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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- fi RESOLUTION NO 3790-09-2009 AND IT IS SO RESOLVED Adopted this 22"d day of September, 2009 ATTEST t r~~ ~~ -~~ APP~'rOVEQ CITY COUNCIL ,~ ~ ~ ~ ~,~ ~, ,, _ ; ~.,, ., ,~. ~ s- ~ ~*. B Ya SEP 2 2 2009 . +r rrr ~a. t ..~ Marty Hendrix ~ ~~ ~ City Secretary ~ --~ '~ -~"` "" ^ ` ~~ \ Ctty Secretary of the % ~ -~ ~ : x City of F rt Worth, Texas w s "~, "~+^ ~4 tr~r~+ ^~ ~~~~~'~ O~TVV °*" City of Fort Worth, Texas Mayor and Council Communication ~~ ~~,_ ____ ___..... __ .......__._. 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