Actuarial Audit - KY State-Administered Retirement System

The Kentucky Legislative Research Commission, on behalf of the Public Pension Oversight Board, is requesting proposals for a Level 1 full-scope actuarial audit of Kentucky's state-administered retirement systems, with proposals due October 31, 2026 and written questions due October 12, 2026.

The audit scope covers independent evaluation of actuarial work performed by plan actuaries for the fiscal year 2026 annual valuation and most recent experience studies across the Kentucky Public Pensions Authority, Teachers' Retirement System, and Judicial Form Retirement System. The engagement encompasses nine separate funds covering pensions, health insurance, and life insurance. The Primary Actuary must present findings to the Public Pension Oversight Board by July 31, 2027, with draft audit reports due April 30, 2027 and final reports due May 31, 2027.

Minimum qualifications require a Primary Actuary with at least ten years of experience in pension consulting for public retirement systems and a Secondary Actuary with at least five years of experience; both must be qualified under American Academy of Actuaries standards and have experience testifying before legislative bodies. The firm must maintain liability insurance, provide its own facilities and support staff, have no conflicts of interest, and must not restrict liability for negligence. Proof of registration with the Kentucky Secretary of State is required.

The solicitation requests a fixed-fee proposal covering all costs, including at least one trip to Frankfort, Kentucky for presentation, with costs prorated among the three administrative entities and their respective plans. Payment will be made upon completion of work products with no more than 50 percent of negotiated fees paid prior to completion. Responses must include signed solicitation forms, proposed technical and cost solutions, transmittal letter, proof of state registration, and required affidavits. All services must comply with federal and state statutes, professional standards of the Conference of Consulting Actuaries and Society of Actuaries, and Kentucky confidentiality requirements regarding member information.