Placement: Consent Agenda
Action Requested: Motion / Vote
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Approve Extension of Contract Term for Contract #20120017 - ICMA Administration Services
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Submitted By: Keith Stewart, Senior Procurement Contracting Officer, Procurement Management Division (PMD).
Strategic Plan Link: The City’s Mission to provide exceptional services.
Summary Brief (Agreements/Contracts only)
1. Prepared by: Keith Stewart, Senior Procurement Contracting Officer, PMD.
2. Parties: City of Port St. Lucie and International City Management Association Retirement Corporation (ICMA-RC) d/b/a Mission Square.
3. Purpose: Extends the contract for retirement record keeping and advisory services.
4. New/Renewal/Modified: Renewal.
5. Duration: Extends the existing contract through March 31, 2026, with the option to auto-renew.
6. Benefits to Port St. Lucie: Reduces the fees charged by ICMA-RC dba Mission Square for retirement investment record keeping and advisory services.
7. Cost to Port St. Lucie (Annual and Potential): There is no cost to the City for this contract. The costs are paid by employees’ individual retirement accounts.
Presentation Information: N/A
Staff Recommendation: Move that the Council approve the one-year extension.
Alternate Recommendations:
1. Move that the Council amend the recommendation and approve the one-year extension.
2. Move that the Council not approve the extension and provide the staff with direction.
Background: The City has a long-standing administrative service agreement with ICMA-RC dba Mission Square to provide record keeping and advisory services for the City’s defined contribution retirement plan and the City’s deferred compensation retirement accounts. These are defined as the 401 and 457 accounts, respectively. The City entered into an agreement with Fiduciary First to assist employees with the City’s defined contribution retirement plan and the City’s deferred compensation retirement accounts. One of the items that Fiduciary First was asked to do was look at the rates and fees being assessed by our record keeper.
Issues/Analysis: The City makes no direct payments to ICMA-RC or to other service providers to the plans. Rather, these expenses are paid by plan participants directly from each plan. This request is to extend the contract for an additional year and renew as required.
Financial Information: This is a benefit to the City’s employees and retirees who participate in the City’s 457 and 401 retirement plans. There is no cost to the City.
Special Consideration: The Council approved amendment 1 which extended the contract to March 31, 2025. The auto renewal clause was inadvertently left off the initial Agenda item. The automatic renewal option requires a 60-day notification by either party to terminate. The City is outside the time to terminate the agreement and is requesting Council approve the additional one-year term.
Location of Project: N/A
Attachments:
1. Contract 20120017-05 Administrative Service Agreement between ICMA-RC and the City of Port St. Lucie.
2. Amendment 1.
NOTE: All of the listed items in the “Attachment” section above are in the custody of the City Clerk. Any item(s) not provided in City Council packets are available upon request from the City Clerk.
Internal Reference Number: 25036-05
Legal Sufficiency Review:
Reviewed by Alyssa Lunin, Deputy City Attorney. Approved as to Legal form and sufficiency by Richard Berrios, City Attorney.