The City and County of Broomfield Money Purchase Plan for Peace Officers Plan Assessment, Design Recommendations and RFP Discussion October 2, 2013

Transcription

1 The City and County of Broomfield Plan Assessment, Design Recommendations and RFP Discussion October 2, 2013 Copyright Strategies LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC.

2 The City and County of Broomfield Table of Contents Tab 1: Tab 2: Tab 3: Tab 4: Tab 5: Plan Assessment Plan Benchmarking Total Cost Analysis Current & Proposed RFS Discussion Next Steps

3 Plan Assessment 3

4 Peace Officers Money Purchase Pension Plan Plan Provisions & Features Plan Provision Summary Reference Comments TPA None Recordkeeper Wells Fargo New Hire Peace Officers Money Purchase Name of Plan Pension Plan Trustee Wells Fargo Plan Documents Municipal Code Municipal Code Plan Year Calendar year (O) Excluded Employees Employees covered under police pension plan for "old hire" police officers, the mpp for general employees, the State of Colorado Fire and Police Pension Plan or any other firemen's or policemen's pension plans Age Requirement None Participation Service Requirement None Plan Entry Date Immediate Mandatory Employee Contributions 10% For voluntary contributions one per year, Salary Deferral Changes suspension for 6 months Year of service 1,000 hours of service (S) Excludes overtime, oncall, holiday, paidout Compensation leave, other pay or bonuses Employer Contributions 10% Allocation Formula Per Pay Period Vesting Schedule 20% per year, 100% vested after 5 years Accelerated Vesting Retirement, death, disability Traditional After Tax Contributions Permitted Not widely utilized typical in MMP plans Rollover Contributions Permitted Are there any administration concerns? Forfeitures Reduce employer contributions or pay expenses Strategies, LLC 4

5 Plan Provision Summary Reference Comments Loan Provision Permitted Two loans allowed Loan Rate Prime + 1% Loan Policy Force Out Provisions Force out under $5k, anything $1k$5k to an IRA Distribution Methods Lump sum, periodic payment Voluntary contributions, rollover contributions, InService Distributions and any at normal retirement age Disability Determined by the fire and police pension (F) Normal Retirement Date Age 55 and 5 or more years of service (M) 2013 Strategies, LLC 5

6 Administrative Items Availability Plan Utilizing? Comments Default Investment Yes Target Date Manage defaulted participant counts through education Online Enrollment Yes Participant can call or go online for elections Online Deferral Changes n/a n/a Online Beneficiary Tracking Yes Yes Vesting Tracking Yes Wells Fargo Online Loans Yes Yes Online Distributions Yes Signature required Force Out of Terminated Accounts under $1,000 To IRA Yes Force Out of Terminated Accounts from $1,000 to $5,000 Wells Fargo sends list to clients automatically for approval Yes QDRO Determination Outsourcing Wells does not qualify QDRO Optional service available Plan Bonding Education and Communication Availability Plan Utilizing? Comments Quarterly Participant Statements Quarterly Yes Online available Enrollment Booklets Enrollment kit available from Wells Fargo No Using plan highlights? Online Enrollment Booklets Electronic kit available No Wells Fargo has been providing education and going Education Meetings Yes Y forward will be provided by Strategies LLC Individual Meetings Yes Y Advice Product Yes Yes Online Tools Yes Yes Webcasts Yes No Webinars Yes No Targeted Mailings Yes Yes Participant Newsletter Yes Yes Website usage Wells Fargo has been providing individual consultations and going forward will be provided by Strategies LLC Fees are charged for this service, funds not limited to plan investment options 236 Logins year to date, most frequent hits are account balance and loan modeling. Would like to see statistic on unique logins Strategies, LLC 6

7 Education and Communication Availability Plan Utilizing? Comments Custom website messages Yes No Website downloads to Quicken or other program Yes Yes Annual Education Strategy Plan Wells Fargo provides annual review Y Fee Disclosure Notification Yes Yes 408(b) 2 or 404 (a) 5 not required for nonerisa plans, Wells Fargo does provide Strategies, LLC 7

8 Plan Benchmarking 8

9 City and County of Broomfield Benchmarked against other Industry Plans The questions contained in this benchmarking report were taken from PLANSPONSOR 2012 Defined Contribution Survey which is conducted annually and was published in January There were a total of 6,184 responses from the survey. Within the survey, 75 respondents are from the Government City, Municipal category. Of these respondents, 14 (18.7) are micro plans (under $5m in assets), 25 (33.3%) are small plans ($5$49m in assets), 15 (20.0%) are mid plans ($50$199m), 13 (17.3%) are large plans ($200m $1b) and 8 (10.7%) are mega plans (over $1b). We compared the plan to the respondents in the small category. Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. 9

10 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question Peer Group City and County of Broomfield When are employees eligible to participate in the plan? Immediately upon hire 68.0% X Within 3 months 16.0% After 4 to 6 months 4.0% After more than 6 months 12.0% What is the participation rate in your DC plan among eligible employees? Average 79.6% 100% Do you use automatic enrollment? Yes 22.7% X No 77.3% Have you implemented automatic deferral increases/contribution acceleration for participants? Yes 22.7% No 77.3% X Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. 10

11 City and County of Broomfield Benchmarked against other Industry Plans Do you provide a Roth contribution option? Plan Sponsor Survey Question Peer Group Yes 37.5% City and County of Broomfield No 62.5% X What is the approximate average expense ratio of all investment options? < 25bps 6.2% 2550 bps 6.2% 5175 bps 0% bps 43.8% bps 6.2% bps 0% bps 0% More than 250 bps 0% Don t know 37.6%.60% weighted.57% nonweighted Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated 11 without the express written consent of Strategies, LLC.

12 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question What types of employer contributions does your plan make to participant accounts? Peer Group City and County of Broomfield Match on the participants contribution 24.0% X Nonelective contribution 0% Profit sharing contribution 4.0% Other contribution 28.0% No employer contribution 40.0% Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. 12

13 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question How long before participants are 100% vested in the match? Peer Group City and County of Broomfield Immediately on enrollment 21.4% 6 months 0% 1 years 0% 2 years 0% 3 years 14.3% 4 years 7.1% 5years 28.6% X After more than 5 years 28.6% Are plan participants able to borrow against their defined contribution plan or make hardship withdrawals? Yes a loan provision is included 83.3% X Yes a hardship provision is included 100% If a loan provision is available, what percentage of participants have outstanding loans? 15.3% 36% Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. 13

14 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question Do you currently offer any of the following types of investment options in your plan? Peer Group City and County of Broomfield Target Date/Lifecycle Funds 82.4% X Risk Based Lifestyle Funds 47.1% Index Fund(s) 82.4% X Money Market Fund 82.4% Employer Stock 0% Stable Value Fund 82.4% X Self Directed Brokerage 17.6% Mutual Fund Window 5.9% Real Estate 29.4% X Alternative Investments 5.9% ETFs 5.9% Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. 14

15 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question Peer Group City and County of Broomfield How many investment options are offered in your defined contribution plan? Average Mutual Funds 6 Target Date Funds 15 Funds in Advice Track What is the average number of investment options held by your DC plan participants? Average Which investment vehicles are you currently using for your DC plan? Mutual Funds 88.9% X Separate Accounts 33.3% Managed Accounts 33.3% X Commingled Pool 0% Collective Trust 0% X Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. 15

16 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question Peer Group City and County of Broomfield What types of target date funds are in your plan? Target Date funds comprised of funds from one firm 50.0% X Target date funds comprised of funds from multiple firms 0% Target date funds comprised of funds from your plan s current fund lineup 33.3% Two or more of the above 0% Not Sure 16.7% Other 0% Have you considered building a customized Target Date Series for your plan utilizing your plan s current fund line up? Yesalready in place 6.2% Yesconsidered 12.5% No have not considered 81.3% Unknown Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. 16

17 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question How often do you formally review the investment options? Peer Group City and County of Broomfield Quarterly 16.7% X Twice a year 35.0% Annually 30.0% Every 12 years 5% Every 23 years 0% Every 3+ years 0% Never 5.0% Other 0% Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. 17

18 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question Peer Group City and County of Broomfield How often do you formally review plan costs/fees? Annually 61.1% X Every 12 years 5.6% Every 23 years 16.7% Every 35 years 5.6% Every 5+ years 0% Never 11.1% How do you measure success of the plan? For discussion Income replacement ratio 4.3% Percentage of participants with appropriate asset allocations 8.7% Employee satisfaction (surveys) 39.1% External/competitive benchmarking 17.4% No formal plan success measures 21.7% Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. Source: 18

19 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question Peer Group City and County of Broomfield How long has your organization used your DC provider? Less than 1 year 0% 13 years 8.0% 35 years 4.0% 57 years 16.0% More than 7 years 72.0% X Don t know 0% How often do you formally evaluate your DC provider? Annually 24.0% Every 12 years 8.0% Every 23 years 4.0% Every 3 5 years 20.0% Suggested Every 5+ years 20.0% Never 24.0% Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. Source: 19

20 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question Does your organization have an investment committee for the DC plan? Peer Group City and County of Broomfield Yes (Internal employees only) 42.1% X Yes (nonemployees only) 0% Yes (includes internal employees and nonemployees) 15.8% No investment committee for the DC Plan 36.8% Don t know 5.3% Do you have a written investment policy statement (IPS) for the DC Plan? Yes 55.6% X No 54.4% Don t know 0% Does your plan use the services of a financial advisor? Yes 60% Yes No 40% Is your plan advisor a fiduciary to the plan? Yes acts as a 3(21) and 3(38) fiduciary 7.1% Yes acts as a 3(21) fiduciary only 7.1% X No 21.4% Do not know 50.0% Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated 20 without the express written consent of Strategies, LLC. Source:

21 City and County of Broomfield Benchmarked against other Industry Plans Plan Sponsor Survey Question Peer Group City and County of Broomfield What is the advisors fee arrangement? Percentage of assets (basis points) 36.4% Per participant 18.2% Project based 18.2% Monthly or annual retainer 9.1% X Performance 0% Other 27.3% Which of the following channels do you feel is the most effective in helping educate plan participants? For discussion Oneonone meetings 65.2% Group meetings 34.8% Webcasts 0% Personalized electronic communications 0% Personalized print communications 0% Other 0% Copyright Strategies, LLC. All rights reserved. Information contained herein is only for individuals of the named organization above that meet directly with a representative of Strategies, LLC. No part of this booklet may be re-produced or disseminated without the express written consent of Strategies, LLC. Source: 21

22 Total Cost Analysis: Current and Proposed 22

23 Current Fund Lineup The City and County of Broomfield TCA Overview Total gross plan expenses: $284, % of assets Total cost per participant: $1,722 Total provider revenue: Total recordkeeping: 0.36% of assets 0.27% of assets Proposed Fund Lineup Total gross plan expenses: $267, % of assets Total cost per participant: $1,620 Total provider revenue: 0.24% of assets Total recordkeeping: % of assets 1

24 Provider: Wells Fargo CURRENT LINEUP: City & County of Broomfield Peace Officers Money Purchase Plan Plan Assets as of 6/30/2013 $ 32,125,948 Total Plan Expenses Overview Number of Participants with a Balance: 165 Type Values Type Fee Name $ Amount for Plan % of Plan Assets Plan Administration Expenses: (Recurring) Plan Administration Expenses: (Onetime) $61,857 Recurring $0 Yes Asset Based Recordkeeping fee 0.00% Total Investment Expenses $222,210 Yes Base Plan Administration Fee $ 0.00% Total Gross Plan Expenses minus revenue sharing offset $284,067 Yes Per Participant $ 54, % Total Cost as % of Assets: 0.88% Yes Revenue Sharing $ 2, % Total Cost per participant $1,722 Yes Other $ 0.00% Total Provider Revenue (Incl: Admin, Revenue Share & Proprietary Inv Revenue) $115,211 Yes Legal (annual estimate) $ 4, % Total Provider Revenue as a % of Assets: 0.36% Yes Consulting Fee $ 0.00% Total Recordkeeping Revenue (Excluding Proprietary Inv Revenue adding AdviceTrack) 0.27% Net Admin./Consulting, etc. Fee $ 61, % Plan Investment Expenses Investment Name TICKER Plan Allocation$ Plan Allocation Net Expense Ratio % Net Expense $ Plan Administration Expenses Additional Assetbased Fee % Inv. Manager Revenue % Fund Revenue Sharing to Svc Provider % Total Investment Expense Proprietary Investment Revenue Wells Fargo Stable Return N DSRF1 $ 2,437, % 0.25% $ 6, % 0.25% 0.00% $ 6,094 $ 6,094 PIMCO Total Return Instl PTTRX $ 909, % 0.46% $ 4, % 0.46% 0.00% $ 4,183 $ Wells Fargo Advantage Core Bond I MBFIX $ 800, % 0.42% $ 3, % 0.42% 0.00% $ 3,362 $ 3,362 JPMorgan High Yield R6 JHYUX $ 81, % 0.76% $ % 0.76% 0.00% $ 617 $ Templeton Global Bond Adv TGBAX $ 281, % 0.65% $ 1, % 0.65% 0.00% $ 1,830 $ MFS Value R5 MEIKX $ 1,155, % 0.60% $ 6, % 0.60% 0.00% $ 6,932 $ Wells Fargo Advantage Index ADM WFOIX $ 1,434, % 0.25% $ 3, % 0.25% 0.00% $ 3,586 $ 3,586 Janus Twenty T JAVLX $ 1,341, % 0.81% $ 10, % 0.81% 0.00% $ 10,866 $ JPMorgan Large Cap Growth R6 JLGMX $ 3,232, % 0.65% $ 21, % 0.65% 0.00% $ 21,014 $ Wells Fargo Blackrock S&P Mid Cap Index N DMSF1 $ 1,566, % 0.08% $ 1, % 0.08% 0.00% $ 1,253 $ 1,253 American Century Small Cap Value Instl ACVIX $ 2,052, % 1.22% $ 25, % 1.22% 0.00% $ 25,039 $ Columbia Small Cap Index Z NMSCX $ 119, % 0.23% $ % 0.23% 0.00% $ 276 $ Wells Fargo Advantage Small Cap Opp Adm NVSOX $ 2,575, % 1.22% $ 31, % 1.22% 0.00% $ 31,418 $ 31,418 Prudential Global Real Estate Z PURZX $ 640, % 0.97% $ 6, % 0.97% 0.00% $ 6,211 $ Dodge & Cox International Stock DODFX $ 374, % 0.64% $ 2, % 0.64% 0.00% $ 2,400 $ American Funds EuroPacific Growth R6 RERGX $ 310, % 0.50% $ 1, % 0.50% 0.00% $ 1,552 $ Janus Overseas I JIGFX $ 1,180, % 0.63% $ 7, % 0.63% 0.00% $ 7,436 $ T. Rowe Price Emerging Markets Stock PRMSX $ 343, % 1.27% $ 4, % 1.27% 0.00% $ 4,366 $ Oakmark Equity & Income I OAKBX $ 1,981, % 0.78% $ 15, % 0.78% 0.00% $ 15,459 $ Wells Fargo Advantage DJ Target Today R6 WOTDX $ 20, % 0.30% $ % 0.23% 0.07% $ 47 $ 62 Wells Fargo Advantage DJ Target 2010 R6 WFOAX $ 325, % 0.32% $ 1, % 0.25% 0.07% $ 814 $ 1,042 Wells Fargo Advantage DJ Target 2020 R6 WFOBX $ 491, % 0.35% $ 1, % 0.28% 0.07% $ 1,376 $ 1,720 Wells Fargo Advantage DJ Target 2030 R6 WFOOX $ 400, % 0.36% $ 1, % 0.29% 0.07% $ 1,161 $ 1,442 Wells Fargo Advantage DJ Target 2040 R6 WFOSX $ 2,511, % 0.37% $ 9, % 0.30% 0.07% $ 7,536 $ 9,294 Wells Fargo Advantage DJ Target 2050 R6 WFQFX $ 402, % 0.37% $ 1, % 0.30% 0.07% $ 1,207 $ 1,489 AdviceTrack $ 5,153, % 0.46% $ 23, % 0.46% 0.00% $ 56,176 $ 44,322 $ Totals: $ 32,125, % $ 192,648 $ 222,210 $ 60,761 Total Cost Comparison (Source: NAGDCA) City & County of Broomfield PMPP Comparison Recordkeeping and Investment Costs 0.88% 0.46% 10/1/2013 Copyright (c), Strategies, LLC 24

25 Provider: Wells Fargo PROPOSED LINEUP: City & County of Broomfield Peace Officers Money Purchase Plan Plan Assets as of 6/30/2013 $ 32,125,948 Total Plan Expenses Overview Number of Participants with a Balance: 165 Type Values Type Fee Name $ Amount for Plan % of Plan Assets Plan Administration Expenses: (Recurring) Plan Administration Expenses: (Onetime) $77,170 Recurring $0 Yes Asset Based Recordkeeping fee 0.00% Total Investment Expenses $190,088 Yes Base Plan Administration Fee $ 0.00% Total Gross Plan Expenses minus revenue sharing offset $267,258 Yes Per Participant $ 32, % Total Cost as % of Assets: 0.83% Yes Revenue Sharing Offset 0.00% Total Cost per participant $1,620 Yes Other $ 0.00% Total Provider Revenue (Incl: Admin, Revenue Share & Proprietary Inv Revenue) $76,992 Yes Legal (annual estimate) $ 4, % Total Provider Revenue as a % of Assets: 0.24% Yes Consulting Fee $ 40, % Total Recordkeeping Revenue (Excluding Proprietary Inv Revenue adding AdviceTrack) 0.20% Net Admin./Consulting, etc. Fee $ 77, % Plan Investment Expenses Investment Name TICKER Plan Allocation$ Plan Allocation % Plan Administration Expenses Net Expense Additional Assetbased Ratio % Net Expense $ Fee % Inv. Manager Revenue % Fund Revenue Sharing to Svc Provider % Total Investment Expense Proprietary Investment Revenue Federated Prime Obligations Instl POIXX $ 2,437, % 0.20% $ 4, % 0.20% 0.00% $ 4,875 $ PIMCO Total Return Instl PTTRX $ 1,709, % 0.46% $ 7, % 0.46% 0.00% $ 7,865 $ JPMorgan Short Duration Bond R6 JSDUX 0.0% 0.30% $ 0.00% 0.30% 0.00% $ $ JPMorgan High Yield R6 JHYUX $ 81, % 0.76% $ % 0.76% 0.00% $ 617 $ Vanguard InflationProtected Securities Adm VAIPX $ 00% 0.0% 0.10% $ 0.00% 00% 0.10% 0.00% 00% $ $ T. Rowe Price Instl Intl Bond RPIIX $ 281, % 0.55% $ 1, % 0.55% 0.00% $ 1,549 $ MFS Emerging Markets Debt I MEDIX $ 0.0% 0.86% $ 0.00% 0.86% 0.00% $ $ DFA US Large Cap Value I DFLVX $ 1,155, % 0.27% $ 3, % 0.27% 0.00% $ 3,119 $ Vanguard 500 Index Signal VIFSX $ 3,000, % 0.05% $ 1, % 0.05% 0.00% $ 1,500 $ T. Rowe Price Instl Large Cap Growth TRLGX $ 4,574, % 0.57% $ 26, % 0.57% 0.00% $ 26,074 $ DFA US Micro Cap I DFSCX $ 4,747, % 0.52% $ 24, % 0.52% 0.00% $ 24,687 $ Vanguard Developed Markets Index Ad VDMAX $ 1,865, % 0.10% $ 1, % 0.10% 0.00% $ 1,866 $ DFA International Small Company I DFISX $ 0.0% 0.56% $ 0.00% 0.56% 0.00% $ $ T. Rowe Price Emerging Markets Stock PRMSX $ 343, % 1.27% $ 4, % 1.27% 0.00% $ 4,366 $ Prudential Global Real Estate Q PGRQX $ 640, % 0.81% $ 5, % 0.81% 0.00% $ 5,187 $ PIMCO Commodity Real Return Strat Instl PCRIX $ 0.0% 0.74% $ 0.00% 0.74% 0.00% $ $ PIMCO RealRetirement Inc&Distrbtn Instl PRIEX $ 346, % 0.76% $ 2, % 0.76% 0.00% $ 2,631 $ PIMCO RealRetirement 2020 Instl PRWIX $ 491, % 0.76% $ 3, % 0.76% 0.00% $ 3,735 $ PIMCO RealRetirement 2030 Instl PRLIX $ 400, % 0.81% $ 3, % 0.81% 0.00% $ 3,244 $ PIMCO RealRetirement 2040 Instl PROIX $ 4,493, % 0.87% $ 39, % 0.87% 0.00% $ 39,097 $ PIMCO RealRetirement 2050 Instl PRMIX $ 402, % 0.87% $ 3, % 0.87% 0.00% $ 3,502 $ AdviceTrack $ 5,153, % 0.46% $ 23, % 0.46% 0.00% $ 56,176 $ 44,322 $ Totals: $ 32,125, % $ 157,619 $ 190,088 $ 44,322 Total Cost Comparison (Source: NAGDCA) City & County of Broomfield GMPP Comparison Recordkeeping and Investment Costs 0.83% 0.46% 10/1/2013 Copyright (c), Strategies, LLC 25

26 RFS Discussion 26

27 The City and County of Broomfield RFS Expectations Soliciting proposals from prospective providers Decide whether or not to include incumbent provider If possible select 57 providers for RFS Ask for cost estimate for same fund lineup across all providers to try to obtain an apples to apples comparison Ask for complete list of all ancillary expenses After responses received, next step is to narrow down the list Narrow down providers to 34 for finalist presentations Give providers at least 2 weeks notice for presentations Allow for 90 minute presentations 27 1

28 The City and County of Broomfield RFS Expectations What to expect from a transition once an incumbent is selected Process days from start to finish Weekly conference calls Documents and agreements to sign Payroll data interface changes This can be a significant impact to payroll staff Employee education and communication Meetings can be time consuming Consider costs for a transition Wells Fargo Investment related Stable Value Payroll Employee education 28 2

29 Next Steps 29

30 The City and County of Broomfield Peace Officers Plan Next Steps Investment Strategy Confirm fund lineup changes and when to implement Stable Value Fund objectives Plan Design Additional plan provisions and features for the new plan Change current Plan Document Change upon Provider transition Confirm the RFS process and start date Confirm termination date and process with Wells Fargo 30