Get Full Government Meeting Transcripts, Videos, & Alerts Forever!
Get email alerts on the Pension Actuary Selection topic
No spam. Unsubscribe anytime.
Lackawanna County pension board votes to issue RFQ for new actuary after Korn Ferry exit
Summary
With Korn Ferry exiting actuarial services, the Lackawanna County Pension Board voted to issue a request for qualifications (RFQ) to select a new actuarial firm; Korn Ferry recommended GRS, but the board opted for an RFQ and set staff to manage the process with a target to decide by the October meeting.
The Lackawanna County Pension Board voted to issue a request for qualifications to find a new actuarial firm after long-time provider Korn Ferry signaled it is leaving the business.
Board members said Korn Ferry has advised the county and recommended another firm, GRS, and several people who worked at GRS formerly worked at Korn Ferry. Board members discussed two paths: accept GRS based on the recommendation and continuity of personnel, or run a formal RFQ to solicit competing proposals. The board voted to release an RFQ.
Commissioner Chermack made the motion to authorize the RFQ, and the motion was seconded and approved by voice vote. The transcript records that Joe Wexer (staff) will issue the RFQ and that staff will consult examples from other counties as they prepare the request. The board discussed timing: Korn Ferry’s engagement appears to run at least through Dec. 31, and staff said they expect to have a replacement in place by the October pension board meeting if the RFQ runs on a typical schedule.
Board members and staff stressed continuity for retiree services and daily operations. A staff speaker flagged concerns about who to contact for retirements, death benefits and vesting calculations if Korn Ferry stops providing services, and the board agreed to put together a review committee to interview applicants.
During discussion a board speaker referenced the actuarial study underpinning the county’s contribution schedule and noted a planned contribution increase of $1,500,000 each year toward achieving the plan’s actuarially determined contribution (ADC) equilibrium by 2030; the board said that funding path should be a topic for any incoming actuary to review. That numeric figure was stated during discussion and recorded in the meeting transcript.
Board members agreed staff would circulate information on Michael Spadaro (an actuary mentioned by board members) and other contacts, and staff will share applicant materials with the board. No final contractual decision was recorded at the meeting; the RFQ authorizes staff to solicit proposals and return to the board for selection.
