Objectives

The primary objective of this tender is to procure actuarial valuation services for Vhembe District Municipality. The service aims to deliver comprehensive actuarial reports aligned with GRAP 25 standards, covering membership data analysis, liability valuation, expense calculations, actuarial gains and losses, and financial projections for the 2024/25 fiscal year. The goal is to ensure compliance with international accounting standards and meet the requirements of the Auditor General.

Scope

The scope includes:

• Collection, verification, and resolution of valuation data in collaboration with the municipality.
• Development of actuarial valuation models and analysis of results, including scenario testing and assumptions discussion.
• Preparation and finalization of the GRAP 25 actuarial valuation report, including drafting, review, and approval processes.
• Delivery of valuation reports on membership data, liabilities, expenses, actuarial gains/losses, and projections.

The work must adhere to relevant professional guidance notes issued by the Actuarial Society of South Africa and meet IAS requirements as analyzed by the Auditor General.

Technical Requirements

The technical requirements encompass:

• Delivery of actuarial valuation reports in accordance with GRAP 25 and IAS standards.
• Analysis and reconciliation of membership data.
• Liability valuation and calculation of annual expenses (service and interest costs).
• Assessment of actuarial gains and losses and scenario testing of assumptions such as medical inflation and mortality rates.
• Preparation of a comprehensive actuarial valuation report, including draft, review, and final versions.
• Use of appropriate valuation models and professional guidance notes.

Skills Requirements

The bidder must demonstrate:

• Relevant experience in actuarial valuations for government entities, supported by appointment letters and delivery confirmations.
• Qualified personnel, including:
• Actuary with a BSC in Actuarial Science (20 points)
• Senior Actuarial Specialists with BSC in Mathematics (15 points)
• Actuary with BSC Science (5 points)
• Proficiency in developing valuation models, data analysis, and report drafting.
• Ability to interpret and apply professional guidance notes and accounting standards.
• Capacity to perform scenario testing and projections based on current assumptions.