| Hi Kellee and Darla – as you may recall discussing last year, Mercer relaxed our internal contracting standards last year, allowing for auto-renewal of terms if neither Mercer nor the client wish to make changes. Under this arrangement, email correspondence confirming carry-forward of terms for another 12 months is acceptable. Below is the language we are required to send to clients for auto-renewal, including the final, signed SOW for the 2017-2018 fiscal period. We are proposing no changes to the scope of services or fee/commission structure for the 2018-2019 fiscal period. This email and the SOW attachment can be used as our agenda item for the meeting next week and I will walk through it over the phone with the Trustees. If they do end up wanting to make changes, we can draft a new SOW reflecting those changes. |
| Thanks, | |||||||||||||||
| Sean | |||||||||||||||
| Dear trustees: | |||||||||||||||
| Prior to the start of each Renewal Term as stated in the current SOW, we are sending you a copy of the signed SOW together with a request to reconfirm that the Services, terms and conditions set forth in this SOW will continue for the following year. The Parties agree that the Services outlined in this SOW reflect the Services you want Mercer to perform for the following 12–month period, unless you inform Mercer in writing to the contrary within ten (10) business days of Client’s receipt of such confirmation request by Mercer. | |||||||||||||||
| Below is an update of the table that we have historically included in the SOW for reference: | |||||||||||||||
| 2017-2018 Estimated Budget | 2017-2018 YTD Actual through April (10 months) | Core Consulting Services | 2018-2019 Estimated Budget |
$35,000
| $12,758
actual charges | General Administration:
| $35,000
|
$30,000 (covered by commissions)
| $74,945 commissions
received | Renewals/Carrier Relations:
| $30,000 (covered by commissions)
|
$25,000 (covered by commissions)
| Included in commissions received above | Consultant Meetings:
| $25,000 (covered by commissions)
|
$25,000 (covered by commissions)
| Included in commissions received above | Financial Services:
| $25,000 (covered by commissions)
|
$10,000
| Included in actual charges above | Plan Review:
| $10,000
|
$125,000
| $
87
,
703
| Total | $125,000
|