City Council Agenda Report
Meeting Date: July 7, 2026
From: Alice Hui, Director of Finance/City Treasurer
Department: Finance
Submitted by: Marisela Martinez, Buyer
Subject
Professional Services Agreement with Shuster Advisory Group for Financial Advisory Consulting Services
Recommendation
Approve and authorize the City Administrator to execute a Professional Services Agreement with Shuster Advisory Group, in substantially the same form as submitted, for Financial Advisory Consulting Services for a total amount not-to-exceed $90,000, for a 3-year term.
Background
Shuster Advisory Group is an independent investment advisory firm and fiduciary. They provide governmental and institutional retirement plan consulting services as well as private wealth management. Shuster is a SEC-Registered Investment Advisor, managing over $11 billion in assets, and focusing on serving the unique needs of governmental agencies and special districts. Shuster serves as an investment fiduciary to over 100 governmental agencies and special districts providing investment selection, monitoring and management, and provides plan consulting and participant services.
Currently, Shuster serves as the fiduciary investment advisor and plan consultant for the City’s 457(b) plan. The services provided by Shuster are unique with a low-cost transparent structure and white glove approach. Shuster entered the public retirement plan sector after analyzing the sector and realizing that cities and agencies were being underserved and over-charged for their retirement plans, directly impacting the supplemental retirement savings of the public employees. Hiring Shuster for these services has resulted in an 86% reduction in recordkeeping and administrative plan costs for the 457(b) plan, in addition to a significant improvement in the quality of the investments available in the retirement plan. Shuster has proven to be responsive, analytical, and a true partner to the City.
Under the proposed agreement, Shuster will also provide both fiduciary and non-fiduciary investment advisory and consulting services for the City’s operating accounts. Services will include reviewing and monitoring the City’s California Investment Policy and evaluating compliance with the State of California Local Agency Investment Guidelines and CA Code Section 53601(“Guidelines”). Additionally, Shuster will provide guidance and recommendations regarding portfolio construction and management, including a review of the City’s existing investment portfolio to identify opportunities for improvement, reallocation, diversification, and optimization. Furthermore, Shuster will also furnish general financial consulting services to support the City’s treasury and investment management objectives.
The City of Inglewood currently has a contract with Shuster for Fiduciary Investment Services which allows the City to piggyback for the scope of services and fees. Pursuant to the Vernon Municipal Code (VMC) Section 3.32.110 (A)(5) competitive bidding and competitive selection shall not be required when contracts for supplies, equipment or services can be purchased in cooperation with other public agencies, associations or when supplies, equipment or services can be purchased from a vendor offering the same prices, terms and conditions as in a previous award from the City or another public agency either by competitive bid or through a negotiated process.
On July 15, 2025, the City Administrator approved a Services Agreement to Shuster Advisory Group, LLC for Fiduciary and Investment Advisory Services for the City’s 457 plan in an amount not to exceed $96,000, paid through plan assets with Mission Square. Pursuant to VMC Section
3.32.030 (B), if in the 12 months preceding the effective date of a proposed new, renewed, or otherwise amended contract, the City has paid or awarded the proposed vendor more than $100,000, the proposed contract shall be approved only by City Council. Therefore, Finance recommends that City Council approve the Services Agreement with Shuster Advisory Group for a total not to exceed $90,000.
The Professional Services Agreement has been reviewed and approved by the City Attorney’s Office.
Fiscal Impact
The fiscal impact is not-to-exceed $90,000 for a 3-year term. Funds will be available in FY2026- 2027 and subsequent years in General Fund, Finance Department, Professional ServicesTechnical Account No. 011-010-130-529215.
Attachments
1. Professional Services Agreement – Shuster Advisory Group