City of Nashua
Office of TheTreasurer
229 Main Street - Nashua, NH 03060 (603) 589-3194
Fax (603)589-3228
TO: Dan Kooken, Purchasing Manager November 8, 2018
CC: John L. Griffin, CFO/Comptroller
David G. Fredette, Treasurer/Tax Collector
Board of Public Works Retirement System Trustees
FROM: Derek S. Danielson, Assistant Treasurer
RE: Professional Services Contract with Hooker & Holcombe
The purpose of this communication is to provide background information regarding the request to approve the
Board of Public Works Pension Administration Services contract before you tonight.
The City of Nashua Board of Public Works Employees’ Retirement System administers the retirement fund for
Division of Public Works employees of the City of Nashua, New Hampshire. The Public Works Retirement
System was established on July 1, 1947. The plan is a Defined Benefit Plan providing service connected
disability and death, and retirement protection to its members and their families. The Retirement System
operates pursuant to NRO 45, Article [V. The System is governed by a five member board in accordance with
the above referenced Revised Ordinances and operates in accordance with Administrative Rules established for
that purpose.
The City of Nashua currently generates, among other things, weekly pension benefit checks to approximately
100 retirees, periodic lump sum distributions, tax withholding and reporting (1099-R and 945 forms), and
benefit calculations/estimates. The current Pension fund administration system (“ADMINS”) is a legacy
application, which is at end of life and presents a risk to the ongoing continuity in administration of the pension
plan. Moreover, ADMINS is being phased out as part of the City’s ongoing technology upgrades. The ADMINS
application keeps track of creditable weeks, contribution amounts, prepares statements, and provides
information to the City’s ERP system (Infor Lawson) for the issuance of checks, and to staff for benefit
calculations/estimates.
After reviewing industry best practices, it was determined that contracting out the administration of the pension
plan services is in the best interest of the members. Several efficiencies will be gained and several priorities will
be accomplished with the approval of this contract, including: the elimination of the risk associated with
ADMINS; the establishment of a customer service center and online portal to assist members with questions and
personal information changes; and benefit payments and tax forms will be issued by the pension administration
services firm. It is worth noting the City’s Human Resources and Treasurer’s Office will still be available to
provide support to members.
Therefore, in order to ensure ongoing continuity to current Public Works retirees and active contributing
members, the City solicited proposals from qualified firms to provide the above described Pension
Administration Services. Hooker & Holcombe presented the lowest cost and included all items requested within
the solicitation. For these reasons, the Board of Public Works Pension Board of Trustees and City staff
recommend awarding the contract in the amount of $49,000 to Hooker & Holcombe of West Hartford
Connecticut.
