazardous Fire January 1, 2021 January 1, 2021 January 1, 2021 January 1, 2021 ACTUARIALLY DETERMINED CONTRIBUTION (ADC) - BEFORE ASSUMPTION CHANGES * The annual payment to amortize the UAL is less than $0; however, under Chapter 112.66 of the Florida Statutes, the annual payment to amortize the UAL may not reduce the contribution below the amount required to fund the Normal Cost. City of Clearwater Employees’ Pension Plan B-5 A.Valuation Date B.ADC to Be Paid During Fiscal Year Ending 9/30/2021 9/30/2021 9/30/2021 9/30/2021 C.Assumed Date of Employer Contrib.Evenly during Evenly during Evenly during Evenly during first two quarters first two quarters first two quarters first two quarters of fiscal year of fiscal year of fiscal year of fiscal year D.Annual Payment to Amortize Unfunded Actuarial Liability $351,542 $0 *$351,542 $0 * E.Employer Normal Cost 10,463,285 3,314,101 4,223,590 2,925,594 F.ADC if Paid on the Valuation Date: D+E 10,814,827 3,314,101 4,575,132 2,925,594 G.ADC Adjusted for Frequency of Payments 11,534,013 3,534,489 4,879,378 3,120,146 H.ADC as % of Covered Payroll 12.73 %6.64 %23.59 %18.67 % I.Assumed Rate of Increase in Covered Payroll to Contribution Year 0.00 %0.00 %0.00 %0.00 % J.Covered Payroll for Contribution Year 90,594,113 53,193,098 20,686,134 16,714,881 K.ADC for Contribution Year: H x J 11,534,013 3,534,489 4,879,378 3,120,146 L.Estimate of State Revenue in Contribution Year 12,000 0 7,000 5,000 M.Required Employer Contribution (REC) in Contribution Year 11,522,013 3,534,489 4,872,378 3,115,146 N.REC as % of Covered Payroll in Contribution Year: M ÷ J 12.72 %6.64 %23.55 %18.64 % O.Credit Balance 28,963,282 14,888,015 8,368,213 5,707,054 ACTUARIALLY DETERMINED CONTRIBUTION (ADC) - PRIOR YEAR January 1, 2020 January 1, 2020 January 1, 2020 January 1, 2020 Total Non-Hazardous Hazardous Police Hazardous Fire * The annual payment to amortize the UAL is less than $0; however, under Chapter 112.66 of the Florida Statutes, the annual payment to amortize the UAL may not reduce the contribution below the amount required to fund the Normal Cost. City of Clearwater Employees’ Pension Plan B-6 A.Valuation Date B.Actuarial Present Value of All Projected Benefits for 1.Active Members a. Service Retirement Benefits $ 419,687,968 $ 189,145,015 $ 134,278,375 $ 96,264,578 b. Vesting Benefits 37,170,897 27,026,080 6,163,846 3,980,971 c. Disability Benefits 21,723,016 3,900,242 10,934,743 6,888,031 d. Preretirement Death Benefits 5,350,494 3,355,659 1,116,093 878,742 e. Return of Member Contributions 4,005,332 2,925,556 615,861 463,915 f. Total 487,937,707 226,352,552 153,108,918 108,476,237 2.Inactive Members a. Service Retirees & Beneficiaries 630,420,379 336,896,421 181,939,193 111,584,765 b. Disability Retirees 54,896,963 8,569,863 26,357,137 19,969,963 c. Terminated Vested Members 16,396,732 9,531,725 3,537,891 3,327,116 d. Total 701,714,074 354,998,009 211,834,221 134,881,844 3. Total for All Members 1,189,651,781 581,350,561 364,943,139 243,358,081 C.Actuarial Accrued (Past Service) Liability 1,034,718,990 525,599,102 306,555,615 202,564,273 D.Actuarial Value of Accumulated Plan Benefits per FASB No. 35 970,493,309 489,411,798 290,331,609 190,749,902 E.Plan Assets 1.Market Value 1,254,293,845 641,315,529 364,947,164 248,031,152 2. Actuarial Value 1,124,737,021 575,073,632 327,251,535 222,411,854 3. Actuarial Value Excluding Credit Balance 1,093,182,410 559,102,753 317,999,330 216,080,327 F.Actuarial Present Value of Projected Covered Payroll 776,476,285 428,012,330 195,344,184 153,119,771 G.Actuarial Present Value of Projected Member Contributions 69,009,378 34,240,988 19,462,742 15,305,648 H.Accumulated Value of Active Member Contributions 66,757,705 36,139,486 17,210,741 13,407,478 I.Unfunded Actuarial Accrued Liability (UAAL) Based on EAN Method = C. - E.3.(58,463,420) (33,503,651) (11,443,715) (13,516,054) J.Funded Ratio = E.2. / C.108.70%109.41%106.75%109.80% K.Funded Ratio Excluding Credit Balance = E.3. / C.105.65%106.37%103.73%106.67% Total Non-Hazardous Hazardous Police Hazardous Fire ACTUARIAL VALUE OF BENEFITS AND ASSETS - AFTER ASSUMPTION CHANGES January 1, 2021 January 1, 2021 January 1, 2021 January 1, 2021 City of Clearwater Employees’ Pension Plan B-7 A.Valuation Date B.Actuarial Present Value of All Projected Benefits for 1.Active Members a. Service Retirement Benefits $ 418,336,999 $ 189,150,145 $ 133,620,493 $ 95,566,361 b. Vesting Benefits 37,148,330 27,164,181 6,073,418 3,910,731 c. Disability Benefits 21,216,823 3,744,562 10,731,456 6,740,805 d. Preretirement Death Benefits 7,377,381 4,517,114 1,602,964 1,257,303 e. Return of Member Contributions 4,155,545 3,019,136 645,430 490,979 f. Total 488,235,078 227,595,138 152,673,761 107,966,179 2.Inactive Members a. Service Retirees & Beneficiaries 641,731,546 339,499,201 186,918,195 115,314,150 b. Disability Retirees 55,663,117 8,739,612 26,647,826 20,275,679 c. Terminated Vested Members 16,482,504 9,636,642 3,525,271 3,320,591 d. Total 713,877,167 357,875,455 217,091,292 138,910,420 3. Total for All Members 1,202,112,245 585,470,593 369,765,053 246,876,599 C.Actuarial Accrued (Past Service) Liability 1,049,646,120 530,270,914 312,449,796 206,925,410 D.Actuarial Value of Accumulated Plan Benefits per FASB No. 35 984,005,654 493,442,395 295,706,008 194,857,251 E.Plan Assets 1.Market Value 1,254,293,845 641,315,529 364,947,164 248,031,152 2. Actuarial Value 1,124,737,021 575,073,632 327,251,535 222,411,854 3. Actuarial Value Excluding Credit Balance 1,093,182,410 559,102,753 317,999,330 216,080,327 F.Actuarial Present Value of Projected Covered Payroll 769,792,364 424,172,247 193,768,786 151,851,331 G.Actuarial Present Value of Projected Member Contributions 68,418,262 33,933,781 19,305,637 15,178,844 H.Accumulated Value of Active Member Contributions 66,757,705 36,139,486 17,210,741 13,407,478 I.Unfunded Actuarial Accrued Liability (UAAL) Based on EAN Method = C. - E.3.(43,536,290) (28,831,839) (5,549,534) (9,154,917) J.Funded Ratio = E.2. / C.107.15%108.45%104.74%107.48% K.Funded Ratio Excluding Credit Balance = E.3. / C.104.15%105.44%101.78%104.42% Total Non-Hazardous Hazardous Police Hazardous Fire ACTUARIAL VALUE OF BENEFITS AND ASSETS - BEFORE ASSUMPTION CHANGES January 1, 2021 January 1, 2021 January 1, 2021 January 1, 2021 City of Clearwater Employees’ Pension Plan B-8 A.Valuation Date B.Actuarial Present Value of All Projected Benefits for 1.Active Members a. Service Retirement Benefits $ 403,751,262 $ 181,678,517 $ 129,330,300 $ 92,742,445 b. Vesting Benefits 36,001,308 26,447,154 5,798,317 3,755,837 c. Disability Benefits 20,703,586 3,638,559 10,507,162 6,557,865 d. Preretirement Death Benefits 7,193,297 4,409,301 1,546,223 1,237,773 e. Return of Member Contributions 4,118,840 3,026,393 631,491 460,956 f. Total 471,768,293 219,199,924 147,813,493 104,754,876 2.Inactive Members a. Service Retirees & Beneficiaries 619,543,028 335,170,136 176,087,896 108,284,996 b. Disability Retirees 57,293,424 9,599,054 27,089,385 20,604,985 c. Terminated Vested Members 18,283,940 11,142,793 2,519,935 4,621,212 d. Total 695,120,392 355,911,983 205,697,216 133,511,193 3. Total for All Members 1,166,888,685 575,111,907 353,510,709 238,266,069 C.Actuarial Accrued (Past Service) Liability 1,017,746,535 520,002,169 298,281,006 199,463,360 D.Actuarial Value of Accumulated Plan Benefits per FASB No. 35 955,480,325 483,760,095 283,230,661 188,489,569 E.Plan Assets 1.Market Value 1,120,895,937 576,174,867 323,854,740 220,866,330 2. Actuarial Value 1,044,240,614 536,771,682 301,707,108 205,761,824 3. Actuarial Value Excluding Credit Balance 1,015,277,332 521,883,667 293,338,895 200,054,770 F.Actuarial Present Value of Projected Covered Payroll 751,000,217 417,923,732 186,321,652 146,754,833 G.Actuarial Present Value of Projected Member Contributions 66,645,950 33,433,898 18,549,782 14,662,270 H.Accumulated Value of Active Member Contributions 64,188,492 34,383,103 16,816,590 12,988,799 I.Unfunded Actuarial Accrued Liability (UAAL) Based on EAN Method = C. - E.3.2,469,203 (1,881,498) 4,942,111 (591,410) J.Funded Ratio = E.2. / C.102.60%103.22%101.15%103.16% K.Funded Ratio Excluding Credit Balance = E.3. / C.99.76%100.36%98.34%100.30% Total Non-Hazardous Hazardous Police Hazardous Fire ACTUARIAL VALUE OF BENEFITS AND ASSETS - PRIOR YEAR January 1, 2020 January 1, 2020 January 1, 2020 January 1, 2020 City of Clearwater Employees’ Pension Plan B-9 A.Valuation Date B.Normal Cost for 1.Service Retirement Benefits $13,144,753 $4,778,517 $4,778,940 $3,587,296 2.Vesting 2,421,305 1,596,210 504,608 320,487 3.Disability Benefits 1,967,473 309,813 996,671 660,989 4.Death Benefits 226,345 129,550 49,421 47,374 5.Refund of Contributions 878,771 655,826 124,204 98,741 6.Total for Future Benefits 18,638,647 7,469,916 6,453,844 4,714,887 7.Assumed Amount for Administrative Expenses 244,753 125,457 70,978 48,318 8.Total Normal Cost 18,883,400 7,595,373 6,524,822 4,763,205 C.Expected Member Contributions 8,172,003 4,320,443 2,124,735 1,726,825 D.Employer Normal Cost: B8 - C 10,711,397 3,274,930 4,400,087 3,036,380 E. Employer Normal Cost as % of Covered Payroll 11.55%6.06%20.53%17.56% Total Non-Hazardous Hazardous Police Hazardous Fire CALCULATION OF EMPLOYER NORMAL COST ENTRY AGE NORMAL METHOD - AFTER ASSUMPTION CHANGES January 1, 2021 January 1, 2021 January 1, 2021 January 1, 2021 City of Clearwater Employees’ Pension Plan B-10 A.Valuation Date B.Normal Cost for 1.Service Retirement Benefits $12,985,374 $4,730,925 $4,718,808 $3,535,641 2.Vesting 2,411,197 1,599,036 496,975 315,186 3.Disability Benefits 1,917,862 296,345 975,329 646,188 4.Death Benefits 308,528 172,230 70,424 65,874 5.Refund of Contributions 891,552 664,297 126,239 101,016 6.Total for Future Benefits 18,514,513 7,462,833 6,387,775 4,663,905 7.Assumed Amount for Administrative Expenses 244,753 125,457 70,978 48,318 8.Total Normal Cost 18,759,266 7,588,290 6,458,753 4,712,223 C.Expected Member Contributions 8,172,003 4,320,443 2,124,735 1,726,825 D.Employer Normal Cost: B8 - C 10,587,263 3,267,847 4,334,018 2,985,398 E. Employer Normal Cost as % of Covered Payroll 11.42%6.05%20.22%17.27% CALCULATION OF EMPLOYER NORMAL COST ENTRY AGE NORMAL METHOD - BEFORE ASSUMPTION CHANGES Total Non-Hazardous Hazardous Police Hazardous Fire January 1, 2021 January 1, 2021 January 1, 2021 January 1, 2021 City of Clearwater Employees’ Pension Plan B-11 A.Valuation Date B.Normal Cost for 1.Service Retirement Benefits $12,688,320 $4,708,838 $4,548,907 $3,430,575 2.Vesting 2,368,651 1,575,965 486,222 306,464 3.Disability Benefits 1,875,825 292,571 953,395 629,859 4.Death Benefits 304,363 171,993 67,886 64,484 5.Refund of Contributions 873,017 653,495 121,975 97,547 6.Total for Future Benefits 18,110,176 7,402,862 6,178,385 4,528,929 7.Assumed Amount for Administrative Expenses 324,274 166,687 93,691 63,896 8.Total Normal Cost 18,434,450 7,569,549 6,272,076 4,592,825 C.Expected Member Contributions 7,971,165 4,255,448 2,048,486 1,667,231 D.Employer Normal Cost: B8 - C 10,463,285 3,314,101 4,223,590 2,925,594 E. Employer Normal Cost as % of Covered Payroll 11.55%6.23%20.42%17.50% Total Non-Hazardous Hazardous Police Hazardous Fire CALCULATION OF EMPLOYER NORMAL COST - PRIOR YEAR ENTRY AGE NORMAL METHOD January 1, 2020 January 1, 2020 January 1, 2020 January 1, 2020 City of Clearwater Employees’ Pension Plan B-12 Total Non-Hazardous Hazardous Police Hazardous Fire $28,963,282 $14,888,015 $8,368,213 $5,707,054 -11,522,013 -3,534,489 -4,872,378 -3,115,146 +12,187,284 +3,627,300 +5,199,884 +3,360,100 +1,926,058 +990,053 +556,486 +379,519 31,554,611 15,970,879 9,252,205 6,331,527 Interest on Credit Balance Credit Balance at End of Year Credit Balance at Beginning of Year Required Employer Contribution Employer Contribution Made Reconcilation of Credit Balance City of Clearwater Employees’ Pension Plan B-13 LIQUIDATION OF THE UNFUNDED ACTUARIAL ACCRUED LIABILITY (UAAL) UAAL Amortization Period and Payments - Non-Hazardous Date Established Source Amount Years Remaining Amount After Assumption Changes Before Assumption Changes 1/1/2015 Fresh Start (2,679,461)$ 17 (4,064,548)$ (378,629)$ (380,943)$ 1/1/2016 (Gain)/Loss 244,325 10 344,846 45,126 45,295 1/1/2016 Assumption Change (2,200,261) 20 (3,096,042) (264,761) (266,613) 1/1/2017 (Gain)/Loss (9,301,995) 11 (12,205,717) (1,493,595) (1,499,725) 1/1/2017 Assumption Change 156,236 21 204,654 17,090 17,215 1/1/2018 (Gain)/Loss (5,692,965) 12 (6,970,113) (803,965) (807,552) 1/1/2019 (Gain)/Loss 2,983,422 13 3,410,045 373,224 375,019 1/1/2019 Assumption Change 12,955,157 23 14,794,024 1,184,812 1,194,056 1/1/2020 (Gain)/Loss (611,097) 14 (652,940) (68,192) (68,543) 1/1/2020 Assumption Change 5,818,657 24 6,214,483 488,606 492,541 1/1/2021 (Gain)/Loss (26,810,531) 15 (26,810,531) (2,684,693) (2,699,403) 1/1/2021 Assumption Change (4,671,812) 25 (4,671,812) (361,122) N/A (29,810,325) (33,503,651) (3,946,099) (3,598,653) Original UAAL Current UAAL Payment City of Clearwater Employees’ Pension Plan B-14 UAAL Amortization Period and Payments - Hazardous Police Date Established Source Amount Years Remaining Amount After Assumption Changes Before Assumption Changes 1/1/2015 Fresh Start (1,506,064)$ 17 (2,062,198)$ (192,102)$ (193,276)$ 1/1/2016 (Gain)/Loss 137,330 10 168,332 22,028 22,110 1/1/2016 Assumption Change (1,236,717) 20 (1,583,392) (135,405) (136,352) 1/1/2017 (Gain)/Loss (5,228,439) 11 (6,009,479) (735,371) (738,389) 1/1/2017 Assumption Change 87,817 21 104,886 8,759 8,823 1/1/2018 (Gain)/Loss (3,199,886) 12 (3,456,365) (398,673) (400,452) 1/1/2019 (Gain)/Loss 1,676,914 13 1,701,225 186,196 187,092 1/1/2019 Assumption Change 7,281,798 23 7,609,247 609,404 614,158 1/1/2020 (Gain)/Loss (343,483) 14 (327,427) (34,196) (34,372) 1/1/2020 Plan Amendment 5,717,584 9 5,253,109 742,295 744,790 1/1/2020 Assumption Change 3,552,608 24 3,477,420 273,408 275,610 1/1/2021 (Gain)/Loss (10,424,892) 15 (10,424,892) (1,043,904) (1,049,624) 1/1/2021 Assumption Change (5,894,181) 25 (5,894,181) (455,609) N/A (9,379,611) (11,443,715) (1,153,170) (699,882) Original UAAL Current UAAL Payment City of Clearwater Employees’ Pension Plan B-15 UAAL Amortization Period and Payments - Hazardous Fire Date Established Source Amount Years Remaining Amount After Assumption Changes Before Assumption Changes 1/1/2015 Fresh Start (1,027,124)$ 17 (1,561,747)$ (145,483)$ (146,372)$ 1/1/2016 (Gain)/Loss 93,658 10 132,612 17,353 17,418 1/1/2016 Assumption Change (843,431) 20 (1,189,405) (101,713) (102,424) 1/1/2017 (Gain)/Loss (3,565,754) 11 (4,692,911) (574,264) (576,621) 1/1/2017 Assumption Change 59,890 21 78,618 6,565 6,613 1/1/2018 (Gain)/Loss (2,182,297) 12 (2,679,495) (309,065) (310,444) 1/1/2019 (Gain)/Loss 1,143,642 13 1,310,741 143,459 144,149 1/1/2019 Assumption Change 4,966,128 23 5,682,696 455,111 458,662 1/1/2020 (Gain)/Loss (234,253) 14 (250,947) (26,208) (26,343) 1/1/2020 Plan Amendment 4,071 9 4,367 617 619 1/1/2020 Assumption Change 2,356,236 24 2,521,618 198,259 199,856 1/1/2021 (Gain)/Loss (8,511,064) 15 (8,511,064) (852,262) (856,932) 1/1/2021 Assumption Change (4,361,137) 25 (4,361,137) (337,107) N/A (12,101,435) (13,516,054) (1,524,738) (1,191,819) Original UAAL Current UAAL Payment City of Clearwater Employees’ Pension Plan B-16 Amortization Schedule The UAAL is being liquidated as a level dollar amount over the number of years remaining in the amortization period. The expected amortization schedules are as follows: 2021 $(33,503,651) 2022 (31,493,592) 2023 (29,351,854) 2024 (27,069,832) 2025 (24,638,337) 2026 (22,047,580) 2031 (6,314,864) 2036 - Amortization Schedule - Non-Hazardous Year Expected UAAL 2021 $(11,443,715) 2022 (10,964,567) 2023 (10,454,044) 2024 (9,910,081) 2025 (9,330,489) 2026 (8,712,933) 2031 (4,171,830) 2036 - Amortization Schedule - Hazardous Police Year Expected UAAL City of Clearwater Employees’ Pension Plan B-17 2021 $(13,516,054) 2022 (12,776,742) 2023 (11,989,010) 2024 (11,149,682) 2025 (10,255,378) 2026 (9,302,497) 2031 (3,515,343) 2036 - Amortization Schedule - Hazardous Fire Year Expected UAAL City of Clearwater Employees’ Pension Plan B-18 ACTUARIAL GAINS AND LOSSES The assumptions used to anticipate mortality, employment turnover, investment income, expenses, salary increases, and other factors have been based on long range trends and expectations. Actual experience can vary from these expectations. The variance is measured by the gain and loss for the period involved. If significant long-term experience reveals consistent deviation from what has been expected and that deviation is expected to continue, the assumptions should be modified. The net actuarial gain (loss) for the past year is computed as follows: 1.Last Year's UAAL $2,469,203 $(1,881,498)$4,942,111 $(591,410) 2.Employer Normal Cost for Contribution Year 10,463,285 3,314,101 4,223,590 2,925,594 3.Last Year's Contributions 11,534,013 *3,534,489 *4,879,378 *3,120,146 * 4. Interest at the Assumed Rate on: a.1 and 2 for one year 860,010 95,268 609,519 155,223 b.3 from dates paid 48,288 14,690 20,484 13,114 c. a - b 811,722 80,578 589,035 142,109 5.This Year's Expected UAAL: 1 + 2 - 3 + 4c 2,210,197 (2,021,308)4,875,358 (643,853) 6.This Year's Actual UAAL (Before any changes in benefits and assumptions)(43,536,290)(28,831,839)(5,549,534)(9,154,917) 7.Net Actuarial Gain (Loss): (5) - (6)45,746,487 26,810,531 10,424,892 8,511,064 8.Gain (Loss) Due to Investments 45,956,765 9.Gain (Loss) Due to other sources (210,278) Hazardous FireA. Derivation of the Current UAAL Total Non-Hazardous Hazardous Police * Excludes the portion of the actual contribution above the required contribution that was used to increase the credit balance. City of Clearwater Employees’ Pension Plan B-19 Gains (losses) in previous years have been as follows: Year Ending Gain 12/31 (Loss) 2009 $32,358,262 (4.89)% 2010 2,311,412 (0.37) 2011 (13,721,771)2.28 2012 (7,015,253)1.15 2013 62,452,347 (11.02) 2014 34,213,347 (6.01) 2015 (475,313)0.07 ** 2016 18,096,188 (2.51)** 2017 11,075,148 (1.48)** 2018 (5,803,978)0.75 ** 2019 1,188,833 (0.14)** 2020 45,746,487 (5.30)** Employer Cost Rate* Change in * Before 2015, Change in Normal Cost Rate. ** Before reflecting Chapter 112.66 of the Florida Statutes. Since the annual payment to amortize the UAAL is less than $0, the net effect of these gains and losses on the required employer contribution is $0 or limited after reflecting Chapter 112.66 of the Florida Statutes (the requirement to fund at least the normal cost). City of Clearwater Employees’ Pension Plan B-20 The fund earnings and salary increase assumptions have considerable impact on the cost of the Plan so it is important that they are in line with the actual experience. The following table shows the actual fund earnings and salary increase rates compared to the assumed rates for the last few years: 12/31/1986 N/A 7.00 %7.40 %5.00 % 12/31/1987 N/A 7.00 5.90 5.00 12/31/1988 N/A 7.00 9.10 5.00 12/31/1989 N/A 7.00 8.70 5.00 12/31/1990 N/A 7.00 5.30 5.00 12/31/1991 N/A 7.00 6.10 5.00 12/31/1992 N/A 7.00 6.80 5.00 12/31/1993 7.42 %7.00 1.20 5.00 12/31/1994 6.28 7.00 4.40 5.00 12/31/1995 9.14 7.00 6.40 5.00 12/31/1996 11.54 7.00 6.70 5.00 12/31/1997 13.74 7.00 5.60 5.00 12/31/1998 15.28 7.00 7.40 5.00 12/31/1999 17.96 7.00 4.20 5.00 12/31/2000 12.42 7.00 5.80 5.00 12/31/2001 7.40 7.00 5.90 5.00 12/31/2002 (1.85)7.50 5.80 6.00 12/31/2003 7.45 7.50 6.40 6.00 12/31/2004 2.18 7.50 6.38 6.00 12/31/2005 4.58 7.50 5.49 6.00 12/31/2006 7.87 7.50 5.15 6.00 12/31/2007 10.68 7.50 6.62 6.00 12/31/2008 (10.61)7.50 4.25 6.00 12/31/2009 16.53 7.50 3.29 6.00 12/31/2010 5.98 7.50 1.27 6.00 12/31/2011 4.46 7.50 2.56 6.00 12/31/2012 5.50 7.50 4.48 6.00 12/31/2013 14.04 7.00 3.16 4.07 12/31/2014 11.04 7.00 3.38 4.04 12/31/2015 7.64 7.00 8.65 *4.09 12/31/2016 8.22 7.00 1.23 *4.13 12/31/2017 8.89 7.00 7.35 4.16 12/31/2018 5.76 7.00 4.08 4.18 12/31/2019 7.39 6.75 8.84 4.35 12/31/2020 11.10 6.65 6.05 4.30 Averages 7.99 %---5.45 %--- Assumed Salary Increases Actual Investment Return Year Ending Actual Assumed * Salary for the year ending 12/31/2015 included 27 pay periods rather than 26. The actual investment return rates shown above are based on the actuarial value of assets. The actual salary increase rates shown above are the increases received by those active members who were included in the actuarial valuations both at the beginning and the end of each year. City of Clearwater Employees’ Pension Plan B-21 History of Investment Return Based on Actuarial Value of Assets -15% -10% -5% 0% 5% 10% 15% 20% 25% 30% -15% -10% -5% 0% 5% 10% 15% 20% 25% 30% Plan Year End Actual Assumed History of Salary Increases 0% 5% 10% 15% 0% 5% 10% 15% Plan Year End Compared to Previous Year Actual Assumed City of Clearwater Employees’ Pension Plan B-22 Active Members Year Vested Other End of Ended A E A E A E A E A A A E Year 12/31/2009 49 110 54 57 0 6 0 2 10 46 56 93 1,567 12/31/2010 78 137 68 51 2 6 3 2 15 49 64 85 1,508 12/31/2011 84 124 43 49 6 6 0 2 11 64 75 84 1,468 12/31/2012 119 113 51 52 3 6 1 2 18 40 58 81 1,474 12/31/2013 102 98 27 42 2 3 4 2 11 54 65 79 1,478 12/31/2014 135 131 45 51 5 3 2 2 21 58 79 78 1,482 12/31/2015 145 122 43 52 7 3 1 2 18 53 71 82 1,505 12/31/2016 159 144 49 60 4 3 2 3 18 71 89 89 1,520 12/31/2017 164 161 47 59 2 3 2 2 25 85 110 91 1,523 12/31/2018 207 175 45 65 1 3 0 2 27 102 129 92 1,555 12/31/2019 164 148 38 52 3 4 1 2 13 93 106 99 1,571 12/31/2020 105 135 43 52 0 4 0 2 8 84 92 100 1,541 12/31/2021 56 4 1 92 12 Yr Totals *1511 1598 553 642 35 50 16 25 195 799 994 1053 * Totals are through current Plan Year only. Terminations Year Retirement Retirement Death Totals During Service Disability Actual (A) Compared to Expected (E) Decrements Among Active Employees Number Added City of Clearwater Employees’ Pension Plan B-23 Year Ended Number Number 12/31/2009 12 $142,606 16 $313,189 12/31/2010 12 139,508 18 363,242 12/31/2011 13 220,877 19 416,467 12/31/2012 12 232,755 20 466,010 12/31/2013 20 401,192 20 480,787 12/31/2014 16 275,728 21 510,892 12/31/2015 19 385,405 22 558,603 12/31/2016 20 498,746 25 708,907 12/31/2017 15 288,110 26 753,482 12/31/2018 25 762,324 28 831,241 12/31/2019 20 566,781 28 885,857 12/31/2020 27 921,472 29 949,503 12/31/2021 32 1,073,271 Actual (A) Compared to Expected (E) Deaths Among Retirees and Beneficiaries Actual During Year Annual Pensions Annual Pensions Expected During Year City of Clearwater Employees’ Pension Plan B-24 Active Members Inactive Members 1/1/07 1,692 819 $79,385,090 $559,830,590 N/A N/A N/A $9,192,407 11.58 % 1/1/08 1,641 878 80,371,617 610,979,087 N/A N/A N/A 6,920,400 8.61 1/1/09 1,628 903 82,104,837 536,834,473 N/A N/A N/A 20,005,238 24.37 1/1/10 1,567 955 80,443,199 618,444,906 $647,167,565 $28,722,659 95.6 % 15,879,628 19.74 1/1/11 1,508 1,024 76,505,599 646,956,800 672,786,812 25,830,012 96.2 15,461,725 20.21 1/1/12 1,468 1,072 74,765,020 664,087,199 702,438,432 38,351,233 94.5 17,064,100 22.82 1/1/13 1,474 1,127 74,422,344 688,731,221 774,749,811 86,018,590 88.9 12,845,501 17.26 1/1/14 1,478 1,144 74,254,159 772,411,068 795,927,127 23,516,059 97.0 4,626,039 6.23 1/1/15 1,482 1,194 75,078,542 829,486,793 824,274,144 (5,212,649)100.6 8,194,115 10.91 1/1/16 1,505 1,237 80,250,993 866,598,975 857,177,619 (9,421,356)101.1 8,358,975 10.42 1/1/17 1,520 1,278 79,276,100 908,229,246 880,316,652 (27,912,594)103.2 8,092,922 10.21 1/1/18 1,523 1,334 82,317,307 957,314,542 916,334,666 (40,979,876)104.5 8,236,726 10.01 1/1/19 1,555 1,374 84,608,940 978,492,240 965,611,907 (12,880,333)101.3 9,106,282 10.76 1/1/20 1,571 1,401 90,594,113 1,015,277,332 1,017,746,535 2,469,203 99.8 10,463,285 11.55 1/1/21 1,541 1,422 92,726,419 1,093,182,410 1,034,718,990 (58,463,420)105.7 10,711,397 11.55 Unfunded Actuarial Liability (Entry Age)* RECENT HISTORY OF VALUATION RESULTS Number of Employer Normal Cost* Valuation Date Covered Annual Payroll Actuarial Value of Assets % of PayrollAmount Actuarial Accrued Liability (Entry Age) Funded Ratio * Starting with the January 1, 2015 valuation, the Employer Normal Cost is calculated under the Entry Age Normal Method and the Credit Balance is excluded from the Actuarial Value of Assets. Results before January 1, 2010 are from the January 1, 2009 Report prepared by PricewaterhouseCoopers. City of Clearwater Employees’ Pension Plan B-25 1/1/07 9/30/08 $12,532,399 15.79 %$12,000 0.02 %$12,520,399 15.77 %$12,520,399 $12,000 $12,532,399 1/1/08 9/30/09 10,086,978 12.55 12,000 0.01 10,074,978 12.54 10,074,978 12,000 10,086,978 1/1/09 9/30/10 23,960,586 29.18 12,000 0.01 23,948,586 29.17 23,948,586 12,000 23,960,586 1/1/10 9/30/11 19,373,992 24.08 12,000 0.01 19,361,992 24.07 19,361,992 12,000 19,373,992 1/1/11 9/30/12 18,898,567 24.70 12,000 0.01 18,886,567 24.69 18,886,567 12,000 18,898,567 1/1/12 9/30/13 20,925,720 27.99 12,000 0.02 20,913,720 27.97 20,913,720 12,000 20,925,720 1/1/13 9/30/14 19,608,078 26.35 12,000 0.02 19,596,078 26.33 19,596,078 12,000 19,608,078 1/1/14 9/30/15 10,803,098 14.55 12,000 0.02 10,791,098 14.53 10,791,098 12,000 10,803,098 1/1/15 9/30/16 8,767,703 11.68 12,000 0.02 8,755,703 11.66 8,755,703 12,000 8,767,703 1/1/16 9/30/17 8,944,103 11.15 12,000 0.02 8,932,103 11.13 8,932,103 12,000 8,944,103 1/1/17 9/30/18 8,659,427 10.92 12,000 0.01 8,647,427 10.91 8,647,427 12,000 8,659,427 1/1/18 9/30/19 8,813,297 10.71 12,000 0.02 8,801,297 10.69 8,801,297 12,000 8,813,297 1/1/19 9/30/20 9,720,956 11.49 12,000 0.01 9,708,956 11.48 9,708,956 12,000 9,720,956 1/1/20 9/30/21 11,534,013 12.73 12,000 0.01 11,522,013 12.72 11,522,013 12,000 11,534,013 1/1/21 9/30/22 11,412,994 12.31 12,000 0.01 11,400,994 12.30 --- --- --- % of Payroll Employer StateValuation Date End of Year To Which Valuation Applies Amount Actual Contributions % of Payroll TotalAmount % of PayrollAmount RECENT HISTORY OF REQUIRED AND ACTUAL CONTRIBUTIONS Estimated State Required Contributions Employer & State Net Employer Results before January 1, 2010 are from the January 1, 2009 Report prepared by PricewaterhouseCoopers. City of Clearwater Employees’ Pension Plan B-26 ACTUARIAL ASSUMPTIONS AND COST METHOD Valuation Methods Actuarial Cost Method - Normal cost and the allocation of benefit values between service rendered before and after the valuation date were determined using an Individual Entry-Age Actuarial Cost Method having the following characteristics: (i) the annual normal cost for each individual active member, payable from the date of employment to the date of retirement, is sufficient to accumulate the value of the member’s benefit at the time of retirement; (ii) each annual normal cost is a constant percentage of the member’s year by year projected covered pay. Actuarial gains/(losses), as they occur, reduce (increase) the Unfunded Actuarial Accrued Liability. Financing of Unfunded Actuarial Accrued Liabilities - Unfunded Actuarial Accrued Liabilities (full funding credit if assets exceed liabilities) were amortized by level (principal & interest combined) dollar amount contributions over a reasonable period of future years. Actuarial Value of Assets - The Actuarial Value of Assets phase in the difference between the expected and actual return on market value of assets at the rate of 20% per year. The Actuarial Value of Assets will be further adjusted to the extent necessary to fall within the corridor whose lower limit is 80% of the Market Value of plan assets and whose upper limit is 120% of the Market Value of plan assets. During periods when investment performance exceeds the assumed rate, Actuarial Value of Assets will tend to be less than Market Value. During periods when investment performance is less than assumed rate, Actuarial Value of Assets will tend to be greater than Market Value. Valuation Assumptions The actuarial assumptions used in the valuation are shown in this Section. Both the economic and decrement assumptions were established following the Experience Investigation for the Five Years Ended December 31, 2017, dated December 6, 2018. The mortality assumption is mandated by Chapter 112.63, Florida Statutes. Economic Assumptions The investment return rate assumed in the valuation is 6.55% per year, compounded annually (net rate after investment expenses). This assumption was changed this year (based on the results of a 5-year experience study) from 6.65%. City of Clearwater Employees’ Pension Plan B-27 The Inflation Rate assumed in this valuation is 2.25% per year. The Inflation Rate is defined to be the expected long-term rate of increases in the prices of goods and services. The assumed real rate of return over inflation is defined to be the portion of total investment return that is more than the assumed inflation rate. Considering other economic assumptions, the 6.55% investment return rate translates to an assumed real rate of return over inflation of 4.30%. The rate of salary increase used for individual members can be seen in the tables below. Part of the assumption is for merit and/or seniority increases and productivity increases, and 2.25% recognizes inflation. This assumption is used to project a member’s current salary to the salaries upon which benefits will be based. Years of Service 1 - 2 2.25%7.60% 3 - 4 2.25%6.25% 5 - 9 2.25%5.50% 10 - 14 2.25%5.25% 15 and Higher 2.25%4.50% 3.00% 2.25% 5.35% 4.00% 3.25% % Increase in Salary - Hazardous Duty Merit and Seniority Inflation Total Increase Years of Service 1 2.25%6.50% 2 2.25%5.60% 3 2.25%4.50% 4 - 9 2.25%3.75% 10 - 14 2.25%3.55% 15 - 19 2.25%3.05% 20 and Higher 2.25%2.75% 1.50% 1.30% 0.50% 0.80% 4.25% 3.35% 2.25% % Increase in Salary - Non-Hazardous Duty Merit and Seniority Inflation Total Increase City of Clearwater Employees’ Pension Plan B-28 Demographic Assumptions The mortality tables used in the valuation for Hazardous Duty members are based on the PUB-2010 Headcount Weighted Mortality Tables described below, with mortality improvements projected for healthy lives to all future years after 2010 using Scale MP-2018. No mortality improvement is projected for disabled lives. Pre-Retirement PUB-2010 Table Post-Retirement PUB-2010 Table Female Healthy Headcount Weighted Safety Employee Female Table, set forward 1 year Headcount Weighted Safety Healthy Retiree Female Table, set forward 1 year Male Healthy Headcount Weighted Safety Below Median Employee Male Table, set forward 1 year Headcount Weighted Safety Below Median Healthy Retiree Male Table, set forward 1 year Female Disabled N/A 80% Headcount Weighted General Disabled Retiree Female Table; 20% Headcount Weighted Safety Disabled Retiree Female Table Male Disabled N/A 80% Headcount Weighted General Disabled Retiree Male Table; 20% Headcount Weighted Safety Disabled Retiree Male Table These are the same rates used for Special Risk Class members of the Florida Retirement System (FRS) in the July 1, 2019 FRS Actuarial Valuation Report. Florida Statutes Chapter 112.63(1)(f) mandates the use of the same mortality tables used by the FRS in either of its two most recently published actuarial valuation reports. In the previous valuation, the mortality rates were the same as used for Special Risk Class members in the July 1, 2018 FRS Actuarial Valuation. These rates were based on the RP-2000 Mortality Tables with collar and age adjustments and mortality improvements projected for non-disabled lives to all future years after 2000 using Scale BB. The following table presents post-retirement mortality rates and life expectancies at illustrative ages. These assumptions are used to measure the probabilities of each benefit payment being made after retirement. City of Clearwater Employees’ Pension Plan B-29 FRS Healthy Post-Retirement Mortality for Special Risk Class Members Sample Attained Ages (in 2021)Men Women Men Women 50 0.42 %0.20 %32.50 36.33 55 0.56 0.36 27.73 31.30 60 0.92 0.61 23.14 26.51 65 1.32 0.92 18.87 22.00 70 2.08 1.45 14.86 17.74 75 3.54 2.42 11.27 13.82 80 6.30 4.16 8.19 10.35 Probability of Future Life Dying Next Year Expectancy (years) The following tables present pre-retirement mortality rates and life expectancies at illustrative ages. These assumptions are used to measure the probabilities of active members dying prior to retirement. All Police and 90% of Firefighters’ deaths before retirement are assumed to be non- service connected. FRS Healthy Pre-Retirement Mortality for Special Risk Class Members Sample Attained Ages (in 2021)Men Women Men Women 50 0.16 %0.11 %35.66 39.58 55 0.26 0.16 30.58 34.44 60 0.43 0.22 25.63 29.37 65 0.69 0.30 20.86 24.35 70 1.18 0.55 16.34 19.45 75 2.08 1.07 12.10 14.75 80 6.30 4.16 8.19 10.35 Probability of Future Life Dying Next Year Expectancy (years) The following table presents disabled post-retirement mortality rates and life expectancies at illustrative ages. FRS Disabled Mortality for Special Risk Class Members Sample Attained Ages Men Women Men Women 50 1.45 %1.25 %24.04 26.84 55 1.91 1.50 20.88 23.54 60 2.37 1.81 17.92 20.32 65 3.00 2.22 15.07 17.17 70 3.91 2.90 12.39 14.10 75 5.30 4.13 9.87 11.22 80 7.66 6.21 7.60 8.67 Probability of Future Life Dying Next Year Expectancy (years) City of Clearwater Employees’ Pension Plan B-30 The mortality tables used in the valuation for Non-Hazardous Duty members are based on the PUB- 2010 Headcount Weighted Mortality Tables described below, with mortality improvements projected for healthy lives to all future years after 2010 using Scale MP-2018. No mortality improvement is projected for disabled lives. Pre-Retirement PUB-2010 Table Post-Retirement PUB-2010 Table Female Healthy Headcount Weighted General Below Median Employee Female Table Headcount Weighted General Below Median Healthy Retiree Female Table Male Healthy Headcount Weighted General Below Median Employee Male Table, set back 1 year Headcount Weighted General Below Median Healthy Retiree Male Table, set back 1 year Female Disabled N/A PUB-2010 Headcount Weighted General Disabled Retiree Female, set forward 3 years Male Disabled N/A PUB-2010 Headcount Weighted General Disabled Retiree Male, set forward 3 years These are the same rates used for Regular Class members (other than K-12 School Instructional Personnel) of the Florida Retirement System (FRS) in the July 1, 2019 FRS Actuarial Valuation Report. Florida Statutes Chapter 112.63(1)(f) mandates the use of the mortality tables from either of the two most recently published actuarial valuation reports of FRS. In the previous valuation, the mortality rates were the same as used for Regular Class members in the July 1, 2018 FRS Actuarial Valuation. These rates were based on the RP-2000 Mortality Tables with collar and age adjustments and mortality improvements projected for non-disabled lives to all future years after 2000 using Scale BB. The following table presents post-retirement mortality rates and life expectancies at illustrative ages. These assumptions are used to measure the probabilities of each benefit payment being made after retirement. FRS Healthy Post-Retirement Mortality for Non-Special Risk Class Members Sample Attained Ages (in 2021)Men Women Men Women 50 0.19 %0.58 %33.14 36.95 55 0.96 0.58 28.77 32.50 60 1.14 0.60 24.68 27.96 65 1.29 0.69 20.63 23.39 70 1.80 1.09 16.62 18.91 75 2.86 1.89 12.91 14.73 80 4.83 3.41 9.63 10.98 Dying Next Year Expectancy (years) Probability of Future Life City of Clearwater Employees’ Pension Plan B-31 The following tables present pre-retirement mortality rates and life expectancies at illustrative ages. These assumptions are used to measure the probabilities of active members dying prior to retirement. All deaths before retirement are assumed to be non-service connected. FRS Healthy Pre-Retirement Mortality for Non-Special Risk Class Members Sample Attained Ages (in 2021)Men Women Men Women 50 0.19 %0.11 %37.72 40.26 55 0.30 0.17 32.71 35.14 60 0.46 0.26 27.85 30.11 65 0.65 0.37 23.17 25.19 70 0.90 0.56 18.62 20.37 75 1.35 0.93 14.19 15.68 80 2.13 1.58 9.89 11.17 Probability of Future Life Dying Next Year Expectancy (years) The following table presents disabled post-retirement mortality rates and life expectancies at illustrative ages. FRS Disabled Mortality for Non-Special Risk Class Members Sample Attained Ages Men Women Men Women 50 2.02 %1.64 %20.99 23.92 55 2.53 1.91 18.18 20.88 60 3.08 2.27 15.50 17.88 65 3.93 2.83 12.94 14.91 70 5.08 3.79 10.53 12.07 75 6.98 5.46 8.29 9.45 80 10.12 8.31 6.33 7.19 Probability of Future Life Dying Next Year Expectancy (years) City of Clearwater Employees’ Pension Plan B-32 The rates of retirement used to measure the probability of eligible members retiring under normal and early retirement eligibility during the next year were as follows: Years of Probability of Service Age Retirement 10 - 19 50 - 54 5 % 55 - 59 15 60 - 64 40 65 & Over 100 20 & Over Under 55 15 55 - 59 30 60 - 64 40 65 & Over 100 Hazardous Duty Retirement Years of Probability of Service Age Retirement 10 - 19 65 - 74 30 % 75 & Over 100 20 - 29 55 - 64 20 65 - 69 30 70 & Over 100 30 & Over Under 55 45 55 - 59 20 60 - 64 30 65 - 69 50 70 & Over 100 Non-Hazardous Duty Retirement City of Clearwater Employees’ Pension Plan B-33 Rates of separation from active membership were as shown below (rates do not apply to members eligible to retire and do not include separation on account of death or disability). This assumption measures the probabilities of members separating from employment prior to becoming eligible for retirement. Years of % of Active Members Years of % of Active Members Service Age Separating Within Next Year Service Age Separating Within Next Year Under 1 All Ages 8.5 %Under 1 All Ages 20.0 % 1 All Ages 7.5 1 & Over All Ages 4.0 2 - 5 Under 40 4.5 40 & Over 2.5 6 & Over Under 40 2.0 40 & Over 1.5 Hazardous Duty Withdrawal - Males Hazardous Duty Withdrawal - Females Years of % of Active Members Years of % of Active Members Service Age Separating Within Next Year Service Age Separating Within Next Year Under 1 Under 35 25.0 %Under 3 Under 30 22.0 % 35 & Over 11.0 30 - 34 15.0 35 - 44 5.0 1 - 2 All Ages 16.0 45 - 49 14.0 50 - 59 18.0 3 - 4 Under 40 11.0 60 & Over 25.0 40 & Over 5.0 3 - 4 Under 30 18.0 5 - 9 Under 30 12.5 30 - 39 14.0 30 - 49 5.0 40 - 59 5.0 50 - 59 3.0 60 & Over 20.0 60 & Over 7.5 5 - 9 Under 35 5.0 10 & Over Under 35 7.5 35 - 44 6.0 35 - 39 4.0 45 - 59 4.5 40 - 49 3.5 60 & Over 3.0 50 - 54 2.0 55 - 59 3.0 10 & Over Under 40 6.0 60 & Over 4.5 40 - 44 5.0 45 - 49 3.75 50 - 54 3.25 55 - 59 2.75 60 & Over 6.0 Non-Hazardous Duty Withdrawal - Males Non-Hazardous Duty Withdrawal - Females City of Clearwater Employees’ Pension Plan B-34 Rates of disability among active members (100% of disabilities are assumed to be service- connected). Sample Ages 20 0.25 %0.50 % 25 0.25 0.50 30 0.25 0.75 35 0.30 1.00 40 0.45 1.25 45 0.60 1.50 50 0.60 1.50 55 0.60 1.50 60 0.75 1.50 65 1.00 1.50 70 1.50 1.50 Males Females Hazardous Duty Disability % of Active Members Becoming Disabled Within Next Year Sample Ages 20 0.03 %0.03 % 25 0.03 0.03 30 0.03 0.03 35 0.04 0.04 40 0.07 0.07 45 0.10 0.10 50 0.14 0.14 55 0.24 0.24 60 0.29 0.29 65 0.34 0.34 70 0.44 0.44 Males Females Non-Hazardous Duty Disability % of Active Members Becoming Disabled Within Next Year City of Clearwater Employees’ Pension Plan B-35 Miscellaneous and Technical Assumptions Administrative & Investment Expenses The investment return assumption is intended to be the net return after investment expenses. Annual administrative expenses are assumed to be equal to the administrative expenses of the previous year. Assumed administrative expenses are added to the Normal Cost. Benefit Service Exact fractional service is used to determine the amount of benefit payable. Cost of Living Increases The adjustment is 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. There is a five-year delay in the COLA for non- grandfathered non-hazardous duty members and hazardous duty police officers employed on or after January 1, 2020 for benefits accrued after January 1, 2013. There is no COLA for non- grandfathered hazardous duty firefighters for benefits accrued after January 1, 2013. Decrement Operation Disability and mortality decrements operate during retirement eligibility. Decrement Timing Decrements of all types are assumed to occur at the beginning of the year. Eligibility Testing Eligibility for benefits is determined based upon the age nearest birthday and service nearest whole year on the date the decrement is assumed to occur. Forfeitures For vested separations from service, it is assumed that 0% of members separating will withdraw their contributions and forfeit an employer financed benefit. It was further assumed that the liability at termination is the greater of the vested deferred benefit (if any) or the member’s accumulated contributions. Incidence of Contributions Employer contributions are assumed to be made in equal installments during the first two quarters of the fiscal year. Member contributions are assumed to be received continuously throughout the year based upon the computed percent of payroll shown in this report, and the actual payroll payable at the time contributions are made. City of Clearwater Employees’ Pension Plan B-36 Marriage Assumption 75% of males and 75% of females are assumed to be married for purposes of death-in-service benefits and to determine the normal form of benefit when applicable. Male spouses are assumed to be three years older than female spouses for all active members and for members who became inactive before January 1, 2015. For members who became inactive on or after January 1, 2015, spouses ages are based on the beneficiary dates of birth provided by the Plan Administrator. Normal Form of Benefit The normal form of benefit is a life annuity for non-grandfathered non-hazardous duty members. For all other members, the normal form of benefit is a life annuity that includes a survivor benefit where after the participant’s death, 100% is payable to the spouse for five years, after which the benefit is reduced to 50%. Pay Increase Timing End of fiscal year. This is equivalent to assuming that reported pays represent the annual rate of pay on the valuation date. The pay used for the valuation is equal to the greater of the actual pay for the plan year increased by the salary scale assumption rate (which varies by years of service) and the annual rate of pay on the valuation date. Service Credit Accruals It is assumed that members accrue one year of service credit per year. City of Clearwater Employees’ Pension Plan B-37 GLOSSARY Actuarial Accrued Liability (AAL) The difference between the Actuarial Present Value of Future Benefits, and the Actuarial Present Value of Future Normal Costs. Actuarial Assumptions Assumptions about future plan experience that affect costs or liabilities, such as: mortality, withdrawal, disablement, and retirement; future increases in salary; future rates of investment earnings; future investment and administrative expenses; characteristics of members not specified in the data, such as marital status; characteristics of future members; future elections made by members; and other items. Actuarial Cost Method A procedure for allocating the Actuarial Present Value of Future Benefits between the Actuarial Present Value of Future Normal Costs and the Actuarial Accrued Liability. Actuarial Equivalent Of equal Actuarial Present Value, determined as of a given date and based on a given set of Actuarial Assumptions. Actuarial Present Value (APV) The amount of funds required to provide a payment or series of payments in the future. It is determined by discounting the future payments with an assumed interest rate and with the assumed probability each payment will be made. Actuarial Present Value of Future Benefits (APVFB) The Actuarial Present Value of amounts which are expected to be paid at various future times to active members, retired members, beneficiaries receiving benefits, and inactive, nonretired members entitled to either a refund or a future retirement benefit. Expressed another way, it is the value that would have to be invested on the valuation date so that the amount invested plus investment earnings would provide sufficient assets to pay all projected benefits and expenses when due. Actuarial Valuation The determination, as of a valuation date, of the Normal Cost, Actuarial Accrued Liability, Actuarial Value of Assets, and related Actuarial Present Values for a plan. An Actuarial Valuation for a governmental retirement system typically also includes calculations of the Funded Ratio and the Actuarially Determined Contribution (ADC). Actuarial Value of Assets The value of the assets as of a given date, used by the actuary for valuation purposes. This may be the market or fair value of plan assets or a smoothed value in order to reduce the year-to-year volatility of calculated results, such as the funded ratio and the Actuarially Determined Contribution (ADC). City of Clearwater Employees’ Pension Plan B-38 Actuarially Determined Contribution (ADC) The employer’s periodic required contributions, expressed as a dollar amount or a percentage of covered plan compensation. The ADC consists of the Employer Normal Cost and Amortization Payment. Amortization Method A method for determining the Amortization Payment. The most common methods used are level dollar and level percentage of payroll. Under the Level Dollar method, the Amortization Payment is one of a stream of payments, all equal, whose Actuarial Present Value is equal to the UAAL. Under the Level Percentage of Pay method, the Amortization Payment is one of a stream of increasing payments, whose Actuarial Present Value is equal to the UAAL. Under the Level Percentage of Pay method, the stream of payments increases at the rate at which total covered payroll of all active members is assumed to increase. Amortization Payment That portion of the plan contribution or ADC which is designed to pay interest on and to amortize the Unfunded Actuarial Accrued Liability. Amortization Period The period used in calculating the Amortization Payment. Closed Amortization Period A specific number of years that is reduced by one each year, and declines to zero with the passage of time. For example if the amortization period is initially set at 30 years, it is 29 years at the end of one year, 28 years at the end of two years, etc. Employer Normal Cost The portion of the Normal Cost to be paid by the employer. This is equal to the Normal Cost less expected member contributions. Equivalent Single Amortization Period For plans that do not establish separate amortization bases (separate components of the UAAL), this is the same as the Amortization Period. For plans that do establish separate amortization bases, this is the period over which the UAAL would be amortized if all amortization bases were combined upon the current UAAL payment. Experience Gain/Loss A measure of the difference between the normal cost rate from last year and the normal cost rate from this year. Funded Ratio The ratio of the Actuarial Value of Assets to the Actuarial Accrued Liability. Normal Cost The annual cost assigned, under the Actuarial Cost Method, to the current plan year. City of Clearwater Employees’ Pension Plan B-39 Open Amortization Period An open amortization period is one which is used to determine the Amortization Payment but which does not change over time. In other words, if the initial period is set as 30 years, the same 30-year period is used in determining the Amortization Period each year. In theory, if an Open Amortization Period is used to amortize the Unfunded Actuarial Accrued Liability, the UAAL will never completely disappear, but will become smaller each year, either as a dollar amount or in relation to covered payroll. Unfunded Actuarial Accrued Liability The difference between the Actuarial Accrued Liability and Actuarial Value of Assets. Valuation Date The date as of which the Actuarial Present Value of Future Benefits are determined. The benefits expected to be paid in the future are discounted to this date. SECTION C PENSION FUND INFORMATION City of Clearwater Employees’ Pension Plan C-1 Statement of Plan Assets at Market Value 2020 2019 A.Cash and Cash Equivalents (Operating Cash)-$ -$ B.Receivables 1.Member Contributions -$ -$ 2.Employer Contributions 6,573,873 4,735,719 3.Investment Income and Other Receivables 7,531,666 10,393,319 4.Total Receivables 14,105,539$ 15,129,038$ C.Investments 1.Short-Term Investments 36,656,865$ 19,252,436$ 2.Domestic Equities 518,911,746 467,303,037 3.International Equities 221,655,402 202,478,365 4.Domestic Fixed Income 340,222,143 290,776,763 5.International Fixed Income - - 6.Real Estate 95,691,009 95,127,571 7.Infrastructure 44,524,919 43,301,120 8.Private Equity - - 9.Total Investments 1,257,662,084$ 1,118,239,292$ D.Liabilities 1.Benefits Payable -$ -$ 2.Accrued Expenses and Other Payables (17,473,778) (12,472,393) 3.Total Liabilities (17,473,778)$ (12,472,393)$ E.Total Market Value of Assets Available for Benefits 1,254,293,845$ 1,120,895,937$ F.Allocation of Investments 1.Short-Term Investments 2.91%1.72% 2.Domestic Equities 41.26%41.79% 3.International Equities 17.62%18.11% 4.Domestic Fixed Income 27.06%26.00% 5.International Fixed Income 0.00%0.00% 6.Real Estate 7.61%8.51% 7.Infrastructure 3.54%3.87% 8.Private Equity 0.00%0.00% 9.Total Investments 100.00%100.00% December 31 Item City of Clearwater Employees’ Pension Plan C-2 Reconciliation of Plan Assets 2020 2019 A.Market Value of Assets at Beginning of Year 1,120,895,937$ 963,571,264$ B.Revenues and Expenditures 1.Contributions a.Employee Contributions 7,971,499$ 7,482,806$ b.Employer Contributions 12,187,284 10,268,063 c.State Contributions 12,000 12,000 d.Total 20,170,783$ 17,762,869$ 2.Investment Income a.Interest, Dividends, and Other Income 18,588,138$ 21,605,614$ b.Net Realized Gains/(Losses)82,411,206 32,562,716 c.Net Unrealized Gains/(Losses)72,374,011 143,690,454 d.Investment Expenses (6,395,926) (6,674,393) e.Net Investment Income 166,977,429$ 191,184,391$ 3.Benefits and Refunds a.Refunds (916,875)$ (941,143)$ b.Regular Monthly Benefits (51,027,801) (49,309,666) c.Partial Lump-Sum Benefits Paid (1,560,875) (1,047,504) d.Total (53,505,551)$ (51,298,313)$ 4.Administrative and Miscellaneous Expenses (244,753)$ (324,274)$ 5.Transfers -$ -$ C.Market Value of Assets at End of Year 1,254,293,845$ 1,120,895,937$ December 31 Item City of Clearwater Employees’ Pension Plan C-3 Development of Actuarial Value of Assets Valuation Date - December 31 2019 2020 2021 2022 2023 2024 A.Actuarial Value of Assets Beginning of Year 1,005,100,366$ 1,044,240,614$ B.Market Value End of Year 1,120,895,937 1,254,293,845 C.Market Value Beginning of Year 963,571,264 1,120,895,937 D.Non-Investment/Administrative Net Cash Flow (33,859,718) (33,579,521) E.Investment Income E1. Actual Market Total: B-C-D 191,184,391 166,977,429 E2. Assumed Rate of Return 6.75%6.65%6.55%6.50%6.50%6.50% E3. Assumed Amount of Return 63,739,343 73,216,742 E4. Amount Subject to Phase-In: E1–E3 127,445,048 93,760,687 F.Phase-In Recognition of Investment Income F1. Current Year: 0.2 x E4 25,489,010 18,752,137 F2. First Prior Year (19,001,935) 25,489,010 18,752,137 F3. Second Prior Year 16,085,119 (19,001,935) 25,489,010 18,752,137 F4. Third Prior Year (465,144) 16,085,119 (19,001,935) 25,489,010 18,752,137 F5. Fourth Prior Year (12,846,427) (465,145) 16,085,118 (19,001,937) 25,489,008 18,752,139 F6. Total Phase-Ins 9,260,623 40,859,186 41,324,330 25,239,210 44,241,145 18,752,139 G.Actuarial Value of Assets End of Year G1. Preliminary Actuarial Value of Assets 1,044,240,614$ 1,124,737,021$ G2. Upper Corridor Limit: 120%*B 1,345,075,124$ 1,505,152,614$ G3. Lower Corridor Limit: 80%*B 896,716,750$ 1,003,435,076$ G4. Funding Value End of Year 1,044,240,614$ 1,124,737,021$ G5. Credit Balance 28,963,282$ 31,554,611$ G6. Final Actuarial Value of Assets 1,015,277,332$ 1,093,182,410$ H.Recognized Investment Earnings 72,999,966$ 114,075,928$ I.Difference between Market & Actuarial Value 76,655,323$ 129,556,824$ J.Actuarial Rate of Return 7.39%11.10% K.Market Value Rate of Return 20.20%15.12% L.Ratio of Actuarial Value of Assets to Market Value 93.16%89.67% The Actuarial Value of Assets recognizes assumed investment return (line E3) fully each year. Differences between actual and assumed investment income (Line E4) are phased-in over a closed 5-year period. During periods when investment performance exceeds the assumed rate, Actuarial Value of Assets will tend to be less than Market Value. During periods when investment performance is less than the assumed rate, Actuarial Value of Assets will tend to be greater than Market Value. If assumed rates are exactly realized for 5 consecutive years, Actuarial Value of Assets will become equal to Market Value. City of Clearwater Employees’ Pension Plan C-4 Allocation of Plan Assets by Group Total Non-Hazardous Hazardous Police Hazardous Fire A.Market Value of Assets as of January 1, 2020 1,120,895,937$ 576,174,867$ 323,854,740$ 220,866,330$ B.Contributions (All)20,170,783 7,848,771 7,275,448 5,046,564 C.Net Investment Return 166,977,429 85,590,389 48,423,234 32,963,806 D.Benefit Payments (All)53,505,551 28,173,041 14,535,280 10,797,230 E.Administrative Expenses 244,753 125,457 70,978 48,318 F.Market Value of Assets as of January 1, 2021 1,254,293,845 641,315,529 364,947,164 248,031,152 G.Actuarial Value of Assets as of January 1, 2021 1,124,737,021 575,073,632 327,251,535 222,411,854 H Actuarial Value of Assets less Credit Balance 1,093,182,410 559,102,753 317,999,330 216,080,327 Item City of Clearwater Employees’ Pension Plan C-5 Investment Rate of Return Plan Year Ending December 31 1986 13.21 % N/A 1987 10.78 N/A 1988 9.12 N/A 1989 20.84 N/A 1990 6.21 N/A 1991 28.52 N/A 1992 6.49 N/A 1993 9.29 7.42 % 1994 0.89 6.28 1995 23.36 9.14 1996 14.80 11.54 1997 17.49 13.74 1998 16.74 15.28 1999 18.61 17.96 2000 (3.43)12.42 2001 (5.16)7.40 2002 (8.83)(1.85) 2003 20.08 7.45 2004 9.73 2.18 2005 6.67 4.58 2006 11.80 7.87 2007 7.29 10.68 2008 (27.01)(10.61) 2009 30.93 16.53 2010 17.50 5.98 2011 (0.32)4.46 2012 13.92 5.50 2013 16.90 14.04 2014 7.99 11.04 2015 (0.28)7.64 2016 6.70 8.22 2017 16.01 8.89 2018 (2.48)5.76 2019 20.20 7.39 2020 15.12 11.10 Average returns: Last five years:10.81 % 8.26 % Last ten years:9.09 % 8.37 % All years:9.38 % 7.99 % Actuarial*Market* *Before investment expenses prior to 2013. The above rates are based on the retirement system’s financial information reported to the actuary. They may differ from figures that the investment consultant reports, in part because of differences in the handling of administrative and investment expenses, and in part because of differences in the handling of cash flows. SECTION D FINANCIAL ACCOUNTING INFORMATION City of Clearwater Employees’ Pension Plan D-1 A.Valuation Date B.Actuarial Present Value of Accumulated Plan Benefits 1.Vested Benefits a.Members Currently Receiving Payments $685,317,342 $676,836,452 b.Terminated Vested Members 16,396,732 18,283,940 c.Other Members 250,641,102 243,779,791 d.Total 952,355,176 938,900,183 2.Non-Vested Benefits 18,138,133 16,580,142 3.Total Actuarial Present Value of Accumulated Plan Benefits: 1d + 2 970,493,309 955,480,325 4.Accumulated Contributions of Active Members 66,757,705 64,188,492 C.Changes in the Actuarial Present Value of Accumulated Plan Benefits 1.Total Value at Beginning of Year 955,480,325 913,458,490 2.Increase (Decrease) During the Period Attributable to: a.Plan Amendment 0 3,573,402 b.Change in Actuarial Assumptions (13,512,345)10,956,515 c.Latest Member Data, Benefits Accumulated and Decrease in the Discount Period 82,030,880 78,790,231 d.Benefits Paid (53,505,551)(51,298,313) e.Net Increase 15,012,984 42,021,835 3.Total Value at End of Period 970,493,309 955,480,325 D.Market Value of Assets 1,254,293,845 1,120,895,937 E.Actuarial Assumptions - See page entitled Actuarial Assumptions and Methods FASB NO. 35 INFORMATION January 1, 2021 January 1, 2020 SECTION E MISCELLANEOUS INFORMATION City of Clearwater Employees’ Pension Plan E-1 A. 1.Number Included in Last Valuation 1,571 1,555 2.New Members Included in Current Valuation 104 162 3.Non-Vested Employment Terminations (84)(93) 4.Vested Employment Terminations (8)(13) 5.Service Retirements (43)(38) 6.Disability Retirements 0 (3) 7.Deaths 0 (1) 8.Rehired Members/Data Corrections 1 2 9.Number Included in This Valuation 1,541 1,571 B. 1.Number Included in Last Valuation 80 86 2.Additions from Active Members 8 13 3.Lump Sum Payments/Refund of Contributions (3)(6) 4.Payments Commenced (11)(11) 5.Deaths 0 0 6.Conversion from Disability/Rehired Members 0 (2) 7.Data Corrections 0 0 8.Number Included in This Valuation 74 80 C. 1.Number Included in Last Valuation 1,321 1,288 2.Additions from Active Members 43 41 3.Additions from Terminated Vested Members 11 11 4.Deaths Resulting in No Further Payments (27)(19) 5.Deaths Resulting in New Survivor Benefits 0 1 6.End of Certain Period - No Further Payments 0 0 7.Data Correction/Waiver of Benefits 0 (1) 8.Number Included in This Valuation 1,348 1,321 RECONCILIATION OF MEMBERSHIP DATA Active Members Service Retirees, Disability Retirees and Beneficiaries Terminated Vested Members From 1/1/2019From 1/1/2020 To 1/1/2020To 1/1/2021 City of Clearwater Employees’ Pension Plan E-2 ACTIVE PARTICIPANT DISTRIBUTION ALL ACTIVE MEMBERS Age Group 0-1 1-2 2-3 3-4 4-5 5-9 10-14 15-19 20-24 25-29 30-34 35+Totals 15-19 NO.0 0 0 0 0 0 0 0 0 0 0 0 0 TOT PAY 0 0 0 0 0 0 0 0 0 0 0 0 0 AVG PAY 0 0 0 0 0 0 0 0 0 0 0 0 0 20-24 NO.19 7 7 2 1 1 0 0 0 0 0 0 37 TOT PAY 700,398 228,611 223,226 68,691 30,871 37,257 0 0 0 0 0 0 1,289,054 AVG PAY 36,863 32,659 31,889 34,346 30,871 37,257 0 0 0 0 0 0 34,839 25-29 NO.23 36 32 23 22 33 0 0 0 0 0 0 169 TOT PAY 909,687 1,632,491 1,685,610 1,107,614 1,217,112 1,740,155 0 0 0 0 0 0 8,292,669 AVG PAY 39,552 45,347 52,675 48,157 55,323 52,732 0 0 0 0 0 0 49,069 30-34 NO.19 26 22 31 22 56 17 0 0 0 0 0 193 TOT PAY 682,275 1,064,868 1,243,245 1,636,088 1,189,472 3,146,486 1,210,508 0 0 0 0 0 10,172,942 AVG PAY 35,909 40,956 56,511 52,777 54,067 56,187 71,206 0 0 0 0 0 52,710 35-39 NO.6 15 20 14 15 58 44 24 0 0 0 0 196 TOT PAY 253,129 662,743 984,208 788,719 832,570 3,437,066 3,233,988 1,664,458 0 0 0 0 11,856,881 AVG PAY 42,188 44,183 49,210 56,337 55,505 59,260 73,500 69,352 0 0 0 0 60,494 40-44 NO.13 11 20 12 6 31 34 45 11 0 0 0 183 TOT PAY 494,305 500,619 847,129 613,302 351,893 1,861,748 2,833,293 3,466,112 771,391 0 0 0 11,739,792 AVG PAY 38,023 45,511 42,356 51,108 58,649 60,056 83,332 77,025 70,126 0 0 0 64,152 45-49 NO.4 15 18 6 3 34 41 48 38 7 0 0 214 TOT PAY 143,976 603,850 763,651 285,850 124,915 1,889,689 2,773,042 3,909,966 3,411,042 591,500 0 0 14,497,481 AVG PAY 35,994 40,257 42,425 47,642 41,638 55,579 67,635 81,458 89,764 84,500 0 0 67,745 50-54 NO.11 8 14 5 6 17 20 42 42 24 6 0 195 TOT PAY 474,184 330,951 669,583 252,528 342,690 1,088,043 1,374,442 3,473,108 3,518,018 2,222,825 439,450 0 14,185,822 AVG PAY 43,108 41,369 47,827 50,506 57,115 64,003 68,722 82,693 83,762 92,618 73,242 0 72,748 55-59 NO.5 7 12 4 2 26 27 40 24 21 8 2 178 TOT PAY 188,933 291,482 659,475 147,559 75,693 1,371,781 1,481,194 2,424,393 1,760,601 1,500,588 611,351 154,347 10,667,397 AVG PAY 37,787 41,640 54,956 36,890 37,846 52,761 54,859 60,610 73,358 71,457 76,419 77,174 59,929 60-64 NO.1 5 2 2 3 13 16 32 23 16 6 2 121 TOT PAY 46,993 195,606 73,384 115,514 146,273 641,494 959,833 1,764,174 1,309,909 1,039,181 374,308 128,160 6,794,829 AVG PAY 46,993 39,121 36,692 57,757 48,758 49,346 59,990 55,130 56,953 64,949 62,385 64,080 56,156 65+ NO.3 1 1 1 1 9 6 11 10 7 4 1 55 TOT PAY 199,240 27,757 28,056 29,583 33,233 487,430 324,395 598,208 612,775 474,676 324,881 89,318 3,229,552 AVG PAY 66,413 27,757 28,056 29,583 33,233 54,159 54,066 54,383 61,278 67,811 81,220 89,318 58,719 TOT NO.104 131 148 100 81 278 205 242 148 75 24 5 1,541 TOT AMT 4,093,120 5,538,978 7,177,567 5,045,448 4,344,722 15,701,149 14,190,695 17,300,419 11,383,736 5,828,770 1,749,990 371,825 92,726,419 AVG AMT 39,357 42,282 48,497 50,454 53,639 56,479 69,223 71,489 76,917 77,717 72,916 74,365 60,173 Years of Service to Valuation Date City of Clearwater Employees’ Pension Plan E-3 ACTIVE PARTICIPANT DISTRIBUTION NON-HAZARDOUS DUTY MEMBERS Age Group 0-1 1-2 2-3 3-4 4-5 5-9 10-14 15-19 20-24 25-29 30-34 35+Totals 15-19 NO.0 0 0 0 0 0 0 0 0 0 0 0 0 TOT PAY 0 0 0 0 0 0 0 0 0 0 0 0 0 AVG PAY 0 0 0 0 0 0 0 0 0 0 0 0 0 20-24 NO.13 7 7 2 1 1 0 0 0 0 0 0 31 TOT PAY 386,387 228,611 223,226 68,691 30,871 37,257 0 0 0 0 0 0 975,043 AVG PAY 29,722 32,659 31,889 34,346 30,871 37,257 0 0 0 0 0 0 31,453 25-29 NO.18 22 20 16 11 21 0 0 0 0 0 0 108 TOT PAY 674,834 691,873 810,216 596,414 397,210 834,104 0 0 0 0 0 0 4,004,651 AVG PAY 37,491 31,449 40,511 37,276 36,110 39,719 0 0 0 0 0 0 37,080 30-34 NO.16 22 10 20 14 35 8 0 0 0 0 0 125 TOT PAY 506,269 786,525 362,573 837,553 607,488 1,493,953 391,426 0 0 0 0 0 4,985,787 AVG PAY 31,642 35,751 36,257 41,878 43,392 42,684 48,928 0 0 0 0 0 39,886 35-39 NO.5 12 14 9 11 36 25 18 0 0 0 0 130 TOT PAY 191,357 452,318 557,387 415,794 532,475 1,703,635 1,311,495 961,820 0 0 0 0 6,126,281 AVG PAY 38,271 37,693 39,813 46,199 48,407 47,323 52,460 53,434 0 0 0 0 47,125 40-44 NO.12 10 19 12 4 20 11 22 8 0 0 0 118 TOT PAY 438,276 432,153 758,037 613,302 195,946 960,161 660,932 1,182,542 423,730 0 0 0 5,665,079 AVG PAY 36,523 43,215 39,897 51,109 48,987 48,008 60,085 53,752 52,966 0 0 0 48,009 45-49 NO.4 15 17 5 3 29 30 24 17 4 0 0 148 TOT PAY 143,976 603,850 688,363 206,667 124,915 1,476,769 1,714,456 1,334,171 1,006,103 235,593 0 0 7,534,863 AVG PAY 35,994 40,257 40,492 41,333 41,638 50,923 57,149 55,590 59,183 58,898 0 0 50,911 50-54 NO.10 7 12 4 5 14 14 18 23 14 5 0 126 TOT PAY 397,637 254,623 524,573 159,302 259,770 823,491 772,071 956,582 1,375,524 948,639 324,643 0 6,796,855 AVG PAY 39,764 36,375 43,714 39,826 51,954 58,821 55,148 53,143 59,805 67,760 64,929 0 53,943 55-59 NO.5 7 10 4 2 24 25 35 21 15 7 2 157 TOT PAY 188,933 291,482 498,648 147,559 75,693 1,120,988 1,263,866 1,956,136 1,405,945 887,433 472,858 154,347 8,463,888 AVG PAY 37,787 41,640 49,865 36,890 37,847 46,708 50,555 55,890 66,950 59,162 67,551 77,174 53,910 60-64 NO.1 5 2 2 3 13 14 31 23 15 6 2 117 TOT PAY 46,993 195,606 73,384 115,514 146,273 641,494 696,545 1,659,978 1,309,909 936,451 374,308 128,160 6,324,615 AVG PAY 46,993 39,121 36,692 57,757 48,758 49,346 49,753 53,548 56,953 62,430 62,385 64,080 54,057 65+ NO.3 1 1 1 1 9 5 11 10 7 4 1 54 TOT PAY 199,240 27,757 28,056 29,583 33,233 487,430 223,315 598,208 612,775 474,676 324,881 89,318 3,128,472 AVG PAY 66,413 27,757 28,056 29,583 33,233 54,159 44,663 54,383 61,278 67,811 81,220 89,318 57,935 TOT NO.87 108 112 75 55 202 132 159 102 55 22 5 1,114 TOT AMT 3,173,902 3,964,798 4,524,463 3,190,379 2,403,874 9,579,282 7,034,106 8,649,437 6,133,986 3,482,792 1,496,690 371,825 54,005,534 AVG AMT 36,482 36,711 40,397 42,538 43,707 47,422 53,289 54,399 60,137 63,323 68,031 74,365 48,479 Years of Service to Valuation Date City of Clearwater Employees’ Pension Plan E-4 ACTIVE PARTICIPANT DISTRIBUTION HAZARDOUS POLICE MEMBERS Age Group 0-1 1-2 2-3 3-4 4-5 5-9 10-14 15-19 20-24 25-29 30-34 35+Totals 15-19 NO.0 0 0 0 0 0 0 0 0 0 0 0 0 TOT PAY 0 0 0 0 0 0 0 0 0 0 0 0 0 AVG PAY 0 0 0 0 0 0 0 0 0 0 0 0 0 20-24 NO.2 0 0 0 0 0 0 0 0 0 0 0 2 TOT PAY 96,131 0 0 0 0 0 0 0 0 0 0 0 96,131 AVG PAY 48,066 0 0 0 0 0 0 0 0 0 0 0 48,066 25-29 NO.4 6 7 4 11 9 0 0 0 0 0 0 41 TOT PAY 180,383 408,337 510,735 294,029 819,902 685,776 0 0 0 0 0 0 2,899,162 AVG PAY 45,096 68,056 72,962 73,507 74,537 76,197 0 0 0 0 0 0 70,711 30-34 NO.2 3 4 7 3 14 2 0 0 0 0 0 35 TOT PAY 121,536 213,008 288,876 517,106 217,092 1,109,075 177,795 0 0 0 0 0 2,644,488 AVG PAY 60,768 71,003 72,219 73,872 72,364 79,220 88,898 0 0 0 0 0 75,557 35-39 NO.1 3 2 3 1 12 10 3 0 0 0 0 35 TOT PAY 61,772 210,425 148,950 231,241 75,152 980,875 989,220 376,060 0 0 0 0 3,073,695 AVG PAY 61,772 70,142 74,475 77,080 75,152 81,740 98,922 125,353 0 0 0 0 87,820 40-44 NO.1 1 1 0 1 8 12 8 3 0 0 0 35 TOT PAY 56,029 68,466 89,092 0 76,073 660,133 1,129,372 871,449 347,661 0 0 0 3,298,275 AVG PAY 56,029 68,466 89,092 0 76,073 82,517 94,114 108,931 115,887 0 0 0 94,236 45-49 NO.0 0 1 1 0 4 8 11 14 1 0 0 40 TOT PAY 0 0 75,288 79,183 0 312,188 778,922 1,173,120 1,632,556 141,042 0 0 4,192,299 AVG PAY 0 0 75,288 79,183 0 78,047 97,365 106,647 116,611 141,042 0 0 104,807 50-54 NO.0 0 2 0 0 3 5 11 10 9 1 0 41 TOT PAY 0 0 145,010 0 0 264,552 495,400 1,168,653 1,143,876 1,167,261 114,807 0 4,499,559 AVG PAY 0 0 72,505 0 0 88,184 99,080 106,241 114,388 129,696 114,807 0 109,745 55-59 NO.0 0 0 0 0 0 1 2 0 2 1 0 6 TOT PAY 0 0 0 0 0 0 95,284 195,651 0 194,183 138,493 0 623,611 AVG PAY 0 0 0 0 0 0 95,284 97,826 0 97,092 138,493 0 103,935 60-64 NO.0 0 0 0 0 0 0 1 0 0 0 0 1 TOT PAY 0 0 0 0 0 0 0 104,196 0 0 0 0 104,196 AVG PAY 0 0 0 0 0 0 0 104,196 0 0 0 0 104,196 65+ NO.0 0 0 0 0 0 0 0 0 0 0 0 0 TOT PAY 0 0 0 0 0 0 0 0 0 0 0 0 0 AVG PAY 0 0 0 0 0 0 0 0 0 0 0 0 0 TOT NO.10 13 17 15 16 50 38 36 27 12 2 0 236 TOT AMT 515,851 900,236 1,257,951 1,121,559 1,188,219 4,012,599 3,665,993 3,889,129 3,124,093 1,502,486 253,300 0 21,431,416 AVG AMT 51,585 69,249 73,997 74,771 74,264 80,252 96,474 108,031 115,707 125,207 126,650 0 90,811 Years of Service to Valuation Date City of Clearwater Employees’ Pension Plan E-5 ACTIVE PARTICIPANT DISTRIBUTION HAZARDOUS FIRE MEMBERS Age Group 0-1 1-2 2-3 3-4 4-5 5-9 10-14 15-19 20-24 25-29 30-34 35+Totals 15-19 NO.0 0 0 0 0 0 0 0 0 0 0 0 0 TOT PAY 0 0 0 0 0 0 0 0 0 0 0 0 0 AVG PAY 0 0 0 0 0 0 0 0 0 0 0 0 0 20-24 NO.4 0 0 0 0 0 0 0 0 0 0 0 4 TOT PAY 217,880 0 0 0 0 0 0 0 0 0 0 0 217,880 AVG PAY 54,470 0 0 0 0 0 0 0 0 0 0 0 54,470 25-29 NO.1 8 5 3 0 3 0 0 0 0 0 0 20 TOT PAY 54,470 532,281 364,659 217,171 0 220,275 0 0 0 0 0 0 1,388,856 AVG PAY 54,470 66,535 72,932 72,390 0 73,425 0 0 0 0 0 0 69,443 30-34 NO.1 1 8 4 5 7 7 0 0 0 0 0 33 TOT PAY 54,470 65,335 591,796 281,429 364,892 543,458 641,287 0 0 0 0 0 2,542,667 AVG PAY 54,470 65,335 73,975 70,357 72,978 77,637 91,612 0 0 0 0 0 77,051 35-39 NO.0 0 4 2 3 10 9 3 0 0 0 0 31 TOT PAY 0 0 277,871 141,684 224,943 752,556 933,273 326,578 0 0 0 0 2,656,905 AVG PAY 0 0 69,468 70,842 74,981 75,256 103,697 108,859 0 0 0 0 85,707 40-44 NO.0 0 0 0 1 3 11 15 0 0 0 0 30 TOT PAY 0 0 0 0 79,874 241,454 1,042,989 1,412,121 0 0 0 0 2,776,438 AVG PAY 0 0 0 0 79,874 80,485 94,817 94,141 0 0 0 0 92,548 45-49 NO.0 0 0 0 0 1 3 13 7 2 0 0 26 TOT PAY 0 0 0 0 0 100,732 279,664 1,402,675 772,383 214,865 0 0 2,770,319 AVG PAY 0 0 0 0 0 100,732 93,221 107,898 110,340 107,433 0 0 106,551 50-54 NO.1 1 0 1 1 0 1 13 9 1 0 0 28 TOT PAY 76,547 76,328 0 93,226 82,920 0 106,971 1,347,873 998,618 106,925 0 0 2,889,408 AVG PAY 76,547 76,328 0 93,226 82,920 0 106,971 103,683 110,958 106,925 0 0 103,193 55-59 NO.0 0 2 0 0 2 1 3 3 4 0 0 15 TOT PAY 0 0 160,827 0 0 250,793 122,044 272,606 354,656 418,972 0 0 1,579,898 AVG PAY 0 0 80,414 0 0 125,397 122,044 90,869 118,219 104,743 0 0 105,327 60-64 NO.0 0 0 0 0 0 2 0 0 1 0 0 3 TOT PAY 0 0 0 0 0 0 263,288 0 0 102,730 0 0 366,018 AVG PAY 0 0 0 0 0 0 131,644 0 0 102,730 0 0 122,006 65+ NO.0 0 0 0 0 0 1 0 0 0 0 0 1 TOT PAY 0 0 0 0 0 0 101,080 0 0 0 0 0 101,080 AVG PAY 0 0 0 0 0 0 101,080 0 0 0 0 0 101,080 TOT NO.7 10 19 10 10 26 35 47 19 8 0 0 191 TOT AMT 403,367 673,944 1,395,153 733,510 752,629 2,109,268 3,490,596 4,761,853 2,125,657 843,492 0 0 17,289,469 AVG AMT 57,624 67,394 73,429 73,351 75,263 81,126 99,731 101,316 111,877 105,437 0 0 90,521 Years of Service to Valuation Date City of Clearwater Employees’ Pension Plan E-6 INACTIVE PARTICIPANT DISTRIBUTION Disabled Retired Total Total Total Total Age Group Number Benefits Number Benefits Number Benefits Number Benefits Under 20 - - - - - - 2 25,808 20-24 - - - - - - 2 51,812 25-29 - - - - - - - - 30-34 1 8,738 - - - - 2 31,193 35-39 7 137,661 3 125,874 - - 3 98,213 40-44 17 360,117 3 115,732 3 127,861 2 54,534 45-49 17 347,949 7 340,061 20 855,970 1 27,023 50-54 17 425,647 11 433,292 56 2,696,123 5 117,620 55-59 5 53,252 12 537,330 138 6,163,230 10 380,179 60-64 10 142,009 22 661,201 173 7,786,633 21 449,617 65-69 - - 24 698,298 276 11,625,513 19 472,064 70-74 - - 23 718,606 237 9,192,967 19 444,146 75-79 - - 11 243,354 91 3,558,111 22 504,874 80-84 - - 9 243,136 45 1,523,957 24 521,791 85-89 - - 4 102,278 22 631,799 14 163,266 90-94 - - - - 3 71,557 8 65,648 95-99 - - - - - - - - 100 & Over - - - - - - 1 2,461 Total 74 1,475,373 129 4,219,162 1,064 44,233,721 155 3,410,249 Average Age 49 65 67 71 Terminated Vested Deceased with Beneficiary SECTION F SUMMARY OF PLAN PROVISIONS City of Clearwater Employees’ Pension Plan F-1 SUMMARY OF PLAN PROVISIONS A. Ordinances The Plan was established under the Code of Ordinances for the City of Clearwater, Florida, Chapter 2, Article V, Division 3 and was most recently amended under Ordinance No. 9380-20 passed and adopted on March 5, 2020. The Plan is also governed by certain provisions of Part VII, Chapter 112, Florida Statutes (F.S.) and the Internal Revenue Code. B. Effective Date Restated Plan Effective Date: January 1, 2013 (previous restated Plan Effective Date was January 1, 1996). C. Plan Year January 1 through December 31. D. Type of Plan Qualified, governmental defined benefit retirement plan; for GASB purposes it is a single employer plan. E. Eligibility Requirements All full-time permanent employees of the City are required to participate and become participants on their date of hire. F. Grandfathered Members Members who are eligible for normal retirement as of January 1, 2013 are grandfathered in the plan provisions in effect before Ordinance No. 8333-12. G. Credited Service Credited Service is measured as the total number of years and fractional parts of years from the date of employment to the date of termination or retirement. No service is credited for any periods of employment for which a participant received a refund of their contributions. City of Clearwater Employees’ Pension Plan F-2 H. Compensation The total compensation for services rendered to the City reportable on the participant’s W-2 form, plus all tax deferred, tax sheltered or tax exempt items of income derived from elective employee payroll deductions or salary reductions, but excluding any lump sum payments of unused vacation and sick leave, pay for off-duty employment, and clothing, car or meal allowances. Effective January 1, 2013: For non-grandfathered hazardous duty members, the amount of overtime included in Compensation is limited to 300 hours per year; For non-grandfathered non- hazardous duty members, Compensation excludes overtime and additional pay above the base rate of pay. I. Average Monthly Compensation (AMC) One-twelfth of the average of Compensation during the highest 5 years out of the last 10 years preceding termination or retirement. J. Normal Retirement Eligibility: For Non-Hazardous Duty A participant hired before January 1, 2013 may retire on the first day of the month coincident with or next following the earliest of: (1) age 55 with 20 years of Credited Service, or (2) 30 years of Credited Service regardless of age, or (3) age 65 with 10 years of Credited Service. A participant hired on or after January 1, 2013 may retire on the first day of the month coincident with or next following the earliest of: (1) age 60 with 25 years of Credited Service, or (2) age 65 with 10 years of Credited Service For Hazardous Duty Police Officers and Firefighters A participant may retire on the first day of the month coincident with or next following the earlier of: (1) age 55 with 10 years of Credited Service, or (2) 20 years of Credited Service regardless of age. City of Clearwater Employees’ Pension Plan F-3 Benefit: 2.75% of AMC multiplied by years of Credited Service. For Non-Hazardous Duty participants hired on or after January 1, 2013, 2.00% of AMC multiplied by years of Credited Service. Normal Form of Benefit: For Non-Hazardous Duty (Non-Grandfathered) A monthly annuity is paid for the life of the participant. For Hazardous Duty Police Officers and Firefighters (and Grandfathered Non- Hazardous Duty) A monthly annuity is paid for the life of the participant. After the participant’s death, 100% of the Normal Retirement Benefit shall be paid as a survivor annuity to the spouse for 5 years. After 5 years, such survivor annuity is reduced to 50% of the original amount. The survivor annuity ceases upon death or remarriage of the spouse. 120 monthly payments are guaranteed for police officers and firefighters. Optional forms of benefits are available. COLA: For Non-Hazardous Duty and Hazardous Duty Police Officers 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is a five- year delay (after the retirement date) until this COLA is applied to benefits accrued after January 1, 2013. For Police Officers, the COLA with a 5-year delay (applicable to post-January 1, 2013 benefit accruals) only applies to Police Officers employed by the City on or after January 1, 2020. For Hazardous Duty Firefighters 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is no COLA for benefits accrued after January 1, 2013. K. Early Retirement Eligibility: Police Officers and Firefighters may elect to retire earlier than the Normal Retirement Eligibility upon the attainment of age 50 with 10 years of Credited Service. Benefit: The Normal Retirement Benefit is reduced by 3.0% for each year by which the Early Retirement date precedes age 55. City of Clearwater Employees’ Pension Plan F-4 Normal Form of Benefit: A monthly annuity is paid for the life of the participant. After the participant’s death, 100% of the Normal Retirement Benefit shall be paid as a survivor annuity to the spouse for 5 years. After 5 years, such survivor annuity is reduced to 50% of the original amount. The survivor annuity ceases upon death or remarriage of the spouse. 120 monthly payments are guaranteed for police officers and firefighters. Optional forms of benefits are available. COLA: For Hazardous Duty Police Officers 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is a five- year delay (after the retirement date) until this COLA is applied to benefits accrued after January 1, 2013. For Police Officers, the COLA with a 5-year delay (applicable to post-January 1, 2013 benefit accruals) only applies to Police Officers employed by the City on or after January 1, 2020. For Hazardous Duty Firefighters 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is no COLA for benefits accrued after January 1, 2013. L. Delayed Retirement Same as Normal Retirement taking into account Compensation earned and service credited until the date of actual retirement. M. Service Connected Disability Eligibility: Any participant who becomes totally and permanently disabled due to an illness or injury contracted in the line of duty and is deemed to be unable to perform useful and efficient service to the City is immediately eligible for a disability benefit. Benefit: For Non-Hazardous Duty Participant’s accrued Normal Retirement Benefit taking into account Compensation earned and service credited until the date of disability. Benefit is guaranteed to be no less than 42% of the participant’s AMC (66 2/3% of the participant’s AMC if grandfathered). Disability benefits, when combined with Worker’s Compensation benefits, cannot exceed and will be limited to 100% of the participant’s AMC on the date of disability. City of Clearwater Employees’ Pension Plan F-5 For Hazardous Duty Police Officers and Firefighters Participant’s accrued Normal Retirement Benefit taking into account Compensation earned and service credited until the date of disability. Benefit is guaranteed to be no less than 66 2/3% of the participant’s AMC. Disability benefits, when combined with Worker’s Compensation benefits, cannot exceed and will be limited to 100% of the participant’s AMC on the date of disability. Normal Form of Benefit: For Non-Hazardous Duty (Non-Grandfathered) A monthly annuity is paid for the life of the participant. For Hazardous Duty Police Officers and Firefighters (and Grandfathered Non- Hazardous Duty) A monthly annuity is paid for the life of the participant. After the participant’s death, 100% of the Normal Retirement Benefit shall be paid as a survivor annuity to the spouse for 5 years. After 5 years, such survivor annuity is reduced to 50% of the original amount. The survivor annuity ceases upon death or remarriage of the spouse. 120 monthly payments are guaranteed for police officers and firefighters. Optional forms of benefits are available. COLA: For Non-Hazardous Duty and Hazardous Duty Police Officers 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is a five- year delay (after the retirement date) until this COLA is applied to benefits accrued after January 1, 2013. For Police Officers, the COLA with a 5-year delay (applicable to post-January 1, 2013 benefit accruals) only applies to Police Officers employed by the City on or after January 1, 2020. For Hazardous Duty Firefighters 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is no COLA for benefits accrued after January 1, 2013. N. Non-Service Connected Disability Eligibility: Any participant who has 10 or more years of Credited Service and becomes totally and permanently disabled and is deemed to be unable to perform useful and efficient service to the City is immediately eligible for a disability benefit. City of Clearwater Employees’ Pension Plan F-6 Benefit: Participant’s accrued Normal Retirement Benefit taking into account Compensation earned and service credited until the date of disability. Disability benefits, when combined with Worker’s Compensation benefits, cannot exceed and will be limited to 100% of the participant’s AMC on the date of disability. Normal Form of Benefit: For Non-Hazardous Duty (Non-Grandfathered) A monthly annuity is paid for the life of the participant. For Hazardous Duty Police Officers and Firefighters (and Grandfathered Non- Hazardous Duty) A monthly annuity is paid for the life of the participant. After the participant’s death, 100% of the Normal Retirement Benefit shall be paid as a survivor annuity to the spouse for 5 years. After 5 years, such survivor annuity is reduced to 50% of the original amount. The survivor annuity ceases upon death or remarriage of the spouse. 120 monthly payments are guaranteed for police officers and firefighters. Optional forms of benefits are available. COLA: For Non-Hazardous Duty and Hazardous Duty Police Officers 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is a five- year delay (after the retirement date) until this COLA is applied to benefits accrued after January 1, 2013. For Police Officers, the COLA with a 5-year delay (applicable to post-January 1, 2013 benefit accruals) only applies to Police Officers employed by the City on or after January 1, 2020. For Hazardous Duty Firefighters 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is no COLA for benefits accrued after January 1, 2013. O. Death in the Line of Duty Eligibility: Any participant whose employment is terminated by reason of death in the line of duty is eligible for survivor benefits. Benefit: Beneficiary will be paid the participant’s accrued benefit based upon Credited Service and AMC as of the date of death. Benefit is guaranteed to be no less than 66 2/3% of the participant’s AMC. City of Clearwater Employees’ Pension Plan F-7 Normal Form of Benefit: 100% of the participant’s accrued benefit shall be paid as a survivor annuity to the spouse for 5 years. After 5 years, such survivor annuity is reduced to 50% of the original amount. The survivor annuity ceases upon death or remarriage of the spouse. 120 monthly payments are guaranteed for police officers and firefighters. COLA: For Non-Hazardous Duty and Hazardous Duty Police Officers 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is a five- year delay (after the retirement date) until this COLA is applied to benefits accrued after January 1, 2013. For Police Officers, the COLA with a 5-year delay (applicable to post-January 1, 2013 benefit accruals) only applies to Police Officers employed by the City on or after January 1, 2020. For Hazardous Duty Firefighters 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is no COLA for benefits accrued after January 1, 2013. In lieu of the benefits described above, the participant’s beneficiary can elect to receive a refund of participant’s accumulated contributions with interest. P. Other Pre-Retirement Death Eligibility: Any participant who dies with 10 or more years of Credited Service is eligible for survivor benefits. Benefit: Beneficiary will be paid the participant’s accrued benefit based upon Credited Service and AMC as of the date of death. Normal Form of Benefit: 100% of the participant’s accrued benefit shall be paid as a survivor annuity to the spouse for 5 years. After 5 years, such survivor annuity is reduced to 50% of the original amount. The survivor annuity ceases upon death or remarriage of the spouse. 120 monthly payments are guaranteed for police officers and firefighters. City of Clearwater Employees’ Pension Plan F-8 COLA: For Non-Hazardous Duty and Hazardous Duty Police Officers 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is a five- year delay (after the retirement date) until this COLA is applied to benefits accrued after January 1, 2013. For Police Officers, the COLA with a 5-year delay (applicable to post-January 1, 2013 benefit accruals) only applies to Police Officers employed by the City on or after January 1, 2020. For Hazardous Duty Firefighters 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is no COLA for benefits accrued after January 1, 2013. In lieu of the benefits described above, a participant’s beneficiary can elect to receive a refund of the participant’s accumulated contributions with interest. Accumulated contributions, plus interest, will be refunded for all participants with less than 10 years of Credited Service. Q. Post Retirement Death Benefit determined by the form of benefit elected upon retirement. R. Optional Forms In lieu of electing the Normal Form of benefit, the optional forms of benefits available to all retirees are a Single Life Annuity, a 10 Year Certain and Life Annuity, or the 50%, 66 2/3% (for police officers and firefighters), 75% or 100% Joint and Survivor options. Members may also elect a partial lump sum equal to 10%, 20%, or 30% of the value of the normal retirement benefit with the remaining monthly retirement benefit reduced accordingly. S. Vested Termination Eligibility: A participant has earned a non-forfeitable right to Plan benefits after the completion of 10 years of Credited Service provided employee contributions are not refunded. Vesting is determined in accordance with the following table. Years of Credited Service % of Normal Retirement Benefits Less Than 10 10 or more 0% 100% City of Clearwater Employees’ Pension Plan F-9 Benefit: The participant’s accrued Normal Retirement Benefit as of the date of termination. Benefit begins on the member’s Normal Retirement date. Alternatively, police officers and firefighters may elect to receive an actuarially reduced Early Retirement Benefit any time after age 50. Normal Form of Benefit: For Non-Hazardous Duty (Non-Grandfathered) A monthly annuity is paid for the life of the participant. For Hazardous Duty Police Officers and Firefighters (and Grandfathered Non- Hazardous Duty) A monthly annuity is paid for the life of the participant. After the participant’s death, 100% of the Normal Retirement Benefit shall be paid as a survivor annuity to the spouse for 5 years. After 5 years, such survivor annuity is reduced to 50% of the original amount. The survivor annuity ceases upon death or remarriage of the spouse. 120 monthly payments are guaranteed for police officers and firefighters. Optional forms of benefits are available. COLA: For Non-Hazardous Duty and Hazardous Duty Police Officers 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is a five- year delay (after the retirement date) until this COLA is applied to benefits accrued after January 1, 2013. For Police Officers, the COLA with a 5-year delay (applicable to post-January 1, 2013 benefit accruals) only applies to Police Officers employed by the City on or after January 1, 2020. For Hazardous Duty Firefighters 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is no COLA for benefits accrued after January 1, 2013. Plan participants with less than 10 years of Credited Service will receive a refund of their own accumulated contributions with interest. T. Refunds Eligibility: All participants terminating employment with less than 10 years of Credited Service are eligible. Optionally, vested members (those with 10 or more years of credited service) may elect a refund in lieu of the vested benefits otherwise due. City of Clearwater Employees’ Pension Plan F-10 Benefit: Refund of the member’s contributions with 5% simple interest paid in a single lump sum. U. Member Contributions 8% of Compensation for Non-Hazardous Duty participants. 10% of Compensation for Hazardous Duty participants (8% of Compensation if grandfathered). V. Employer Contributions Each plan year, the Employer must contribute a minimum of 7% of the Compensation of all employees participating in the plan, plus any additional amount determined by the actuary needed to fund the plan properly according to State laws. W. Cost of Living Increases For Non-Hazardous Duty and Hazardous Duty Police Officers 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is a five-year delay (after the retirement date) until this COLA is applied to benefits accrued after January 1, 2013. For Police Officers, the COLA with a 5- year delay (applicable to post-January 1, 2013 benefit accruals) only applies to Police Officers employed by the City on or after January 1, 2020. For Hazardous Duty Firefighters 1.5% annually commencing on each April 1 for all retirees and beneficiaries who have received at least 6 monthly benefit payments. For non-grandfathered members (not eligible for normal retirement on January 1, 2013), there is no COLA for benefits accrued after January 1, 2013. X. 13th Check Not Applicable Y. Deferred Retirement Option Plan Not Applicable Z. Other Ancillary Benefits There are no ancillary retirement type benefits not required by statutes but which might be deemed a City of Clearwater Employees’ Pension Plan liability if continued beyond the availability of funding by the current funding source. City of Clearwater Employees’ Pension Plan F-11 AA. Changes from Previous Valuation None. APPENDIX E   ARTICLES OF INCORPORATION          City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  E‐1          APPENDIX F   SAMPLE LIST OF FIRM–WIDE PUBLIC PENSION CLIENTS                City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  F‐1  Alaska  Alaska Retirement Management Board (auditing  actuary)  Alabama  Northeast Alabama Regional Medical Center  Arkansas  Arkansas Judicial Retirement System  Arkansas Local Police and Fire Retirement System  Arkansas Public Employees Retirement System  Arkansas State Police Retirement System  Arkansas Teacher Retirement System  City of Conway  Texarkana Public Employees Retirement System  Arizona  Arizona State Retirement System  Arizona Board of Regents  Gila River Indian Community  City of Phoenix Employees Retirement System  Tucson Arizona Supplemental Retirement System  Colorado  Adams County Retirement Board  Arapahoe County  Center Fire Protection District  Chaffee County Fire Protection District  City of Englewood  Colorado Fire and Police Pension Association (FPPA)  Craig Rural Fire Protection District  Delta County Fire Protection District #3  Denver Board of Water Commissioners  Denver Employees Retirement Plan  El Paso County Retirement System  Fairmount Fire Protection District  Fort Lupton Fire Protection District  Jefferson County School District No..R1 Retirement  System  Longmont  Rapid Transit District of Denver  RTD/ATU Local 1001  Florida  Alachua County School District  Atlantic Beach Florida General Employees'  Retirement System  Atlantic Beach Police Officers' Retirement System  Bal Harbour Village General Employees' Pension Plan  Bay Medical Center  Boynton Beach Municipal Firefighters Retirement  Fund  Boynton Beach Municipal Police Officers' Retirement  Fund  Boynton Beach Pension Plan for General Employees  Bradenton Police Officers' Retirement Plan  City of Arcadia  City of Fernandina Beach  City of Fort Walton  City of Lake Worth  City of Miami  City of Miami Parking Authority  City of Oldsmar  City of Tallahassee  Clearwater Employees’ Pension Plan  Cooper City General Employees Retirement Plan  Cooper City Officers Retirement Plan  Cooper City Police Retirement Plan  Coral Gables Retirement System  Coral Springs General Employees' Retirement System  Dania Beach General Employees' Retirement Plan  Dania Beach Police & Firefighters' Retirement System  Deerfield Beach Non‐Uniformed Employees'  Retirement Plan  DeLand General Employees' Retirement Plan  DeLand Municipal Police Officers' Retirement Plan  Delray Beach General Employees' Retirement Plan  Eustis Police Officers' Retirement System  Florida City Elected Officials Retirement Plan  Fort Lauderdale General Employees Retirement  System  Fort Pierce Police Officers Retirement Fund  Fort Pierce Retirement and Benefit System  Hialeah Elected Officers Retirement System  Hialeah Gardens Police Pension Trust Fund  Hollywood Employees Retirement System  Homestead Elected Official Retirement System (Old  Plan)  Homestead Firefighters' Retirement System  Homestead General Employees' Retirement System  Homestead New Elected Officials and Sr.  Management Ret. System  Homestead Police Officers' Pension Plan  Jacksonville Police & Fire Pension Fund  Jacksonville Beach Firefighters' Retirement System  Jacksonville Beach General Employees' Retirement  System  Jacksonville Beach Police Officers' Retirement System  Jupiter Island Retirement Plan  Key Biscayne Police & Firefighters Retirement Plan  Key West Employees' Retirement Plan  Key West Housing Authority Employees' Retirement  System    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  F‐2  Key West Utility Board General Employees  Retirement System  Kissimmee General Employees' Retirement Plan  Lake Mary Firefighters Pension Plan  Lake Worth Firefighters Retirement System  Lake Worth General Employees' Retirement System  Lake Worth Police Officers' Pension Systems  Lakeland Employees Retirement System  Lantana Firefighters' Pension Fund  Lantana Police Relief & Pension Fund  Largo Municipal Police Officers' & Firefighters'  Retirement Plan  Lauderdale by Sea Volunteer Firefighters' Retirement  Plan  Lauderhill General Employees Retirement System  Longboat Key  Marco Island Firefighters' Pension Plan  Martin County Sheriff  Miami Beach Fire & Police Retirement Plan  Miami Beach Employees' Retirement Plan  Miami Parking Authority  Miami Shores Village General Employees' Pension  Plan  Miami Shores Village Police Officers' Retirement  System  Miami Springs Employees' Retirement System  Miami Springs Police & Firefighters' Retirement  System  Miramar General Employees Retirement System  Miramar Management Retirement Plan  Mount Dora Firefighters' Pension and Retirement  System  Mount Dora General Employees' Pension Plan  Mount Dora Police Officers' Pension & Retirement  System  New Port Richey Police Officers' Retirement System  North Miami Clair T. Singerman Employees'  Retirement System  North Miami Police Pension Plan  North Palm Beach General Employees' Retirement  Fund  Office of Program Policy Analysis and Government  Accountability  Okeechobee General Employees' Retirement Plan  Okeechobee Municipal Firefighters' Pension Fund  Okeechobee Municipal Police Officers' Retirement  System  Okeechobee Utility Authority Retirement System  Orange Park General Employees' Pension Plan  Orlando General Employees' Pension Fund  Orlando Utilities Commission Pension Plan  Palm Beach County Fire Employee Benefits Fund  Palm Beach County Firefighters' Retirement  Insurance Fund  Palm Beach Gardens Police Officers' Pension Fund  Palm Springs Village Hazardous Employees Pension  Plan  Pembroke Pines Fire & Police Pension Fund  Pinellas Park Police Officers' Pension Fund  Plantation General Employees Retirement System  Plantation Volunteers' Firefighters Retirement  System  Riviera Beach General Employees' Retirement System  Riviera Beach Municipal Firefighters' Retirement  System  Riviera Beach Police Pension Fund  Sarasota Firefighters' Health Insurance Trust Fund  Sarasota Firefighters' Pension Fund  Sarasota General Employees Pension Fund  Sarasota Police Officers Pension Fund  Sebring Police Officers' Retirement Fund  South Miami Pension Plan  St. Lucie County Fire Control District Pension Fund  St. Petersburg College  Starke Firefighters' Retirement System  Starke General Employees' Retirement System  Starke Police Officers' Retirement System  Sunrise General Employees' Retirement Plan  Sunrise Police Officers' Retirement Plan  Sweetwater Elected Officers  Sweetwater Police Officers Retirement Plan  Tallahassee Employees' Retirement System  Tamarac Police Pension Plan Trust Fund  Tavares Firefighters' Pension Board of Trustees  Tavares Police Officers' Pension Plan  Tequesta General Employees' Pension Trust Fund  Tequesta Public Safety Officers Pension Trust Fund  Town of Palm Beach Firefighters Retirement System  Town of Palm Beach General Employees Retirement  System  Town of Palm Beach Police Officers Retirement  System  Town of Surfside Employees' Retirement Plan  West Palm Beach Firefighters Benefit Fund  West Palm Beach Police Pension Fund  West Palm Beach Restated Employees DB Retirement  System  Wilton Manors Pension Plan for General Employees &  Police  Wilton Manors Volunteer Firefighters' Retirement  System  Winter Park Firefighters' Retirement System  Winter Park Police Officers' Retirement System  Winter Springs Police and General Retirement System  Hawaii    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  F‐3  State of Hawaii Employees' Retirement System  Illinois  General Assembly Retirement System of Illinois  Illinois Department of Insurance  Illinois Municipal Retirement Fund  Judges’ Retirement System of Illinois  Laborers’ and Retirement Board Employees’ Annuity  and Benefit  Fund of Chicago  Chicago Policemen’s Annuity & Benefit Fund  Chicago Regional Transportation Authority  Public School Teachers’ Pension and Retirement Fund  of Chicago  Regional Transportation Authority Pension Plan  State Employees Retirement System of Illinois  Kentucky  Kentucky Retirement Systems  Louisiana  Louisiana Legislative Auditor  Maryland  Maryland State Retirement and Pension System  Montgomery County Employees’ Retirement System  Montgomery County Public Schools  Prince George’s County  Michigan  Alpena Employees' Retirement System  Allen Park Retirement System  Ann Arbor Employees Retirement System  Battle Creek Police and Fire Retirement System‐Act  345  Bay County Employees Retirement System  Benton Township Policemen and Firemen Retirement  System  Berkley Public Safety Retirement System‐Act 345  Berrien County Employees Retirement Plan  Bessemer Police & Fire Retirement System  Birmingham Employees Retirement System  Center Line Police and Fire Pension System  Central County Transportation Authority  Charter Township of Meridian  Charter Township of West Bloomfield Employees  Retirement Plan  City of Big Rapids Police & Fire Retirement System  Cobo Hall Authority  Dearborn Chapter 21 Retirement System  Dearborn Chapter 22 Retirement System  Dearborn Chapter 23 Retirement System  Dearborn Heights Police & Fire Retirement System  Detroit General Retirement System  Detroit Police and Fire Retirement System  Ferndale Employee Retirement System  Ferndale Police and Fire Retirement System  Gibraltar Public Safety Officers Retirement System ‐  Act 345  Gogebic County Employees Retirement System  Grand Rapids General Retirement System  Grand Rapids Police and Fire Retirement System  Harrison Township Firemen's Pension Fund  Harrison Township General Employees Retirement  System  Iron Mountain Policemen and Firemen Retirement  System  Ishpeming Policemen and Firemen Retirement  System‐Act 345  Jackson Act 345 Retirement System  Jackson County Employees Retirement System  Jackson Employees Retirement System  Jackson Policemen's and Firemen's Pension Fund  Kalamazoo County Employees' Retirement System  Kalamazoo Employees Retirement System  Kent County Employees Retirement Plan and Trust  Kent Library District Employees' Retirement Plan  Kingsford Policemen and Firemen Retirement System  Lincoln Park Police Officers and Firefighters  Retirement System  Madison Heights Policemen and Firemen Retirement  System  Marquette Policemen and Firemen Retirement  System  Melvindale Policemen and Firemen Retirement  System  Menominee Policemen and Firemen Retirement  System  Michigan Public School Employees Retirement  System  Michigan State Employee Retirement System  Michigan Judges’ Retirement System  Michigan State Legislative Retirement System  Michigan State Police Retirement System  Michigan National Guard Retirement System  Midland ‐ Police and Fire Retirement System  Midland County Employees Retirement System  Midland County Retirement System Act 345  Monroe Employees Retirement System  Mount Clemens Employees Retirement System  Mt. Pleasant Fire and Police Pension System  Municipal Employee Retirement System of Michigan  Niles Township Police and Fire Department  Retirement Plan  Oakland County Employees Retirement System  Pontiac General Retirement System  Riverview Retirement System    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  F‐4  Road Commission for Oakland County Retirement  System  Royal Oak Retirement System  Sanilac County Employees Retirement System  Sault Ste. Marie Firemen and Policemen Retirement  System  Southfield Employees Retirement System  Southfield Fire and Police Retirement System  Southeast Macomb Sanitary District  Southgate Policemen and Firemen Retirement  System  St. Clair Shores Employees Retirement System  St. Clair Shores Police and Fire Retirement System  St. Joseph Employees Retirement Fund  Sterling Heights Employees Retirement System  Sterling Heights Police and Fire Retirement System  Sturgis Employees Retirement System  Traverse City ‐ Act 345 Police and Fire Retirement  System  Trenton ‐ Fire and Police Retirement System  Troy Employees Retirement System  Troy Incentive Plan for Volunteer Firefighters  Wayne County Employees' Retirement System  Wayne County Employees' Retirement System‐Circuit  Court   Commissioners Bailiffs Division ‐  Wyandotte Employees Retirement System  Wyoming Employees Retirement System  Minnesota  Appleton Firefighters’ Relief  Minnesota State Retirement System  Public Employees Retirement Association of  Minnesota  St. Paul Teachers' Retirement Fund Association  White Bear Lake Fire Department Relief Association  Pension Plan  Missouri  Columbia Police and Firemen's Retirement Fund  Joplin Policemen and Firemen Retirement Fund  Missouri DOT and Highway Patrol Employees’  Retirement System  Missouri Local Government Employees Retirement  System  Firemen’s Retirement System of St. Louis  Montana  Belgrade Fire Department Relief Association Pension  Fund  North Dakota  North Dakota Public Employee Retirement System  New Hampshire  Manchester Employees' Contributory Retirement  System  New Hampshire Local Government Center Defined  Benefit   Pension Plan  New Hampshire Retirement System  New Mexico  New Mexico Educational Retirement Board  Ohio  Ohio Public Employees Retirement System  Oklahoma  Metropolitan Tulsa Transit Authority  Oklahoma City Employee Retirement System  Oklahoma Teachers' Retirement System  Tulsa Municipal Employees' Retirement Plan Board of  Trustees  Rhode Island  Employees' Retirement System of Rhode Island  Warwick  South Carolina  South Carolina Retirement Systems  South Dakota  Sioux Falls Employee's Retirement System  Sioux Falls Firefighters' Pension Fund  Texas  Beaumont Firemen's Relief and Retirement Fund  City of Arlington  City of Austin Employees Retirement System  City of Austin Police Retirement System  City of Fort Worth Employees' Retirement Fund  City of Irving  City of Plano  Dallas / Fort Worth International Airport Board  Dallas County Utility and Reclamation District  Dallas Employee Retirement System  Houston Municipal Employees' Pension System  Houston Police Officers' Pension System  Killeen Firefighter’s Retirement Fund  Teachers Retirement System of Texas  Texas Employee Retirement System  Texas Municipal Retirement System  Utah  Utah Retirement Systems  Virginia  Fairfax Retirement Plans  Virginia Joint Audit & Review Commission    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  F‐5  Washington  Port of Seattle  Wisconsin  Milwaukee Public Schools Supplemental Pension  Plans  Wisconsin Retirement System  West Virginia  Employees' Retirement and Benefit Fund of the City  of Morgantown  Wyoming  Cheyenne Regional Medical Center  Wyoming Retirement System        APPENDIX G  SAMPLE LIST OF FIRM–WIDE OPEB CLIENTS          City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  G‐1  AK  Alaska Retirement Management Board (annual  auditing actuary)  AL  Mobile Water and Sewer System  AZ  Arizona Department of Administration  City of Phoenix  CA  California State Controller’s Office  City of Temecula  Novato Fire Protection District  Los Angeles Water and Power  Padre Dam  Rincon Del Diablo Metro Water District  CO  Adams County Board of Commissioners  City of Englewood  City of Federal Heights  Colorado Mountain College  FL  Alachua County School District  Atlantic Beach Police Department  Bal Harbour Village  Barefoot Bay Recreation District  Biscayne Park  Boynton Beach Fire & Rescue  Bradenton City  Brevard County Clerk  Brevard County School District  Broward College  Broward County  Broward County Professional Paramedics and Fire  Fighters Benefit Fund  Broward County Public Schools  Broward County Sheriff's Office  Broward Metropolitan Planning Organization  Calhoun County School District  Charlotte County  Charlotte County & Sheriff's Office  Charlotte County School District  Children's Trust  Citrus County Schools  City of Arcadia  City of Atlantic Beach  City of Boynton Beach  City of Clearwater  City of Cocoa  City of Coral Gables  City of Dade City  City of Delray Beach Fire Rescue Department  City of Edgewater  City of Fort Pierce  City of Fort Walton Beach  City of Greenacres  City of Hialeah  City of Jacksonville Beach  City of Kissimmee  City of Lake Worth  City of Maitland  City of Margate  City of Miami  City of Miami Springs  City of Miramar  City of New Port Richey  City of New Smyrna Beach Utilities Commission  City of North Miami  City of Ocala  City of Okeechobee  City of Orange Park   City of Orlando  City of Palm Beach Gardens  City of Plant City  City of Plantation  City of Port Orange  City of Sarasota  City of Seminole  City of South Miami  City of St. Augustine  City of Starke  City of Sunrise  City of Tallahassee  City of Vero Beach  City of West Park  City of Winter Garden  Coral Springs Metropolitan District  DeSoto County School District    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  G‐2  Dixie District School Board  Emerald Coast Utility Authority  Escambia County  Flagler County Board of County Commissioners  Florida Keys Aqueduct Authority  Florida Virtual School  Fort Pierce Utilities Authority  Franklin County Schools  Gadsen County School District  Gulf County School District  Hamilton Co  Hardee County School District  Hendry County School District  Hernando County  Highlands County School District  Indian River County  Indian River County Schools  Jackson County School District  JEA  Jefferson County School District  Jupiter Island  Key West Utility Board  Lake County Board of County Commissioners  Lake County School District  Lee County Schools  Lee County Sheriff's Office  Leon County Schools  Levy County Schools  Liberty County School District  Loxacatchee Groves Water Control District  Madison County School District  Manatee County School District  Marion County  Marion County Public Schools  Martin County  Martin County School District  Martin County Sheriff  Miami Fraternal Order of Police  Miami Gardens  Miami Shores Village  Nassau County  Nassau County School District  Okaloosa County  Okaloosa County Sheriff’s Office  Okeechobee County School District  Okeechobee Soil and Water Conservation District  Orange County Library System  Orange County School District  Orlando Utilities Commission  Osceola County School District  Palm Beach County  Palm Beach County Firefighters' Employee  Insurance Fund  Panhandle Area Educational Consortium  Pasco County  Pasco County School District  Pembroke Park Town  Pinellas County   Pinellas County Sheriff's Office  Polk County  Polk County Schools  Pompano Beach Firefighters Local 1549 VEBA  Pompano Beach Firefighters Local 1549 VEBA Trust  Fund  Riviera Beach Firefighters  Sarasota County Fire Department  Sarasota County Sheriff’s Office  School District of Columbia Schools  Seacoast Utility Authority  Seminole County  South Central Regional Wastewater Treatment &  Disposal Board   South Florida Water Management District  St. Johns County   St. Johns County School District  St. Lucie County  St. Lucie County Fire Control District  St. Lucie County Schools  St. Lucie Sheriff  Sumter County District Schools  Suwannee County School Board  Suwanee River Water Management District  Taylor County School District  TOHO Water Authority  Town of Highland Beach  Town of Surfside  Union County School District    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  G‐3  Venice Firefighters VEBA Trust Fund  Village of El Portal  Village of North Palm Beach  Village of Tequesta  Visit Florida  Volusia Circuit County Clerk  Wakulla County District Schools  Walton County Schools  Washington County School District  West Palm Beach Fire Rescue  West Palm Beach Firefighters Benefit Fund  West Palm Beach Police Officers' Retiree Health  Trust  Winter Park  GA  Athens Housing Authority  City of Atlanta  City Alpharetta  City of Macon  HI  Hawaii Employer‐Union Health Benefits Trust Fund  University of Hawaii  IL  Adlai Stevenson High School District 125  Aptakisic‐Tripp Community Consolidated School  District  Chicago Teachers Pension Fund  Community Colleges Insurance Program  Glencoe School District 35  Illinois State Employees' Insurance Program  Illinois Teachers' Retirement Insurance Program  Macomb Community Unit School District 185  METRA  Special Education District of Lake County (SEDOL)  Zion Benton High School  IN  Ball State University  KY  Kentucky Retirement Systems  University of Louisville  MI  36th District Court  Alger County  City of Ann Arbor Employees Retirement System   Barry County Retiree Health Care Plan  Bay County  Benton Charter Township  Central County Transportation Authority  Chesterfield Township  City of Alpena  City of Battle Creek  City of Berkley  City of Birmingham  City of Brighton  City of Center Line  City of Dearborn  City of Detroit General RHC Trust  City of Detroit Police and Fire RHC Trust  City of Ecorse  City of Essexville  City of Farmington  City of Farmington Hills  City of Fenton  City of Ferndale  City of Fraser  City of Grand Rapids  City of Grosse Pointe Park  City of Hamtramck  City of Harbor Springs  City of Hazel Park   City of Iron Mountain  City of Jackson  City of Madison Heights  City of Melvindale  City of Midland  City of Monroe  City of Mt. Clemens  City of Novi  City of Riverview  City of Romulus  City of Royal Oak  City of Southfield VEBA  City of Southgate  City of St. Clair Shores   City of St. Joseph   City of Sterling Heights  City of Sturgis    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  G‐4  City of Traverse City  City of Trenton  City of Troy   City of Wayne   City of Wixom  City of Wyandotte  City of Wyoming  Clinton County  Clare County  Detroit Public Library  Detroit Public Schools  Eaton County   Flint Mass Transportation Authority  Gogebic County  Grosse Isle Township  Hurley Medical Center  Huron Clinton Metro Authority  Huron County  Ingham County  Ingham County Medical Care Facility  Iron County Medical Care Facility  Jackson County  Jackson Housing Commission  Kalamazoo County  Kalamazoo Employees Retirement System  Kent County  Luce County Road Commission  Macomb County   Macomb County Department of Roads  Manistee County  Marquette County Road Commission  Mason County  Michigan AFSCME Council 25  Michigan Legislative Retirement System  Michigan Municipal Risk Management Authority  Michigan ORS (Various Systems Covered)  Midland County  Monroe County  Monroe County Library System  Monroe County Road Commission  Mundy Township Police Authority  Oakland County  Port Huron Housing Commission  Portage Police Officers Association  Redford Township  Road Commission for Oakland County   Saginaw County Community Mental Health  Authority  Saginaw Housing Commission  Saginaw Transit Authority Regional Services  Scio Township  St. Clair County Community Mental Health  Authority  Suburban Mobility Authority for Regional  Transportation (SMART)  Southeast Macomb Sanitary District  Traverse City Fire and Police Retirement System  Washtenaw County Road Commission  Wayne County Airport Authority  West Bloomfield Charter Township  WTUA  Ypsilanti Comm Utilities Authority  MD  Montgomery County Public Schools  MN  City of White Bear Lake  MO  Jefferson City  Kansas City  NH  Manchester Employees' Contributory Retirement  System  New Hampshire Retirement System  OH  Ohio Public Employees Retirement System  OK  Fraternal Order of Police Tulsa Lodge 93 Health &  Welfare Trust  Tulsa Firefighters  RI  Central Falls School District  Rhode Island Board of Governors  Rhode Island Housing Authority  State of Rhode Island  SC  Aiken County  Bamberg County  Beaufort Jasper Water & Sewer Authority    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  G‐5  City of Manning  Charleston County  Charleston County Parks & Recreation Commission   Chesterfield County  Clarendon County   Colleton County  Darlington County  Dillon County  Fairfield County  Florence County  Gaffney Board of Public Works  Hampton County  Hilton Head Island  Horry County  Horry County Solid Waste Authority, Inc.  Jasper County  Lancaster County  Laurens County  Marion County  Marion County Library  Marlboro County  Oconee County  Orangeburg County Disabilities and Special Needs  Board  Pickens County  Renewable Water Resources  Saluda County  Santee Cooper  South Carolina Research Authority  South Carolina State Port Authority  Spartanburg County  Spartanburg County Public Libraries  State of South Carolina   Sumter County  Tri County Commission on Alcohol and Drug Abuse  SD  City of Sioux Falls  TX  Austin Community College District  City of Alvin  City of Addison  City of Arlington  City of Bay City  City of Baytown  City of Bedford  City of Bellaire  City of Benbrook  City of Big Spring  City of Boerne  City of Brownsville  City of Bryan  City of Burnet  City of Carrollton  City of Cedar Hill  City of Cedar Park  City of Cleburne  City of Conroe  City of Converse  City of Coppell  City of Copperas Cove  City of Deer Park  City of Denton  City of Duncanville  City of Farmers Branch  City of Flower Mound  City of Fort Stockton  City of Freeport  City of Friendswood  City of Galveston  City of Georgetown  City of Granbury                               City of Grapevine  City of Greenville  City of Haltom City  City of Harlingen  City of Harlingen Waterworks System  City of Hempstead  City of Highland Park  City of Humble  City of Hurst  City of Irving  City of Jacksonville  City of Keller  City of Kilgore  City of La Marque  City of La Porte    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  G‐6  City of Lampasas  City of Lancaster  City of League City  City of Lubbock  City of Marble Falls  City of McKinney  City of Midlothian  City of Missouri City  City of Monahans  City of Nacogdoches  City of Nederland  City of North Richland Hills  City of Palestine  City of Paris  City of Pasadena  City of Pflugerville   City of Plainview  City of Port Arthur  City of Richardson  City of Roanoke  City of Rockport  City of Rowlett  City of San Marcos  City of Schertz  City of Selma  City of Sherman  City of Silsbee  City of Southlake  City of Sugarland  City of Temple  City of Tomball       City of Tyler  City of University Park  City of Victoria  City of Waco  City of Watauga  City of Weatherford  City of Webster  City of West University Place  City of Wichita Falls  Austin County Community College  Bastrop County  Brazos County  Cherokee County  Comal County  Dallas / Fort Worth International Airport Board  Crosby Municipal Utility District  Ector County  El Paso County  El Paso County Water Utilities  Ellis County  Galveston County  Gonzales County  Grayson County  Guadalupe County  Harris County Appraisal District  Harrison County  Hunt County  Jasper County  Johnson County  Kaufman County  Kerr County  Lamar County  Limestone County  Lubbock County  McLennan County  Montgomery Central Appraisal District  Navarro County  Parker County  Permian Basin Community Centers  Polk County  Polk County Fresh Water Supply District No. 2  Randall County  Sabine River Authority  San Antonio VIA Metropolitan Transit  Tarrant Regional Water District  Taylor County  Town of Addison  Town of Flower Mound  Town of Highland Park  TX Teacher Retirement System Care  Tyler County  Victoria County  Wharton County        APPENDIX H  FLORIDA PENSION CLIENT LIST                    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  H‐1  Alachua County School District  Atlantic Beach Florida General Employees' Retirement  System  Atlantic Beach Police Officers' Retirement System  Bal Harbour Village General Employees' Pension Plan  Bay Medical Center  Boca Raton Executive Employees Retirement Plan  Boynton Beach Municipal Firefighters Retirement Fund  Boynton Beach Municipal Police Officers' Retirement  Fund  Boynton Beach Pension Plan for General Employees  Bradenton Police Officers' Retirement Plan  City of Arcadia  City of Fernandina Beach  City of Fort Walton  City of Lake Worth  City of Miami  City of Miami Parking Authority  City of Oldsmar  City of Tallahassee  Clearwater Employees’ Pension Plan  Cooper City General Employees Retirement Plan  Cooper City Fire Retirement Plan  Cooper City Officers Retirement Plan  Cooper City Police Retirement Plan  Coral Gables Retirement System  Coral Springs General Employees' Retirement System  Dania Beach General Employees' Retirement Plan  Dania Beach Police & Firefighters' Retirement System  Deerfield Beach Non‐Uniformed Employees' Retirement  Plan  DeLand General Employees' Retirement Plan  DeLand Municipal Police Officers' Retirement Plan  Delray Beach General Employees' Retirement Plan  Eustis Police Officers' Retirement System  Florida City Elected Officials Retirement Plan  Fort Lauderdale General Employees Retirement System  Fort Pierce Police Officers Retirement Fund  Fort Pierce Retirement and Benefit System  Hialeah Elected Officers Retirement System  Hialeah Gardens Police Pension Trust Fund  Hollywood Employees Retirement System  Homestead Elected Official Retirement System (Old Plan)  Homestead Firefighters' Retirement System  Homestead General Employees' Retirement System  Homestead New Elected Officials and Sr. Management  Ret. System  Homestead Police Officers' Pension Plan  Jacksonville Police & Fire Pension Fund  Jacksonville Beach Firefighters' Retirement System  Jacksonville Beach General Employees' Retirement  System  Jacksonville Beach Police Officers' Retirement System  Jupiter Island Retirement Plan  Key Biscayne Police & Firefighters Retirement Plan  Key West Employees' Retirement Plan  Key West Housing Authority Employees' Retirement  System  Key West Utility Board General Employees Retirement  System  Kissimmee General Employees' Retirement Plan  Lake Mary Firefighters Pension Plan  Lake Worth Firefighters Retirement System  Lake Worth General Employees' Retirement System  Lake Worth Police Officers' Pension Systems  Lakeland Employees Retirement System  Lantana Firefighters' Pension Fund  Lantana Police Relief & Pension Fund  Largo Municipal Police Officers' & Firefighters'  Retirement Plan  Lauderdale by Sea Volunteer Firefighters' Retirement  Plan  Lauderhill General Employees Retirement System  Longboat Key  Marco Island Firefighters' Pension Plan  Martin County Sheriff  Miami Beach Fire & Police Retirement Plan  Miami Beach Employees' Retirement Plan  Miami Parking Authority    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  H‐2  Miami Shores Village General Employees' Pension Plan  Miami Shores Village Police Officers' Retirement System  Miami Springs Employees' Retirement System  Miami Springs Police & Firefighters' Retirement System  Miramar General Employees Retirement System  Miramar Management Retirement Plan  Mount Dora Firefighters' Pension and Retirement System  Mount Dora General Employees' Pension Plan  Mount Dora Police Officers' Pension & Retirement  System  New Port Richey Police Officers' Retirement System  North Miami Clair T. Singerman Employees' Retirement  System  North Miami Police Pension Plan  North Palm Beach General Employees' Retirement Fund  Office of Program Policy Analysis and Government  Accountability  Okeechobee General Employees' Retirement Plan  Okeechobee Municipal Firefighters' Pension Fund  Okeechobee Municipal Police Officers' Retirement  System  Okeechobee Utility Authority Retirement System  Orange Park General Employees' Pension Plan  Orlando General Employees' Pension Fund  Orlando Utilities Commission Pension Plan  Palm Beach County Fire Employee Benefits Fund  Palm Beach County Firefighters' Retirement Insurance  Fund  Palm Beach Gardens Police Officers' Pension Fund  Palm Springs Village Hazardous Employees Pension Plan  Pembroke Pines Fire & Police Pension Fund  Pinellas Park Police Officers' Pension Fund  Plantation General Employees Retirement System  Plantation Volunteers' Firefighters Retirement System  Riviera Beach General Employees' Retirement System  Riviera Beach Municipal Firefighters' Retirement System  Riviera Beach Police Pension Fund  Sarasota Firefighters' Health Insurance Trust Fund  Sarasota Firefighters' Pension Fund  Sarasota General Employees Pension Fund  Sarasota Police Officers Pension Fund  Sebring Police Officers' Retirement Fund  South Miami Pension Plan  St. Lucie County Fire Control District Pension Fund  St. Petersburg College  Starke Firefighters' Retirement System  Starke General Employees' Retirement System  Starke Police Officers' Retirement System  Sunrise General Employees' Retirement Plan  Sunrise Police Officers' Retirement Plan  Sweetwater Elected Officers  Sweetwater Police Officers Retirement Plan  Tallahassee Pension Plans for General Employees, Police  Officers and Firefighters  Tamarac Police Pension Plan Trust Fund  Tequesta General Employees' Pension Trust Fund  Tequesta Public Safety Officers Pension Trust Fund  Town of Palm Beach Firefighters Retirement System  Town of Palm Beach General Employees Retirement  System  Town of Palm Beach Police Officers Retirement System  Town of Surfside Employees' Retirement Plan  West Palm Beach Firefighters Benefit Fund  West Palm Beach Police Pension Fund  West Palm Beach Restated Employees DB Retirement  System  Wilton Manors Pension Plan for General Employees &  Police  Wilton Manors Volunteer Firefighters' Retirement  System  Winter Park Firefighters' Retirement System  Winter Park Police Officers' Retirement System  Winter Springs General & Police Retirement System              APPENDIX I  FLORIDA OPEB CLIENT LIST                    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  I‐1  Alachua County Schools  City of Arcadia  City of Atlantic Beach  Bal Harbour Village  Barefoot Bay Recreation District  City of Biscayne Park  City of Boynton Beach  Boynton Beach Fire and Rescue  City of Bradenton  Brevard County School Board  Broward County Professional Firefighters and  Paramedics  Broward County Public Schools  Broward County Sheriff's Office  Broward Metropolitan Planning Organization  Calhoun County School District  Charlotte County & Sheriff’s Office  Charlotte County Schools  Children’s Trust  City of Clearwater  City of Cocoa  Columbia School District  City of Coral Gables  City of Dade City  City of Delray Beach Police, Fire Fighters &  Paramedics  City of Deltona  DeSoto County School District  Village of El Portal  Escambia County  Flagler County  Florida City  Florida Keys Aqueduct Authority  Florida Virtual Schools  City of Fort Myers  Franklin County Schools  Gadsden County Schools  City of Greenacres  Gulf County School District  Hamilton County Schools  Hardee County Schools  Hendry County School District  Hernando County  City of Hialeah  City of Highland Beach  Highlands Schools  Holmes County Schools  Indian River School District  Town of Indian River Shores  Jackson County School District  City of Jacksonville Beach  JEA (CU of City of Jacksonville)  Jefferson County School District  Village of Key Biscayne  Key West Utility Board  City of Kissimmee   Lake County Schools  City of Lake Worth  Lee County School District  Lee County Sheriff’s Office  Leon County Schools  Levy County Schools  Liberty County School District  State of Louisiana (audit support)  Louisiana State University (audit support)  Loxahatchee Groves Water Control District  Madison County School District  City of Margate  Marion County & Sheriff’s Office  Marion County Public Schools  Martin County  Martin County School District  Martin County Sheriff’s Office  Miami Parking Authority  Miami Shores Village    City of Clearwater  Proposal for Actuarial and Related Services  RFP #47‐21  I‐2  City of Miami Springs  City of Miramar  City of Naples  Nassau County & Sheriff’s Office  Nassau County School District  City of New Port Richey  Okaloosa County   Okaloosa County Sheriff’s Office  City of Okeechobee  Okeechobee County School District  City of Oldsmar  Orange County Library System  Town of Orange Park  Orlando Utilities Commission  Osceola County Schools  Town of Palm Beach  Palm Beach County Fire Rescue  Panhandle Area Educational Consortium  Pasco County  Pasco County School District  Pinellas County  Pinellas County Sheriff’s Office  City of Plant City  City of Plantation  Polk County School District  City of Port Orange  City of Sarasota  South Florida Water Management District  City of South Miami  City of Starke  City of St. Augustine Beach  St. Johns County  St. Johns County School District  St. Lucie County   St. Lucie County Fire District  St. Lucie County Schools  St. Lucie County Sheriff’s Office  City of Sunrise  Town of Surfside  Suwannee County District Schools  City of Tallahassee  Taylor County School District  Village of Tequesta  TOHO Water Authority  City of Vero Beach  Virgin Islands Water and Power Authority  Visit Florida  Volusia County  Wakulla County District Schools  Walton County School District  Washington County School District  City of West Park  City of Winter Park  City of Winter Springs        1 SERVICES AGREEMENT BETWEEN CITY OF CLEARWATER AND GRS RFP #47-21 PENSION ACTUARIAL SERVICES THIS AGREEMENT, entered into this _____ day of December 2021, by and between the CITY OF CLEARWATER, a Florida municipal corporation (“City“) P.O. Box 4748, Clearwater, Florida 33758 and Gabriel, Roeder, Smith & Company, a Florida corporation (“GRS”) One East Broward Blvd, Suite 505, Ft Lauderdale, Florida 33301. WHEREAS, the City administers a defined benefit pension plan that requires annual actuarial services for both funding and financial reporting purposes, in compliance with Governmental Accounting Standards Board (GASB) and State of Florida reporting requirements; and the City requires related services to include the preparation of annual employee benefit statements and other actuarial services and advice on a project or fee per hour basis as needed. WHEREAS, the City selected GRS based on Request for Proposal ("RFP") #47- 21 and responses by GRS to RFP #47-21. WHEREAS, GRS agrees to provide such required actuarial and related services. NOW THEREFORE, in consideration of the mutual promises contained herein and other good and valuable consideration, the Parties agree that the above terms, recitals, and representations are true and accurate and are incorporated herein by reference, and the Parties further agree as follows: 1. SCOPE OF PROJECT. GRS agrees to provide actuarial and related services under the terms and conditions set forth in RFP #47-21, Actuarial and Related Services, and responses by GRS dated September 13, 2021, and further described in attached Exhibit A – Scope of Work. 2 2. TIME OF PERFORMANCE. The initial Contract Term shall commence on January 1, 2022 and end on December 31, 2026. 3. COMPENSATION. The City will pay to GRS a not to exceed total amount of $284,950.00 as described in attached Exhibit B – Fee Schedule, inclusive of all reasonable and necessary direct expenses, if applicable. The City may, from time to time, require changes in the scope of the project of GRS to be performed hereunder. Such changes, including any increase or decrease in the amount of GRS compensation and changes in the terms of this Contract which are mutually agreed upon by and between City and GRS shall be effective when incorporated in written amendment to this Contract. 4. METHOD OF PAYMENT AND ANNUAL APPROPRIATIONS. GRS invoices shall be submitted to the City for approval for payment on a Net 30 basis. The City agrees to pay after approval under the terms of the Florida Prompt Payment Act F.S. 218.70. The City’s performance and obligation to pay under this Contract is contingent upon an annual appropriation of the City’s budget. 5. NOTICES AND CHANGES OF ADDRESS. Any notice required or permitted to be given by the provisions of this Contract shall be conclusively deemed to have been received by a party hereto on the date it is hand delivered to such party at the address indicated below (or at such other address as such party shall specify to the other party in writing), or if sent by registered or certified mail 3 (postage prepaid) on the fifth (5th) business day after the day on which such notice is mailed and properly addressed. Gabriel, Roeder, Smith & Co. City of Clearwater Peter Strong Jay Ravins Senior Consultant and Actuary Finance Director One East Broward Blvd, Suite 505 P.O. Box 4748 Ft. Lauderdale, FL 33301 Clearwater, Florida 33758 954.527.1616 727.562.4538 6. RFP #47-21, STANDARD TERMS AND CONDITIONS. All terms and conditions as set forth in RFP #47-21, Standard Terms and Conditions are incorporated by reference and attached hereto as Exhibit C. 7. INSURANCE REQUIREMENTS. Insurance Requirements are set forth in Exhibit D, which is incorporated by reference and attached hereto. 8. PROPRIETARY MATERIALS. Upon termination of this Contract, GRS shall transfer, assign, and make available to the City or its representatives all property and materials in GRS possession belonging to or paid for by the City. 9. INTERESTS OF PARTIES. GRS covenants that its officers, employees, and shareholders have no interest and shall not acquire any interest, direct or indirect, which would conflict in any manner or degree with the performance and/or provision of services required under the terms and conditions of this Contract. 4 10. CONFORMANCE WITH LAWS. GRS agrees to comply with all applicable federal, state and local laws during the life of this Contract. 11. ATTORNEY FEES. In the event that either party seeks to enforce this Contract through attorneys at law, then the parties agree that each party shall bear its own attorney fees and costs. 12. GOVERNING LAW AND VENUE. The laws of the State of Florida shall govern this Contract, and any action brought by either party shall lie in Pinellas County, Florida. 13. E-VERIFY. GRS and its Subcontractors shall register with and use the E-Verify system to verify the work authorization status of all newly hired employees. GRS will not enter into a contract with any Subcontractor unless each party to the contract registers with and uses the E-Verify system. Subcontractor must provide GRS with an affidavit stating that Subcontractor does not employ, contract with, or subcontract with an unauthorized alien. GRS shall maintain a copy of such affidavit. The City may terminate this Contract on the good faith belief that GRS or its Subcontractors knowingly violated Florida Statutes 448.09(1) or 448.095(2)(c). If this Agreement is terminated pursuant to Florida Statute 448.095(2)(c), GRS may not be awarded a public contract for at least 1 year after the date of which this Contract was terminated. GRS is liable for any additional costs incurred by the City as a result of the termination of this Agreement. See Section 448.095, Florida Statutes (2020). 5 IN WITNESS WHEREOF, the parties hereto have executed this Contract as of the date set forth above. Gabriel, Roeder, Smith & Co. Attest: _______________________ By: ________________________ Print Name: _____________ Print Name: ___________________ Secretary Title: ________________________ CITY OF CLEARWATER, FLORIDA _______________________ By: ________________________ Frank Hibbard Jon Jennings Mayor City Manager Approved as to form: Attest: _______________________ ____________________________ Owen Kohler Rosemarie Call Assistant City Attorney City Clerk Exhibit A – Scope of Work SCOPE OF WORK – ACTUARIAL AND RELATED SERVICES. Annually: 1) Prepare and provide actuarial valuation report for the Plan for funding purposes as of January 1st by April 1st annually. Twelve hard copies and one electronic PDF version are to be provided. 2) Provide information to satisfy GASB 67/68 accounting and financial reporting requirements, using the current fiscal year-end as the measurement date for current year reporting, and using data from the most recent January 1st actuarial valuation. This information is to be provided by February 1st annually. Timeliness of this information is critical given the use of current fiscal year-end for the measurement date. One electronic PDF version is to be provided. 3) Provide disclosure reports to satisfy requirements of Chapter 112.664 Florida Statutes by May 15th annually. One electronic PDF version is to be provided. 4) Prepare and provide individual employee benefit statements by May 31st annually. The benefit statements, to be distributed to employees, should include such information as projected plan benefits, employee contributions, accrued plan benefits, date of 100% vesting, etc. Statements are to be provided electronically in PDF format. 5) Prepare and provide “Actuarial Confirmation of the Use of State Moneys” per State of Florida Division of Retirement requirements per provisions of sections 175.351 and 185.35, Florida Statutes, as amended by Chapter 99.1, Laws of Florida. To be provided by March 15th annually. Related services: 1) Prepare and provide an experience study to evaluate current actuarial assumptions and methods used by the Plan and recommend changes as appropriate, including the financial effect of proposed changes. One experience study is expected during the five year term of this agreement. 2) Provide pension buy-back calculations, responses to inquiries from the State of Florida Division of Retirement, and other actuarial advice and calculations as requested. Exhibit B - Fee Schedule Annual Pension Plan Actuarial Valuation for Funding Purposes, including annual employee benefit statements and attendance at the April Pension Trustees' meeting to present results* :29,500$ Annual Pension Plan Actuarial Report for Fiscal Year-End Financial Reporting Purposes, including all applicable GASB and State of Florida annual reporting requirements:5,900$ Annual Reporting Requirements per Chapter 112.664 Florida Statutes:3,750$ Five-Year Experience Study including separate analysis of the experience for hazardous versus non-hazardous members:24,000$ Actuarial Impact Statements, Studies, and Other Calculations, as requested:Hourly Rates** Standard Hourly Rates $393 - $503 $308 - $388 $244 - $301 $192 - $224 $126 - $144 * The fees for actuarial valuations are current rates for 2022. Fees for subsequent actuarial valuations will be increased by the change in the CPI-U index from December of one year to December of the next year, not to exceed 3% per year. ** The hourly rates are current rates for 2021. The rates are updated annually, generally to reflect inflation and changes in the cost of overhead. Based on current inflation forecasts, these rates are not expected to increase by more than 3% annually for the term of the contract. Senior Actuarial Analyst Actuarial Analyst Administrative Assistant City of Clearwater Employees' Pension Plan Fee Schedule For Actuarial Services - Gabriel Roeder Smith & Company Title Senior Consultant Consultant RFP #47-21, Exhibit C STANDARD TERMS AND CONDITIONS 1 S.1 DEFINITIONS. Uses of the following terms are interchangeable as referenced: “vendor, contractor, consultant, supplier, proposer, company, parties, persons”, “purchase order, PO, contract, agreement”, “city, Clearwater, agency, requestor, parties”, “bid, proposal, response, quote”. S.2 INDEPENDENT CONTRACTOR. It is expressly understood that the relationship of Contractor to the City will be that of an independent contractor. Contractor and all persons employed by Contractor, either directly or indirectly, are Contractor’s employees, not City employees. Accordingly, Contractor and Contractor’s employees are not entitled to any benefits provided to City employees including, but not limited to, health benefits, enrollment in a retirement system, paid time off or other rights afforded City employees. Contractor employees will not be regarded as City employees or agents for any purpose, including the payment of unemployment or workers’ compensation. If any Contractor employees or subcontractors assert a claim for wages or other employment benefits against the City, Contractor will defend, indemnify and hold harmless the City from all such claims. S.3 SUBCONTRACTING. Contractor may not subcontract work under this Agreement without the express written permission of the City. If Contractor has received authorization to subcontract work, it is agreed that all subcontractors performing work under the Agreement must comply with its provisions. Further, all agreements between Contractor and its subcontractors must provide that the terms and conditions of this Agreement be incorporated therein. S.4 ASSIGNMENT. This Agreement may not be assigned either in whole or in part without first receiving the City’s written consent. Any attempted assignment, either in whole or in part, without such consent will be null and void and in such event the City will have the right at its option to terminate the Agreement. No granting of consent to any assignment will relieve Contractor from any of its obligations and liabilities under the Agreement. S.5 SUCCESSORS AND ASSIGNS, BINDING EFFECT. This Agreement will be binding upon and inure to the benefit of the parties and their respective permitted successors and assigns. S.6 NO THIRD PARTY BENEFICIARIES. This Agreement is intended for the exclusive benefit of the parties. Nothing set forth in this Agreement is intended to create, or will create, any benefits, rights, or responsibilities in any third parties. S.7 NON- EXCLUSIVITY. The City, in its sole discretion, reserves the right to request the materials or services set forth herein from other sources when deemed necessary and appropriate. No exclusive rights are encompassed through this Agreement. S.8 AMENDMENTS. There will be no oral changes to this Agreement. This Agreement can only be modified in a writing signed by both parties. No charge for extra work or material will be allowed unless approved in writing, in advance, by the City and Contractor. S.9 TIME OF THE ESSENCE. Time is of the essence to the performance of the parties’ obligations under this Agreement. S.10 COMPLIANCE WITH APPLICABLE LAWS. a. General. Contractor must procure all permits and licenses, and pay all charges and fees necessary and incidental to the lawful conduct of business. Contractor must stay fully informed of existing and future federal, state, and local laws, ordinances, and regulations that in any manner affect the fulfillment of this Agreement and must comply with the same at its own expense. Contractor bears full responsibility for training, safety, and providing necessary equipment for all Contractor personnel to achieve throughout the term of the Agreement. Upon request, Contractor will demonstrate to the City's satisfaction any programs, procedures, and other activities used to ensure compliance. b. Drug-Free Workplace. Contractor is hereby advised that the City has adopted a policy establishing a drug-free workplace for itself and those doing business with the City to ensure the safety and health of all persons working on City contracts and projects. Contractor will RFP #47-21, Exhibit C STANDARD TERMS AND CONDITIONS 2 require a drug-free workplace for all Contractor personnel working under this Agreement. Specifically, all Contractor personnel who are working under this Agreement must be notified in writing by Contractor that they are prohibited from the manufacture, distribution, dispensation, possession, or unlawful use of a controlled substance in the workplace. Contractor agrees to prohibit the use of intoxicating substances by all Contractor personnel, and will ensure that Contractor personnel do not use or possess illegal drugs while in the course of performing their duties. c. Federal and State Immigration Laws. Contractor agrees to comply with the Immigration Reform and Control Act of 1986 (IRCA) in performance under this Agreement and to permit the City and its agents to inspect applicable personnel records to verify such compliance as permitted by law. Contractor will ensure and keep appropriate records to demonstrate that all Contractor personnel have a legal right to live and work in the United States. (i) As applicable to Contractor, under this provision, Contractor hereby warrants to the City that Contractor and each of its subcontractors will comply with, and are contractually obligated to comply with, all federal immigration laws and regulations that relate to their employees (hereinafter “Contractor Immigration Warranty”). (ii) A breach of the Contractor Immigration Warranty will constitute as a material breach of this Agreement and will subject Contractor to penalties up to and including termination of this Agreement at the sole discretion of the City. (iii) The City retains the legal right to inspect the papers of all Contractor personnel who provide services under this Agreement to ensure that Contractor or its subcontractors are complying with the Contractor Immigration Warranty. Contractor agrees to assist the City in regard to any such inspections. (iv) The City may, at its sole discretion, conduct random verification of the employment records of Contractor and any subcontractor to ensure compliance with the Contractor Immigration Warranty. Contractor agrees to assist the City in regard to any random verification performed. (v) Neither Contractor nor any subcontractor will be deemed to have materially breached the Contractor Immigration Warranty if Contractor or subcontractor establishes that it has complied with the employment verification provisions prescribed by Sections 274A and 274B of the Federal Immigration and Nationality Act. d. Nondiscrimination. Contractor represents and warrants that it does not discriminate against any employee or applicant for employment or person to whom it provides services because of race, color, religion, sex, national origin, or disability, and represents and warrants that it complies with all applicable federal, state, and local laws and executive orders regarding employment. Contractor and Contractor’s personnel will comply with applicable provisions of Title VII of the U.S. Civil Rights Act of 1964, as amended, Section 504 of the Federal Rehabilitation Act, the Americans with Disabilities Act (42 U.S.C. § 12101 et seq.), and applicable rules in performance under this Agreement. S.11 SALES/USE TAX, OTHER TAXES. Contractor is responsible for the payment of all taxes including federal, state, and local taxes related to or arising out of Contractor’s services under this Agreement, including by way of illustration but not limitation, federal and state income tax, Social Security tax, unemployment insurance taxes, and any other taxes or business license fees as required. If any taxing authority should deem Contractor or Contractor employees an employee of the City, or should otherwise claim the City is liable for the payment of taxes that are Contractor’s responsibility under this Agreement, Contractor will indemnify the City for any tax liability, interest, and penalties imposed upon the City. The City is exempt from paying state and local sales/use taxes and certain federal excise taxes and will furnish an exemption certificate upon request. RFP #47-21, Exhibit C STANDARD TERMS AND CONDITIONS 3 S.12 AMOUNTS DUE THE CITY. Contractor must be current and remain current in all obligations due to the City during the performance of services under the Agreement. Payments to Contractor may be offset by any delinquent amounts due the City or fees and charges owed to the City. S.13 OPENNESS OF PROCUREMENT PROCESS. Written competitive proposals, replies, oral presentations, meetings where vendors answer questions, other submissions, correspondence, and all records made thereof, as well as negotiations or meetings where negotiation strategies are discussed, conducted pursuant to this Invitation to Bid (ITB), shall be handled in compliance with Chapters 119 and 286, Florida Statutes. Proposals or replies received by the City pursuant to this ITB are exempt from public disclosure until such time that the City provides notice of an intended decision or until 30 days after opening the proposals, whichever is earlier. If the City rejects all proposals or replies pursuant to this ITB and provides notice of its intent to reissue the ITB, then the rejected proposals or replies remain exempt from public disclosure until such time that the City provides notice of an intended decision concerning the reissued ITB or until the City withdraws the reissued ITB. A proposal or reply shall not be exempt from public disclosure longer than 12 months after the initial City notice rejecting all proposals or replies. Oral presentations, meetings where vendors answer questions, or meetings convened by City staff to discuss negotiation strategies, if any, shall be closed to the public (and other proposers) in compliance with Chapter 286 Florida Statutes. A complete recording shall be made of such closed meeting. The recording of, and any records presented at, the exempt meeting shall be available to the public when the City provides notice of an intended decision or until 30 days after opening proposals or final replies, whichever occurs first. If the City rejects all proposals or replies pursuant to this ITB and provides notice of its intent to reissue the ITB, then the recording and any records presented at the exempt meeting remain exempt from public disclosure until such time that the City provides notice of an intended decision concerning the reissued ITB or until the City withdraws the reissued ITB. A recording and any records presented at an exempt meeting shall not be exempt from public disclosure longer than 12 months after the initial City notice rejecting all proposals or replies. In addition to all other contract requirements as provided by law, the contractor executing this agreement agrees to comply with public records law. IF THE CONTRACTOR HAS QUESTIONS REGARDING THE APPLICATION OF CHAPTER 119, FLORIDA STATUTES, TO THE CONTRACTOR’S DUTY TO PROVIDE PUBLIC RECORDS RELATING TO THIS CONTRACT, CONTACT THE CUSTODIAN OF PUBLIC RECORDS, Rosemarie Call, phone: 727-562-4092 or Rosemarie.Call@myclearwater.com, 600 Cleveland Street, Suite 600, Clearwater, FL 33755. The contractor’s agreement to comply with public records law applies specifically to: a) Keep and maintain public records required by the City of Clearwater (hereinafter “public agency”) to perform the service being provided by the contractor hereunder. b) Upon request from the public agency’s custodian of public records, provide the public agency with a copy of the requested records or allow the records to be inspected or copied within a reasonable time at a cost that does not exceed the cost provided for in Chapter 119, Florida Statutes, as may be amended from time to time, or as otherwise provided by law. c) Ensure that the public records that are exempt or confidential and exempt from public records disclosure requirements are not disclosed except as authorized by law for the duration of the contract term and following completion of the contract if the contractor does not transfer the records to the public agency. RFP #47-21, Exhibit C STANDARD TERMS AND CONDITIONS 4 d) Upon completion of the contract, transfer, at no cost, to the public agency all public records in possession of the contractor or keep and maintain public records required by the public agency to perform the service. If the contractor transfers all public records to the public agency upon completion of the contract, the contractor shall destroy any duplicate public records that are exempt or confidential and exempt from public records disclosure requirements. If the contractor keeps and maintains public records upon completion of the contract, the contractor shall meet all applicable requirements for retaining public records. All records stored electronically must be provided to the public agency, upon request from the public agency’s custodian of public records, in a format that is compatible with the information technology systems of the public agency. e) A request to inspect or copy public records relating to a public agency’s contract for services must be made directly to the public agency. If the public agency does not possess the requested records, the public agency shall immediately notify the contractor of the request and the contractor must provide the records to the public agency or allow the records to be inspected or copied within a reasonable time. f) The contractor hereby acknowledges and agrees that if the contractor does not comply with the public agency’s request for records, the public agency shall enforce the contract provisions in accordance with the contract. g) A contractor who fails to provide the public records to the public agency within a reasonable time may be subject to penalties under Section 119.10, Florida Statutes. h) If a civil action is filed against a contractor to compel production of public records relating to a public agency’s contract for services, the court shall assess and award against the contractor the reasonable costs of enforcement, including reasonable attorney fees, if: 1. The court determines that the contractor unlawfully refused to comply with the public records request within a reasonable time; and 2. At least eight (8) business days before filing the action, the plaintiff provided written notice of the public records request, including a statement that the contractor has not complied with the request, to the public agency and to the contractor. i) A notice complies with subparagraph (h)2. if it is sent to the public agency’s custodian of public records and to the contractor at the contractor’s address listed on its contract with the public agency or to the contractor’s registered agent. Such notices must be sent by common carrier delivery service or by registered, Global Express Guaranteed, or certified mail, with postage or shipping paid by the sender and with evidence of delivery, which may be in an electronic format. j) The City understands, acknowledges, and agrees that (i) GRS is providing services which cannot be performed by the City and (ii) subject to Chapter 119, Florida Statutes, internal working papers, proprietary information, source code, and software may not be public record. A contractor who complies with a public records request within eight (8) business days after the notice is sent is not liable for the reasonable costs of enforcement. S.14 AUDITS AND RECORDS. Contractor must preserve the records related to this Agreement for five (5) years after completion of the Agreement. The City or its authorized agent reserves the right to inspect any records related to the performance of work specified herein. In addition, the City may inspect any and all payroll, billing or other relevant records kept by Contractor in relation to the RFP #47-21, Exhibit C STANDARD TERMS AND CONDITIONS 5 Agreement. Contractor will permit such inspections and audits during normal business hours and upon reasonable notice by the City. The audit of records may occur at Contractor’s place of business or at City offices, as determined by the City. S.15 BACKGROUND CHECK. The City may conduct criminal, driver history, and all other requested background checks of Contractor personnel who would perform services under the Agreement or who will have access to the City’s information, data, or facilities in accordance with the City’s current background check policies. Any officer, employee, or agent that fails the background check must be replaced immediately for any reasonable cause not prohibited by law. S.16 SECURITY CLEARANCE AND REMOVAL OF CONTRACTOR PERSONNEL. The City will have final authority, based on security reasons: (i) to determine when security clearance of Contractor personnel is required; (ii) to determine the nature of the security clearance, up to and including fingerprinting Contractor personnel; and (iii) to determine whether or not any individual or entity may provide services under this Agreement. If the City objects to any Contractor personnel for any reasonable cause not prohibited by law, then Contractor will, upon notice from the City, remove any such individual from performance of services under this Agreement. S.17 DEFAULT. a. A party will be in default if that party: (i) is or becomes insolvent or is a party to any voluntary bankruptcy or receivership proceeding, makes an assignment for a creditor, or there is any similar action that affects Contractor’s capability to perform under the Agreement; (ii) is the subject of a petition for involuntary bankruptcy not removed within sixty (60) calendar days; (iii) conducts business in an unethical manner or in an illegal manner; or (iv) fails to carry out any term, promise, or condition of the Agreement. b. Contractor will be in default of this Agreement if Contractor is debarred from participating in City procurements and solicitations in accordance with the City’s Purchasing Policy and Procedures Manual. c. Notice and Opportunity to Cure. In the event a party is in default then the other party may, at its option and at any time, provide written notice to the defaulting party of the default. The defaulting party will have thirty (30) days from receipt of the notice to cure the default; the thirty (30) day cure period may be extended by mutual agreement of the parties, but no cure period may exceed ninety (90) days. A default notice will be deemed to be sufficient if it is reasonably calculated to provide notice of the nature and extent of such default. Failure of the non-defaulting party to provide notice of the default does not waive any rights under the Agreement. d. Anticipatory Repudiation. Whenever the City in good faith has reason to question Contractor’s intent or ability to perform, the City may demand that Contractor give a written assurance of its intent and ability to perform. In the event that the demand is made and no written assurance is given within five (5) calendar days, the City may treat this failure as an anticipatory repudiation of the Agreement. S.18 REMEDIES. The remedies set forth in this Agreement are not exclusive. Election of one remedy will not preclude the use of other remedies. In the event of default: a. The non-defaulting party may terminate the Agreement, and the termination will be effective immediately or at such other date as specified by the terminating party. b. The City may purchase the services required under the Agreement from the open market, complete required work itself, or have it completed at the expense of Contractor. If the cost of obtaining substitute services exceeds the contract price, the City may recover the excess cost by: (i) requiring immediate reimbursement to the City; (ii) deduction from an unpaid balance due to Contractor; (iii) collection against the proposal and/or performance security, if any; (iv) collection against liquidated damages (if applicable); or (v) a combination of the aforementioned remedies or other remedies as provided by law. Costs includes any and all, RFP #47-21, Exhibit C STANDARD TERMS AND CONDITIONS 6 fees, and expenses incurred in obtaining substitute services and expended in obtaining reimbursement, including, but not limited to, administrative expenses, attorneys’ fees, and costs. c. The non-defaulting party will have all other rights granted under this Agreement and all rights at law or in equity that may be available to it. d. Neither party will be liable for incidental, special, or consequential damages. S.19 CONTINUATION DURING DISPUTES. Contractor agrees that during any dispute between the parties, Contractor will continue to perform its obligations until the dispute is settled, instructed to cease performance by the City, enjoined or prohibited by judicial action, or otherwise required or obligated to cease performance by other provisions in this Agreement. S.20 TERMINATION FOR CONVENIENCE. The City reserves the right to terminate this Agreement in part or in whole upon thirty (30) calendar days’ written notice. GRS may also cancel this Agreement with 30 days written notice to the City for any of the following reasons: 1) the City, the City’s Pension Board, or one or more plan participants or beneficiaries, or the State has filed a lawsuit against GRS in a matter related to the City, its participants, or its beneficiaries, 2) a member of the City’s Pension Board or Staff has been found guilty of criminal or civil breach of fiduciary responsibility or other severe wrongdoing with respect to the City or GRS, or 3) a member of the City or Staff demands that GRS take actions deemed by GRS Management to be unethical or illegal. GRS may otherwise cancel this Agreement upon giving 90 days written notice to the City. S.21 TERMINATION FOR CONFLICT OF INTEREST Florida Statutes Section 112. Pursuant to F.S. Section 112, the City may cancel this Agreement after its execution, without penalty or further obligation, if any person significantly involved in initiating, securing, drafting, or creating the Agreement for the City becomes an employee or agent of Contractor. S.22 TERMINATION FOR NON-APPROPRIATION AND MODIFICATION FOR BUDGETARY CONSTRAINT. The City is a governmental agency which relies upon the appropriation of funds by its governing body to satisfy its obligations. If the City reasonably determines that it does not have funds to meet its obligations under this Agreement, the City will have the right to terminate the Agreement without penalty on the last day of the fiscal period for which funds were legally available. In the event of such termination, the City agrees to provide written notice of its intent to terminate thirty (30) calendar days prior to the stated termination date. S.23 PAYMENT TO CONTRACTOR UPON TERMINATION. Upon termination of this Agreement, Contractor will be entitled only to payment for those services performed up to the date of termination, and any authorized expenses already incurred up to such date of termination. The City will make final payment within thirty (30) calendar days after the City has both completed its appraisal of the materials and services provided and received Contractor’s properly prepared final invoice. S.24 NON-WAIVER OF RIGHTS. There will be no waiver of any provision of this agreement unless approved in writing and signed by the waiving party. Failure or delay to exercise any rights or remedies provided herein or by law or in equity, or the acceptance of, or payment for, any services hereunder, will not release the other party of any of the warranties or other obligations of the Agreement and will not be deemed a waiver of any such rights or remedies. S.25 INDEMNIFICATION/LIABILITY. a. To the fullest extent permitted by law, Contractor agrees to defend, indemnify, and hold the City, its officers, agents, and employees, harmless from and against any and all liabilities, demands, claims, suits, losses, damages, causes of action, fines or judgments, including costs, attorneys’, witnesses’, and expert witnesses’ fees, and expenses incident thereto, relating to, arising out of, or resulting from: (i) the services provided by Contractor personnel under this RFP #47-21, Exhibit C STANDARD TERMS AND CONDITIONS 7 Agreement; (ii) any negligent acts, errors, mistakes or omissions by Contractor or Contractor personnel; and (iii) Contractor or Contractor personnel’s failure to comply with or fulfill the obligations established by this Agreement. Only in the event of errors, mistakes, or omissions on the part of GRS, the indemnity shall be limited to an amount not to exceed $2,000,000.00 per occurrence and annual calendar year aggregate. b. Contractor will update the City during the course of the litigation to timely notify the City of any issues that may involve the independent negligence of the City that is not covered by this indemnification. c. The City assumes no liability for actions of Contractor and will not indemnify or hold Contractor or any third party harmless for claims based on this Agreement or use of Contractor-provided supplies or services. d. In the event of disputes, both parties to this contract agree to waive their right to a jury trial. S.26 WARRANTY. Contractor warrants that the services and materials will conform to the requirements of the Agreement. Additionally, Contractor warrants that all services will be performed in a good, workman-like and professional manner. The City’s acceptance of service or materials provided by Contractor will not relieve Contractor from its obligations under this warranty. If any materials or services are of a substandard or unsatisfactory manner as determined by the City, Contractor, at no additional charge to the City, will provide materials or redo such services until in accordance with this Agreement and to the City’s reasonable satisfaction. Unless otherwise agreed, Contractor warrants that materials will be new, unused, of most current manufacture and not discontinued, will be free of defects in materials and workmanship, will be provided in accordance with manufacturer's standard warranty for at least one (1) year unless otherwise specified, and will perform in accordance with manufacturer's published specifications. S.27 THE CITY’S RIGHT TO RECOVER AGAINST THIRD PARTIES. Contractor will do nothing to prejudice the City’s right to recover against third parties for any loss, destruction, or damage to City property, and will at the City’s request and expense, furnish to the City reasonable assistance and cooperation, including assistance in the prosecution or defense of suit and the execution of instruments of assignment in favor of the City in obtaining recovery. S.28 NO GUARANTEE OF WORK. Contractor acknowledges and agrees that it is not entitled to deliver any specific amount of materials or services or any materials or services at all under this Agreement and acknowledges and agrees that the materials or services will be requested by the City on an as needed basis at the sole discretion of the City. Any document referencing quantities or performance frequencies represent the City's best estimate of current requirements, but will not bind the City to purchase, accept, or pay for materials or services which exceed its actual needs. S.29 OWNERSHIP. All deliverables, services, and information provided by Contractor or the City pursuant to this Agreement (whether electronically or manually generated) including without limitation, reports, test plans, and survey results, graphics, and technical tables, originally prepared in the performance of this Agreement, are the property of the City and will not be used or released by Contractor or any other person except with prior written permission by the City. S.30 USE OF NAME. Contractor will not use the name of the City of Clearwater in any advertising or publicity without obtaining the prior written consent of the City. S.31 PROHIBITED ACTS. Pursuant to Florida Constitution Article II Section 8, a current or former public officer or employee within the last two (2) years shall not represent another organization before the City on any matter for which the officer or employee was directly concerned and personally participated in during their service or employment or over which they had a substantial or material administrative discretion. S.32 FOB DESTINATION FREIGHT PREPAID AND ALLOWED. All deliveries will be FOB destination freight prepaid and allowed unless otherwise agreed. RFP #47-21, Exhibit C STANDARD TERMS AND CONDITIONS 8 S.33 RISK OF LOSS. Contractor agrees to bear all risks of loss, injury, or destruction of goods or equipment incidental to providing these services and such loss, injury, or destruction will not release Contractor from any obligation hereunder. S.34 SAFEGUARDING CITY PROPERTY. Contractor will be responsible for any damage to City real property or damage or loss of City personal property when such property is the responsibility of or in the custody of Contractor or its employees. S.35 WARRANTY OF RIGHTS. Contractor warrants it has title to, or the right to allow the City to use, the materials and services being provided and that the City may use same without suit, trouble or hindrance from Contractor or third parties. S.36 PROPRIETARY RIGHTS INDEMNIFICATION. Without limiting the foregoing, Contractor will without limitation, at its expense defend the City against all claims asserted by any person that anything provided by Contractor infringes a patent, copyright, trade secret or other intellectual property right and must, without limitation, pay the costs, damages and attorneys' fees awarded against the City in any such action, or pay any settlement of such action or claim. Each party agrees to notify the other promptly of any matters to which this provision may apply and to cooperate with each other in connection with such defense or settlement. If a preliminary or final judgment is obtained against the City’s use or operation of the items provided by Contractor hereunder or any part thereof by reason of any alleged infringement, Contractor will, at its expense and without limitation, either: (a) modify the item so that it becomes non-infringing; (b) procure for the City the right to continue to use the item; (c) substitute for the infringing item other item(s) having at least equivalent capability; or (d) refund to the City an amount equal to the price paid, less reasonable usage, from the time of installation acceptance through cessation of use, which amount will be calculated on a useful life not less than five (5) years, plus any additional costs the City may incur to acquire substitute supplies or services. S.37 CONTRACT ADMINISTRATION. The agreement will be administered by the Purchasing Administrator and/or an authorized representative from the using department. All questions regarding the agreement will be referred to the administrator for resolution. Supplements may be written to the agreement for the addition or deletion of services. Payment will be negotiated and determined by the contract administrator(s). S.38 FORCE MAJEURE. Failure by either party to perform its duties and obligations will be excused by unforeseeable circumstances beyond its reasonable control, including acts of nature, acts of the public enemy, riots, fire, explosion, legislation, and governmental regulation. The party whose performance is so affected will within five (5) calendar days of the unforeseeable circumstance notify the other party of all pertinent facts and identify the force majeure event. The party whose performance is so affected must also take all reasonable steps, promptly and diligently, to prevent such causes if it is feasible to do so, or to minimize or eliminate the effect thereof. The delivery or performance date will be extended for a period equal to the time lost by reason of delay, plus such additional time as may be reasonably necessary to overcome the effect of the delay, provided however, under no circumstances will delays caused by a force majeure extend beyond one hundred-twenty (120) calendar days from the scheduled delivery or completion date of a task unless agreed upon by the parties. S.39 COOPERATIVE USE OF CONTRACT. The City has entered into various cooperative purchasing agreements with other Florida government agencies, including the Tampa Bay Area Purchasing Cooperative. Under a Cooperative Purchasing Agreement, any contract may be extended for use by other municipalities, school districts and government agencies in the State of Florida with the approval of Contractor. Any such usage by other entities must be in accordance with the statutes, codes, ordinances, charter and/or procurement rules and regulations of the respective government agency. Orders placed by other agencies and payment thereof will be the sole responsibility of that agency. The City is not responsible for any disputes arising out of transactions made by others. RFP #47-21, Exhibit C STANDARD TERMS AND CONDITIONS 9 S.40 FUEL CHARGES AND PRICE INCREASES. No fuel surcharges will be accepted. No price increases will be accepted without proper request by Contractor and response by the City’s Purchasing Division. S.41 NOTICES. All notices to be given pursuant to this Agreement must be delivered to the parties at their respective addresses. Notices may be (i) personally delivered; (ii) sent via certified or registered mail, postage prepaid; (iii) sent via overnight courier; or (iv) sent via facsimile. If provided by personal delivery, receipt will be deemed effective upon delivery. If sent via certified or registered mail, receipt will be deemed effective three (3) calendar days after being deposited in the United States mail. If sent via overnight courier or facsimile, receipt will be deemed effective two (2) calendar days after the sending thereof. S.42 GOVERNING LAW, VENUE. This Agreement is governed by the laws of the State of Florida. The exclusive venue selected for any proceeding or suit in law or equity arising from or incident to this Agreement will be Pinellas County, Florida. S.43 INTEGRATION CLAUSE. This Agreement, including all attachments and exhibits hereto, supersede all prior oral or written agreements, if any, between the parties and constitutes the entire agreement between the parties with respect to the work to be performed. S.44 PROVISIONS REQUIRED BY LAW. Any provision required by law to be in this Agreement is a part of this Agreement as if fully stated in it. S.45 SEVERABILITY. If any provision of this Agreement is declared void or unenforceable, such provision will be severed from this Agreement, which will otherwise remain in full force and effect. The parties will negotiate diligently in good faith for such amendment(s) of this Agreement as may be necessary to achieve the original intent of this Agreement, notwithstanding such invalidity or unenforceability. S.46 SURVIVING PROVISIONS. Notwithstanding any completion, termination, or other expiration of this Agreement, all provisions which, by the terms of reasonable interpretation thereof, set forth rights and obligations that extend beyond completion, termination, or other expiration of this Agreement, will survive and remain in full force and effect. Except as specifically provided in this Agreement, completion, termination, or other expiration of this Agreement will not release any party from any liability or obligation arising prior to the date of termination. SERVICES AGREEMENT BETWEEN CITY OF CLEARWATER AND GRS RFP #47-21 EXHIBIT D INSURANCE REQUIREMENTS. The CONSULTANT shall, at its own cost and expense, acquire and maintain (and cause any subcontractors, representatives or agents to acquire and maintain) during the term with the City, sufficient insurance to adequately protect the respective interest of the parties. Coverage shall be obtained with a carrier having an AM Best Rating of A-VII or better. In addition, the City has the right to review the CONSULTANT’S deductible or self-insured retention and to require that it be reduced or eliminated. Specifically, the CONSULTANT must carry the following minimum types and amounts of insurance on an occurrence basis or in the case of coverage that cannot be obtained on an occurrence basis, then coverage can be obtained on a claims-made basis with a minimum three (3) year tail following the termination or expiration of this Agreement. Specific work may require additional coverage on a case by case basis: a. Commercial General Liability Insurance coverage, including but not limited to, premises operations, products/completed operations, products liability, contractual liability, advertising injury, personal injury, death, and property damage in the minimum amount of $1,000,000 (one million dollars) per occurrence and $2,000,000 (two million dollars) general aggregate. b. Commercial Automobile Liability Insurance coverage for any owned, non-owned, hired or borrowed automobile is required in the minimum amount of $1,000,000 (one million dollars) combined single limit. c. Unless waived by the State of Florida, statutory Workers’ Compensation Insurance coverage in accordance with the laws of the State of Florida, and Employer’s Liability Insurance in the minimum amount of $100,000 (one hundred thousand dollars) each employee each accident, $100,000 (one hundred thousand dollars) each employee by disease and $500,000 (five hundred thousand dollars) aggregate by disease with benefits afforded under the laws of the State of Florida. Coverage should include Voluntary Compensation, Jones Act, and U.S. Longshoremen’s and Harbor Worker’s Act coverage where applicable. Coverage must be applicable to employees, contractors, subcontractors, and volunteers, if any. d. If the CONSULTANT is using its own property, or the property of the City or other provider, in connection with the performance of its obligations under this Agreement, then CONSULTANT’S Equipment Insurance or Property Insurance on an “All Risks” basis with replacement cost coverage for property and equipment in the care, custody and control of others is required. e. Professional Liability Insurance coverage appropriate for the type of business engaged in by the CONSULTANT with minimum limits of $1,000,000 (one million dollars) per occurrence. If a claims made form of coverage is provided, the retroactive date of coverage shall be no later than the inception date of claims made coverage, unless prior policy was extended indefinitely to cover prior acts. Coverage shall be extended beyond the policy year either by a supplemental extended reporting period (ERP) of as great a duration as available, and with no less coverage and with reinstated aggregate limits, or by requiring that any new policy provide a retroactive date no later than the inception date of claims made coverage. The above insurance limits may be achieved by a combination of primary and umbrella/excess liability policies. OTHER INSURANCE PROVISIONS. a. Prior to the execution of this Agreement, and then annually upon the anniversary date(s) of the insurance policy’s renewal date(s) for as long as this Agreement remains in effect, the CONSULTANT will furnish the City with a Certificate of Insurance(s) (using appropriate ACORD certificate, SIGNED by the Issuer, and with applicable endorsements) evidencing all of the coverage set forth above and naming the City as an “Additional Insured.” In addition, when requested in writing from the City, CONSULTANT will provide the City with certified copies of all applicable policies. The address where such certificates and certified policies shall be sent or delivered is as follows: City of Clearwater Attn: Purchasing, RFP #47-21 P.O. Box 4748 Clearwater, FL 33758-4748 b. CONSULTANT shall provide thirty (30) days written notice of any cancellation, non-renewal, termination, material change or reduction in coverage. c. CONSULTANT’S insurance as outlined above shall be primary and non-contributory coverage for CONSULTANT’S negligence. d. CONSULTANT reserves the right to appoint legal counsel to provide for the CONSULTANT’S defense, for any and all claims that may arise related to Agreement, work performed under this Agreement, or to CONSULTANT’S design, equipment, or service. CONSULTANT agrees that the City shall not be liable to reimburse CONSULTANT for any legal fees or costs as a result of CONSULTANT providing its defense as contemplated herein. The stipulated limits of coverage above shall not be construed as a limitation of any potential liability to the City, and failure to request evidence of this insurance shall not be construed as a waiver of CONSULTANT’S obligation to provide the insurance coverage specified. Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#21-10040 Agenda Date: 12/13/2021 Status: Agenda ReadyVersion: 1 File Type: Action ItemIn Control: Pension Trustees Agenda Number: 4.2 SUBJECT/RECOMMENDATION: Approve the termination of large cap growth equity money manager Voya Investment Management and authorize the appropriate officials to execute same. SUMMARY: Voya was hired as a large cap growth equity manager for the plan in December 1987. As of September 30, 2021, the market value of the plan’s investment in Voya’s large cap growth equity product totaled $10.5 million, or 0.79% of the Plan’s total investment portfolio. Voya’s performance has declined in recent years, as detailed below. The Pension Investment Committee unanimously recommends termination at this time. The monies will be moved to the Northern Trust Collective Russell 1000 Growth Index fund. Percentile As of 9/30/2021 Voya Ranking Benchmark Last 3 years 18.97% 72nd 22.00% Last 5 years 20.29% 55th 22.84% Last 10 years 18.64% 51st 19.68% Page 1 City of Clearwater Printed on 12/7/2021 Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#21-9901 Agenda Date: 12/13/2021 Status: Agenda ReadyVersion: 2 File Type: Action ItemIn Control: Pension Trustees Agenda Number: 4.3 SUBJECT/RECOMMENDATION: Approve the new hires for acceptance into the Pension Plan as listed. SUMMARY: Name/ Job Classification/ Department Pension Eligibility Date Frank Berlingis, Police Records Specialist, Police 9/10/2021 Jennifer Partee, Senior Staff Assistant, Planning & Development 9/10/2021 Julie Baron, Customer Service Trainer, Customer Service 9/10/2021 Kayla Parker, Police Telecommunicator, Police 9/10/2021 Kevin Drielts, Police Records Specialist, Police 9/10/2021 Matthew Gresh, Multi-Media Specialist, Public Communications 9/10/2021 Peter Papjes, Skilled Tradesworker, General Services 9/10/2021 Rebecca Mulder, Code Enforcement Inspector, Planning & Development 9/10/2021 Victor Gaeta, Customer Service Representative, Customer Service 9/10/2021 William Young, Police Telecommunicator, Police 9/10/2021 Azeen Sarkhosh,Police Officer, Police 9/27/2021 Christian Rodriguez, Police Officer, Police 9/27/2021 Christopher Castro, Gas Technician Apprentice, Gas 9/27/2021 Cole Klein, Police Officer, Police 9/27/2021 Cordez Gatheright, Solid Waste Equipment Operator, Solid Waste 9/27/2021 Damian Rios, Police Cadet - Attending Academy, Police 9/27/2021 Daniel Bieber, Police Officer, Police 9/27/2021 James Goldener, Parking, Facility & Security Aid, Engineering/Parking 9/27/2021 Jonathan Vangeli, Police Officer, Police 9/27/2021 Joseph Beebe, Skilled Tradesworker, General Services 9/27/2021 Keister Crenshaw, Parks Service Technician, Parks & Recreation 9/27/2021 Malcolm Holmes, Parks Service Technician, Parks & Recreation 9/27/2021 Matthew Bremis, Police Officer, Police 9/27/2021 Michelle Holzhauer, Parking Citation Assistant, Engineering/Parking 9/27/2021 Roxanna Sever, Development Review Technician, Planning & Development 9/27/2021 Santana Miller, Parks Service Technician, Parks & Recreation 9/27/2021 Shawn Manspeaker, Parking, Facility & Security Aid, Library 9/27/2021 Tyler Dejong, Survey Assistant, Engineering 9/27/2021 Eric Kelly, Water Distribution Operator Lead, Public Utilities 10/11/2021 Greg McCullough, Senior Auditor, Audit 10/11/2021 Jeffery Elliott, Fleet Mechanic, General Services 10/11/2021 Josh Francis, Parks Service Foreman, Parks & Recreation 10/11/2021 Keith Robertson, Parks Service Technician, Parks & Recreation 10/11/2021 Keona Daniels, Parks Service Technician, Parks & Recreation 10/11/2021 Lisa Diamond, Recreation Coordinator, Parks & Recreation 10/11/2021 Matthew Farkosh, Parks Service Technician, Parks & Recreation 10/11/2021 Michael Jackson, Parks Service Technician, Parks & Recreation 10/11/2021 Page 1 City of Clearwater Printed on 12/7/2021 File Number: ID#21-9901 APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 2 City of Clearwater Printed on 12/7/2021 Interoffice Correspondence Sheet TO: Pension Advisory Committee FROM: Jennifer Poirrier, Human Resources Director SUBJECT: Recommendation for Acceptance into Pension Plan DATE: October 22, 2021 Subject/Recommendation: Recommend approval of the new hires for acceptance into the Pension Plan as listed. Name Job Classification Department Pension Eligibility Date Frank Berlingis Police Records Specialist Police 9/10/2021 Jennifer Partee Senior Staff Assistant Planning & Development 9/10/2021 Julie Baron Customer Service Trainer Customer Service 9/10/2021 Kayla Parker Police Telecommunicator Police 9/10/2021 Kevin Drielts Police Records Specialist Police 9/10/2021 Matthew Gresh Multi-Media Specialist Public Communications 9/10/2021 Peter Papjes Skilled Tradesworker General Services 9/10/2021 Rebecca Mulder Code Enforcement Inspector Planning & Development 9/10/2021 Victor Gaeta Customer Service Representative Customer Service 9/10/2021 William Young Police Telecommunicator Police 9/10/2021 Azeen Sarkhosh Police Officer Police 9/27/2021 Christian Rodriguez Police Officer Police 9/27/2021 Christopher Castro Gas Technician Apprentice Gas 9/27/2021 Cole Klein Police Officer Police 9/27/2021 Cordez Gatheright Solid Waste Equipment Operator Solid Waste 9/27/2021 Damian Rios Police Cadet - Attending Academy Police 9/27/2021 Daniel Bieber Police Officer Police 9/27/2021 James Goldener Parking, Facility & Security Aid Engineering/Parking 9/27/2021 Jonathan Vangeli Police Officer Police 9/27/2021 Joseph Beebe Skilled Tradesworker General Services 9/27/2021 Keister Crenshaw Parks Service Technician Parks & Recreation 9/27/2021 Malcolm Holmes Parks Service Technician Parks & Recreation 9/27/2021 Matthew Bremis Police Officer Police 9/27/2021 Michelle Holzhauer Parking Citation Assistant Engineering/Parking 9/27/2021 Roxanna Sever Development Review Technician Planning & Development 9/27/2021 Santana Miller Parks Service Technician Parks & Recreation 9/27/2021 Shawn Manspeaker Parking, Facility & Security Aid Library 9/27/2021 Tyler Dejong Survey Assistant Engineering 9/27/2021 Eric Kelly Water Distribution Operator Lead Public Utilities 10/11/2021 Greg McCullough Senior Auditor Audit 10/11/2021 Jeffery Elliott Fleet Mechanic General Services 10/11/2021 Josh Francis Parks Service Foreman Parks & Recreation 10/11/2021 Keith Robertson Parks Service Technician Parks & Recreation 10/11/2021 Keona Daniels Parks Service Technician Parks & Recreation 10/11/2021 Lisa Diamond Recreation Coordinator Parks & Recreation 10/11/2021 Matthew Farkosh Parks Service Technician Parks & Recreation 10/11/2021 Michael Jackson Parks Service Technician Parks & Recreation 10/11/2021 Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#21-9902 Agenda Date: 12/13/2021 Status: Agenda ReadyVersion: 2 File Type: Action ItemIn Control: Pension Trustees Agenda Number: 4.4 SUBJECT/RECOMMENDATION: Approve the following request of employee Valerie Craig, Finance Department, to vest her pension as provided by Section 2.419 of the Employees’ Pension Plan. SUMMARY: Valerie Craig, Senior Procurement Analyst, Finance Department, was employed by the City on December 20, 2010 and began participating in the Pension Plan on August 1, 2011. Ms. Craig terminated from city employment on October 8, 2021. The Employees’ Pension Plan provides that should an employee cease to be an employee of the City of Clearwater or change status from full-time to part-time after completing ten or more years of creditable service (pension participation), such employee shall acquire a vested interest in the retirement benefits. Vested pension payments commence on the first of the month following the month in which the employee normally would have been eligible for retirement. Section 2.416 provides for normal retirement eligibility for non-hazardous duty employees hired prior to the effective date of this reinstatement (January 1, 2013), a member shall be eligible for retirement following the earlier of the date on which a participant has reached the age of fifty-five years and completed twenty years of credited service; the date on which a participant has reached age sixty-five years and completed ten years of credited service; or the date on which a member has completed thirty years of service regardless of age. For non-hazardous duty employees hired on or after the effective date of this restatement, a member shall be eligible for retirement following the earlier of the date on which a participant has reached the age of sixty years and completed twenty-five years of credited service; or the date on which a participant has reached the age of sixty-five years and completed ten years of credited service. Ms. Craig will meet the non-hazardous duty criteria and begin collecting a pension in December 2039. Section 2.416 provides for normal retirement eligibility for hazardous duty employees, a member shall be eligible for retirement following the earlier of the date on which the participant has completed twenty years of credited service regardless of age, or the date on which the participant has reached fifty-five years and completed ten years of credited service. APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 1 City of Clearwater Printed on 12/7/2021 Cover Memo City of Clearwater Main Library - Council Chambers 100 N. Osceola Avenue Clearwater, FL 33755 File Number: ID#21-9904 Agenda Date: 12/13/2021 Status: Agenda ReadyVersion: 2 File Type: Action ItemIn Control: Pension Trustees Agenda Number: 4.5 SUBJECT/RECOMMENDATION: Approve the following request of Douglas Alvarez, Parks and Recreation Department, Leonard Aragones, Parks and Recreation Department, and Robert Strieder, Public Utilities Department for a regular pension as provided by Sections 2.416 and 2.424 of the Employees’ Pension Plan. SUMMARY: Douglas Alvarez, Parks Service Foreman, Parks and Recreation Department, was employed by the City on August 13, 2001, and his pension service credit is effective on that date. His pension will be effective February 1, 2022. Based on an average salary of approximately $47,464.16 over the past five years, the formula for computing regular pensions and Mr . Alvarez’s selection of the 10 Year Certain and Life Annuity, this pension benefit will be approximately $26,323.68 annually. Leonard Aragones, Senior Parks Service Tech, Parks and Recreation Department, was employed by the City on November 8, 2010, and his pension service credit is effective on that date. His pension will be effective January 1, 2022. Based on an average salary of approximately $38,557.76 over the past five years, the formula for computing regular pensions and Mr. Aragones’ selection of the Single Life Annuity, this pension benefit will be approximately $11,819.76 annually. Robert Strieder, Wastewater Treatment Plant Operator A, Public Utilities Department, was employed by the City on December 8, 1997, and his pension service credit is effective on June 8, 1998. His pension will be effective January 1, 2022. Based on an average salary of approximately $52,848.92 over the past five years, the formula for computing regular pensions and Mr. Strieder’s selection of the Single Life Annuity, this pension benefit will be approximately $34,246.44 annually. Section 2.416 provides for normal retirement eligibility for non-hazardous duty employees hired prior to the effective date of this reinstatement (January 1, 2013), a member shall be eligible for retirement following the earlier of the date on which a participant has reached the age of fifty-five years and completed twenty years of credited service; the date on which a participant has reached age sixty-five years and completed ten years of credited service; or the date on which a member has completed thirty years of service regardless of age. For non-hazardous duty employees hired on or after the effective date of this restatement, a member shall be eligible for retirement following the earlier of the date on which a participant has reached the age of sixty years and completed twenty-five years of credited service; or the date on which a participant has reached the age of sixty-five years and completed ten years of credited service. Mr. Alvarez, Mr. Aragones and Mr. Strieder have met the non-hazardous duty criteria. Page 1 City of Clearwater Printed on 12/7/2021 File Number: ID#21-9904 APPROPRIATION CODE AND AMOUNT: N/A USE OF RESERVE FUNDS: N/A Page 2 City of Clearwater Printed on 12/7/2021