HomeMy WebLinkAboutResolution 3790-09-2009A Resolution
NO 3790-09-2009
AUTHORIZING PAYMENT OF UP TO $3 500 00 FOR LEGAL
SERVICES PROVIDED BY KELLY HART & HALLMAN LLP
RELATED TO PUBLIC AGENCIES RETIREMENT SERVICES (PARS)
POST RETIREMENT HEALTH CARE PLAN TRUST
WHEREAS, with the implementation of a new accounting rule, Governmental Accounting
Standards Board Statement 45 (GASB 45), the City must begin accounting for its Other Post
Employment Benefits (OPEB), which include the City's retiree health care and death-related benefits,
and
WHEREAS, pursuant to Resolution No 3779-08-2009 on August 18 2009 the City adopted
the Public Agencies Retirement Services (PARS) Post Retirement Health Care Plan Trust (the `Trust")
and authorized the transfer of $5 million for initial City funding of the Trust, which funding will be used
solely to pay for City retiree health care costs, and
WHEREAS, m order to participate in the Trust, the City was required to execute numerous
documents with PARS and/or Umon Bank of California, N.A. which serves as trustee for the Trust; and
WHEREAS, because of the specialized and complex nature of this transaction, the City
Attorney's Office requested expedited assistance from the law firm of Kelly Hart & Hallman, LLP to
review all documents required for the City to participate m the Trust and to assess whether participation
m the Trust would help satisfy the City's compliance with GASB 45
NOW THEREFORE, BE IT RESOLVED BY THE CITY COUNCIL OF THE CITY OF FORT
WORTH, TEXAS
That pursuant to Section 3 Chapter VI of the City Charter the City Council hereby authorizes
payment of up to $3,500 00 for legal services provided by Kelly Hart & Hallman, LLP as outside
counsel to assist the City Attorney in the review of documents with PARS and Umon Bank of
California, N.A. related to the Trust and confirmation that participation in the Trust will help satisfy the
City's compliance with GASB 45
ORT WORT~,11-
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RESOLUTION NO 3790-09-2009
AND IT IS SO RESOLVED
Adopted this 22"d day of September, 2009
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CITY COUNCIL
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Mayor and Council Communication
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COUNCIL ACTION: Approved on 9/22/2009 -Res: No. 3790;-09-20D9_ _.
DATE Tuesday September 22 2009 REFERENCE NO *G-16702
LOG NAME 12KHH OPEB
SUBJECT
Adopt a Resolution Authorizing Payment of Up to $3 500 00 for Legal Services Provided by Kelly Hart &
Hallman LLP Related to Public Agencies Retirement Services Post-Retirement Health Care Plan Trust
RECOMMENDATION
It is recommended that the City Council adopt the attached Resolution authorizing the payment of up to
$3 500 00 for legal services provided by Kelly Hart & Hallman LLP related to the Public Agencies
Retirement Services Post-Retirement Health Care Plan Trust.
DISCUSSION
On August 18 2009 the City Council adopted Resolution No 3779-08-2009 adopting the Public Agencies
Retirement Services (PARS) Post-Retirement Health Care Plan Trust (Trust) and authorizing the transfer
of $5 million for initial funding of the Trust. Funding of the trust is one of the steps under which the City will
begin accounting for its retiree healthcare and death-related benefits also known as Other Post
Employment Benefits (OPEB) in accordance with Government Accounting Standards Board Statement 45
(GASB 45)
Under the Resolution the City Council also authorized the execution of a number of documents necessary
for the City to participate in the Trust. Due to the complex nature of the transaction and the time frame
necessary to deposit the initial funding into the Trust, the City Attorney's Office asked trust attorneys from
Kelly Hart & Hallman LLP to provide an expedited review of those documents and advice as to whether
participation in the Trust would help satisfy the City's compliance with GASB 45 The costs for these
services will not exceed $3 500 00
FISCAL INFORMATION /.CERTIFICATION
The Financial Management Services Director certifies that funds are available in the current operating
budget, as appropriated of the General Fund Upon approval the unreserved undesignated fund balance
of the Genera'I Fund will exceed the minimum reserve as outlined in the Financial Management Policy
Statements
FUND CENTERS
TO Fund/Account/Centers
FROM Fund/Account/Centers
GG01 538110 0121000
CERTIFICATIONS
Submitted for City Manager's Office b~
Originating Department Head.
Karen Montgomery (6222)
David Yett (7623)
3 500.00
Logname• 12KHH OPEB Page 1 of 2
Additional Information Contact: David Yett (7623)
Logname 12KHH OPEB Page 2 of 2