Specifications include, but are not limited to: 4.1. Review Data To find an actuarial firm to audit the data used by Bolton to complete actuarial valuations for all 53 policemen’s and firemen’s pension plans for completeness and accuracy. 4.2. Review Actuarial Assumptions To find an actuarial firm to provide an assessment of whether the actuarial valuation assumptions used by Bolton in valuing the 53 plans are reasonable and consistent with generally accepted actuarial standards and practices. The assumptions evaluated should include both demographic and economic assumptions such as, but not be limited to, mortality, retirement, separation rates, pay adjustment levels, rates of investment returns, discount rates, and disability factors. This assessment should also include any recommendations regarding the reasonable alternatives to the actuarial assumptions. The assessment should utilize the 2020 Experience and Assumption Study for years July1, 2014, through June 30, 2017, that has been prepared by Bolton, and should include verifying the appropriateness of the actuarial methods, considerations, and analysis used to complete said Experience and Assumption Study. The RFP and ultimate contract for services is for an actuarial audit of the actuarial services performed by Bolton per the Standards of Practice outlined by the Actuarial Standards Board. Special GASB 67/68 reports prepared by the current actuary and supplied to municipalities for independent auditors are not part of the objectives set forth in this RFP. 4.3. Review for Compliance To find an actuarial firm to determine whether the actuarial methods, considerations and analysis used by the consulting actuary, Bolton, in preparing the most recent valuations and experience study are technically sound and conform to the appropriate Standards of Practice as promulgated by the Actuarial Standards Board. 4.4. Review and Analysis of Valuation Reports Including Methods To find an actuarial firm to verify the reasonableness of the calculations of the unfunded actuarial accrued liabilities and verify Bolton’s calculations of retirement benefits pursuant to West Virginia Code and comment on the resulting employer contribution rate recommendations. The firm must also prepare at a minimum a full replication of one valuation report for each funding policy (Note there are five funding policies in the W.Va. Code: Standard Funding Policy §8-22-20(c)(1), Alternative Funding Policy §8-22-20(c)(1), Optional Funding Policy §8-22-20(e)(1) and Conservation Funding Policy §8-22-20(f)(1)) and Optional-II Funding Policy §8-22-20(g)(2)). The MPOB will direct its current actuary, Bolton, to provide the raw data collected from municipalities to the winning bidder so the actuarial audit can proceed.
