ITEM TITLE:
Procurement Report: Callan Associates Inc., Permanent Fund Advisor
SUBMITTED BY: Brian Carlson, Finance Director
FISCAL NOTES:
Expenditure Required: $99,999
Unencumbered Balance: $200MM; to be appropriated in 2020 Budget
Funding Source: 607.1050.43200, Permanent Fund Professional Fees and Services
RECOMMENDATION:
Receive and file
SUMMARY STATEMENT:
• The Permanent Fund Committee unanimously wishes to continue with the City’s longstanding relationship with Callan Associates, Inc., as permanent fund advisor.
• The City’s procurement code mandates a Request for Proposals for any contract exceeding $100K. This threshold applies to the aggregate costs of multi-year contracts.
• Callan has increased their fees by 3% annually since their original engagement in 2012. Their standard inflation figure now puts their annual fees over $100K. They have agreed to keep their fees below $100K and to use one-year contracts. The 2020 contract is for $99,999.
• The basis for not seeking competitive bids is to continue a longstanding beneficial relationship, and to proactively contain cost increases.
• This report is submitted pursuant to section 2.80.040 of the Municipal Code.
• Attachments: Callan PSA 2020