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HomeMy WebLinkAboutA5441 - BARTEL ASSOCIATES LLC : ACTUARIAL CONSULTING CONSULTING SERVICES AGREEMENT BARTEL ASSOCIATES, LLC—Actuarial Consulting Services THIS AGREEMENT FOR CONSULTING SERVICES ("Agreement") is made and entered into on April 26, 2019, by and between the City of Palm Springs, a California charter city and municipal corporation ("City"), and Bartel Associates, LLC, a Limited Liability Corporation, ("Consultant"). City and Consultant are individually referred to as "Party" and are collectively referred to as the"Parties". RECITALS A. City requires the services of a qualified Actuarial Firm, for conducting actuarial analysis and developing short and long range actuarial reports for the City's use on CaIPERS future obligations and unfunded liabilities, for actuarial analysis on the City's CalPERS liabilities of various City pre-funding and supplemental trust plans and for other actuarial calculation needs on the City's OPEB obligations and other calculations, ("Project"). B. Consultant has submitted to City a proposal to provide the required actuarial analysis and reports, to the City under the terms of this Agreement. C. Based on its experience, education, training, and reputation, Consultant is qualified and desires to provide the necessary services to City for the Project. D. City desires to retain the services of Consultant for the Project. In consideration of these promises and mutual agreements, City agrees as follows: AGREEMENT 1. CONSULTANT SERVICES 1.1 Scone of Services. In compliance with all terms and conditions of this Agreement, Consultant shall provide the actuarial services to City as described in the Scope of Services/Work attached to this Agreement as Exhibit "A" and incorporated by reference (the "services" or "work"). Exhibit "A" includes the agreed upon schedule of performance and the schedule of fees. Consultant warrants that all services and work shall be performed in a competent, professional, and satisfactory manner consistent with prevailing industry standards. In the event of any inconsistency between the terms contained in the Scope of Services/Work and the terms set forth in this Agreement, the terms set forth in this Agreement shall govern. 1.2 Compliance with Law. Consultant services rendered under this Agreement shall comply with all applicable federal, state, and local laws, statutes and ordinances and all lawful orders,rules, and regulations. 1.3 Licenses and Permits. Consultant shall obtain at its sole cost and expense such licenses, permits, and approvals as may be required by law for the performance of the services required by this Agreement. 1 . 1.4 Familiarity with Work. By executing this Agreement, Consultant warrants that it has carefully considered how the work should be performed and fully understands the facilities, difficulties, and restrictions attending performance of the work under this Agreement. 2. TIME FOR COMPLETION The time for completion of the services to be performed by Consultant is an essential condition of this Agreement. Consultant shall prosecute regularly and diligently the work of this Agreement according to the agreed upon schedule of performance set forth in Exhibit "A." Consultant shall not be accountable for delays in the progress of its work caused by any condition beyond its control and without the fault or negligence of Consultant. Delays shall not entitle Consultant to any additional compensation regardless of the party responsible for the delay. 3. COMPENSATION OF CONSULTANT 3.1 Compensation of Consultant. Consultant shall be compensated and reimbursed for the services rendered under this Agreement in accordance with the schedule of fees set forth in Exhibit"A". The total amount of Compensation shall not exceed $16,500. 3.2 Method of Payment. In any month in which Consultant wishes to receive payment, Consultant shall submit to City an invoice for services rendered prior to the date of the invoice, no later than the first working day of such month, in the form approved by City's finance director. Payments shall be based on the hourly rates set forth in Exhibit "A" for authorized services performed. City shall pay Consultant for all expenses stated in the invoice that are approved by City and consistent with this Agreement, within thirty (30) days of receipt of Consultant's invoice. 3.3 Changes. In the event any change or changes in the Scope of Services/Work is requested by City, Parties shall execute a written amendment to this Agreement, specifying all proposed amendments, including, but not limited to, any additional fees. An amendment may be entered into: A. To provide for revisions or modifications to documents, work product, or work, when required by the enactment or revision of any subsequent law; or B. To provide for additional services not included in this Agreement or not customarily furnished in accordance with generally accepted practice in Consultant's profession. 3.4 Appropriations. This Agreement is subject to, and contingent upon, funds being appropriated by the City Council of City for each fiscal year. If such appropriations are not made, this Agreement shall automatically terminate without penalty to City. 4. PERFORMANCE SCHEDULE 4.1 Time of Essence. Time is of the essence in the performance of this Agreement. 2 4.2 Schedule of Performance. All services rendered under this Agreement shall be performed under the agreed upon schedule of performance set forth in Exhibit "A." Any time period extension must be approved in writing by the Contract Officer. 4.3 Force Maieure. The time for performance of services to be rendered under this Agreement may be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of Consultant, if Consultant notifies the Contract Officer within ten (10) days of the commencement of such condition. Unforeseeable causes include, but are not limited to, acts of God or of a public enemy, acts of the government, fires, earthquakes, floods, epidemic, quarantine restrictions, riots, strikes, freight embargoes, and unusually severe weather. After Consultant notification, the Contract Officer shall investigate the facts and the extent of any necessary delay, and extend the time for performing the services for the period of the enforced delay when and if, in the Contract Officer's judgment, such delay is justified. The Contract Officer's determination shall be final and conclusive upon the parties to this Agreement. 4.4 Term. Unless earlier terminated in accordance with Section 4.5 of this Agreement, this Agreement shall continue in full force and effect for a period of one year, commencing on April 26, 2019, and ending on May 1, 2020, with a four one year extensions at the City's discretion,unless extended by mutual written agreement of the parties. 4.5 Termination Prior to Expiration of Term. City may terminate this Agreement at any time, with or without cause, upon thirty (30) days written notice to Consultant. Where termination is due to the fault of Consultant and constitutes an immediate danger to health, safety, and general welfare, the period of notice shall be such shorter time as may be determined by the City. Upon receipt of the notice of termination, Consultant shall immediately cease all services except such as may be specifically approved by the Contract Officer. Consultant shall be entitled to compensation for all services rendered prior to receipt of the notice of termination and for any services authorized by the Contract Officer after such notice. Consultant may terminate this Agreement, with or without cause, upon thirty(30) days written notice to City. 5. COORDINATION OF WORK 5.1 Representative of Consultant. The following principal of Consultant is designated as being the principal and representative of Consultant authorized to act and make all decisions in its behalf with respect to the specified services and work: Mary Elizabeth Redding, Vice-President and Actuary. It is expressly understood that the experience, knowledge, education, capability, and reputation of the foregoing principal is a substantial inducement for City to enter into this Agreement. Therefore, the foregoing principal shall be responsible-during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the services under this Agreement. The foregoing principal may not be changed by Consultant without prior written approval of the Contract Officer. 5.2 Contract Officer. The Contract Officer shall be the City Manager or City Finance Director/Treasurer or their designees ("Contract Officer"). Consultant shall be responsible for keeping the Contract Officer fully informed of the progress of the performance of the services. Consultant shall refer any decisions that must be made by City to the Contract 3 Officer. Unless otherwise specified, any approval of City shall mean the approval of the Contract Officer. 5.3 Prohibition Against Subcontracting or Assignment. The experience, knowledge, education, capability, and reputation of Consultant, its principals and employees, were a substantial inducement for City to enter into this Agreement. Therefore, Consultant shall not contract with any other individual or entity to perform any services required under this Agreement without the City's express written approval. In addition, neither this Agreement nor any interest may be assigned or transferred, voluntarily or by operation of law, without the prior written approval of City. 5.4 Independent Contractor. Neither City nor any of its employees shall have any control over the manner, mode, or means by which Consultant, its agents or employees, perform the services required, except as otherwise specified. Consultant shall perform all required services as an independent Consultant of City and shall not be an employee of City and shall remain at all times as to City a wholly independent Consultant with only such obligations as are consistent with that role; however, City shall have the right to review Consultant's work product, result, and advice. Consultant shall not at any time or in any manner represent that it or any of its agents or employees are agents or employees of City. 5.5 Personnel. Consultant agrees to assign qualified company individuals to perform the services in this Agreement. Consultant shall not alter the assignment of personnel without the prior written approval of the Contract Officer. Acting through the City Manager, the City shall have the unrestricted right to order the removal of any personnel assigned by Consultant by providing written notice to Consultant. 6. INSURANCE Consultant shall procure and maintain, at its sole cost and expense, policies of insurance as set forth in the attached Exhibit "B", incorporated herein by reference. 7. INDEMNIFICATION. 7.1 Indemnification. To the fullest extent permitted by law, Consultant shall defend (at Consultant's sole cost and expense), indemnify, protect, and hold harmless'City, its elected officials, officers, employees, agents, and volunteers (collectively the "Indemnified Parties"), from and against any and all liabilities, actions, suits, claims, demands, losses, costs, judgments, arbitration awards, settlements, damages, demands, orders, penalties, and expenses including legal costs and attorney fees (collectively "Claims"), including but not limited to Claims arising from injuries to or death of persons (Consultant's employees included), for damage to property, including property owned by City, from any violation of any federal, state, or local law or ordinance, and from errors and omissions committed by Consultant, its officers, employees, representatives, and agents, that arise out of or relate to Consultant's performance under this Agreement. This indemnification clause excludes Claims arising from the sole negligence or willful misconduct of the City, its elected officials, officers, employees, agents, 4 and volunteers. Under no circumstances shall the insurance requirements and limits set forth in this Agreement be construed to limit Consultant's indemnification obligation or other liability under this Agreement. Consultant's indemnification obligation shall survive the expiration or earlier termination of this Agreement until all actions against the Indemnified Parties for such matters indemnified are fully and finally barred by the applicable statute of limitations or, if an action is timely filed, until such action is final. This provision is intended for the benefit of third party Indemnified Parties not otherwise a party to this Agreement. 7.2 Design Professional Services Indemnification and Reimbursement. If the Agreement is determined to be a "design professional services agreement" and Consultant is a "design professional" under California Civil Code Section 2782.8, then: A. To the fullest extent permitted by law, Consultant shall indemnify, defend (at Consultant's sole cost and expense), protect and hold harmless City and its elected officials, officers, employees, agents and volunteers and all other public agencies whose approval of the project is required, (individually"Indemnified Party'; collectively"Indemnified Parties") against any and all liabilities, claims,judgments, arbitration awards, settlements, costs, demands, orders and penalties (collectively "Claims"), including but not limited to Claims arising from injuries or death of persons (Consultant's employees included) and damage to property, which Claims arise out of, pertain to, or are related to the negligence, recklessness or willful misconduct of Consultant, its agents, employees, or subcontractors, or arise from Consultant's. negligent, reckless or willful performance of or failure to perform any term, provision, covenant or condition of this Agreement ("Indemnified Claims"), but Consultant's liability for Indemnified Claims shall be reduced to the extent such Claims arise from the negligence, recklessness or willful misconduct of the City and its elected officials, officers, employees, agents and volunteers. B. The Consultant shall require all non-design-professional sub-contractors, used or sub-contracted by Consultant to perform the Services or Work required under this Agreement, to execute an Indemnification Agreement adopting the indemnity provisions in sub- section 7.1 in favor of the Indemnified Parties. In addition, Consultant shall require all non- design-professional sub-contractors, used or sub-contracted by Consultant to perform the Services or Work required under this Agreement, to obtain insurance that is consistent with the Insurance provisions as set forth in this Agreement, as well as any other insurance that may be required by Contract Officer. 8. RECORDS AND REPORTS 8.1 Reports. Consultant shall periodically prepare and submit to the Contract Officer reports concerning the performance of the services required by this Agreement, or as the Contract Officer shall require. 8.2 Records. Consultant shall keep complete, accurate, and detailed accounts of all time, costs, expenses, and expenditures pertaining in any way to this Agreement. Consultant shall keep such books and records as shall be necessary to properly perform the services required by this Agreement and enable the Contract Officer to evaluate the performance of such services. The Contract Officer shall have full and free access to such books and records at all reasonable 5 Revised:1/31118 720599.1 times, including the right to inspect, copy, audit, and make records and transcripts from such records. 8.3 Ownership .of Documents. All drawings, specifications, reports, records, documents, and other materials prepared by Consultant in the performance of this Agreement shall be the property of City. Consultant shall deliver all above-referenced documents to City upon request of the Contract Officer or upon the termination of this Agreement. Consultant shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights or ownership of the documents and materials. Consultant may retain copies of such documents for Consultant's own use. Consultant shall have an unrestricted right to use the concepts embodied in such documents. 8.4 Release of Documents. All drawings, specifications, reports, records, documents, and other materials prepared by Consultant in the performance of services under this Agreement shall not be released publicly without the prior written approval of the Contract Officer. 8.5 Cost Records. Consultant shall maintain all books, documents, papers, employee time sheets, accounting records, and other evidence pertaining to costs incurred while performing under this Agreement. Consultant shall make such materials available at its offices at all reasonable times during the term of this Agreement and for three (3) years from the date of final payment for inspection by City and copies shall be promptly furnished to City upon request. 9. ENFORCEMENT OF AGREEMENT 9.1 California Law. This Agreement shall be construed and interpreted both as to validity and to performance of the parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim, or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Riverside, State of California, or any other appropriate court in such county, and Consultant covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. 9.2 Interpretation. This Agreement shall be construed as a whole according to its fair language and common meaning to achieve the objectives and purposes of the Parties. The terms of this Agreement are contractual and the result of negotiation between the Parties. Accordingly, any rule of construction of contracts (including, without limitation, California Civil Code Section 1654) that ambiguities are to be construed against the drafting party, shall not be employed in the interpretation of this Agreement. The caption headings of the various sections and paragraphs of this Agreement are for convenience and identification purposes only and shall not be deemed to limit, expand, or define the contents of the respective sections or paragraphs. 9.3 Waiver. No delay or omission in the exercise of any right or remedy of a non- defaulting party on any default shall impair such right or remedy or be construed as a waiver. No consent or approval of City shall be deemed to waive or render unnecessary City's consent to or approval of any subsequent act of Consultant. Any waiver by either party of any default must be in writing. No such waiver shall be a waiver of any other default concerning the same or any other provision of this Agreement. 6 Revised:1/31/18 720599.1 9.4 Rights and Remedies are Cumulative. Except with respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are cumulative. The exercise by either party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other party. 9.5 Legal Action. In addition to any other rights or remedies, either party may take legal action, in law or in equity, to cure, correct, or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain injunctive relief, a declaratory judgment, or any other remedy consistent with the purposes of this Agreement. 10. CITY OFFICERS AND EMPLOYEES: NON-DISCRIMINATION 10.1 Non-Liability of City Officers and Employees. No officer or employee of City shall be personally liable to the Consultant, or any successor-in-interest, in the event of any default or breach by City or for any amount which may become due to the Consultant or its successor, or for breach of any obligation of the terms of this Agreement. 10.2 Conflict of Interest. Consultant acknowledges that no officer or employee of the City has or shall have any direct or indirect financial interest in this Agreement nor shall Consultant enter into any agreement of any kind with any such officer or employee during the term of this Agreement and for one year thereafter. Consultant warrants that Consultant has not paid or given, and will not pay or give, any third party any money or other consideration in exchange for obtaining this Agreement. 10.3 Covenant Against Discrimination. In connection with its performance under this Agreement, Contractor shall not discriminate against any employee or applicant for employment because of actual or perceived race, religion, color, sex, age, marital status, ancestry, national origin ( i.e., place of origin, immigration status, cultural or linguistic characteristics, or ethnicity), sexual orientation, gender identity, gender expression, physical or mental disability, or medical condition (each a "prohibited basis"). Contractor shall ensure that applicants are employed, and that employees are treated during their employment, without regard to any prohibited basis. As a condition precedent to City's lawful capacity to enter this Agreement, and in executing this Agreement, Contractor certifies that its actions and omissions hereunder shall not incorporate any discrimination arising from or related to any prohibited basis in any Contractor activity, including but not limited to the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for training, including apprenticeship; and further, that Contractor is in full compliance with the provisions of Palm Springs Municipal Code Section 7.09.040, including without limitation the provision of benefits, relating to non-discrimination in city contracting. 11. MISCELLANEOUS PROVISIONS 11.1 Notice. Any notice, demand, request, consent, approval, or communication that either party desires, or is required to give to the other party or any other person shall be in writing and either served personally or sent by pre-paid, first-class mail to the address set forth 7 Revised:1/31/18 720599.1 below. Notice shall be deemed communicated.seventy-two (72) hours from the time of mailing if mailed as provided in this Section. Either party may change its address by notifying the other party of the change of address in writing. To City: City of Palm Springs Attention: Director of Finance/City Clerk 3200 E. Tahquitz Canyon Way Palm Springs, California 92262 To Consultant: Bartel Associates, LLC Attention: Mary Elizabeth Redding 411 Borel Ave:,'Suite 101 San Mateo, CA 94402 11.2 Integrated Agreement. This Agreement contains all of the agreements of the parties and supersedes all other written agreements. 11.3 Amendment. No amendments or other modifications of this Agreement shall be binding unless through written agreement by all Parties. 11.4 Severability. Whenever possible, each provision of this Agreement shall be interpreted in such a manner as to be effective and valid under applicable law. In the event that any one or more of the phrases, sentences, clauses, paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by valid judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement, which shall be interpreted to carry out the intent of the parties. 11.5 Successors in Interest. This Agreement shall be binding upon and inure to the benefit of the Parties' successors and assignees. 11.6 Third Party Beneficiary. Except as may be expressly provided for in this Agreement, nothing contained in this Agreement is intended to confer, nor shall this Agreement be construed as conferring, any rights, including, without limitation, any rights as a third-party beneficiary or otherwise, upon any entity or person not a party to this Agreement. 11.7 Recitals. The above-referenced Recitals are hereby incorporated into the Agreement as though fully set forth in this Agreement and each Party acknowledges and agrees that such Party is bound, for purposes of this Agreement, by the same. 11.8 Authority. The persons executing this Agreement on behalf of the Parties warrant that they are duly authorized to execute this Agreement on behalf of Parties and that by so executing this Agreement the Parties are formally bound to the provisions of this Agreement. $ Revised:1/31/18 720599.1 IN WITNESS WHEREOF, the Parties have executed this Agreement as of the dates stated below. "CITY" E City of Palm Springs Date: April 26, 2019 B . t r, David H. Rea 1,f Ai' F '�''' ` ` � City Manager " APPROVED AS TO FORM: ATTEST By: By: rg; XAthony M City Clerk "CONSULTANT" BARTEL Associates, LLC Date: s7-al g By: Mary lklizab#th Redding Vice-President and Actuary ` E1 AT7,A dam` MD Not To Exceed $ Without The Express Written Authorization Of The CRY Manager. 9 Revised:1/31/18 720599.1 CALIFORNIA ALL-PURPOSE ACKNOWLEDGMENT CRRL CODE 1183 »>v x x.« ...........+s�arn,••,•• ••,•sa. ,x .�•,C r.r< +�+�.�,. r»ro^a z ray A mec oy pmblc w OtET dftw eaaq&timly t➢ria certi vsnTm=a j t➢a id=ty al its irrch6d aal lato sigead the dx ms=lbwtfmhthmcerffiamsas=7.hedlamidnattlftam hfmfnwz,mcwmT.crvaEdMy+aEs=dmon mt Cauc 7 of ) 'A2t6sSRNP9�tAtaRMativta+w-xn,.rrt---.,. -e ..e.s_.<.ary� Cm befom me. amb HEM lla=f P12arre mad a efts Gfff 9 CffWEr p-=m y app-red who prarued to me cn of<,..&ffacgory evidence be tics paman"utmes rmTtWa)iaeam -bad to the uffifu r haabnmmead and w1m mvledg8d to me$Iff IhaFrheRhey exsma the aaanrns in h-=lh 9TouRhmimd�ia*.sndtherd an the fay--am=antt Bporz m(q). ar the em5gy rrpan bOmff of avhich f is peaaaaeN acted.erg l;he ft=h nsaaL Q r srEfy under PENALTY OF PgL9 RY undertm of the 3faPe of Calftamia 96at the£meagdmg pwagffsph io true and ccnracL 914GBNESS mrg hand and efth aU ssaL igrusdnm� SigrnrStre®ff Pr&s€�jr Eac P&r.9MGkm3*ZsWAbay9 OPUGARL 7hVUgfn its-scEo n M aphom!Cams fafg ff=rfonmethrarr can rdWaraftrsfibn of ff a awed ar flsaacGn�enl'�rruLQaf farmibsaarmaE& d d MffnML DescsipUm of Aftnclied Doemnamt Tali. a,or Type of Domom mt Ub=areaa@ EkahE Num ber�b�ar cf Palge= SugnneutJj Cahar Tkm K2mad Abmuee- .� NJ`ro ac f-)Ckfx a by signer(s) uigrrer r.None: ognser.Name: ❑Ccgxznfe 05cer—Ti t9s ): ❑Coamcrate Officer—Trltlls(* ❑Padasr— ❑Unikd ❑Genns7a& ❑Partner— ❑United ❑Camnem9 ❑BndMdal ❑Atfimwf he Fad ❑lndMdLU ❑Ati`omwl In Fact ❑Tu -@se ❑Gunrdhn or Camaeawatar ❑Tn=fae ❑Staardaar or Camarv2tor ❑ofErsr_ ❑CMS Sigttsr EBspi aeo5mp Signer b Repra—aersEng: rFYcllllNsS®nrlNaffanyrA�oa>�rao-wubv-CBs� dalaryorg-9-0difDL1SMt�Cd�l(1� 3d�8EZ�J Elamd 10 Revised:1/31/18 720599.1 CALIFORNRA ALL-PURPOSE ACKNOWLEDGMENT CIVIL CODE § 1189 A notary public or other officer completing this certificate verifies onlythe identity of the individual who signed the document to which this certificate is attached,and not the truthfulness,accuracy,or validity of that document. State of California County of San Mateo/ On N /D l Z�17 before me, ELIEM LIU-LAM, NOTARY PUBLIC Date Here Insert Nome and Title of the Officer personally appeared A4 IQ Y r Z�BF,� �� D►I�� Nome(s) of Signer(s) who proved to me on the basis of satisfactory evidence to be the personka. whose name.(s) is/at-6-subscribed to the within instrument and acknowledged to me that hi5lshe/tiyey-executed the same in I,r�er/tl;Q* authorized capacity(i@W, and that by hWher/t4efrsignature(er—on the instrument the persor4sj or the entity upon behalf of which the person(sra-cted, executed the Instrument.' I certify under PENALTY OF PERJURY under the ELIEM LIU-LAM laws of the State of California that the foregoing �y COMM.#2238593 paragraph is true and correct. Ui `" �. NOTARY PUBLIC•CALIFORNIA> SAN MATEO COUNTY CO My Commission Expires WITNESS my hand and official seal. April 19.2022 Signature Place Notary Sebl and/or Stamp Above Signature of Notary Public OPTIONAL Completing this information can deter alteration of the document or fraudulent reattachment of this form to an unintended document. Description of Attached Document Title or Type of Document: Document Date: Number of Pages: Signer(s) Other Than Named Above: Capacity(ies) Claimed by Signer(s) Signer's Name: Signer's Name: ❑ Corporate Officer—Title(s): ❑ Corporate Officer—Title(s): ❑ Partner— ❑ Limited ❑ General ❑ Partner— ❑ Limited ❑ General ❑ Individual ❑ Attorney in Fact ❑ Individual ❑ Attorney in Fact ❑ Trustee ❑ Guardian of Conservator ❑ Trustee ❑ Guardian of Conservator ❑ Other: ❑ Other: Signer is Representing: Signer is Representing: ©2017 National Notary Association EXHIBIT "A" CONSULTANT'S SCOPE OF SERVICES/WORK Including, Schedule of Fees And Schedule of Performance 11 Revised:1/31/18 720599.1 EXHIBIT "B" INSURANCE PROVISIONS Including Verification of Coverage, Sufficiency of Insurers, Errors and Omissions Coverage, Minimum Scope of Insurance, Deductibles and Self-Insured Retentions, and Severability of Interests (Separation of Insureds) 12 Revised:1/31/18 720599.1 r •1 ... r w.�.fir�..J .�.,,.. ;..,..-Mi�'....e April 19,2019 Nancy Pauley Finance Director and Treasurer City of Palm Springs 3200 E.Tahquitz Canyon Way Pal in Springs,CA 92262 Re: City of Palm Springs—CaIPER:S Review and Rate Projections Dear Ms.Pauley: Bartel Associates would be happy to provide the City of Palm Springs actuarial consulting services. This letter outlines the scope of services we can provide, both initial services as discussed and additional. services the City might want to add later.Mary Beth Redding,who would be the City's primary consultant on this project, is a resident of Pasadena and would be able to meet with you in person to discuss this proposal. Background The City participates in CalPERS, providing: ■ Miscellaneous employees 2.7%@55 benefit;2%@60 for Tier 2 and PEPRA 2%cr,62 for new members after December 31,2012. ■ Safety employees 3%tr,50 benefit;•3%r@i@55 for Tier 2, and PEPRA 2.70/o@57 for new members after December 31,2012. CalPERS Board"has approved many changes which are still being phased into contribution rates: ■ Funding policy changes,phased-in over 5 years starting with 2015/16. ■ Demographic assumption changes,mainly mortality improvement,phased-in over 5-years from 2016/17. ■ Risk mitigation stinted, expected to lower investment risk and discount rates,resulting in higher employer contribution rates gradually over the next20 years or so. ■ A reduction in the discount rate to 7.0%. The decision was, in part,based on outside investment advisors' belief that investment returns over the next 10 years will be 6.2%,well below the 7.5%assumed return. ■ In February of 2018,CalPERS, approved amortization policy changes which will impact future amortization bases starting with June 30,2019 actuarial valuations. Investment gains and losses will be recognized over a shorter period,and the amortization method changed,both resulting in quicker recognition of investment gains and losses.These changes are expected to result in contribution increases over the next 10-15 years and greater contribution volatility. The City would like to understand its projected CalPERS contribution rates,taking into account all of these changes,as well as the reasons for the plans' current funded status. Additionally,the City may be interested in reviewing options to mitigate expected contribution volatility and pay down the unfunded liability more quickly, reducing the total interest paid. 411 13orel Amue,Suitc 101 •San:vIatco,cdifornia 94402 math:6150/377-1600 'fax:650/345.8057 0 web.www.bartel-associate:,.com Nancy Pauley April 19i 2019 Page 2 Project Scope anti-Deliverables Ca1PERS Jut e,30,2017 actuarial valuation reports(released in July 20.18)provide contribution. projections through 2024J25 including the impact of the discount rate redietion.to 7%0, tour analysis w�11- provide the City contribution rate projections over a longer period(though 2028.129,and bey-ond),,and include the impact of the-following which are not included in the C61PE-S projections. ''l~uture CiassieTier 2 and PEPRA hires ■. All of the changes described above Lower.expected investment returns over the next 10 years,and, i Investmentretum volatility,based on a model developed,by Bartel Associates. Deliverables:.include: ■� CaIPERS'Review: •. A comprehensive review of the City'sCalPERS program inciuding.analysis.oi:changes li the__ unfunded„liability.and contributions Suirirtiary ofhistorical information for the.Mlscellaneous and Satety plans:, - - . o Participant demographic in on. " c7 Contribution;rates ; o ;-F nda4atus Illustration-of cost$liarina options under;PEPRA;and feasibility ofleaving Cal1?ERS • Disct dor��i tl>e unfunded liability •: 1n p rsnameetil "to review,the analysis. Typically-this ineetia lasts'1-112 to 2 hours;so that all topics cart be.covered`in.as hiuch-detail as you would like. ■ Conmbution ,rajections-(pe or 10and 30 years: of aY andAollars f - Witt`and without EPMC/employee cost.sharing,(if gpy):and Witl 'and"witht3ut tite-1'}C)B`-debt service: 71ie 10-year'contribution projections are broken down by: UAL.,.arriortization;payrrinfs, `',. POB'.dirbt service,and:: . EPi1�IClcostaharing(ifany), - Finally,t5iir projections illustrate prhential eonti ibutiot levels if CalP1 RS lnvestnientretuin is generally better or worsetltan.expected ; ■ 13nefwrtten saminary update offiinded status and ret7uired_contribition rate aftet;CaIPERS Issues 6I30118 ald b130119 valuation re urthn2019a2b2ports in 0 ■ I?en�ion in andand supplemental trust analysts • Compare sayings for cantributing,additional amounts to.Ca1PERS vs. a Section I l supplemental trust, inclu lin savin¢ fora offset tam 6lPERS:'amortization bases short oz lonrr or a fresh start pl ( a) Results are shown separately for theivliscellayibo"' nd Safety plans y: Includes inodelin one contnbutic ri-payment scenari6 hr.each CAPERS and Section 14 Trust option Calculate the interest savings in current dollars and on a present value basis ■ City Council presentation VVe are available ro present the results of our analysis to flie arty Council We also apeal.to"einpioyee groups or at pp, ic�,workshops on t}ys topic ■ (Optional)OPEB review&Analysis < •. Revicw the OPEB plan and estimate impact of options for prefundinb the Ol'1 131iabil ty `- ail T3orei;Aseni7c;'Surte;l •Safi lltec4�;`alrf 9440 ma in.65{3J377-lfib 7 .•fat G56J345 3057 !rveG wwvr baitd as80"."'k s ccjm Nancy Pauley April'19,2019 ' Page 3 •- Discuss rationale for prefunding OPEB liabilities and considerations for prefunding either the OPEB or : pension liabilities. Fees The following table summarizes the possible projects and fee estimates: Project Options Not To Exceed- 1. Ca1PERS review and baseline contribution projections, including in-person meeting with City staff 2. Pension pre-.funding and supplemental trust analysis $12,500 3. Council presentation(assumes no additional materials are rewired) 4. Written summary update following issuance.of Ca1PER5 valuation reports.in 2019 and 2020. 5. (Optional)OPEB.analysis. 4,000 Please note: ■ We will bill the City at.the following hourly rates(rates include provision for miscellaneous expenses)up to the not-to-exceed amount above: Position 2019,Houri Rate Partner&Vice.President(Redding $290 Assistant Vice President Lin 260 Associate Actuary 210 Senior Actuarial Analyst 190 - Actuarial Analyst, 1.55 ■ Ttie above time is estimated and does not include time for • More'than 2 meetings. Our-CaIPERS review-fees(item I above)include one meeting with City staff to.,.'. discuss results,in addition to the City Council meeting. • More-than 1 scenario for pension supplemental trust projections: " Data Required ; To complete our review,please provide: ■. Details ofany'Employer Paid Member Contributions-(EPMC) I Details of any employee cost-sharing agreements ■ The debt service schedules.for the City's pension<obligation;bond,separately for Miscellaneous and Safety' ' ■ Copies ofthe Miscellaneous and Safety actuarial valuation reports as ofJune 30,2006 through June 30,2014: (We have gopies ofthe June 30,2012 and 2014 Safety valuation reports so those are not needed. We-also have,,. copies of,tle more recent valuation reports-.from Cal P.ERS,website).: ■ Other CaIP13RS correspondence,if appropriate.. Timing We are prepared to begin-thi's project immediately and can seta meeting date,as soon as we receive the above information, Initial meeting dates are usualty'sei approximately 4-5 weeks after%ve-receive the 411 Tiord nue,Suite"101 •San M teo,falifaxnia 94,402 - main:.650/377-1600 •fax:650/345-8057 •web:www.bactel-associates.com g �+ 11, ,- �,n,< ^ ,. ,:. s , . _. , . - Nancy Pauley x Apri119,2019 Pa 'e d B > _,. g ,. actuarial mfortnation Wevi I not beg. kk.on thepreMding and suppl Ynental trust analysis until requested . . . . f.. Please let us know if you have any:r{ucstions about our proposal . - . . ,;�-^ , . Sincerely, `. Ma Eliiabeth Roddin t�S q g,.. . dice wPre'sid6at and Actuate ;- _. e Bianca Un,'Bartel l ssociates,LZ ". a O�afvm$C4"Ot nS}xf .WsLil1F.9APa1mSSsx3n Cz20i9.8ir79C21PEASSf+idvfceldtsr.ilo ifl s' , r5 ,."' y Z �` Y§ A h D+' y Y axe : >k. ... _ ..,: . .,.... : - A r � 9, -s' Tvs ..3. �� .. . _ t .. _ .: -.... .... d 3 A- i� ll� yam,^ . Y 41 .• ..5 ! ry Y 11 Y d i t �; 1. EYz Z J r 3 t r } 'y T 3 .. x i : 1. r !" v- r `' - �' ,, Li' ';y t 2 i r "r a s ,�` z, x y s s -Y3 F Im 34 x S * 3 T� - - e h v 9 .�; z : k 5 �. `"1 " � ,_ ° L A11zsxe Evcwxuc �urte 1�1 •Sn Ittz a,Calstirus 9�4402 �� > , a il r ; �tiraan bQ/37711� •fax:650J3� 3�}5,' -'uieb cvw' t�a�zclssr�cta cz�m ; . . . , INSURANCE 1. Procurement and Maintenance of Insurance. Consultant shall procure and maintain public liability and property damage insurance against all claims for injuries against persons or damages to property resulting from Consultant's performance under this Agreement. Consultant shall procure and maintain all insurance at its sole cost and expense, in a form and content satisfactory.to the City, and submit concurrently with its execution of this Agreement. Consultant shall also carry workers' compensation insurance in accordance with California workers' compensation laws. Such insurance shall be kept in full force and effect during the term of this Agreement, including any extensions. Such insurance shall not be cancelable without thirty(30) days advance written notice to City of any proposed cancellation. Certificates of insurance evidencing the foregoing and designating the City, its elected officials, officers, employees, agents, and volunteers as additional named insureds by original endorsement shall be delivered to and approved by City prior to commencement of services. The procuring of such insurance and the delivery of policies, certificates, and endorsements evidencing the same shall not be construed as a limitation of Consultant's obligation to indemnify City, its elected officials, officers, agents, employees,and volunteers. 2. Minimum Scope of Insurance. The minimum amount of insurance required under this Agreement shall be as follows: 1. Comprehensive general liability and personal injury with limits of at least one million dollars ($1,000,000.00) combined single limit coverage per occurrence and two million dollars ($2,000,000) general aggregate; 2. Automobile liability insurance with limits of at least one million dollars ($1,000,000.00) per occurrence; 3. Professional liability (errors and omissions) insurance with limits of at least one million dollars ($1,000,000.00) per occurrence and two million dollars ($2,000,000) annual aggregate is: X required is not required; 4. Workers' Compensation insurance in the statutory amount as required by the State of California and Employer's Liability Insurance with limits of at least one million dollars $1 million per occurrence. If Consultant has no employees, Consultant shall complete the City's Request for Waiver of Workers' Compensation Insurance Requirement form. 3. Primary Insurance. For any claims related to this Agreement, Consultant's insurance coverage shall be primary with respect to the City and its respective elected officials, officers, employees, agents, and volunteers. Any insurance or self-insurance maintained by City and its respective elected officials, officers, employees, agents, and volunteers shall be in excess of Consultant's insurance and shall not contribute with it. For Workers' Compensation and Employer's Liability Insurance only, the insurer shall waive all rights of subrogation and 13 Revised:1/31118 720599.1 contribution it may have against City, its elected officials, officers, employees, agents, and volunteers. 4. Errors and Omissions Coverage. If Errors & Omissions Insurance is required, and if Consultant provides claims made professional liability insurance, Consultant shall also agree in writing either(1) to purchase tail insurance in the amount required by this Agreement to cover claims made within three years of the completion of Consultant's services under this Agreement, or (2) to maintain professional liability insurance coverage with the same carrier in the amount required by this Agreement for at least three years after completion of Consultant's services under this Agreement. Consultant shall also be required to provide evidence to City of the purchase of the required tail insurance or continuation of the professional liability policy. _ 5. Sufficiency of Insurers. Insurance required in this Agreement shall be provided by authorized insurers in good standing with the State of California. Coverage shall be provided by insurers admitted in the State of California with an A.M. Best's Key.Rating'of B++, Class VII, or better, unless otherwise acceptable to the City. 6. Verification of Coverage. Consultant shall furnish City with both certificates of insurance and endorsements, including additional insured endorsements, effecting all of the coverages required by this Agreement. The certificates and endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All proof of insurance is to be received and approved by the City before work commences. City reserves the right to require Consultant's insurers to provide complete, certified copies of all required insurance policies at any time. Additional insured endorsements are not required for Errors and Omissions and Workers' Compensation policies. Verification of Insurance coverage may be provided by: (1) an approved General and/or Auto Liability Endorsement Form for the City of Palm Springs or(2) an acceptable Certificate of Liability Insurance Coverage with an approved Additional Insured Endorsement with the following endorsements stated on the certificate: 1. "The City of Palm Springs, its officials, employees, and agents are named as an additional insured... " ("as respects City of Palm Springs Contract No. " or 'for any and all work performed with the City"may be included in this statement). 2. "This insurance is primary and non-contributory over any insurance or self- insurance the City may have..." ("as respects City of Palm Springs Contract No. or 'for any and all work performed with the City" may be included in this statement). 3. "Should any of the above described policies be canceled before the expiration date thereof, the issuing company will mail 30 days written notice to the Certificate Holder named." Language such as, "endeavor to" mail and "but failure to mail such notice shall impose no obligation or liability of any kind upon the company, its agents or representative" is not acceptable and must be crossed out. 14 Revised:1/31118 720599.1 4. Both the Workers' Compensation and Employers' Liability policies shall contain the insurer's waiver of subrogation in favor of City, its elected officials, officers, employees, agents, and volunteers. In addition to the endorsements listed above, the City of Palm Springs shall be named the certificate holder on the policies. All certificates of insurance and endorsements are to be received and approved by the City before work commences. All certificates of insurance must be authorized by a person with authority to bind coverage, whether that is the authorized agent/broker or insurance underwriter. Failure to obtain the required documents prior to the commencement of work shall not waive the Consultant's obligation to provide them. 7. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City prior to commencing any work or services under this Agreement. At the option of the City, either (1) the insurer shall reduce or eliminate such deductibles or self-insured retentions with respect to the City, its elected officials, officers, employees, agents, and volunteers; or (2) Consultant shall procure a bond guaranteeing payment of losses and related investigations, claim administration, and defense expenses. Certificates of Insurance must include evidence of the amount of any deductible or self-insured retention under the policy. Consultant guarantees payment of all deductibles and self-insured retentions. 8. Severability of Interests (Separation of Insureds). This insurance applies separately to each insured against whom claim is made or suit is brought except with respect to the limits of the insurer's liability. 15 Revised:1/31/18 720599.1 CITY OF PALM SPRINGS, CA CONFLICT OF INTEREST AND NON-DISCRIMINATION CERTIFICATION Conflict of Interest. Contractor acknowledges that no officer or employee of the City has or shall. have any direct or indirect financial interest in this Agreement nor shall Contractor enter into any agreement of any kind with any such officer or employee during the term of this Agreement and for one year thereafter. Contractor warrants that Contractor has not paid or given, and will not pay or give, any third party any money or other consideration in exchange for obtaining this Agreement. Covenant Against Discrimination. In connection with its performance under this Agreement, Contractor shall not discriminate against any employee or applicant for employment because of actual or perceived race, religion, color, sex, age, marital status, ancestry, national origin ( i.e., place of origin, immigration status, cultural or linguistic characteristics, or ethnicity), sexual orientation, gender identity, gender expression, physical or mental disability, or medical condition (each a "prohibited basis").. Contractor shall ensure that applicants are employed, and that employees are treated during their employment, without regard to any prohibited basis. As a condition precedent to City's lawful capacity to enter this Agreement, and in executing this Agreement, Contractor certifies that its actions and omissions hereunder shall not incorporate any discrimination arising from or related to any prohibited basis in any Contractor activity, including but not limited to the following: employment, upgrading, demotion or transfer; recruitment or recruitment advertising; layoff or termination; rates of pay or other forms of compensation; and selection for.training, including apprenticeship; and further, that Contractor is in full compliance with the provisions of Palm Springs Municipal Code Section 7.09.040, including without limitation the provision of benefits, relating to non-discrimination in city contracting. NAME OF CONTRACTOR/VENDOR: ✓a I k,I AS Soc-t`e 4 S LL e NAME and TITLE of Authorized Representative: , / (Print) ► RCj C �r^arc s h r�d i�M1 5 , V Ce �/eS Signature and Date of Authorized Representative: (Sign) (Date) 5-If Iut? LM S,o PUBLIC INTEGRITY DISCLOSURE APPLICANT DISCLOSURE FORM Gq</FORN�P, 1. Name of Entity Bartel Associates, LLC 2. Address of Entity(Principle Place of Business) 411 Bore[Ave,Suite 101,San Mateo,CA 94402 3. Local or California Address(if different than#2) 4. State where Entity is Registered with Secretary of State CA If other than Califomia, is the Entity also registered in Califomia? Yes No 5. Type of Entity ❑Corporation ®Limited Liability Company ❑Partnership ❑Trust ❑Other(please specify) 6. Officers, Directors, Members, Managers, Trustees, Other Fiduciaries (please specify) Note: if any response is not a natural person, please identify a# officers, directors, members, managers and other fiduciaries for the member, manager, trust or other entity John E. Bartel [?q Officer ❑Director ❑Member ❑Manager [name] ❑General Partner ❑Limited Partner ❑Other Doug L Pryor ❑X Officer ❑Director ❑Member ❑Manager [name] ❑General Partner ❑Limited Partner ❑Other Mary Elizabeth Redding ®Officer ❑Director ❑Member ❑Manager [name] ❑General Partner ❑Limited Partner ❑Other and Marilyn M. Oliver, Officer CITY OF PALM SPRINGS-PUBLIC INTEGRITY DISCLOSURE APPLICANT DISCLOSURE FORM Page 1 of 2 (Revised 09 13 18) 7. Owners/Investors with a 5% beneficial interest in the Applicant Entity or a related entity EXAMPLE JANE DOE 505v.,ABC COMPANY, Inc. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] A. John E Bartel 49.63%owner, Bartel Associates, LLC [name of owner/investor] [percentage of beneficial interest in entity and name of entity] B. .Doug L. Pryor 17.50%owner, Bartel Associates, LLC [name of owner/investor] [percentage of beneficial interest in entity and name of entity] C. Mary Elizabeth Redding 19.26%owner, Bartel Associates, LLC [name of owner/investor] [percentage of beneficial interest in entity and name of entity] D. Marilyn M Oliver 11.25%owner, Bartel Associates, LLC [name of owner/investor] [percentage of beneficial interest in entity and name of entity] E. [name of owner/investor] [percentage of beneficial interest in entity and name of entity] I DECLARE UNDER PENALTY OF PERJURY UNDER THE LAWS OF THE STATE OF CALIFORNIA THAT THE FOREGOING IS TRUE AND CORRECT. Signature of Disclosing Party, Printed Name,Title Date r� 4/0 k(� Mary lizabeth Redding,Vice President CITY OF PALM SPRINGS—PUBLIC INTEGRITY DISCLOSURE FORM APPLICANT DISCLOSURE FORM Page 2 of 2 (Revised 09 13.18) i, ,ac RD® CERTIFICATE OF LIABILITY INSURANCE DATE(MM/DDIYYYY) 09/11/2018 THIS CERTIFICATE IS ISSUED AS A MATTER OF INFORMATION ONLY AND CONFERS NO RIGHTS UPON THE CERTIFICATE HOLDER. THIS CERTIFICATE DOES NOT AFFIRMATIVELY OR NEGATIVELY AMEND, EXTEND OR ALTER THE COVERAGE AFFORDED BY THE POLICIES BELOW. THIS CERTIFICATE OF INSURANCE DOES NOT CONSTITUTE A CONTRACT BETWEEN THE ISSUING INSURER(S), AUTHORIZED REPRESENTATIVE OR PRODUCER,AND THE CERTIFICATE HOLDER. IMPORTANT: If the certificate holder is an ADDITIONAL INSURED,the,policy(ies)must have ADDITIONAL INSURED provisions or be endorsed. If SUBROGATION IS WAIVED, subject to the terms and conditions of the policy, certain policies may require an endorsement. A statement on this certificate does not confer rights to the certificate holder in lieu of such endorsement(s). PRODUCER CONTACT Cathy Service Van Wyke-Stahl Sargeant Insurance Agency,LLC. PnHrcNr o Ext: (818)561-2600 A No): (818)436-5988 7740 Painter Avenue#210 E-MAIL ADDRESS: INSURERS AFFORDING COVERAGE NAIC# Whittier CA 90602 INSURERA: Liberty Mutual Insurance 24082 INSURED INSURERB: EMPLOYERS PREFERRED INS.CO. 10346 INSURERC: Indian Harbor Insurance Co 36940 BARTEL ASSOCIATES,LLC INSURER D: 411 BOREL AVE STE 101 INSURER E SAN MATEO CA 94402-3525 INSURERF: =J COVERAGES CERTIFICATE NUMBER: REVISION NUMBER: THIS IS TO CERTIFY THAT THE POLICIES OF INSURANCE LISTED BELOW HAVE BEEN ISSUED TO THE INSURED NAMED ABOVE FOR THE POLICY PERIOD INDICATED. NOTWITHSTANDING ANY REQUIREMENT, TERM OR CONDITION OF ANY CONTRACT OR OTHER DOCUMENT WITH RESPECT TO WHICH THIS CERTIFICATE MAY BE ISSUED OR MAY PERTAIN, THE INSURANCE AFFORDED BY THE POLICIES DESCRIBED HEREIN IS SUBJECT TO ALL THE TERMS, EXCLUSIONS AND CONDITIONS OF SUCH POLICIES.LIMITS SHOWN MAY HAVE BEEN REDUCED BY PAID CLAIMS. I�TR TYPE OF INSURANCE ADDL SUBR POLICY NUMBER MM DDPLICY MM DDfYYYY LIMITS X COMMERCIALGENERALLIABILITY EACH OCCURRENCE S 2,000,000.00 CLAIMS-MADE �OCCUR PREMISES Ea occurrence)nce S 2,000,000.00 MED EXP(Any one person) S 15,000.00 A Y BKS(19)57 29 73 74 09/01/2018 09/01/2019 PERSONAL&ADV INJURY S 2,000,000.00 GEN'L AGGREGATE LIMIT APPLIES PER: GENERAL AGGREGATE $ 4,000,000.00 X POLICY PRO- JECT LOC ✓ PRODUCTS-COMP/OPAGG .$ 4,000,000.00 OTHER: $ AUTOMOBILE LIABILITY COMBINED SINGLE LIMIT $ 1�,000,000.00 Ea accident). ANY AUTO BODILY INJURY(Per person) $ A OWNED SCHEDULED Y BAS 19 57297374 09/01/2018 09/01/2019 BODILY INJURY(Per S AUTOS ONLY AUTOS ( ) ( er accident) X HIRED �/ NON-OWNED / PROPERTY DAMAGE AUTOS ONLY /� AUTOS ONLY / Per acc dent S 5 UMBRELLA LIAB OCCUR EACH OCCURRENCE S EXCESS LIAR HCLAIMS-MADE AGGREGATE S DED I I RETENTIONS s WORKERS COMPENSATION X PER OTH- AND EMPLOYERS'LIABILITY STATUTE ER ANYPROPRIETOR/PARTNER/EXECUTIVE YIN E.L.EACH ACCIDENT $ 1,000,000.00 B OFFICER/MEMBER EXCLUDED? N/A Y EIG 2685705-00 09/01/2018 09/01/2019 (Mandatory In NH) / E.L.DISEASE-EA EMPLOYEE S 1,000,000.00 If yes,describe under V/ DESCRIPTION OF OPERATIONS below E.L.DISEASE-POLICY LIMIT S 1,000,000.00 Professional Liability EachClaim D MPP001715214 09/04/2018 09/04/2019 Annual Aggregate 5,000,000.00 DESCRIPTION OF OPERATIONS/LOCATIONS/VEHICLES (ACORD 101,Additional Remarks Schedule,may be attached if more space is required) CITY OF PALM SPRINGS,IT'S OFFICERS,DIRECTORS,EMPLOYEES,AGENTS AND VOLUNTEERS ARE HEREBY NAMED AS AN ADDITIONAL INSURED BY CONTRACT ON POLICY#BKS(19)57297374 and 19 57297374 AS RESPECTS TO OPERATIONS OF THE NAMED INSURED ONLY, ��G0O.COVERAGE UNDER POLICY#BKS(19)57297374&BAS 19)57297374 IS PRIMARY AND NON-CONTRIBUTORY ABOVE ANY OTHER INSURANCE THE CERTIFICATE HOLDER(S)MAY CARRY.30 DAY NOTICE OF CANCELLATION. CERTIFICATE HOLDER CANCELLATION SHOULD ANY OF THE ABOVE DESCRIBED POLICIES BE CANCELLED BEFORE THE EXPIRATION DATE THEREOF, NOTICE WILL BE DELIVERED IN City of Palm Springs ACCORDANCE WITH THE POLICY PROVISIONS. ATTN:DIRECTOR OF FINANCE AND TREA 3200 Tahquitz Canyon Way AUTHORIZED REPRESENTATIVE Palm Springs, CA 98765 Adew 4- 1988-2015 ACORD CORPORATION. All rights reserved. ACORD 25(2016103) The ACORD name and logo are registered marks of ACORD 'POLICY NUMBER: BKS (19) 57 29 73 74 COMMERCIAL GENERAL LIABILITY CG 2010 0413 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. ADDITIONAL INSURED - OWNERS, LESSEES OR CONTRACTORS - SCHEDULED PERSON OR ORGANIZATION This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART SCHEDULE Name Of Additional Insured Person(s) Or Organization(s) Locations Of Covered Operations City of Palm Springs, it's.officials, officers,employees, agents and Volunteers. ALL LOCATIONS OF THE NAMED INSURED Information required to complete this Schedule, if not shown above,will be shown in the Declarations. A. Section II — Who Is An Insured is amended to B. With respect to the insurance afforded to these include as an additional insured the person(s) or additional insureds, the following additional organization(s) shown in the Schedule, but only exclusions apply: with respect to liability for"bodily injury", "property This insurance does not apply to "bodily injury" or damage or personal and advertising injury "property damage"occurring after: caused, in whole or in part, by: 1. Your acts or omissions; or 1. All work, including materials, parts or equipment furnished in connection with such 2. The acts or omissions of those acting on your work, on the project (other than service, behalf; maintenance or repairs) to be performed by or in the performance of your ongoing operations for on behalf of the additional insured(s) at the the additional insured(s) at the location(s) location of the covered operations has been designated above. completed; or However: 2. That portion of "your work" out of which the 1 injury or damage arises has been ,put to its . The insurance afforded to such additional intended use by any person or organization insured only applies to the extent permitted by other than another contractor or subcontractor law; and engaged in performing operations for a 2. If coverage provided to the additional insured is principal as a part of the same project. required by a contract or agreement, the insurance afforded to such additional insured f will not be broader than that which you are required by the contract or agreement to provide for such additional insured. CG 2010 0413 C Insurance Services Office, Inc., 2012 Page 1 of 2 C. With respect to the insurance afforded to these 2. Available under the applicable Limits of additional insureds, the following is added to Insurance shown in the Declarations; Section III—Limits Of Insurance: whichever is less. If coverage provided to the additional insured is This endorsement shall not increase the required by a contract or agreement, the most we applicable Limits of Insurance shown in the will pay on behalf of the additional insured is the Declarations. amount of insurance: 1. Required by the contract or agreement; or Page 2 of 2 0 Insurance Services Office, Inc., 2012 CG 2010 0413 COMMERCIAL GENERAL LIABILITY BARTEL ASSOCIATES, LLC. POLICY# BU (19) 57297374& BAS (19) 57297374 CG 20 01 0413 THIS ENDORSEMENT CHANGES THE POLICY. PLEASE READ IT CAREFULLY. PRIMARY AND NONCONTRIBUTORY - OTHER INSURANCE CONDITION This endorsement modifies insurance provided under the following: COMMERCIAL GENERAL LIABILITY COVERAGE PART PRODUCTS/COMPLETED OPERATIONS LIABILITY COVERAGE PART The following is added to the Other Insurance (2) You have agreed in writing in a contract or Condition and supersedes any provision to the agreement that this insurance would be contrary: primary and would not seek contribution Primary And Noncontributory Insurance from any other insurance available to the This insurance is primary to and will not seek additional insured. contribution from any other insurance available to an additional insured under your policy provided that: (1) The additional insured is a Named Insured under such other insurance; and CG 20 01 0413 ©Insurance Services Office, Inc., 2012 Page 1 of 1 WORKERS COMPENSATION AND EMPLOYERS LIABILITY INSURANCE POLICY WC 04 03 06 (Ed. 4-84) r WAIVER OF OUR RIGHT TO RECOVER FROM OTHERS ENDORSEMENT-CALIFORNIA We have the right to recover our payments from anyone liable for an injury covered by this policy. We will not enforce our right against the person or organization named in the Schedule. (This agreement applies only to the extent that you perform work under a written contract that requires you to obtain this agreement from us.) You must maintain payroll records accurately segregating the remuneration of your employees while engaged in the work described in the Schedule. The additional premium for this endorsement shall be 2 % of the California workers'compensation premium otherwise due on such remuneration. Schedule Person or Organization Job Description ANY PERSON OR ORGANIZATION FOR WHOM THE NAMED INSURED HAS AGREED BY WRITTEN CONTRACT TO FURNISH THIS WAIVER. This policy is subject to a minimum charge of$250 for the issuance of waivers of subrogation This endorsement changes the policy to which it is attached and is effective on the date issued unless otherwise stated. (The information below is required only when this endorsement is issued subsequent to preparation of the policy.) This endorsement, effective 09/01/2018 at 12:01 AM standard time, forms a part of Policy No. EIG 2685705 00 Of the EMPLOYERS PREFERRED INS. CO. Carrier Code 00920 Issued to BARTEL ASSOCIATES LLC Endorsement No. Premium $5,437 Countersigned at on By: Authorized Representative WC 04 03 06 (Ed. 4-84) ©1998 by the Workers'Compensation Insurance Rating Bureau of California.All rights reserved. ic'::h��11:":(I,<;:, >�,✓°S;i=;'',I i'.C,ifti'`.[ si14'l:":I :�1�� �l,v:aa`�'�ia �,"i 9'ia",I' ..'o-,`';;,4'I File Edit Generate Letters Transactions Reports Maintenance Quit •.._ Gen.Letters Transactiuus' — Reports talainYe11a11ce Help �- C->:it Pi og r_ ..., ,.,� . . _.,—.—_�_ _ �•— ��ry�,j��$t~nV`��il' �`iCD. y,���qhh ,—�•,;i'I �fi.,'gl'"',1 f11w` ^'•'i,•Y�• i.—^ . —`-- .—. — _.. _ _ __ .. i `Documenttt: A5441 Group: FINANCE Aclive Document Description: Consulting services for CalPers actuarial review Financials . Approval Date: 03ME12007 Expire.hate: Ff i Closed uate: i 1-- -------_ Owed: 0.00 - _ Company. B°Ortcl Associates,LLC XRef: CP,AI:GPWES 760 323-3229 ' Paid: t7 00 Contact: John Bartel,President — Ph: ( ) - - Ext: Address: J411 Sorel,avenue,suite 445 Bal: l7.OG Address: j City. San Nfateo St: CA, Zip: 94402 Country: amen: - - - - -_ Service: In File Insurance Status: A policy will expire soon Document Tracking Items (D61 click heading to Sort) Nts TI I;il Y,1 LITe Cade Itern Gue t3; Garnpleted rimt dded Arnt ' Mn 0 03flU2007 jkdh CM signed- F j03A9120071 0.00j000 ILI r —f -- ILI f T. l 4. - {.. r -- CONSULTING SERVICES AGREEMENT With Bartel Associates, LLC for Actuarial Consulting Services THIS AGREEMENT FOR CONSULTING SERVICES (the "Agreement") is made and entered into this allay of March. 2007, by and between the City of Palm Springs, a California charter city and municipal corporation ("City"), and Bartel Associates, LLC, ("Consultant"). RECITALS A. City requires the services of an Actuarial Services Consultant for CalPERS actuarial review("Project"). B. Consultant has submitted to City a proposal to provide Actuarial Consulting services to City pursuant to the terms of this Agreement. C. Based on its experience, education, training, and reputation, Consultant is qualified to provide the necessary services to City for,the Project and desires to provide such services. D. City desires to retain the services of Consultant for the Project. NOW, THEREFORE, in consideration of the promises and mutual agreements contained herein, City agrees to retain and does hereby retain Consultant and Consultant agrees to provide services to the City as follows: AGREEMENT 1. CONSULTANT SERVICES 1.1 Scoff Services. In compliance with all terms and conditions of this Agreement, Consultant shall provide Ca1PERS actuarial information review and consulting services to City as described in the Scope of Services/Work attached to this Agreement as Exhibit"A" and incorporated herein by reference (the"services" or "work"), which includes the agreed upon schedule of performance and the schedule of fees. Consultant warrants that all services and work shall be performed in a competent, professional, and satisfactory manner in accordance with all standards prevalent in the industry_ In the event of any inconsistency between the terms contained in the Scope of Services/Work and the terms set forth in the main body of this Agreement, the terns set forth in the main body of this Agreement shall govern. 1.2 Compliance with Law. All services rendered under this Agreement shall be provided in accordance with all laws, ordinances, resolutions, statutes, rules, and regulations of City and any federal, state, or local governmental agency of competent jurisdiction. 1.3 Licenses and Permits. Consultant shall obtain at its sole cost and expeuse such licenses, permits, and approvals as may be required by law for the performance of the services required by this Agreement. 507539.2 t Revised:M9107 1A Familiarity with Work. By executing this Agreement, Consultant warrants that it has carefully considered how the work should be performed and fully understands the facilities, difficulties, and restrictions attending performance of the work under this Agreement. 2. TIME FOR COMPLETION_ The time for completion of the services to be performed by Consultant is an essential condition of this Agreement. Consultant shall prosecute regularly and diligently the work of this .Agreement according to the agreed upon schedule of performance set forth in Exhibit "A". Consultant shall not be accountable for delays in the progress of its work caused by any condition beyond its control and without the fault or negligence of Consultant. Delays shall not entitle Consultant to any additional compensation regardless of the party responsible for the delay. 3. COMPENSATION OF CONSULTANT 3.1 CoMensation of Consultant. For the services rendered pursuant to this Agreement, Consultant shall be compensated and reimbursed,in accordance with the schedule of fees set forth in Exhibit"A,"which total amount shall not exceed S 10 000.00. 3.2 Method of Payment. In any month in which Consultant wishes to receive payment, Consultant shall no later than the first working day of such month, submit to City in the form approved by City's Controller, an invoice for services rendered prior to the date of the invoice. Payments shall be based on the hourly rates as set forth in Exhibit"A" for authorized services performed. City shall pay Consultant for all expenses stated thereon, which are i approved by City consistent with this Agreement, within thirty (30) days of receipt of Consultant's invoice. 3.3 Changes. In the event any change or changes in the Scope of Services/Work is requested by City, the parties hereto shall execute a written, amendment to this Agreement, setting forth with particularity all terms of such amendment, including, but not limited to, any i additional fees. An amendment may be entered into: A. To provide for revisions or modifications to documents or other work product or work when documents or other work product or work is required by the enactment or revision of law subsequent to the preparation of any documents, other work product, or work; B. To provide for additional services not included in this Agreement or not customarily famished in accordance with generally accepted practice in Consultant's profession. 3.4 Appropriations_ This Agreement is subject to and contingent upon funds being appropriated therefore by the City Council of City for each fiscal year covered by the Agreement. If such appropriations are not made, this Agreement shall automatically terminate without penalty to City. 4. PERFORMANCE SCHEDULE 4.1 Time of Essence, Time is of the essence in the performance of this Agreement. 2 Revised:2109107 5076392 4.2 Schedule of Performance. All services rendered pursuant to this Agreement shall be performed pursuant to the agreed upon schedule of performance set forth in Exhibit"A". The extension of any time period must be approved in writing by the Contract Officer. 4.3 Force Maieure. The time for performance of services to be rendered pursuant to this Agreement may be extended because of any delays due to unforeseeable causes beyond the control and without the fault or negligence of Consultant, including, but not limited to, acts of God or of a public enemy, acts of the government, fires, earthquakes, floods, epidemic, quarantine restrictions, riots, strikes, freight embargoes, and unusually severe weather if Consultant shall within ten(10) days of the commencement of such condition notify the Contract Officer who shall thereupon ascertain the facts and the extent of any necessary delay, and extend the time for performing the services for the period of the enforced delay when and if in the Contract Officer's judgment such delay is justified, and the Contract Officer's determination shall be final and conclusive upon the parties to this Agreement. 4.4 Term. Unless earlier terminated in accordance with Section 8.5 of this Agreement, this Agreement shall continue in full force and effect for a period of three months (90 days), commencing on March 9, 2007, and ending on June 9, 2007, unless extended by mutual written agreement of the parties. S. COORDINATION OF WORK 5.1 Representative of Consultant. The following principal of Consultant is hereby designated as being the principal and representative of Consultant authorized to act in its behalf with respect to the services and work specified herein and make all decisions in connection therewith: John E. Bartel, President- It is expressly understood that the experience, knowledge, education, capability, and reputation of the foregoing principal is a substantial inducement for City to enter into this Agreement. Therefore, the foregoing principal shall be responsible during the term of this Agreement for directing all activities of Consultant and devoting sufficient time to personally supervise the services hereunder. The foregoing principal may not be changed by Consultant without prior written approval of the Contract Officer. 5.2 Contract Officer, The Contract Officer shall be the City Manager, or his/her designee. It shall be the Consultant's responsibility to keep the Contract Officer, or his/her designee, fully informed of the progress of the performance of the services and Consultant shall refer any decisions that must be made by City to the Contract Officer. Unless otherwise specified herein, any approval of City required hereunder shall mean the approval of the Contract Officer. 5.3 Prohibition Against Subcontracting or Assignment. The experience, knowledge, education, capability, and reputation of Consultant, its principals and employees, were a substantial inducement for City to enter into this Agreement. Therefore, Consultant shall not contract with any other individual or entity to perform in whole or in part the services required hereunder without the express written approval of City. In addition, neither this Agreement nor any interest herein may be assigned or transferred, voluntarily or by operation of law, without the prior written approval of City. Sn76392 3 Revised:M9107 i 5.4 Independent Contractor. Neither City nor any of its employees shall have any control over the manner, mode, or means by which Consultant, its agents or employees,perform the services required herein, except as otherwise set forth herein. Consultant shall perform all services required herein as an independent contractor of City and shall not be an employee of City and shall remain at all times as to City a wholly independent contractor with only such obligations as are consistent with that role; however, City shall have the right to review Consultant's work product, result, and advice. Consultant shall not at any time or in any manner represent that it or any of its agents or employees are agents or employees of City. 5.5 Personnel. Consultant agrees to assign the following individuals to perform the services set forth herein. Consultant shall not alter the assignment of the following personnel without the prior written approval of the Contract Officer. Acting through the City Manager, the City shall have the unrestricted right to order the removal of any personnel assigned by Consultant by providing written notice to Consultant. Name: Title; I� John E. Bartel President 6. INSURANCE i Consultant shall procure and maintain, at its sole cost and expense, policies of insurancc as set forth in Exhibit"B",which is attached hereto and is incorporated herein by reference. 7. INDEARUICATION. To the fullest extent permitted by law, Consultant shall defend (at Consultant's sole cost and expense), indemnify, protect, and hold harmless City, its elected officials, officers, employees, agents, and volunteers (collectively the"Indemnified Parties"), from and against any and all liabilities, actions, suits, claims, demands, losses, costs, judgments, arbitration awards, settlements, damages, demands, orders, penalties, and expenses including legal costs and attorney fees (collectively "Claims"), including but not limited to Claims arising from injuries to or death of persons (Consultant's employees included), for damage to property, including property owned by City, from any violation of any federal, state, or local law or ordinance, and from errors and omissions committed by Consultant, its officers, employees,representatives, and agents, which Claims arise out of or are related to Consultant's performance under this Agreement, but excluding such Claims arising from the negligence or willful misconduct of the City, its elected officials, officers, employees, agents, and volunteers. Under no circumstances shall the insurance requirements and limits set forth in this Agreement be construed to limit Consultant's indemnification obligation or other liability hereunder. 4 Revised:7109/07 ]076392 S. RECORDS AND REPORTS 8.1 Reports. Consultant shall periodically prepare and submit to the Contract Officer such reports concerning the performance of the services required by this Agreement as the Contract Officer shall require. 8.2 Records. Consultant shall keep such books and records as shall be necessary to properly perform the services required by this Agreement and enable the Contract Officer to evaluate the performance of such services. The Contract Officer shall have full and free access to such books and records at all reasonable times, including the right to inspect, copy, audit, and make records and transcripts from such records. 8.3 Ownership of Documents. All drawings, specifications, reports, records, documents, and other materials prepared by Consultant in the performance of this Agreement shall be the property of City and shall be delivered to City upon request of the Contract Officer or upon the termination of this Agreement, and Consultant shall have no claim for further employment or additional compensation as a result of the exercise by City of its full rights or ownership of the documents and materials hereunder. Consultant may retain copies of such documents for its own use. Consultant shall have an unrestricted right to use the concepts j embodied therein. 8.4 Release of Documents. All drawings, specifications, reports, records, documents, and other materials prepared by Consultant in the performance of services under this Agreement shall not be released publicly without the prior written approval of the Contract j Officer. 8.5 Cost Records. Consultant shall maintain all books, documents,papers, employee time sheets, accounting records, and other evidence pertaining to costs incurred while performing under this Agreement and shall make such materials available at its offices at all reasonable times during the term of this Agreement and for three (3) years from the date of final payment for inspection by City and copies thereof shall be promptly furnished to City upon request. i 9. ENFORCEMENT OF AGREEMENT 9.1 California T.aw, This Agreement shall be construed and interpreted both as to validity and to performance of the parties in accordance with the laws of the State of California. Legal actions concerning any dispute, claim, or matter arising out of or in relation to this Agreement shall be instituted in the Superior Court of the County of Riverside, State of California, or any other appropriate court in such county, and Consultant covenants and agrees to submit to the personal jurisdiction of such court in the event of such action. 9.2 Waiver_ No delay or omission in the exercise of any right or remedy of a non- defaulting party on any default shall impair such right or remedy or be construed as a waiver. No consent or approval of City shall be deemed to waive or render unnecessary City's consent to or approval of any subsequent act of Consultant. Any waiver by either party of any default must be in writing and shall not be a waiver of any other default concerning the same or any other provision of this Agreement. 507639.3 S RoVfs d:2/09107 9.3 Rights and Remedies are Cumulative. Except with, respect to rights and remedies expressly declared to be exclusive in this Agreement, the rights and remedies of the parties are cumulative and the exercise by either party of one or more of such rights or remedies shall not preclude the exercise by it, at the same or different times, of any other rights or remedies for the same default or any other default by the other party. 9.4 Legal Action. In addition to any other rights or remedies, either party may take legal action, in law or in equity, to cure, correct, or remedy any default, to recover damages for any default, to compel specific performance of this Agreement, to obtain injunctive relief, a i declaratory judgement, or any other remedy consistent with the purposes of this Agreement. 9.5 Termination Prior to Expiration of Term, City reserves the right to terminate this Agreement at any time, with or without cause, upon thirty (30) days written notice to Consultant, except that where termination is due to the fault of Consultant and constitutes an immediate danger to health, safety, and general welfare,the period of notice shall be such shorter time as may be determined by the City. Upon receipt of the notice of termination, Consultant shall immediately cease all services hereunder except such as may be specifically approved by the Contract Officer. Consultant shall be entitled to compensation for all services rendered prior to receipt of the notice of termination and for any services authorized by the Contract Officer thereafter. Consultant may terminate this Agreement, with or without cause, upon thirty (30) days written notice to City. 10. CITY OFFICERS AND EMPLOYEES, NON-DISC1ILMNATION 10.1 Non-Liability of City Officers and Employees. No officer or employee of City shall be personally liable to the Consultant, or any successor-in-interest, in the event of any default or breach by City or for any amount which may become due to the Consultant or its successor, or for breach of any obligation of the terms of this Agreement. 10.2 Covenant Against Discrimination. Consultant covenants that, by and for itself, its heirs, executors, assigns, and all persons claiming under or through them, that there shall be no discrimination or segregation in the performance of or in connection with this Agreement regarding any person or group of persons on account of race, color, creed, religion, sex, marital status, disability, sexual orientation, national origin,or ancestry. 11. NUSCELLANEOUS PROVISIONS 11.1 Notiee. Any notice, demand, request, consent, approval, or communication either party desires or is required to give to the other party or any other person shall be in writing and either served personally or sent by pre-paid, first-class mail to the address set forth below. Either party may change its address by notifying the other party of the change of address in writing. Notice shall be deemed communicated seventy-two (72)hours from the time of mailing if mailed as provided in this Section. _ Revised:2109/07 507639.2 To City: City of Palm Springs Attention: City Manager 3200 E. Tahquitz Canyon Way Palm Springs, California 92262 City of Palm Springs Attention: City Clerk 3200 E. Tahquitz Canyon Way Palm Springs, California 92262 To Consultant: John E. Bartel Bartel Associates, LLC 411 Barel Ave., Suite 445 San Mateo, CA 94402 _ 1-1.2 Tnteerated Agreement. This Agreement contains all of the agreements of the parties and cannot be amended or modified except by written agreement. 11.3 _-Amendment. This Agreement may be amended at any time by the mutual `. consent of the parties by an instrument in writing. = •- ".11.4 Severability. In the event that any one or more of the phrases, sentences, clauses, _paragraphs, or sections contained in this Agreement shall be declared invalid or unenforceable by valid"judgment or decree of a court of competent jurisdiction, such invalidity or unenforceability shall not affect any of the remaining phrases, sentences, clauses, paragraphs, or sections of this Agreement, which shall be interpreted to carry out the intent of the parties hereunder. 11.5 Authority. The persons executing this Agreement on behalf of the parties hereto warrant that they are duly authorized to execute this Agreement on behalf of said parties and that by so executing this Agreement the parties hereto are formally bound to the provisions of this Agreement. 7 Revised:2109107 507619.2 IN WITNESS WHEREOF, the parties have executed this Agreement as of the dates stated below. "CIT'Y" City of Palms Springs Date: �3 / ((n! Zd 0 T By: r 1 David H. heady ~ �" City Manager NOT TO EXCEEDi ?T' d Initialed: APPROVED O FORM: ATTEST By. By. Douglas C. Holland, es Thompson City Attorney City Clerk _ "CONSULTANT" John E. Bartel, Bartel Associates,LLC Date: ( ��a E 0 -7 By: John E. Bartel, President APPROVED BY CITY MANAGER �i•Ib•d'I �5��� b Ra Ised:2109107 5076392 EXHIBIT "A" CONSULTANT'S SCOPE OF SERVICES/WORK PROPOSAL Including, Schedule of Fees And Schedule of Performance Attached and incorporated herein 9 Revised:2109107 507639,2 EXH11BIT "B" INSURANCE PROVISIONS Including Verification of Coverage, Sufficiency of Insurers, Errors and Omissions Coverage, Minimum Scope of Insurance, f Deductibles and Self-Insured Retentions, and Severability of Interests (Separation of Insureds) to Revlsod:Z09W 50639.Y Insurance Consultant shall procure and maintain, at its sole cost and expense, and submit concurrently with its execution of this Agreement, in a form and content satisfactory to City, public liability and property damage insurance against all claims for injuries against persons or damages to property resulting from Consultant's performance under this Agreement. Consultant shall also carry workers' compensation insurance in accordance with California workers' compensation laws. Such insurance shall be kept in full force and effect during the term of this ,Agreement, including any extension thereof, and shall not be cancelable without thirty(30) days written notice to City of any proposed cancellation. Certificates of insurance evidencing the foregoing and designating the City, its elected officials, officers, employees, agents, and volunteers as additional named insureds by original endorsement shall be delivered to and approved by City prior to commencement of services. The procuring of such insurance and the delivery of policies, certificates, and endorsements evidencing the same shall not be construed as a limitation of Consultant's obligation to indemnify City, its elected officials, officers, agents, employees, and volunteers. A. Minimum Sco a of Insurance. The minimum amount of insurance required hereunder shall be as follows: 1. Comprehensive general liability and personal injury with limits of at least one million dollars ($1,000,000.00)combined single limit coverage per occurrence; 1AetB liabiT-t iasaFaaee vAthlimits e fff least syy�r5 (S l nnn nnn nm peE....euFr.,.ee; *Waived. i i lees ene million do! ( � R,8i, *Waived. I 4, Workers' Compensation insurance in the statutory amount as required by the State of California and Employer's liability Insurance with limits of at least one million dollars S 1 million per occurrence. For any claims related to this Agreement, Consultant's insurance coverage shall be primary insurance as respects City and its respective elected officials, officers, employees, agents, and volunteers. Any insurance or self-insurance maintained by City and its respective elected officials, officers, employees, agents, and volunteers shall be in excess of Consultant's insurance and shall not contribute with it. For Workers' Compensation and Employer's Liability Insurance only, the insurer shall waive all rights of subrogation and contribution it may have against City, its elected officials, officers, employees, agents, and volunteers. B. Brrors and Omissions Coverage If Consultant provides claims made professional liability insurance, Consultant shall also agree in writing either (1) to purchase tail insurance in the amount required by this Agreement to cover claims made within tbree years of the completion of Consultant's services under this Agreement, or (2) to maintain professional liability insurance coverage with the same carrier, or equivalent coverage with another company, in the amount required by this Agreement for at least three years after completion of 507G39^_ t t RftMd'210n7 Consultant's services under this Agreement. Consultant shall also be required to provide evidence to City of the purchase of dre required tail insurance or continuation of the professional liability policy. C. Sufficiency of Insurers. Insurance required herein shall be provided by authorized insurers in good standing with the State of California. Coverage shall be provided by insurers admitted in the State of California with an A.M. Best's Key hating of B+, Class VII, or better, unless otherwise acceptable to the City. D. Verification of Coverage. Consultant shall furnish City with both certificates of insurance and endorsements, including additional insured endorsements, effecting all of the coverages required by this Agreement, The certificates and endorsements are to be signed by a person authorized by that insurer to bind coverage on its behalf. All proof of insurance is to be received and approved by die City before work commences. City reserves the right to require Consultant's insurers to provide complete, certified copies of all required insurance policies at any time. Additional insured endorsements are not required for Errors and Omissions and Workers' Compensation policies- E. Deductibles and Self-Insured Retentions. Any deductibles or self-insured retentions must be declared to and approved by the City. At the option of the City, either the insurer shall reduce or eliminate such deductibles or self insured retentions as respects the City, its elected officials, officers, employees, agents, and volunteers; or, Consultant shall procure a bond guaranteeing payment of losses and related investigations, claim administration, and defense expenses. F. Severability of Interests (Separation of Insuredo. This insurance applies separately to each insured against whom claim is made or suit is brought except with respect to the limits of the insurer's liability. 12 Ravi�cd 2109107 5076392 i I 'C�'EL (.�T�.S, LAC February 19,2007 Craig Graves Director of Finance and Treasurer City of Palm Springs 3200 Tahquitz Canyon Way Palm Springs, CA 98765 Re: City of Palm Springs-ActuarxalInformation Dear Mr.Graves: Bartel Associates would be happy to provide the City of Palm Springs actuarial consulting services. The City is understandably concerned about CaIPERS issues and is considering issuing Pension obligation Bonds(POBs). I believe it's important the City first become familiar with this { information. To accomplish this,Bartel Associates will review CalPERS actuarial information, meeting with CaIPERS actuaries, if necessary. We will then explain what has happened to City contribution rates, including what options the City has and where fixture rates will likely go,in easily understood terms. As part of our review we will help the City understand the actuarial implications of issuing pension obligation bonds,including,if necessary,issuing an actuarial certification as part of the FOB process. Following is my time estimate for the above: Hours ■ Review historical information,including prior actuarial reports 10.0 ■ Review pension obligation bond actuarial issues, including amortization alternatives 15.0 ■ City meeting'preparation time 4.0 ■ Meetings'with the City to discuss strategy,issues,etc. 2.0 ■ TOW 40.0 Please note: III We will bill the City at the following hourly rates(however,most of the time for the above project would be at the President/Senior Actuary level): President&Senior Actuary $250 Vice President&Actuary $200 Consultant $175 Actuarial Analyst $150 Actuarial Trainee $125 Support Staff $75 ■ The above time is estimated and does not include time for: ih Meeting with Ca1PERS actuaries. We don't anticipate this will be necessary,but if we do have questions and must talk with Ca1PERS,the above time might increase by 2 hours. t 1 meeting assumed. 411 13on]Awew,,,'uitc 4,15 •San Mitco,Califoz=94402 main:650/377.1600 •fax:650/345-8057 •web:nnvw.hnttcl-ass�ciacas rom Craig Chaves p February 19,2007 k3%, Page 2 More than 1 meeting. Additional meetings(e.g.City Council and/or bargaining group meetings)will increase the above time by actual meeting and preparation time. ■ The above time is estimated and assumes the City has one Safety plan for both Fire and Police. ■ Our fees are independent of whether the City decides to issue Pension Obligation Bonds. ■ The above hourly rates include provision for miscellaneous expenses. ■ We agree to: • not spend more than 45 hours for the above work,without prior approval;and • not bill for initial Palm Springs or Sacramento meeting travel time. i To complete our review,please provide me copies of: ■ Ca1PERS Miscellaneous and Safety June 30, 1994-05 Actuarial Valuations. ■' CalPERS valuation and contribution rate related correspondence,including: Contract Amendment Cost Analysis the City used when implementing 2.7p/o @ 55 for Miscellaneous,if available; • Contract Amendment Cost Analysis the City used when implementing 3%@ 50,for Safety,if available; CalPERS"Annual Employer Statement''—likely attached to a CalPERS September 2006 letter,with a subject line of"EMPLOYER CONTRIBU RON RATE CHANGE EFFECTIVE 07/01/2006;"and • Other CatPERS correspondence,if appropriate. I We are prepared to begin this project immediately and can set a meeting date as soon as we { receive the above information. Meeting dates are usually set approximately 3-4 weeks after we receive the actuarial information. Also,we understand R13C needs a draft certification letter March 15a. I look forward to working with you and the City. Sincerely, John E.Bartel President jb:JEB c Richard Clark,RBC Catherine Bando,RBC Doug Pryor,Bartel Associates ndp-amleldiy of 1614'o7Aidf palm apdnp a ,- fob o-m Ldne lit t B3 rcl Avwvc,Suite 445 •Sau Marco,California 94402 Main.650/377.1600 •fa%,650/745-8057 +web:www.Uaxul-associams.coni