Gallagher Benefit Services_Agreement Amendment
TO: The Honorable Mayor and City Council Members
FROM: Michael C. Van Milligen, City Manager
SUBJECT: Consulting and Actuarial Services Agreement - Gallagher Benefit Services
DATE: August 27, 2012
Personnel Manager Randy Peck recommends approval of the Amendment to the
Administrative Services Agreement with Gallagher Benefit Services for benefit
consulting and actuarial services at an annual fee of $26,743 effective July 1, 2012,
through June 30, 2014, and authorize the City Manager to sign the Amendment. This is
a 5% increase.
I concur with the recommendation and respectfully request Mayor and City Council
approval.
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Michael C. Van Milligen
MCVM:jh
Attachment
cc: Barry Lindahl, City Attorney
Cindy Steinhauser, Assistant City Manager
Teri Goodmann, Assistant City Manager
Randy Peck, Personnel Manager
THE CITY OF Dubuque
DUB E �-�d
Masterpiece on the Mississippi ' I I I I®
2007
TO: Michael C. Van Milligen' City ManagPf FROM: Randy Peck, Personnel Manager
SUBJECT: Consulting and Actuarial Services Agreement — Gallagher Benefit
Services
DATE: August 17, 2012
I have received the renewal proposal from Gallagher Benefit Services for benefit and actuarial
consulting services effective July 1, 2012. They are requesting to increase their annual fee from
$25,470 per year to $26,743 per year, which is a 5% increase. This fee would be guaranteed
for two years until June 30, 2014. Their current fee has been in effect since July 1, 2010.
I recommend, and the Health Care Committee concurs, that we accept the proposed fee
increase from Gallagher Benefits Services Inc. for benefit and actuarial consulting services in
the amount of $26,743 per year with a guarantee that this fee will remain in effect until June 30,
2014.
I recommend that the City Council pass a motion approving the Amendment to the
Administrative Services Agreement with Gallagher Benefit Services for benefit consulting and
actuarial services at an annual fee of $26,743 effective July 1, 2012 through June 30, 2014 and
authorize you to sign the Amendment.
RP:Imh
Gallagher Benefit Services, Inc, :.
A Subsidiary of Ariltur J, Gallagher & Co.
April 4, 2012
Mr. Randy Peck
Personnel Manager
City of Dubuque
50 West 13th Street
Dubuque, IA 52001 -4864
Re: Consulting and Actuarial Services Agreement
Dear Randy:
Our current Consulting and Actuarial Services Agreement with the City expires June 30,
2012. As required by that agreement, we are providing you with a 60 notice of our request
for a fee adjustment.
Our current agreement has been effective since July 1, 2010. It calls for an annual fee of
$25,470. Due to increases in our costs of doing business and additional compliance service
requirements, we are requesting a 5% fee increase effective July 1, 2012. The increase
would make our annual fee $26,743. We will guarantee this fee for two years through June
30, 2014.
Our request would modify Section III. B 1 of our original service agreement signed by the City
on November 5, 2002. All other provisions of the original agreement, including Scope of
Services (Section III A) remain unchanged.
Gallagher Benefit Services and I, personally, appreciate our relationship with you and the
District, We look forward to continuing this relationship into the future.
If our fee Increase request Is acceptable, please indicate below and return this to my
attention.
Sincerely,
Dutch Ross
Senior Consultant
Accepted on Behalf of City of Dubuque:
Name Title Dale
Michael C. Van Milligan City Manager
6399 South Fiddler's. Green Circle
Site 200
Greenwood Village. Colorado B0111 -4949
303.220.7675
Fax 303.220.7010