NFP Retirement ~ C170093 CITY OF TIGARD,OREGON- CONTRACT SUMMARY FORM
(THIS FORM MUST ACCOMPANY EVERY CONTRACT — r ��
Contract Title: Plan Investment_Adviser Consultant Services Number: (—
"ontractor: -NFP Retirement __- Contract Total: $92,500
Contract C vers-iew: Provide con6 ultanr services to assist with ret iew of our current retirerrxent plats
flfferin�"S,our plan documents, and inx-estment titrate % A-i-Ast with RIP for plan
record holders, Ongoing flidependent review of plmi performance and assistance to
Plan Governance C'ommittee.
❑ ❑ * ❑ Low
nc
Initial Risk I�.��el: I .tretue 1-I' h � '�lndrratt•
Risk.Reduction Steps: Increased profs s conal habilainsurance over rcco n- Ari cjg i muumurns.
Risk C. ommemi: Set insurance requirements after review,and recd nmendatir m fro sm.Agent of Record.
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Risk Signature:
Contract:'XIanager:Jennifer Curran I.m: 2418 Department: Risk Mgmt
Tvpt': ❑ Purchase l,greement ❑ Personal Sen ux ❑ !;eneral Se,7ic;.e ❑ Public Impr(wenl .nt
G RIA X Other: Professional Service Age, -Start Date: 5/202017 End Date: 6,�i0/12-02Q4__—
QuoteS:'Bids,•Proposal: FIRM m NT/Sc om
NFP Retirement 73
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_Account String: Fund-Division-Account Work Order-Ac ivitr Type Amount .�.
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Approvals - LCRB Date:
Department.Comments: - _' ` / v f�i G. t•
Department Signature:
Purchasing Comments:
Purchasine' Silnrure-:
Ciry 'Manager Comments:
Cate• Manager. Signature:
After securing all required approvals,forward original copy to the Contracting and Purchasing Office along with a
completed Contract Checklist.
CITY OF TIGARD,OREGON
PROFESSIONAL SERVICES AGREEMENT
PLAN INVESTMENT ADVISER CONSULTANT SERVICES
THIS AGREEMENT, made and entered into this 3`d day of May, 2017, by and between the City of
Tigard, a municipal corporation, hereinafter referred to as the "City," and NFP Retirement, hereinafter
referred to as the "Consultant."
RECITALS
WHEREAS, the City's Fiscal Year 2017 budget provides for Investment Consultant Adviser services
for the Plan Investment Adviser project;and
WHEREAS,the accomplishment of the work and services described in this Agreement is necessaty and
essential to the program of the City;and
WHEREAS, the City desires to engage the Consultant to render professional Investment Advisory
services for the project described in this.agreement,and the Consultant is willing and qualified to perform
such services;
THEREFORE, in consideration of the promises and covenants contained herein, the parties hereby
agree as follows:
1. Consultant's Scope of Services
The Consultant shall perform professional Investment.advisory services relevant to the Project in
accordance with the terms and conditions set forth herein,and as provided in Exhibit A,which is
attached hereto and by this reference made a part of this Agreement.
2. Effective Date and Duration
This agreement shall become effective upon the date of execution by the City's Local Contract
Review Board,and shall expire,unless otherwise terminated or extended,on June 30,2020 whichever
comes first. All work under this Agreement shall be completed prior to the expiration of this
Agreement.
3. Consultant's Fee
A. Basic Fee
1) As compensation for Basic Services as described in Exhibit A of this Agreement,and for
services required in the fulfillment of Paragraph 1, the Consultant shall be paid on an
hourly rate based upon the "Schedule of Rates" in Exhibit B of this agreement, which
shall constitute full and complete payment for said services and all expenditures which
may be made and expenses incurred, except as otherwise expressly provided in this
Agreement. The Basic Fee shall not exceed the amount of Eighty Two Thousand Five
Hundred and No/100 Dollars ($82,500.00) without prior written authorization.
2) The Parties hereto do expressly agree that the Basic Fee is based upon the Scope of
Services to be provided by the Consultant and is not necessarily related to the the value
of employee/retiree investment funds held in trust . In the event that the actual time
spent providing services, the Consultant's compensation will not be adjusted unless the
Scope of Services to be provided by the Consultant changes and is authorized and
accepted by the City.
B. Payment Schedule for Basic Fee
Payments shall be made upon receipt of billings based on the work completed. Billings shall
be submitted by the Consultant periodically,but not more frequently than monthly. Payment
by the City shall release the City from any further obligation for payment to the Consultant
for service or services performed or expenses incurred as of the date of the statement of
services. Payment shall be made only for work actually completed as of the date of invoice.
Payment shall not be considered acceptance or approval of any work or waiver of any defects
therein.
C. Payment for Special Services
Only when directed in writing by the City,the Consultant shall furnish or acquire for the City
the professional and technical services based on the hourly rate schedule as described in
Exhibit B of this contract for minor project additions and/or alterations.
D. Certified Cost Records
The Consultant shall furnish certified cost records for all billings pertaining to other than
lump sum fees to substantiate all charges. For such purposes, the books of account of the
Consultant shall be subject to audit by the City. The Consultant shall complete work and cost
records for all billings on such forms and in such manner as will be satisfactory to the City.
E. Contract Identification
The Consultant shall furnish to the City its employer identification number,as designated by
the Internal Revenue Service, or social security number,as the City deems applicable.
F. Payment—General
1) Consultant shall pay to the Department of Revenue all sums withheld from employees
pursuant to ORS 316.167.
2) Consultant shall pay employees at least time and a half pay for all overtime worked in
excess of 40 hours in any one week except for individuals under the contract who are
excluded under ORS 653.010 to 653.261 or under 29 USC sections 201 to 209 from
receiving overtime.
3) Consultant shall promptly, as due, make payment to any person, co-partnership,
association or corporation,furnishing medical,surgical and hospital care or other needed
care and attention incident to sickness or injury to the employees of Consultant or all
sums which Consultant agrees to pay for such services and all moneys and sums which
Consultant collected or deducted from the wages of employees pursuant to any law,
contract or agreement for the purpose of providing or paying for such service.
4) The City certifies that sufficient funds are available and authorized for expenditure to
finance costs of this contract.
5) Consultant shall make payments promptly, as due, to all persons supplying services or
materials for work covered under this contract. Consultant shall not permit any lien or
claim to be filed or prosecuted against the City on any account of any service or materials
furnished.
6) If Consultant fails, neglects or refuses to make prompt payment of any claim for labor,
materials, or services furnished to Consultant, sub-consultant or subcontractor by any
person as such claim becomes due, City may pay such claim and charge the amount of
the payment against funds due or to become due to the Consultant. The payment of the
claim in this manner shall not relieve Consultant or their surety from obligation with
respect to any unpaid claims.
4. Ownership of Plans and Documents: Records
A. City shall be the owner of and shall be entitled to possession of any and all work products of
Consultant which result from this Agreement, including any computations, plans,
correspondence or pertinent data and information gathered by or computed by Consultant
prior to termination of this Agreement by Consultant or upon completion of the work
pursuant to this Agreement.
B. The City shall make copies, for the use of and without cost to the Consultant, of all of its
records, analysis, or other data pertinent to the work to be performed by the Consultant
pursuant to this Agreement, and also make available any other records, or other materials
available to the City from any other public agency or body.
C. The Consultant shall furnish to the City,copies of all records,analysis,or other data which
were developed in the course of work for the City and for which compensation has been
received by the Consultant at no additional expense to the City except as provided elsewhere
in this Agreement.
5. Assignment/Delegation
Neither party shall assign,sublet or transfer any interest in or duty under this Agreement without the
written consent of the other and no assignment shall be of any force or effect whatsoever unless and
until the other party has so consented. If City agrees to assignment of tasks to a subcontract,
Consultant shall be fully responsible for the acts or omissions of any subcontractors and of all
persons employed by them, and neither the approval by City of any subcontractor not anything
contained herein shall be deemed to create any contractual relation between the subcontractor and
City.
6. Consultant is Independent Contractor
A. The City's project director, or designee, shall be responsible for determining whether
Consultant's work product is satisfactory and consistent with this agreement,but Consultant
is not subject to the direction and control of the City. Consultant shall be an independent
contractor for all purposes and shall be entitled to no compensation other than the
compensation provided for under Section 3 of this Agreement.
B. Consultant is an independent contractor and not an employee of City. Consultant
acknowledges Consultant's status as an independent contractor and acknowledges that
Consultant is not an employee of the City for purposes of workers compensation law,public
employee benefits law, or any other law. All persons retained by Consultant to provide
services under this contract are employees of Consultant and not of City. Consultant
acknowledges that it is not entitled to benefits of any kind to which a City employee is entitled
and that it shall be solely responsible for workers compensation coverage for its employees
and all other payments and taxes required by law.
Furthermore, in the event that Consultant is found by a court of law or an administrative
agency to be an employee of the City for any purpose, City shall be entitled to offset
compensation due, or to demand repayment of any amounts paid to Consultant under the
terms of the agreement, to the full extent of any benefits or other remuneration Consultant
receives (from City or third party) as a result of said finding and to the full extent of any
payments that City is required to make (to Consultant or to a third party) as a result of said
finding.
C. The undersigned Consultant hereby represents that no employee of the City or any
partnership or corporation in which a City employee has an interest, has or will receive any
remuneration of any description from the Consultant, either directly or indirectly, in
connection with the letting or performance of this Agreement,except as specifically declared
in writing.
D. If this payment is to be charged against Federal funds,Consultant certifies that he/she is not
currently employed by the Federal Government and the amount charged does not exceed
his/her normal charge for the type of service provided.
E. Consultant and its employees,if any,are not active members of the Oregon Public Employees
Retirement System and are not employed for a total of 600 hours or more in the calendar year
by any public employer participating in the Retirement System.
F. Consultant shall obtain,prior to the execution of any performance under this Agreement, a
City of Tigard Business License. The Tigard Business License is based on a calendar year
with a December 31st expiration date. New businesses operating in Tigard after June 30th
of the current year will pay a pro-rated fee though the end of the calendar year.
G. Consultant is not an officer, employee, or agent of the City as those terms are used in ORS
30.265.
7. Indemnitv
A. The City has relied upon the professional ability and training of the Consultant as a material
inducement to enter into this Agreement. Consultant represents to the City that the work
under this contract will be performed in accordance with the professional standards of skill
and care ordinarily exercised by members of the Consultant's profession under similar
conditions and circumstances as well as the requirements of applicable federal,state and local
laws,it being understood that acceptance of an Consultant's work by the City shall not operate
as a waiver or release. Acceptance of documents by City does not relieve Consultant of any
responsibility for design deficiencies,errors or omissions.
B. Claims for other than Professional Liability. Consultant agrees and shall indemnify, defend,
save and hold harmless the City of Tigard,its officers,employees,agents,and representatives
from all claims, suits, or actions and all expenses incidental to the investigation and defense
thereof, of whatsoever nature,including intentional acts resulting from or arising out of the
activities of Consultant or its subcontractors, sub-consultants, agents or employees in
performance of this contract at both trial and appeal level,whether or not a trial or appeal
ever takes place including any hearing before federal or state administrative agencies. If any
aspect of this indemnity shall be found to be illegal or invalid for any reason whatsoever,such
illegality or invalidity shall not affect the validity of the remainder of this indemnification.
C. Claims for Professional Liability. Consultant agrees and shall indemnify, defend, save and
hold harmless the City of Tigard,its officers,employees,agents,and representatives from all
claims, suits, or actions and all expenses incidental to the investigation and defense thereof,
arising out of the professional negligent acts, errors or omissions of Consultant or its
subcontractors,sub-consultants,agents or employees in performance of professional services
under this agreement. Any work by Consultant that results in a design of a facility that is not
readily accessible to and usable by individuals with disabilities shall be considered a
professionally negligent act,error or omission.
D. As used in subsections B and C of this section, a claim for professional responsibility is a
claim made against the City in which the City's alleged liability results directly or indirectly,in
whole or in part, from the quality of the professional services provided by Consultant,
regardless of the type of claim made against the City in performance of this contract. A claim
for other than professional responsibility is a claim made against the City in which the City's
alleged liability results from an act or omission by Consultant unrelated to the quality of
professional services provided by Consultant in performance of this contract.
8. Insurance
Consultant and its subcontractors shall maintain insurance acceptable to City in full force and effect
throughout the term of this contract. Such insurance shall cover risks arising directly or indirectly
out of Consultant's activities or work hereunder, including the operations of its subcontractors of
any tier. Such insurance shall include provisions that such insurance is primary insurance with respect
to the interests of City and that any other insurance maintained by City is excess and not contributory
insurance with the insurance required hereunder.
The policy or policies of insurance maintained by the Consultant and its subcontractors shall provide
at least the following limits and coverages:
A. Commercial General Liability Insurance
Consultant shall obtain, at Consultant's expense, and keep in effect during the term of this
contract, Comprehensive General Liability Insurance covering Bodily Injury and Property
Damage on an "occurrence" form (CG 2010 1185 or equivalent). This coverage shall include
Contractual Liability insurance for the indemnity provided under this contract. The follovi*
insurance will be carried:
Coverage Limit
General Aggregate $3,000,000
Products-Completed Operations Aggregate $2,000,000
Personal&Advertising Injury $1,000,000
Each Occurrence $2,000,000
Fire Damage(Any one fire) $50,000
B. Professional Liability
Consultant shall obtain, at Consultant's expense, and keep in effect during the term of this
contract,Professional Liability Insurance covering any damages caused by any actual or alleged
negligent act, error or omission in the rendering of or failure to render Professional Services.
Combined single limit per claim shall not be less than $2,000,000, or the equivalent Annual
aggregate limit shall not be less than$4,000,000 and filed on a"claims-made" form.
C. Commercial Automobile Insurance
Consultant shall also obtain,at Consultant's expense,and keep in effect during the term of the
contract(Symbol l or Symbols 8 and 9 as applicable)Commercial Automobile Liability coverage
on an"occurrence" form including coverage for all owned,hired,and non-owned vehicles. The
Combined Single Limit per occurrence shall not be less than$2,000,000.
If Contractor operates a personal,-owned vehicle for business use under this contract, the
Contractor shall obtain, at Contractor's expense, and keep in effect during the term of the
contract,business automobile liability coverage for all owned vehicles on an"occurrence" form.
The Combined Single Limit per occurrence shall not be less than$2,000,000.
D. Workers'Compensation Insurance
The Consultant,its subcontractors,if any,and all employers providing work,labor or materials
under this Contract are subject employers under the Oregon Workers'Compensation Law and
shall comply with ORS 656.017, which requires them to provide workers' compensation
coverage that satisfies Oregon law for all their subject workers. Out-of-state employers must
provide Oregon workers'compensation coverage for their workers who work at a single location
within Oregon for more than 30 days in a calendar year.Consultants who perform work without
the assistance or labor of any employee need not obtain such coverage. This shall include
Employer's Liability Insurance with coverage limits of not less than$1,000,000 each accident.
E. Additional Insured Provision
All policies aforementioned,other than Workers'Compensation and Professional Liability,shall
include the City its officers, employees, agents and representatives as additional insureds with
respect to this contract. Coverage will be endorsed to provide a"per project"aggregate.
F. Extended Reporting Coverage
If any of the aforementioned liability insurance is arranged on a"claims-made"basis,Extended
Reporting coverage will be required at the completion of this contract to a duration of 24 months
or the maximum time period the Consultant's insurer will provide such if less than 24 months.
Consultant will be responsible for furnishing certification of Extended Reporting coverage as
described or continuous "claims-made" liability coverage for 24 months following contract
completion. Continuous "claims-made" coverage will be acceptable in lieu of Extended
Reporting coverage, provided its retroactive date is on or before the effective date of this
contract. Coverage will be endorsed to provide a"per project"aggregate.
G. Insurance Carrier Rating
Coverage provided by the Consultant must be underwritten by an insurance company deemed
acceptable by the City. All policies of insurance must be written by companies having an A.M.
Best rating of"A-VII" or better, or equivalent. The City reserves the right to reject all or any
insurance carrier(s)with an unacceptable financial rating.
H. Self-Insurance
The City understands that some Contractors may self-insure for business risks and the City will
consider whether such self-insurance is acceptable if it meets the minimum insurance
requirements for the type of coverage required. If the Contractor is self-insured for commercial
general liability or automobile liability insurance the Contractor must provide evidence of such
self-insurance. The Contractor must provide a Certificate of Insurance showing evidence of the
coverage amounts on a form acceptable to the City. The City reserves the right in its sole
discretion to determine whether self-insurance is adequate.
I. Certificates of Insurance
As evidence of the insurance coverage required by the contract, the Consultant shall furnish a
Certificate of Insurance to the City. No contract shall be effective until the required Certificates
of Insurance have been received and approved by the City. The certificate will specify and
document all provisions vithin this contract and include a copy of Additional Insured
Endorsement. A renewal certificate will be sent to the address below prior to coverage
expiration.
J. Independent Contractor Status
The service or services to be rendered under this contract are those of an independent
contractor. Contractor is not an officer,employee or agent of the City as those terms are used
in ORS 30.265.
K. Primary Coverage Clarification
The parties agree that Consultant's coverage shall be ?rimary to the extent permitted by laws.
The parties further agree that other insurance maintained by the City is excess and not
contributory insurance with the insurance required in this section.
L. Cross-Liabift Clause
A cross-liability clause or separation of insureds clause will be included in all general liability and
commercial automobile policies required by this contract.
A certificate in form satisfactory to the City cerdf-� g to the issuance of such insurance will be
forwarded to:
City of Tigard
Attn: Contracts and Purchasing Office
13125 SVG'Hall Blvd
Tigard,Oregon 97223
At the discretion of the City,a copy of each insurance policy,certified as a true copy by an authorized
representative of the issuing insurance company may be required to be forwarded to the above
address.
Such policies or certificates must be delivered prior to commencement of the work.
The procuring of such required insurance shall not be construed to limit Consultant's liability
hereunder. Notwithstanding said insurance, Consultant shall be obligated for the total amount of
any damage,injury,or loss caused by negligence or neglect connected with this contract.
9. Termination Without Cause
At any time and without cause, City shall have the right in its sole discretion, to terminate this
Agreement by giving notice to Consultant. If City terminates the contract pursuant to this
paragraph,it shall pay Consultant for services rendered to the date of termination.
10. Termination With Cause
A. City may terminate this Agreement effective upon delivery of written notice to Consultant,or at
such later date as may be established by City,under any of the following conditions:
1) If City funding from federal, state,local, or other sources is not obtained and continued
at levels sufficient to allow for the purchase of the indicated quantity of services. This
Agreement may be modified to accommodate a reduction in funds.
2) If Federal or State regulations or guidelines are modified,changed,or interpreted in such
a way that the services are no longer allowable or appropriate for purchase under this
Agreement.
3) If any license or certificate required by law or regulation to be held by Consultant, its
subcontractors,agents,and employees to provide the services required by this Agreement
is for any reason denied,revoked,or not renewed.
4) If Consultant becomes insolvent, if voluntary or inN oluntary petition in bankruptcy is
filed by or against Consultant, if a receiver or trustee is appointed for Consultant, or if
there is an assignment for the benefit of creditors of Consultant.
Any such termination of this agreement under paragraph (A) shall be without prejudice to
any obligations or liabilities of either party already accrued prior to such termination.
B. City,by written notice of default(including breach of contract) to Consultant,may terminate
the whole or any part of this Agreement:
1) If Consultant fails to provide services called for by this agreement within the time
specified herein or any extension thereof,or
2) If Consultant fails to perform any of the other provisions of this 'agreement, or so fails
to pursue the work as to endanger performance of this agreement in accordance with its
terms, and after receipt of written notice from City, fails to correct such failures within
ten days or such other period as City may authorize.
3) If Consultant fails to eliminate a conflict as described in Section 14 of this agreement.
The rights and remedies of City provided in the above clause related to defaults(including breach
of contract) by Consultant shall not be exclusive and are in addition to any other rights and
remedies provided by law or under this Agreement.
If City terminates this Agreement under paragraph(B),Consultant shall be entitled to receive
as full payment for all services satisfactorily rendered and expenses incurred,an amount which
bears the same ratio to the total fees specified in this Agreement as the services satisfactorily
rendered by Consultant bear to the total services otherwise required to be performed for such
total fee;provided, that there shall be deducted from such amount the amount of damages,
if any, sustained by City due to breach of contract by Consultant. Damages for breach of
contract shall be those allowed b, Oregon law, reasonable and necessary attorney fees, and
other costs of litigation at trial and upon appeal.
11. Non-Waiver
The failure of City to insist upon or enforce strict performance by Consultant of any of the terms
of this Agreement or to exercise any rights hereunder, should not be construed as a waiver or
relinquishment to any extent of its rights to assert or rely upon such terms or rights on any future
occasion.
12. Method and Place of Giving Notice, Submitting Bills and Maldng Payments
All notices,bills and payments shall be made in writing and may be given by personal delivery,mail,
or by fax. Payments may be made by personal delivery,mail, or electronic transfer. The following
addresses shall be used to transmit notices,bills,payments,and other information:
Attn: Jennifer Curran,Risk Manager Attn: Bill Tugaw,Managing Director
Address: 13125 SZX'Hall Blvd Address:4364 Town Center Blvd, Ste 315
Tigard,OR 97223 E1 Dorado Hills,CA 95762
Phone: (503) 718-2418 Phone: (866) 443-1557,ext 103
Email: ienniferc ,tigard-or.gov Email: Bill.Tuganfp.com
and when so addressed, shall be deemed given upon deposit in the United States mail, postage
prepaid,or when so faxed,shall be deemed given upon successful fax. In all other instances,notices,
bills and payments shall be deemed given at the time of actual delivery. Changes may be made in
the names and addresses of the person to who notices,bills and payments are to be given by giving
written notice pursuant to this paragraph.
13. Merger
This writing is intended both as a final expression of the Agreement between the parties with respect
to the included terms and as a complete and exclusive statement of the terms of the Agreement.
No modification of this Agreement shall be effective unless and until it is made in writing and
signed by both parties.
14. Professional Services
The City requires that services provided pursuant to this agreement shall be provided to the City by
an Consultant, which does not represent clients on matters contrary to City interests. Further,
Consultant shall not engage services of an Consultant and/or other professional who individually,
or through members of his/her same firm,represents clients on matters contrary to City interests.
Should the Consultant represent clients on matters contrary to City interests or engage the services
of an Consultant and/or other professional who individually,or through members of his/her same
firm, represents clients on matters contrary to City interests, Consultant shall consult with the
appropriate City representative regarding the conflict.
After such consultation, the Consultant shall have 30 days to eliminate the conflict to the
satisfaction of the City. If such conflict is not eliminated within the specified time period, the
agreement may be terminated pursuant to Section 10 (B-3) of this agreement.
15. Force Majeure
Neither City nor Consultant shall be considered in default because of any delays in completion and
responsibilities hereunder due to causes beyond the control and without fault or negligence on the
part of the parties so.disenabled,including but not restricted to,an act of God or of a public enemy,
civil unrest, volcano, earthquake, fire, flood, epidemic, quarantine restriction, area-wide strike,
freight embargo,unusually severe weather or delay of subcontractor or supplies due to such cause;
provided that the parties so disenabled shall within ten days from the beginning of such delay,notify
the other party in writing of the cause of delay and its probable extent. Such notification shall not
be the basis for a claim for additional compensation. Each party shall,however,make all reasonable
efforts to remove or eliminate such a cause of delay or default and shall, upon cessation of the
cause,diligently pursue performance of its obligation under the Agreement.
16. Non-Discrimination
Consultant agrees to comply with all applicable requirements of federal and state civil rights and
rehabilitation statues,rules,and regulations. Consultant also shall comply with the Americans with
Disabilities Act of 1990, ORS 659A.142, and all regulations and administrative rules established
pursuant to those lav-s. All facilities designed by Consultant under this contract shall be designed
to be readily accessible to and usable by individuals with disabilities as required by the Americans
with Disabilities Act.
17. Errors
Consultant shall perform such additional work as may be necessary to correct errors in the work
required under this Agreement without undue delays and without additional cost.
18. Extra(Changes)Work
Only the City's Project Manager may authorize extra(and/or change)work. Failure of Consultant
to secure authorization for extra work shall constitute a waiver of all right to adjustment in the
contract price or contract time due to such unauthorized extra work and Consultant thereafter shall
be entitled to no compensation whatsoever for the performance of such work.
19. Governing Law
The provisions of this Agreement shall be construed in accordance with the provisions of the laws
of the State of Oregon. Any action or suits involving any question arising under this Agreement
must be brought in the appropriate court of the State of Oregon.
20. Compliance With Applicable Law
Consultant shall comply with all federal,state,and local laws and ordinances applicable to the work
under this Agreement,including those set forth in ORS 279A,279B,and 279C.
21. Conflict Between Terms
It is further expressly agreed by and between the parties hereto that should there be any conflict
between the terms of this instrument in the proposal of the contract,this instrument shall control
and nothing herein shall be considered as an acceptance of the said terms of said proposal
conflicting herewith.
22. Access to Records
City shall have access to such books,documents,papers and records of Consultant as are directly
pertinent to this Agreement for the purpose of making audit, examination, excerpts and
transcripts.
23. Audit
Consultant shall maintain records to assure conformance with the terms and conditions of this
Agreement, and to assure adequate performance and accurate expenditures within the contract
period. Consultant agrees to permit City,the State of Oregon,the federal government,or their duly
authorized representatives to audit all records pertaining to this Agreement to assure the accurate
expenditure of funds.
24. Severability
In the event any provision or portion of this Agreement is held to be unenforceable or invalid by
any court of competent jurisdiction,the validity of the remaining terms and provisions shall not be
affected to the extent that it did not materially affect the intent of the parties when they entered
into the agreement.
25. Complete Agreement
This Agreement, including the exhibits, is intended both as a final expression of the Agreement
between the Parties and as a complete and exclusive statement of the terms. In the event of an
inconsistency between a provision in the main body of the Agreement and a provision in the
Exhibits, the provision in the main body of the Agreement shall control. In the event of an
inconsistency between Exhibit A and Exhibit B,Exhibit A shall control.
No waiver, consent, modification, or change of terms of this Agreement shall bind either party
unless in writing and signed by both parties. Such waiver,consent,modification,or change if made,
shall be effective only in specific instances and for the specific purpose given. There are no
understandings,agreements, or representations, oral or written,not specified herein regarding this
Agreement. Consultant,by the signature of its authorized representative,hereby acknowledges that
he/she has read this Agreement,understands it and agrees to be bound by its terms and conditions.
IN WITNESS WHEREOF, City has caused this Agreement to be executed by its duly authorized
undersigned officer and Consultant has executed this Agreement on the date hereinabove first written.
CITY OF TIGARD NFP RETIREMENT
By: Marty Wine,City Managery Authorized Contractor Representative
�•/SS ao! ? d5'��afl!'7
Date Date
EXHIBIT A
SCOPE OF SERVICES
The Consultant shall render professional services as described below:
INTRODUCTION
The City of Tigard is seeking financial advice regarding the City's defined contribution retirement plans
and Voluntary Employees' Beneficiary Associations trust ("VEBA"), which hold investments for the
benefit of plan participants.
Work under this project shall include, but not necessarily be limited to: reviewing and analyzing the
investment lineup for the City's three retirement plans and VEBA,recommending a strategy for the City,
if necessary,to make changes to existing investments and/or plan providers,drafting investment policies
for the plans, assisting with a request for proposals for selection of plan providers, providing any
necessary transition management,developing a communication strategy for plan participants,conducting
training with employees, and providing ongoing investment advice to the City's Plan Governance
Committee. The investment adviser and consultant will be a fiduciary with respect to the City's retirement
plans and VEBA.
SCOPE OF WORK-Refer to Exhibit B for detail.
The scope of work for this agreement includes a three phase approach to services related to the City's
defined contribution retirement plans and Voluntary Employees' Beneficiary Associations trust
("VEBA")
PHASE 1 —Evaluation of Current Plans,Establish an Oversight Committee
and Investment Policy Statement
PHASE 2—Fiduciar<;Training and Request for Proposal for Record-Keeper
PHASE 3—Ongoing Support to the Oversight Committee
SCHEDULE MILESTONES
The exact schedule and milestones is to be finalized jointly vith NFP Retirement.Following is a proposed
sample timeline:
PHASE 1 (Month 1-Month 6)
Evaluation of Current Plans, culminating in a comprehensive narrative report regarding the
following items with recommendations for changes:
• Existing participation,including investment diversification and contribution levels
• Concentration of assets and participants
• Historical rates of return and investment performance
• Existing investment fund objectives
• Quality of existing investment options
• Full disclosure of current fees,charges and expenses
• Identification of any potential deferred sales,surrender charges or liquidation restrictions
• Review of stable value and fixed interest accounts
• Plan sponsor support
• Participant education and counseling services
• Optional plan features offered
• Reviesn of existing contracts,reports and services offered
• How the 457(b) plan is integrated with other retirement benefits offered by the City
After completion of review,recommendations will include the following services:
• Requests for Proposals (RFP) for Plan Record-Keeper
• Transition Implementation
• Current Record Keeper Re-negotiation (in lieu of a Record-Keeper RFP)
• Fiduciary Investment Reviews
• Investment Manager Searches
• Investment Policy Statement Review and Implementation
• Fiduciary Education
• Participant Education
• Education Policy Statement Review and Implementation
• Legislative and Regulatory Updates
Establishment of an Oversight Committee, including review of the existing makeup of the
current Committee and recommendations related to changes.
Update/write Investment Policy Statement
• Review of existing investment policy statements
• Comparison to best practices &goals of the plan.
• Basic framework for nein statement will include:
o Identification and description of all asset classes in the Plan
o Fund selection criteria
o Frequency of fund review and monitoring
o Actions that will be taken for under-performing funds
PHASE 2 (Month 6-121
Fiduciary Education and Programs for the Committee will include the following in addition
to other identified necessary training:
• Review of Plan Governance Documents
• Fiduciary Calendar and Plan Management Responsibilities Fiduciary DiagnosticTm
• Fiduciary Compliance Reviews to Document Completion of Plan Management
Responsibilities
• Fiduciary Training and Education
• Plan and Benefit Design Evaluations
• Periodic Investment Performance Reviews &Recommendations
• Annual Fee and Expense Analysis vs. Industry Averages
• Quarterly Legal and Compliance Updates
• Virtual Fiduciary File to Organize and Store Plan Documentation
Development of Training and Communication Plan Citywide culminating in both
communications out and training for staff related to Plan review and changes:
• Existing Staff
• Retirees
Request for Proposal to identify and select best qualified record holders for the City's
pro ams:
Step Action Responsibility Date
1 RFP Developmcnt Comnuttee/NFP Week 41
2 RFP questionnaire sent to NFP Week#4
qualified service providers
3 RFP questionnaires received NFP Week#6
Initial analysis created
Presentation of RFP analysis
4 Finalist service providers NFP Week#11
selected
5 Presentations by finalist service Committee/NFP/ Week#13
providers Finalist Service Providers
6 Final decision made Commitiee'NFP Week#15
7 Transition'Implementation Committee;NFPIProvider Weeks#16-30
Complete
In addition to the RFP process itself,provide:
• Implementation Assistance
• Communication with Participants/Stakeholders throughout buildup to and
implementation of RFP process:
o Initial
o Midstream
o Final
PHASE 3-Ongoing through life of contract:
Periodic Investment Performance Reviews (at least annually)
• Review and provide both written and oral reports of the selected investment performance
• Make recommendations about changes to investment offerings
Committee Meetings and Other Meetings
• Attend regular quarterly committee meetings as outlined in plan documents
• Attend ad hoc meetings as agreed upon
• Be available to assist with issues or questions that come up
COST/RATE ESTIMATES
11i Scope Services
All-inclusive lump sum price for the Scope of Services
as outlined in the City of Tigard's IRFP for Plan $27,500 $271,500 $27,500
Investment Adviser Services and NFP's Proposal
EXHIBIT B
CONSULTANT'S PROPOSAL
March 7, 2017
C.3 izr 11*
1.1:y iLgard
P_espon.s., to i-iformal Request
for '-Proposal (IRFF)
Plan irivestment A dx,iser
Consultantel-v ices
1z;
0%) NFP
OONFP"-
Retirement
TABLE OF CONTENTS
1. COVER LETTER
2. EXECUTIVE SUMMARY (PAGES 1-2)
3. PROPOSED WORK PLAN (PAGES 3-16)
• PHASE 1 : EVALUATION OF CURRENT PLANS, ESTABLISH AN
OVERSIGHT COMMITTEE AND INVESTMENT POLICY STATEMENT
• PHASE 2: FIDUCIARY TRAINING AND REQUEST FOR PROPOSAL
FOR PLAN RECORD-KEEPER
• PHASE 3: ONGOING SUPPORT TO THE OVERSIGHT COMMITTEE
4. COST PROPOSAL (PAGE 17)
5. CONSULTANT BIOGRAPHIES (PAGES 18-21)
ONFP
March 6, 2017
City of Tigard—Contracts& Purchasing Office
ATTN:Joe Barrett, Sr. Management Analyst
13125 SW Hall Blvd
Tigard, OR 97223
RE: IRFP Response for Plan Investment Adviser Consultant Services
Dear Mr. Barrett:
NFP is pleased to enclose our proposal for Plan Investment Adviser Consultant Services for the City of
Tigard. Our proposal is valid for 60 days after the date for opening proposals. Services for this
engagement will be provided by Mindy Harris and me. Our respective contact information is listed below:
Bill Tugaw, Managing Director Mindy Harris
Governmental Plans Senior Consultant
NFP Retirement NFP Retirement
(866) 443-1557, ext. 103 (360) 513-7285
NFP recently completed the acquisition of SST Benefits Consulting (SST)whose expertise serving public
sector clients spans 30 years. SST's experience includes 20 years of developing and administering
Requests for Disclosure (RFD), Requests for Proposal (RFP), investment performance reviews,
investment manager searches, transition implementation, fiduciary education via the 457 University,
investment policy statement review and implementation, and negotiating services for public sector
Deferred Compensation, Defined Contribution and Retirement Health Savings (VEBA) plans with
combined assets that exceed $7 billion. As the former President of SST I am proud to be associated with
NFP and excited about the new opportunities it brings.
I am the Managing Director of Governmental Plans for NFP and bring over 30 years of providing service
to public sector plans all over the country. Mindy Harris brings a unique perspective to the team with
experience as the Chief Financial Officer for Multnomah County, Oregon. Her responsibilities included
management of the Finance, Risk Management, Purchasing, Employee Benefits and Retirement i
functions. Mindy was the plan administrator for Multnomah County's 457 Deferred Compensation plan
from 1994-2012, and was responsible for plan document interpretation, marketing and participant
education, investment provider contracts and relations, and compliance with state and federal 1
1
regulations.
NFP 1 120 Vantis,Suite 400,Aliso Viejo,CA 92656 1800.959.0071 1 nfo.com/retirement
Securities may be oftered through Kestr:Investment Services;LLC(Kestra IS),membe,FINRA/SIPC Investment Advisory Serrices may be offered
through NFP Retirement;Inc Kestra IS is affiliated with NFP Retirement Inc a subsidiary of NFP
I
i
0NFP@
The diverse personal histories and experience of each of our consultants presents an unparalleled
combination of experience, perspective and proprietary knowledge specific to the investment vehicles
utilized by our public sector clients. NFP has deep experience serving public sector deferred compensation
and defined contribution plans nationwide. One of the results of this experience is a comprehensive
understanding of the many considerations involved in embarking on a project such as yours. We are
uniquely positioned to partner with the City in an advisory capacity for your plan and strongly believe you
will find no better combination of personnel,with both strategic and operational knowledge.
We would appreciate the opportunity to meet with you to discuss in more detail our unique and innovative
approach to public sector defined contribution plan consulting.
BT:mk
Sincere]y,;
.Bill'f tigaw, Managing Director
Governmental Plans
NFP Retirement
NFP 1120 Vantin,Suite 400,Aliso`/refo,CA 926561800 859.0071 1 nfp c omiretuement
Securities may be offered through Kestra Investment Services, LLG(Kestra IS),member FINRNSIPC.Imrestmani Advisoiy Senfic9s may be offered
through NFP Retirement-Inc Kesira IS is affiliated with NFP Retirement Inc.a subsidiary cif NFP
NFF''s Response to the City of'Qzard
Executive Summer_
Backed by a national footprint that directly advises over $100 billion across 1,384 retirement plans and a
practice management platform that is used by 400+ advisory firms representing another $300 billion
across 30,000 retirement plans, NFP provides industry experience and exposure that plan sponsors can
leverage to create and maintain a best-in-class retirement plan for their organization. NFP's headquarters
are located at 340 Madison Avenue, New York, NY 10173. We have 150 offices across the U.S., and 6
international offices in the U.K., Canada and Puerto Rico.
Services for this engagement will be provided by NFP's Retirement division. NFP Retirement, Inc. is a
California corporation located in Aliso Viejo, California.
NFP Retirement is registered as an investment advisor with the Securities and Exchange Commission
under the Investment Advisors Act of 1940. This division was founded and began providing retirement
plan consulting services in June 2000 (as 401(k) AdvisorsTM). In July 2006, NFP Corp. (NFP) acquired
401(k) AdvisorsTm as a member firm. There are 20+ offices across the United State with over 200
retirement focused employees. NFP directly advises 1,384 retirement plans providing services very similar
to those requested by the City.
NFP Retirement recently completed the acquisition of SST Benefits Consulting (SST) whose expertise
serving public sector deferred compensation and defined contribution clients span 30 years. Bill Tugaw,
former President of SST is an important member of the proposed consulting team for this engagement
providing the depth of experience necessary to complete the requested Scope of Services. He will work
closely with Mindy Harris, who has broad and deep experience managing 457(b) plans in the public sector
and, as both Plan Administrator and Consultant, has led the very type of projects the City is considering.
The following chart outlines the types of clients served by NFP.On an individual client basis our longest public
sector relationship dates back to the year 2000 and assets range from$10 Million to over$1 Billion.
P14 .,
Governmental 457(b) 34
401(a) 50
403(b) 66
401(k) 1.135
Retiree Health Savings Accounts (VERA) 10
With the acquisition of SST Benefits Consulting, NFP is strategically expanding our defined contribution
experience into the public sector space. Our longevity, culture, philosophy and educational approach to
consulting services distinguishes NFP in the marketplace. Our approach to business differentiates us from
other firms in terms of our processes, our priorities, and ultimately our ability to serve our clients. Our
professional staff is highly credentialed and experienced and includes 30 CFA®charterholders, 12 former
practicing compliance attorneys and 3 former practicing actuaries. NFP accepts Co-Fiduciary responsibility
for the City of Tigard engagement. As a Co-Fiduciary, NFP assumes fiduciary responsibility
IVFP's Rg`sponse to the City of Tigard's IRFP+ Plan Investment Adviser Corsultant Services_}. March 7,2017
�- NFL's Resoon_se to the City of Tiaard
for assisting the City with gathering, examining and understanding information that is relevant to making
informed decisions on behalf of plan participants. The City, however, retains control/discretion pertaining
to final investment decisions.
Services provided to our public sector clients are nearly identical to those identified in the City of Tigard's
Scope of Work. Specifically:
• Evaluation of the current 401(a), 457(b) and VEBA Plans and Investment Offerings
• Investment Strategy and Recommendations
• Fiduciary Compliance and Education
• Plan Governance Processes and Documentation
• Request for Proposal —Plan Record-Keeping Services
• Selecting Investment Options Consistent with the Investment Policy Statement
• Transition Management to the New Record-Keeper Including a Strategy
for Participant Communication
• Ongoing Plan Investment Advice
• Periodic Meetings with the Plan Governance Committee
We approach client service as a collaborative team effort "quarterbacked" by a dedicated plan consultant.
Bill Tugaw is your plan's lead consultant with Mindy Harris acting as co-lead consultant. Leveraging his
fee negotiation expertise and expansive knowledge of the provider marketplace, Kameron Jones will
oversee the RFP for a plan record-keeper.They will be supported by"mini"teams of specialists devoted to
the areas of Compliance, Fiduciary Risk Management, Provider Analysis / Fee Benchmarking and
Participant Education all ready and able to customize services to meet the City's needs.
Kyle Olsen is our dedicated CFA that will oversee your investment line-up and provide selection,
monitoring and replacement advice. Although public sector plans are exempt from ERISA, the provisions
of the act are generally considered "best practice"guidance for the administration and operation of public
sector defined contribution plans. Jennifer Brooks, a former practicing ERISA attorney, will assist with
specific compliance and/or regulatory issues pertaining to your plan. Orlando Torres will coordinate
participant education initiatives.
- - - -
Pill Ti in—i Managing Director; Governmental +oma,+!`nnenl4�nt
Mindy Harris Senior Consultant Co-Lead Consultant
Kameron Jones Investment Advisor Repiesenative Record-Keeper RFP
Kyle Olsen Investment Consultan Investment Analysis&Advice
Jennifer Brooks Compliance Specialist
Compliance& Regulatory
Orlando Torres Participant Education Specialist Review
Their biographies are included in Section #5 of this response. Participant Education
Initiatives
NFP's Response to the City of Tigard's IRFP Plan Investment Adviser Consultant services-i Muoh 7,201Y -� 2
14FP's Response to the City of Tigard_
Proposed Work Plan
We propose the following work plan to accomplish the Scope of Work as outlined in the City of Tigard's
IRFP for Plan Investment Adviser Consultant Services:
Phase 1 - Evaluation of Current Plans, Establish an Oversight Committee and Investment Policy
Statement
Phase 2- Fiduciary Training and Request for Proposal for Plan Record-Keeper
Phase 3- Ongoing Supportto the Oversight Committee
PHASE 1 — 'Evaluation of Current Plans, Estabiish an Oversight
Committee and Investment Policy Statement
Evaluation of the Current Plans
Our consultants begin new client relationships by gaining a thorough understanding of the history of your
plans and your future objectives. Applying decades of "best practice"data and using our proprietary tools,
our consultants work with your Committee to design a retirement plan and communication strategy, which
engages participants and offers a variety of high quality choices at the lowest practical cost.
Our evaluation of the current plans is accomplished by using our proprietary Request for Disclosure
(RFD), in which we conduct a complete review of your existing plans by requesting information from the
current provider(s).This allows us to establish a baseline for benchmarking the current plans and identify
specific, measurable areas for potential improvement, including:
• Existing participation, including investment diversification and contribution levels
• Concentration of assets and participants
• Historical rates of return and investment performance
• Existing investment fund objectives
• Quality of existing investment options
• Full disclosure of current fees, charges and expenses
• Identification of any potential deferred sales, surrender charges or liquidation restrictions
• Review of stable value and fixed interest accounts
• Plan sponsor support
• Participant education and counseling services
• Optional plan features offered
• Review of existing contracts, reports and services offered
• How the 457(b) plan is integrated with other retirement benefits offered by the City
Upon completion of our review of the current plans, a comprehensive narrative report will be provided
and presented to the Committee outlining our assessment of all the key components listed above, identify
improvement opportunities, recommend an action plan to incorporate the recommended changes and
provide a baseline for additional ongoing services including, but not limited to:
NFP's Response to the City of Tigard's IRFP+ Plan Investment Adviser Consultant Servicos-. March 7,2017 - +� � �� 3
NFF's Resoonse to the City of TTi_hard_
• Requests for Proposals (RFP) for Plan Record-Keeper
• Transition Implementation
• Current Record Keeper Re-negotiation (in lieu of a Record-Keeper RFP)
• Fiduciary Investment Reviews
• Investment Manager Searches
• Investment Policy Statement Review and Implementation
• Fiduciary Education
• Participant Education
• Education Policy Statement Review and Implementation
• Legislative and Regulatory Updates
Oversight Committee
NFP Consultants understand the importance of building positive working relationships with Committee
members and decision makers. We will help create, educate and facilitate an employee oversight
committee, and commit to timely responses to member concerns and prompt dissemination of information
that impacts fiduciary responsibilities or activities of the Committee.
Committee members usually include management, labor, non-represented employees and retirees but
are developed according to each organization's needs.
Investment Policy Statement
If there is an existing Investment Policy Statement (IPS) in place, NFP will review it to ensure that it is
consistent with regulatory requirements, industry best practices and that it reflects the goals and objectives
of the Plan. Subsequently, it will be reviewed on an annual basis. If there is no existing IPS, NFP will assist
the Committee in developing one.
Fiduciary standards have become explicitly applicable to public sector defined contribution plans. We
believe that the IPS is a cornerstone of any Plan as it provides a road map for plan investment policy, as
well as guidance in decision making, policy changes, review of investment options and action steps for
addressing investment performance issues.
The IPS makes the process predictable and can serve as an important educational tool for participants
because it reflects the plan sponsor's commitment to fund monitoring and provides the basis for
participants to evaluate their own individual selections.We believe that a current and closely followed IPS
is a key safe harbor in helping plan sponsors meet their fiduciary responsibilities.
Ultimately, the IPS should reflect and support the plan's long term goals and objectives. By following the
IPS,the investment portfolio will be diversified and provide safe, high quality and cost-effective investment
options to participants. The IPS basic framework includes the following:
• Identification and description of all asset classes in the Plan
• Fund selection criteria
• Frequency of fund review and monitoring
• Actions that will be taken for under-performing funds
NFP's Resporae to the Ci:v of Tigard's IRFf Pian Invost eesnt Adviser C,)nsuItant Services 4, March 7,2017 4
NFP's_Resoonse to the City of:Tiqjrd
PHASE 2 — Fiduciary Training and Request for Proposal for Record-Keeper
Fiduciary Education and Programs
Committee & Staff Fiduciary Education/On-site Training
��*%fTY T The management of deferred compensation and defined contribution plans has
�� changed significantly during the past decade. With these changes have come
unprecedented new responsibilities for decision makers.
H
MriII Our proprietary 457 University was developed specifically to educate public
sector decision makers on the practical application of fulfilling their fiduciary
responsibilities under the Internal Revenue Code.
In these informative workshops we explain the foundation of plan due diligence and educate decision
makers on the practical application of fulfilling their fiduciary responsibilities. We cover fiduciary
responsibilities as they relate to client-specific plans as well as the broader fiduciary functions of plan
sponsors.
We began offering comprehensive training programs in 1999 and continue to present these highly
regarded seminars. Past participants in these sessions have included policy and decision makers, senior
and mid-level managers, legal counsel and support staff. Using a flexible format, we offer these
comprehensive, six (6) hour programs onsite at a location convenient to our clients.
Bill Tugaw and Mindy Harris are the trainers of 457 University educational workshops,which are intended
for decision-making and administrative personnel. Our consultants are nationally recognized speakers,
educators and authors specializing in legislative topics and their impact on employer-sponsored retirement
plans.
In addition to 457 University, NFP offers advanced fiduciary modules that can be incorporated into
quarterly meeting agendas. Sample topics include:
• Fiduciary Responsibility
• Fee Equalization and Fee Disclosure Responsibilities
• Understanding Your Investment Policy
• Understanding Fixed, General and Stable Value Accounts
• Target Date/Asset Allocation Funds
• Mutual Fund Basics
• Fiduciary Investment Reviews
• Scorecard TM Methodology
• Reading Morningstar®Reports
• NAGDCA Best Practices Series
Fiduciary Responsibilities
Although public sector plans are exempt from ERISA, the provisions of the act are generally considered
"best practice"guidance for the administration and operation of public sector defined contribution plans.
NFP's Response to the City of Tigard's IRFP+ Pi r.Investment Adviser Consultant services+ March 7,2017 6
NNFE s Res.onse to the City of Tigard
ERISA requires plan fiduciaries to satisfy the highest duties of care in our legal system with severe
consequences attached to imprudent actions and inactions. Serving as a fiduciary, NFP is held to these
high standards. This provides important assurances and protection when you rely on our advice to make
plan-related decisions.
NFP accepts Co-Fiduciary responsibility (known in ERISA language as a Section 3(21) fiduciary) for the
City of Tigard engagement. As a Co-Fiduciary, NFP assumes fiduciary responsibility for assisting the City
with gathering, examining and understanding information that is relevant to making informed decisions on
behalf of plan participants. The City, however, retains control/discretion pertaining to final investment
decisions.
On an ongoing basis, NFP provides the following fiduciary support services to assist clients in meeting
their fiduciary responsibilities:
• Review of Plan Governance Documents
• Fiduciary Calendar and Plan Management Responsibilities Fiduciary DiagnosticTm
• Fiduciary Compliance Reviews to Document Completion of Plan
Management Responsibilities
• Fiduciary Training and Education
• Plan and Benefit Design Evaluations
• Periodic Investment Performance Reviews & Recommendations
• Annual Fee and Expense Analysis vs. Industry Averages
• Quarterly Legal and Compliance Updates
• Virtual Fiduciary File to Organize and Store Plan Documentation
Request for Proposal
NFP is a leader in assisting clients with innovative ways to address the increasing responsibilities of plan
sponsors. We were one of the first consulting firms to develop an RFP process for governmental deferred
compensation plans that highlights the advantages of going from multiple providers to a sole provider.
Examples of such improvements include, but are not limited to, improved plan sponsor administrative
efficiencies, reduced plan and participant expenses, administrative expense reimbursement agreements,
fee equalization, improved investment options, increased participant education and counseling and increased
overall participation in the plan.
Few, if any, advisory firms provide the access and experience that we leverage when benchmarking
provider fees and services. Our proprietary, web-based data collection and RFP technology allows us to
compile and compare over 400 data points across 100 record-keepers in key areas that include:
recordkeeping services,compliance services, investment platform flexibility, employee education services
and technology. Over the three-year period ending 12/31/2016, we conducted 442 provider RFPs with
plan sizes ranging from under$10 million to over$10 billion.
NFP's Resoonse to the
The five (5) phases of the RFP process are outlined in the following chart:
Phase 3 Phase 4 Phase 5
Phase 2 IR
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Our record keeper search utilizes our proprietary B3 program which is also used for plan benchmarking.
However, much more time is spent during the RFP process matching service differentiators to plan specific
needs and requirements, including but not limited to:
• Experience levels
• Retention rates
• Caseloads
• Compliance services
• Transaction services
• Website capabilities
• Mobile app capabilities
• Enrollment tools and support
• Investment education tools and support
• Customization capabilities, and
• A host of investment platform capabilities and/or requirements
The B3 team compiles the cost and service differentiators and reports findings to the City's lead consultant
and consulting team for presentation to the City.
Unlike many of our competitors, NFP derives its benchmarking comparisons from provider RFP
responses. Information gathered during the Request for Disclosure (RFD) process outlined previously is
utilized to map out your plan's parameters, complexity, service requirements and unique needs. This
information is then used to create a list of plan specifications that competing record keepers use to quote
their services and fees. While definitely more arduous, there are several benefits to our RFP approach.
First, the comparisons that we provide ensure you that "apple-to-apple" and not "apple-to-orange"
comparisons are provided. Next, all fee comparisons are based on current market prices instead of
outdated historical prices. And, last but not least, a plan's current record keeper knows that its chief
competitors are anxiously waiting on the sideline to assume its role. This is important in our partnership
and quest to receive the most competitive possible bids.
WF Response to the City of Tigard's 1RFP+ Plan Investment Adviser Corsitant SPIN4088+ March 7,2017 7
NFP's.Resoonse to the City of Tigard
In all, it's fair to say that we understand record-keeper tactics, and the record-keeping community respects the
thoroughness of our approach. By combining both,our RFP benchmarking process allows a plan to maximize
its negotiating leverage. To that end, our final benchmarking report provides side-by-side comparisons of
record keeper costs and services to isolate differences in these key areas:
• Total plan costs
• Net recordkeeping costs
• Net investment management costs
• Investment quality rankings
• Service differentiators, i.e., experience levels, retention rates, caseloads, compliance
services,transaction services,website capabilities, mobile app capabilities, enrollment
tools and support, investment education tools and support and customization capabilities
Ra •�:, r,,E ,w:f, a€y,F�tia:
{ Reliremenr plan
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Implementation Assistance
NFP Consultants excel in the facilitation of the transition process. They have direct experience in the
complexities involved with transition and a broad understanding of how best to assist our clients through
what can be a complicated process.After selection of the successful respondent(s), NFP will facilitate and
oversee the transition process including communication with participants.
Communication with Participants/Stakeholders
Throughout our years of assisting clients with enhancing their retirement plan options, we have found that
a comprehensive communications program with stakeholders and participants aids in the smooth
implementation of changes, keeps participants informed and avoids confusion, and reduces the strain on
the Committee and administrative staff. Although this component is listed toward the end, these services
are actually provided throughout the RFP selection process. Using robust tools, we work with your
committee to accomplish the following steps:
I Initial participant communication to describe the beginning of a review and selection
process for the Plan, the goals and objectives for the process, and offering participants
the opportunity to ask questions and communicate related needs.
NFP's Response to the City of Tigard's IRFP+ Plcn Investment Adviser Consultant Servi,es-t• March 7,2117 8
NFP', Response to the Citv of Tigard
Midstream participant communication to describe decisions made after finalist interviews,
reinforcing key objectives, identifying and quantifying improvements, informing
participants about expected next steps, and assuring that any participant or stakeholder
concerns or issues are addressed.
Final participant communication to summarize final recommendations and supporting
rationale,as well as next steps for the participants to expect.
RFP Project Timeline
Date
_J Action Re9ponsibility
1 RFP Development Committee'NFP Week#1
RFP questionnaire sent to
S qualified service providers NFP Week#4
4 RFP questionnaires received NFP Week#8
Initial analysis created
Presentation of RFP analysis
5 Finalist service providers NFP Week#11
selected
Presentations by finalist service Committee/NFP!
6 providers Finalist Service Providers Week#13
7 Final decision made Committee/NFP Week#15
8
Transition., Implementation CommittrrerNFP/Provider Weeks#16 -30
Complete
[This space intentionally left blank]
NFF's Resperse".o the City o`Tigard's IRFP+ Plar,Investrm9nt Adviser Consultant Sexvicss+ March 7,2017 g
igFP ss R once to the Ci#y and -
PHASE 3 — Ongoing Support to the Oversight Committee
Periodic Investment Performance Reviews
All of our investment research and client deliverables are proprietary and customized in-house by our CFA
charterholder-led Investment Research team. NFP obtains performance data and analytics from two third-
party databases (e.g., Morningstar, MPI Stylus)that incorporate over 20,000 funds.There is no fee (direct
or indirect) for inclusion in our database.
Unless a person has a strong investment and statistical background, distinguishing a rigorous and
defensible investment review process from one that simply looks and sounds good can be difficult. That's
why we believe it's important for us to highlight the fact that NFP's proprietary investment review process
closely aligns with the CFA Institute's recommendations for effective performance benchmarking (the CFA
Institute sets Global Investment Performance Standards(GIPS®)for the investment management industry).
NFP's professional analytical staff is highly credentialed and experienced with 30 CFA®charterholders on
the team who are responsible for performance evaluation, performance attribution analysis, fund
evaluation and due diligence.
Our 11-member Investment Research team (eight CFA charterholders) conducts daily meetings with
portfolio managers to monitor fund's performance, philosophy, processes and personnel. Our size, i.e.,
over $300 billion in plan assets utilizing our systems, provides us access to fund managers that other
consulting firms are not granted. Contact occurs onsite (at the management company), in our office, or by
phone. Approximately, 50 percent of these meetings are conducted face-to-face and 50 percent are
conducted over the phone. All contact dialogue is captured and summarized on a weekly basis.
NFP's six (6) member Investment Committee (all CFA charterholders) meets bi-weekly to discuss
qualitative adjustments prior to recommending adding or removing a fund to a plan's investment lineup.
Narne Title Years,of Prior Experience
Experience
Jeffrey Elvander; CFA Chief Investment 25 years Portfolio Manager at Barclays Global
Officer and the Trust Company of the West
Geoff Keeling; CFA Director of 20 years Portfolio Manager for Invesco's$3
Investment Research Billion Large Cap Growth Fund
Daniel Kallus. CFA Senior Investment 24 years Director of Equity Investments at
Analyst Garcia Hamilton and Associates
David Rinehart. CFA Senior Investment iii yeas Portfolio Manager
Analyst
Vince Learned: CFA Investment 15 years Portfolio Manager
Consultant
Solomon Stewart; CFA Investment g years Fixed Income Manager
Consultant
NFP's Response to the City of Tigard's IRFF Plan Iii,.estcient Ad,.,iser Consultant Services+ 'arch 7,2017 - 10
N.F.-Ps Res .anss to the City of Tigard
Our proprietary process incorporates a comprehensive, quantitative fund Scorecard" and a thorough
qualitative review by our Investment Committee. This Committee comprised of the 6 CFA charterholders
introduced in the above chart has 108 years of combined investment experience.We leverage over$300
billion in assets under advisement to gain access to key investment personnel at management firms that
other consulting firms have limited or no access.
The Scorecard T11 System Methodology incorporates both quantitative and qualitative factors in evaluating
fund managers and their investment strategies. The Scorecard TM System is built around pass/fail criteria,
on a scale of 0— 10 (with 10 being the best) and has the ability to measure Active, Passive and Asset
Allocation investing strategies. Active and Asset Allocation strategies are evaluated over a five (5) year
time period, and Passive strategies are evaluated over a three (3) year time period.
Eighty percent of the fund's score is quantitative (made up of eight (8) unique factors) incorporating
modern portfolio theory statistics, quadratic optimization analysis and peer group rankings:
• Style Analysis
• Style Drift
• R-Squared
• Risk/Return
• Up/Down Capture Analysis
• Information Ratio
• Returns Peer Group Ranking
• Information Peer Group Ranking
The other twenty percent of the score is qualitative,taking into account things such as manager tenure,
the fund's expense ratio relative to the average fund expense ratio in that asset class category, and the
fund's strength of statistics. Other qualitative criteria that may be considered are the viability of the firm
managing the assets, management or personnel issues at the firm, and/or whether there has been a
change in direction of the fund's stated investment strategy.
Combined, these factors are a way of measuring the relative performance, characteristics, behavior and
overall appropriateness of a fund for inclusion in a plan as an investment option.The ScorecardTm System
is meant to be used in conjunction with a Plan's Investment Policy Statement in order to assist with
identifying funds to be discussed as 'Watch List" or removal candidates, as well as identifying new top-
ranked strategies for inclusion into the Plan.
Good 9-10 Points
Acceptable 7-8 Points
Watch List 5-6 Points
Poor 0-4 Points
NFP's Response to the City of Tigard's IRFP - Plar;in estment Adviser Consultant Snrvlces-l- +larch 7;2017 J 1
NFP's Response to the C�of Ti a=rm
Our process incorporates:
• Rolling period analysis to provide to provide better measures of a fund's central
tendency and to identify emerging trends not currently reflected in a fund's analytics.
• Custom benchmarks and peer groups that aim to provide better measures of a fund's
true value.
• Regular meetings with portfolio managers to confirm that fund analytics are
representative and repeatable.
Institutional-Level Due Diligence dives much deeper than the traditional metrics utilized by most consulting
firms:
3 11 1111
Average Returns - Folling Returns
Broad Benchmarks - Custom Benchmarks
Broad Peer Groups - Custom Peer Groups
Broad Style Analysis - Style Drift
Alpha - Information Ratio
Beta - Upside Capture Ratio
Standard Deviation - Downside Capture natio
The Scorecard TI process is ultimately structured to identify skillful managers that will drive future
investment performance. Three primary factors drive this process:
• PEOPLE: Knowledgeable team with deep institutional expertise and combined
intellectual capital of a team of CFA charterholders, analysts and investment
professionals and with average tenure of 15 years.
• PROCESS: Successfully executed process that is clearly defined, consistently
applied, clearly communicated, and in an easy-to-understand format.
• PHILOSOPHY: Disciplined focus on the science of investment research to identify
skillful managers.
As a Co-Fiduciary to the plan, NFP will advise the committee about the plan's investment lineup and how it
should change based on our performance metrics. We provide analysis of potential fund replacements, as
well as ensure that participants are informed about any changes to the investments they are offered. We
recommend this analysis be conducted annually and our pricing is based on annual reviews. As part of our
responsibility to the plan, we will also review certain funds more frequently and report to the committee,
should circumstances arise and warrant special review. This is also included in our pricing.
NFP's Re,Forse to the City of Tigard's IRFP.}. Plan Investment Adviser CorsAmt Ser&P.£+ March 7;201 7 12
NFP's Response to the Ci!of Turd —_
A Fiduciary Investment Review will be presented annually and will include the following information:
• An executive summary outlining key discussion items
• NFP's market commentary
• A summary of each manager's quantitative analytics and overall score
• A detailed review of managers on the plans'watch lists and qualitative fund commentary
• Regulatory and legislative updates
• Fiduciary training modules
These Fiduciary Investment Review reports, along with documentation and records retention of all DCC
meetings and decisions are stored on a secure website and available through Fiduciary BriefcaseT"'. This
proprietary online portal provides a virtual file to organize and store all plan documents:
• Plan Documents
• Committee By-Laws and Meeting Minutes
• Investment Policy Statement
• Fiduciary Investment Reviews
• Fee Benchmarking Studies
• Required Disclosures
• Participant Education Materials, and more!
Fiduciary Briefcase affords your committee convenient access to all pertinent plan information.
Committee Meetings
NFP consultants understand the importance of building positive working relationships with Committee
members and decision makers. We commit to timely responses to member concerns and prompt
dissemination of information that impacts fiduciary responsibilities or activities of the Committee. Our
ongoing commitment to due diligence includes the education of Committee members and other
stakeholders regarding their fiduciary responsibilities to the plan.
NFP commits to personal attendance at committee meetings. Every meeting with NFP includes a
Regulatory Update or other pertinent education for the plan fiduciaries. We highly value continuing
education for the plan fiduciaries because we want to help the fiduciaries focus on the items they need to.
This education corresponds directly with NFP's Fiduciary Fitness Program.
Our local presence in the Pacific Northwest affords great flexibility in accommodating additional ad hoc
meetings as may be required by the Committee.
We also publish a quarterly Legal & Compliance Bulletin. Although public sector plans are exempt from
ERISA, the provisions of the act are generally considered "best practice"guidance for the administration
and operation of public sector defined contribution plans. Our ERISA-trained compliance staff constantly
monitors the potential legislative impacts to your plan.
Analysis and Recommendations Regarding Investment Options
The process for the analysis and recommendations regarding investment options is the same Scorecard TM
System Methodology utilized for Fiduciary Investment Reviews described above.
NFP75Resporse to the City a{Tigard's IRFP+ Flan Investment Adviser Cons L;Itan'SeN- Ices a Ma—ch 7.2011 13
NFP's Response to the City of Tigard
A description of our fund retention/selection process is outlined below:
• A fund's quantitative score is used to determine whether additional investigation/
discussion is warranted. In general, funds that score 7 points or more are considered
acceptable. Funds that score 6 points or below are considered "Watch List" or"Replace"
recommendations based on further analysis and discussion. Our fund selection process
uses a fund's quantitative score to identify potential candidates. Funds that score 9 or 10
points typically make the first cut.
• Our qualitative due diligence effort allows us to dig deeper and go beyond the metrics
that are used to calculate a fund's quantitative score. NFP's Investment Committee
meets on a bi-weekly basis to discuss qualitative adjustments (up or down)to a fund's
score prior to recommending adding or removing a fund.
• If a fund fails to meet certain criteria standards, as determined by NFP's Investment
Committee, a"Watch List" recommendation will be made to the Committee.
• If a fund continues to remain on the Watch list for four consecutive quarters, or for five of
the past eight quarters, the fund will be considered for possible replacement.
• In the event a fund experiences extraordinary circumstances that may render it
inappropriate to maintain, it may be considered for removal at the earliest feasible date.
• Additionally, despite a strong quantitative score NFP's Investment Committee may
remove a manager if there are significant changes to the team, investment
organization or process.
Charter/Policy Monitoring and Legislative Updates
NFP service includes an annual review of the Committee Charter or By-laws, Plan Documents and the
Investment Policy Statement to ensure industry best practices and compliance with recent legislation and
regulatory action. Our 12 member legal staff constantly monitors the legislative impacts to your plan.
NFP legal staff monitors and reports on industry trends, legislative and regulatory changes that may have
an impact on our clients' plan documents and benefit offerings. In addition we track industry trends and
legislative progress in the defined contribution marketplace through our membership and participation in:
• National Association of Government Defined Contribution Administrators (NAGDCA), and
• International Foundation of Employee Benefit Plans (IFEBP).
Our consultants are involved with legislative and other committees within the above associations, which
allows us access to timely current and developing information. We also are in constant communication
with all of the major defined contribution plan record-keepers and major publications, and are able to stay
abreast of regulatory changes and industry trends through these sources.
In our commitment to continuing education for the Committee, every meeting with NFP will include a
Regulatory Update for the Committee. Further, we publish a quarterly newsletter, "News and Views"in
order to provide legislative outlines, industry trends,thoughtful insights and the benefit of our experience
to help our clients understand and implement new requirements or complex policies.
N P's Response to the City of Tlgasd's IRPP-t• Plan investment Adviser Consultant services+ March 7 20'% �~!' -_14-
NFP's'Resoonse to the Ciy of Tigard
Participant Education
Working with the record-keepers, Mindy Harris and Orlando Torres will coordinate participant educational
initiatives.
NFP believes that sound education programs, both at the decision maker and participant levels can, in
part, address the issues presented in behavioral finance. Participants need to be educated and armed
with the appropriate tools to make rational versus irrational decisions regarding the investment of their
deferred compensation funds. How they perceive market fluctuations has a direct impact on their investing
decisions. Understanding market dynamics will assist in making appropriate financial decisions. A
participant should first understand their own risk tolerance and how that relates to their own portfolio.They
need to be well versed in asset allocation,the importance of a diversified portfolio and the impact of dollar
cost averaging. They also need to understand how their 457(b) assets will coordinate with other sources
of retirement income, including PERS, the City's 401(a), VEBA accounts, and any outside assets they
may have available upon retirement.
We are one of the few firms that have thoroughly embraced behavioral finance mechanisms to encourage
better plan participation and plan health, capturing these valuable new tools in our proprietary Education
Policy Statement (EPS). The EPS encourages plan decision-makers to revisit their role in developing the
retirement readiness of their participants. We work with our clients to help them determine the education
needs of their participants, in order to help the participants avoid making irrational financial decisions that
can be detrimental to their financial future. We also help our clients determine their education needs as
decision makers to the Plan, so that they are also in the position of making informed decisions when it
comes to the Plan's business.
Examples of our recommended educational programs for participants include:
• Introduction to Deferred Compensation
• Asset Allocation
• Portfolio Diversification
• Estimating Retirement Income Needs
Periodic Review of Plan Sponsor and Participant Services
NFP was one of the first to implement performance standards and guarantees speaking to the services
provided to plan administrators and participants.We develop these standards in conjunction with the Plan
Sponsor to ensure they are meeting their needs, expectations and strategic goals. These performance
guarantees ensure providers are meeting the service commitments they made in the vendor selection
process.
Plan administrator services help support the management of the plan. Examples include:
• Regular review of plan document to ensure compliance with current regulations
• Review and administration of any optional services, such as emergency
withdrawals, domestic relations orders, plan loans
NFP's Rosrnrsc to the City of Tigard's IRFP-4• Plan Investment Adviser Consultant Services+ hoar•:h 7;2017 15
.c NFP's Resoonse to the City of Tla and
Periodic reviews and reports of Plan performance
Automation of transactions
Plan participant services help support the participants in their quests to save adequately for their
retirement. Examples of participant services include:
Type and frequency of participant education
Availability of plan representatives to meet with individuals
Timeliness of processing participant requests, including new enrollments, investment
changes, withdrawal requests
Call Center services
Web based account access and transactional services
Each of the above sample performance standards are attached to financial guarantees and are included
in the contracts. If the provider does not meet the standard, the City of Tigard may choose to assess a
penalty for failure to meet the standard. For our clients, we rarely see these penalties being assessed;
rather, we see that providers are meeting the obligations and commitments they have made and our
clients and their participants are receiving the services they deserve.
References
Our references are the best testament of the quality service we provide and we encourage you to contact
them. Services provided are nearly identical to those requested by the City of Tigard. Both Bill Tugaw and
Mindy Harris are the lead consultants for the following clients:
City of Gresham
Karen Pearson, Human Resources Director
1333 N.W. Eastman Parkway
Gresham, OR 97030
(503) 618-2308
karen.pearson0greshamoregon.gov
City of Hillsboro
Suzanne Linneen, Finance Director
150 East Main Street, 5th Floor
Hillsboro, OR 97123
(503) 681-6404
Suzanne.Linneen hillsborooregon.gov
Multnomah County
Chris Yager, Committee Chair
504 E. Hawthorne Blvd., #400
Portland, OR 97214
(503) 988-7581
chris.d.vager@multco.us
NFF's Response to the City of Tigard's 1 RFP+ Plan Investraont Adviser Consultant Services+ March 7,2017 —� 16
NFP's Response to the Cites+of Tigard
f"05t ProoloSal
Scope Services
Ail-inclusive lump sum price for the Scope of Services as
outlined in the City of Tigard's IRFP for Plan Investment $27;500 $27;500 $27;500
Adviser Services and NFP's Proposal Response
The cost of providing the Request for Proposal (RFP) for Plan Record-Keeper Services is amortized over
three (3) years. Our fees are guaranteed for three (3) years. The above fees can be billed on a monthly
or quarterly basis.
NFP's Responso to the City of Tigard's IRFP+ Plan Investment Adviser Corsultnt Services March 7,2017 17
NFP's Response to the City of Tigard
Consultant Biographies
Bill Tugaw is the Managing Director of Governmental Plans for NFP. He is the former
president of SST Benefits Consulting, is a registered Investment Advisor
Representative (Series 65) and specializes in public sector 457(b) deferred
compensation, 403(b), 401(k), 401(a) defined contribution plan consulting and retiree
health savings plans (VEBA, §115 Integral Part Trusts). His primary focus is assisting
public sector employers in meeting the fiduciary obligations associated with operating
their plans. With over 30 years of diversified financial services experience, Bill brings
a wealth of knowledge to the team.
He is a faculty instructor for the International Foundation of Employee Benefit Plans (IFEBP) on Public
Sector 457(b), 403(b) and 401(a) plans. Realizing a need existed for training plan trustees, administrators
and committee members on the intricacies of public sector defined contribution plans, Bill led the
development of "457 University." These comprehensive seminars provide detailed information to public
employers/plan sponsors to assure compliance and to develop plans for repositioning the defined
contribution benefit in retirement strategies.
Bill is frequently invited to lecture on public sector deferred compensation, defined contribution plans,
post-employment health plan options and Request for Proposals (RFPs). Bill earned a Bachelor of
Science degree from the W.P. Carey School of Business at Arizona State University and is co-author of
two books: Deferred Compensation/Defined Contribution:New Rules/New Game for Public and Private
Plans, and Defined Contribution Decisions: The Education Challenge.
Mindy is a Senior Consultant with NFP and assists plan sponsors with the structure and
administration of their plans. She is a nationally recognized speaker and authority on
defined contribution plans. Prior to joining the former SST in 2012, Mindy was the Chief
Financial Officer for Multnomah County, Oregon. Her responsibilities included
management of the Finance, Risk Management, Purchasing, Employee Benefits and
Retirement functions. Mindy was the plan administrator for Multnomah County's 457
Deferred Compensation plan from 1994-2012, and was responsible for plan document
interpretation, marketing and participant education, investment provider contracts and
relations, and compliance with state and federal regulations. Multnomah County had over 3,300
participants and nearly$200 million in assets at the time of her retirement. Currently, Multnomah County
has 3,700 participants and nearly$300 million in assets.
In 2008, Mindy was the president of the National Association of Government Defined Contribution
Administrators (NAGDCA). During that time, she was invited to speak to the U.S. House of
Representatives Ways and Means Committee on fee disclosure for public sector retirement plans. In
2006,she was a congressional appointee to the SAVER Summit, a national summit on retirement savings.
She graduated from Portland State University with a Bachelor of Science degree in business
administration, concentrating in management and accounting. She serves as an instructor for the
International Foundation for Employee Benefit Programs (IFEBP) and is frequently invited to speak on
NFP's Resporse to the City of Tigard's IRFP+ Plan Investment Adviser Consultant Services+ W.,h 7,2017 18
NFP's=Response to the Citv ofTigard
retirement savings plans. Mindy is very passionate about helping public sector plan sponsors make
changes to their plans that will help their employees save more for their retirement. She is located in the
greater Portland area.
Kameron Jones, Investment Advisor Representative for NFP will assist Bill with the
engagement. Leveraging his knowledge of the retirement plan marketplace,
Kameron conducts RFPs and fee benchmarking for plan sponsors and provides
guidance on retirement plan best practices.
Kameron holds FINRA Series 7 (General Securities Representative), 63 (Uniform
Securities Representative Examination) and 65 (NASAA Investment Advisors Law
Examination)licenses. Kameron graduated from the University of Pennsylvania with
a Bachelor of Arts in philosophy, political science and economics.
Kyle Olson, CFA is a Senior Investment Analyst for NFP. He works as an
investment analyst with plan consultants on constructing best-in-class lineups
and conducting market and mutual fund research.
Kyle is also a member of the NFP Retirement Investment Committee, where all
quantitative and qualitative aspects of the investment due diligence process are
f vetted and discussed when providing manager recommendations at the firm level
for the firm's entire client base.
Kyle began his career at NFP as an intern in 2010 and joined the firm full time
in 2011. Kyle graduated with a Bachelor of Arts in economics from the University of Pennsylvania
in 2010. He holds FINRA Series 7, 63, and 65 licenses.
N Jennifer Dack Brooks, JD is an ERISA Specialist and Plan Advisor with NFP. Based in
San Francisco,Jennifer assists plan sponsor clients with ongoing fiduciary best practices
- to maintain compliance with the DOL, IRS and other governing bodies. Using her
technical compliance skills, she keeps plan sponsors up to date on, and in compliance
with, all legislative and regulatory matters. Jennifer is an expert at plan design and has
t in-depth knowledge about compliance with Internal Revenue Code qualification
requirements and correction of plan errors. After graduating from Scripps College, she
received a Juris Doctor from Seattle University School of Law, cum laude. She practiced
law at a boutique ERISA and employee benefits law firm in San Francisco. She also
worked at large multinational law firms, as well as Big Four accounting firms, specializing in ERISA
compliance and advising plan clients on ERISA and tax qualification-related matters. She's licensed to
practice law in the state of California and specializes in compliance issues that affect qualified retirement
plans. Jennifer is passionate about helping plan sponsors comply with the law by providing them with
information regarding dense, technical requirements in an easy-to-understand conversation.
NFP' Resyonso to the City of Tiga!d's IRFP t Plan Investment Adviser Consultant Sery ce- 'March 7,201; 1 a
NFP's Resoonse to the Cityf Tigard
Orlando Torres is a Senior Investment Advisor Representative for NFP.Orlando joined
NFP in 2007 and conducts English and Spanish education and investment
presentations for employees. Whether one-on-one or in a group setting, Orlando's
primary objectives include motivating employees to enroll in the plan, increase salary
deferrals and to be properly diversified. Orlando possesses the unique ability to explain
complex retirement and investment topics in an easy to understand way. Prior to joining
NFP, Orlando worked for The Principal Financial Group as a sales and service
specialist. He received his Bachelor of Science in Finance from California State
University Long Beach.
In addition to the Plan Consultants assigned to this engagement, our team includes a total of 100 plan
consultants, 30 Chartered Financial Analysts (CFA®), 15 RFP Benchmarking Specialists, 25 Participant
Education Specialists and 12 former practicing Compliance Attorneys.
[This space intentionally left blank]
N' P's RRsporse to the City o{Tigard's IRFP PI,,.t1 Invest nnart Adviser Consultent Services f Petar0h 7,2017 u 20
Contract#
NFP's Response to the City of Tigard
A incl Dote
Our personal commitment to the City of Tigard is a relentless pursuit of excellence, and we aim
to deliver extraordinary results every day. These bold statements are supported by actual awards
from the National Association of Government Defined Contribution Administrators (NAGDCA)
conference on multiple occasions for"best government plan design"for many of our clients.
NFP is known for our expertise in managing innovative retirement plans that mitigate personal
and plan sponsor risks while enhancing outcomes for plan participants, but what makes us
uncommonly relevant in today's world isn't just what we do, but how we strive to do it. We call it
the"NFP Way", and you won't find it anywhere else. The NFP Way begins with our dedication to
focusing on total plan management which ensures that our clients are continuously apprised of
the status of all aspects of their retirement plan, not just investment consulting. We're driven to
find the right answer for you, not a formulaic or by the-book answer. To do this, we focus on the
details. Whatever the challenge, we will approach it with a fresh perspective and apply our deep
knowledge, creative thinking and industry experience to deliver a tailored solution.
Some of the attributes that sets us apart from our competition include:
• Exposure—Our significant client base (1,384 plans) exposes NFP to a vast
array of situations that we will draw upon to assist the City.
• Access—Our significant client base ($100 billion) and the practice management
platform that we provide to 400+ advisory firms ($300 billion) is well-known
among investment managers and record-keepers. As a result, NFP is privileged
to be able to provide access to industry resources that other advisory firms
cannot provide.
• Experience— NFP's professional staff is highly credentialed and experienced-
including 30 CFA®charterholders, 12 former practicing compliance attorneys and
3 former practicing actuaries.
• Resources—NFP is an innovator. The scope of our organization affords us the
ability to build proprietary tools and services that directly benefit our clients, e.g.,
proprietary investment due diligence, target date fund suitability, provider
benchmarking and fiduciary compliance processes.
• Value - NFP provides the exposure, access, experience and resources typically
only found in the largest consulting firms. We're able to charge less, and in some
cases significantly less, due to the efficiencies that we've created. For example,
the practice management platform that we provide to other clients allows us to
allocate our significant investments in human capital and technology across
these plans as well.
NFP's Resporss to the City&Tigard's IRFP+ Plan InE?estnment A^viser Consc!tant Servioes-` March 7,2017 2
• CEFEX Certification - NFP believes it is imperative when being hired as an "expert"that
fiduciary,compliance,investment and risk management processes be independently audited
and certified as meeting industry best practices. NFP is Center for Fiduciary Excellence
(CEFEX) certified undergoing an extensive audit each year of our fiduciary process and
reporting(www.cefex.org).This certification ensures NFP will pass any rigorous scrutiny our
process may be subjected to.
40
-- — — PiofSA Template—Revised 9/24/2015