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<p class=MsoNormal><font size=3 color=navy face="Times New Roman"><span
style='font-size:12.0pt;color:navy'>Good Afternoon,</span></font> <font
color=navy><span style='color:navy'><br>
<br>
Please see the following notice below from Milliman regarding the last e-mail
reminder for GASB 45 reporting services for FYE June 30, 2010 and June 30,
2011. We hope you find this service helpful and please feel free to call or
e-mail myself or Milliman with any questions you might have: <u>GASB45OEBBMembers@milliman.com</u>
or call 503.227.0634.<o:p></o:p></span></font></p>
<p class=MsoNormal><font size=3 color=navy face="Times New Roman"><span
style='font-size:12.0pt;color:navy'><o:p> </o:p></span></font></p>
<p class=MsoNormal><font size=3 color=navy face="Times New Roman"><span
style='font-size:12.0pt;color:navy'>Thank you, <br>
<br>
Ali Hassoun</span></font> <font color=navy><span style='color:navy'><br>
OEBB Financial Coordinator</span></font> <font color=navy><span
style='color:navy'><br>
503-378-4741</span></font> <u><font color=blue><span style='color:blue'><br>
</span></font></u><a href="mailto:Ali.hassoun@das.state.or.us"
title="blocked::mailto:Ali.hassoun@das.state.or.us">Ali.hassoun@das.state.or.us</a>
<i><font size=2 color=red face=Arial><span style='font-size:10.0pt;font-family:
Arial;color:red;font-style:italic'><br>
<br>
<br>
If you are not the person responsible for your entity's financial reporting, we
encourage you to share this message with your finance officials.</span></font></i><font
size=2 color=red><span style='font-size:10.0pt;color:red'> </span></font><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'><br>
<br>
>>>>>>>>>>>>>>>>>>>>>>>></span></font>
<b><font face=Arial><span style='font-family:Arial;font-weight:bold'><br>
<br>
This message discusses Milliman's October 1, 2009 GASB 45 valuation reports for
OEBB members, covering financial reporting for FYE June 30, 2010 and June 30,
2011. <u>This will be the last reminder e-mail on this subject</u>.
Your response by <u>August 13, 2010</u> is recommended.</span></font></b><b><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial;font-weight:
bold'><br>
<br>
Enrollment</span></font></b><font size=2 face=Arial><span style='font-size:
10.0pt;font-family:Arial'> <br>
<br>
Complete instructions for GASB 45 services enrollment can be found at the
following link: </span></font><u><font color=blue><span style='color:blue'><br>
</span></font></u><a href="http://www.oregon.gov/DAS/OEBB/GASBoebb.shtml"
title="blocked::http://www.oregon.gov/DAS/OEBB/GASBoebb.shtml"><font size=2
face=Arial title="blocked::http://www.oregon.gov/DAS/OEBB/GASBoebb.shtml"><span
style='font-size:10.0pt;font-family:Arial'>http://www.oregon.gov/DAS/OEBB/GASBoebb.shtml</span></font></a><font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'> <br>
<br>
Both new and returning clients may use this web link.</span></font> <font
size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'><br>
<br>
If you already enrolled in the 2009 valuation process earlier this year, no
action is necessary at this time. If you are not certain as to your
entity's current enrollment status, please contact Milliman.<b><span
style='font-weight:bold'><br>
<br>
Reduced Valuation Prices for 2009</span></b> <br>
<br>
Prices for the 2009 valuation reports will be lower. Reasons for the
lower prices include the quality of data and information received from
Employers for the 2008 valuations, as well as the number of participating
Employers. Also, having completed 2008 valuations for many Employers, the
second go-around should require less time and setup. <u><br>
<br>
We recommend you use the current online fee estimator to see the effect of the
2009 price schedule on your Employer's estimated valuation price.</u> <br>
<br>
The price per member will decrease by 10%: <br>
> $13.50 per member between 100 and 350 members (was $15.00 for 2008) <br>
> $2.70 per member over 350 members (was $3.00 for 2008) <br>
<br>
A further reduction of 5% to total GASB 45 fees will apply for entities whose
valuations only cover GASB 45 implicit subsidies. <u><br>
<br>
We estimate that these new prices will represent 5% to 11% reductions in many
Employers' GASB 45 valuation prices compared with the 2008 valuations.</u> <br>
<br>
The "flat fee" base price for valuations will remain at $3,300.
The $500 per arrangement fee is also unchanged. Time and expense
spent on items outside the scope of the basic GASB 45 valuation price will
continue to be billed at time and expense. <br>
<br>
Prices for advisory recommendation letters remain at $200 - $400.
Employers who have received an advisory recommendation letter in the past
generally should <u>not</u> need to get a new letter. However, in the
rare instance where an Employer has implemented a new retiree stipend or
medical benefit, a new recommendation letter would likely be appropriate. <br>
<br>
The reductions to the valuation prices described above are voluntary on
Milliman's part. The terms of the Actuarial Services Agreements between
Milliman and our clients remain in effect. Future years' valuation prices
may be adjusted up or down, not to exceed the amounts specified in those
Actuarial Services Agreements. <b><span style='font-weight:bold'><br>
<br>
Newly Enrolling Entities</span></b><br>
<br>
New entities are welcome to enter this project in the October 1, 2009 actuarial
valuation cycle. Entities which have never had a valuation previously, or
who have used a different provider (including OSBA valuations), should use the
New Clients instructions on the OEBB web site whose link is shown above.<br>
<br>
Some transition work will be needed to get new clients "up to speed"
on the valuations and reporting process. Milliman will fit this
transition work into its basic GASB 45 valuation price (no additional charges),
<u>provided that</u> the client and its auditors provide all needed information
on a timely basis and agree to Milliman's transition proposals. If the
client or its auditors want additional transition services, Milliman can
provide those services on a time and expense basis. <b><span style='font-weight:
bold'><br>
<br>
2009 Valuation Report Contents</span></b> <br>
<br>
The 2009 valuation reports will look similar to the 2008 valuation reports.
A few exhibits will be added, removed, or revised as can be seen in the
sample reports on OEBB's website (see link above). <br>
<br>
The disclosures in the 2009 report will be projected for fiscal years ending
June 30, 2010 <u>and</u> June 30, 2011. The two years of projected
results reflect that these are generally biennial valuations (i.e. the next
valuation date is scheduled to be October 1, 2011). The projections will
be based upon the final accounting decisions which your Employer made for the
June 30, 2009 disclosure. <b><span style='font-weight:bold'><br>
<br>
Timeline</span></b><br>
<br>
Entities should to enroll by <u>August 13, 2010</u> in order to avoid any
additional time and expense charges due to late entry. Enrollment at
later dates may be accepted through approximately October 31, 2010.</span></font>
<font size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'><br>
<br>
Advisory recommendation letters for new entities will be send by September,
assuming timely receipt of all requested information. Valuation reports
will be delivered in Fall 2010.<br>
<br>
Employers which have previously received a valuation from Milliman, or who are
penciled in for an initial valuation in 2009, will receive additional
communications from Milliman. <b><span style='font-weight:bold'><br>
<br>
Contact Information</span></b> <br>
<br>
Please write to <st1:PersonName w:st="on"><u>GASB45OEBBMembers@milliman.com</u></st1:PersonName>
or call 503.227.0634 if you have any questions regarding this project. <br>
<br>
Thanks as always for your participation. We look forward to serving you. <br>
<br>
Will Clark-Shim <br>
<br>
>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>>
<u><br>
<br>
Milliman Contact Information</u> <br>
<st1:address w:st="on"><st1:Street w:st="on">111 SW Fifth Avenue, Suite 3700</st1:Street>
<br>
<st1:City w:st="on">Portland</st1:City>, <st1:State w:st="on">OR</st1:State>
<st1:PostalCode w:st="on">97204</st1:PostalCode></st1:address> <br>
Tel 503.227.0634 Fax 503.227.7956 <br>
<br>
**************************************************************************************<br>
This communication is intended solely for the addressee and is<br>
confidential. If you are not the intended recipient, any disclosure, <br>
copying, distribution or any action taken or omitted to be taken in<br>
reliance on it, is prohibited and may be unlawful. Unless indicated<br>
to the contrary: it does not constitute professional advice or <br>
opinions upon which reliance may be made by the addressee or any<br>
other party, and it should be considered to be a work in progress.<br>
**************************************************************************************</span></font>
<font size=2 face=Arial><span style='font-size:10.0pt;font-family:Arial'><br>
<br>
<br>
</span></font><o:p></o:p></p>
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