UNITED STATES DISTRICT COURT

DISTRICT OF PUERTO RICO

In re: 

THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO 

RICO,

as representative of

THE COMMONWEALTH OF PUERTO 

RICO, et al.,

Debtors.

PROMESA

Title III

No. 17-bk-3283-LTS

(Jointly Administered)

SUMMARY SHEET

PENSION TRUSTEE ADVISORS, INC.’S FIRST 

INTERIM APPLICATION FOR ALLOWANCE OF COMPENSATION AND 

REIMBURSEMENT OF EXPENSES INCURRED AS PENSION CONSULTANT TO 

FINANCIAL OVERSIGHT AND MANAGEMENT BOARD, AS REPRESENTATIVE OF

THE DEBTORS, FROM JULY 29, 2017 THROUGH SEPTEMBER 30, 2017

Applicant: Pension Trustee Advisors, Inc.

Authorized to provide services to: Financial Oversight and Management Board, 

as Representative of the Debtors, pursuant to 

PROMESA section 315(b)

Effective date of retention: July 29, 2017

Compensation period: July 29, 2017 through September 30, 2017

Compensation sought: $28,901.25

Expense reimbursement sought: $4,214.88

Total sought: $33,116.13

Compensation sought herein that has already 

been paid under Interim Compensation Order

$0

Expenses sought herein that have already been 

paid under Interim Compensation Order

$0

This is a: _ monthly X interim _final application

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SUMMARY OF TIME BILLED DURING COMPENSATION PERIOD

Name Title Hours Billed1 Hourly Rate Total Fees

William Fornia President 72.25 $465 $27,551.25

Miguel Tulla Financial Advisor 6.00 $225 $ 1,350.00

Total: $28,901.25

 

1 Twenty-six hours were billed by Mr. Fornia for nonworking travel during the Compensation Period. 

That time is being billed at 50% of his hourly rate. 

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UNITED STATES DISTRICT COURT

DISTRICT OF PUERTO RICO

In re: 

THE FINANCIAL OVERSIGHT AND 

MANAGEMENT BOARD FOR PUERTO 

RICO,

as representative of

THE COMMONWEALTH OF PUERTO 

RICO, et al.,

Debtors.1

PROMESA

Title III

No. 17-bk-3283-LTS

(Jointly Administered)

PENSION TRUSTEE ADVISORS, INC.’S FIRST INTERIM 

APPLICATION FOR ALLOWANCE OF COMPENSATION AND REIMBURSEMENT 

OF EXPENSES INCURRED AS PENSION CONSULTANT TO FINANCIAL OVERSIGHT 

AND MANAGEMENT BOARD, AS REPRESENTATIVE OF THE DEBTORS, FROM JULY

29, 2017 THROUGH SEPTEMBER 30, 2017, AND MOTION TO SHORTEN NOTICE

Pension Trustee Advisors, Inc. (“PTA”), a pension consultant to the Financial Oversight 

and Management Board for Puerto Rico (“Oversight Board”), as representative of the 

Commonwealth, et al., pursuant to PROMESA section 315(b), submits its first interim 

application for allowance of compensation for services rendered from July 29, 2017 through 

September 30, 2017 (“Compensation Period”) in the amount of $28,901.25 and reimbursement 

of actual and necessary expenses incurred in the amount of $4,214.88, pursuant to PROMESA 

sections 316-17, Rule 2016, and Local Rule 2016-1, and motion to shorten the applicable notice 

period with respect to the application, pursuant to Rule 9006(c), and respectfully states: 

 

1 The Debtors in these Title III Cases, along with the last four digits of their respective Federal Tax ID

numbers, are: (i) Commonwealth of Puerto Rico (“Commonwealth”) (3481); (ii) Puerto Rico Sales Tax 

Financing Corporation (“COFINA”) (8474); (iii) Puerto Rico Highways and Transportation Authority 

(“HTA”) (3808); (iv) Employees Retirement System of the Government of the Commonwealth of Puerto 

Rico (“ERS”) (9686); and (v) Puerto Rico Electric Power Authority (“PREPA”) (3747). 

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JURISDICTION

1. This Court has subject matter jurisdiction to consider this application, pursuant to 

PROMESA section 306(a). Venue is proper in this district, pursuant to PROMESA section 

307(a). 

BACKGROUND

2. The Commonwealth commenced its Title III case on May 3, 2017; COFINA 

commenced its Title III case on May 5, 2017; HTA and ERS commenced their Title III cases on 

May 21, 2017; and PREPA commenced its Title III case on July 2, 2017. Pursuant to PROMESA 

section 315(b), the Oversight Board is the representative of each Debtor in its respective Title III 

case.

3. The Oversight Board engaged PTA to provide pension consulting services in 

these Title III cases by Agreement, effective July 29, 2018, approving its employment on an 

hourly basis. A copy of that agreement is annexed hereto as Exhibit 1.

2

4. Prior to forming PTA in 2010, its principal, William Fornia, had over thirty years 

of consulting and actuarial experience, primarily in the areas of retiree pension and healthcare 

benefits. Mr. Fornia led Aon Consulting’s public sector pension actuarial consulting practice 

from 2006 to 2010, and before that managed the Denver Retirement Practice of Buck 

Consultants and opened the Denver office of Gabriel, Roeder, Smith & Co. His prior positions 

also include serving as corporate actuary for Boeing and consultant for numerous multinational 

corporations in Brazil and Argentina during his ten years at Towers Perrin.

 

2

PTA was previously engaged by the Oversight Board pursuant to an Independent Contractor Services 

Agreement, effective April 15, 2017. However, that agreement did not cover services rendered in these 

Title III cases. 

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5. Mr. Fornia is a Fellow of the Society of Actuaries, Enrolled Actuary, Member of 

the American Academy of Actuaries, and Fellow of the Conference of Consulting Actuaries. 

He currently serves on the steering committee of the Conference of Consulting Actuaries Public 

Plans Community, and is on the faculty of the Society of Actuaries Fellowship Admissions 

Course. He is a frequent speaker at organizations such as the National Association of State 

Retirement Administrators, the National Council on Teacher Retirement, the National 

Association of Public Pension Attorneys, the National Conference on Public Employee 

Retirement Systems, the Pension Research Council, the Conference of Consulting Actuaries, the 

Western Pension and Benefits Conference, the International Foundation of Employee Benefit 

Plans, The Conference Board, the Government Finance Officers Association, and the Brazilian 

Association of Pension Plans.

BASIS FOR RELIEF REQUESTED

I. FIRST INTERIM FEE APPLICATION

6. PROMESA section 316(a) provides that this Court “may award to a professional 

person employed by ... the Oversight Board (in the Oversight Board’s sole discretion) ... (1) 

reasonable compensation for actual, necessary services rendered by the professional, or attorney 

and by any paraprofessional employed by any such person; and (2) reimbursement for actual, 

necessary expenses.” 

7. Pursuant to subdivision (c):

In determining the amount of reasonable compensation to be 

awarded to a professional person, the court shall consider the 

nature, the extent, and the value of such services, taking into 

account all relevant factors, including—

(1) the time spent on such services; 

(2) the rates charged for such services; 

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(3) whether the services were necessary to the administration of, or 

beneficial at the time at which the service was rendered toward the 

completion of, a case under this chapter; 

(4) whether the services were performed within a reasonable 

amount of time commensurate with the complexity, importance, 

and nature of the problem, issue, or task addressed;

(5) with respect to a professional person, whether the person is 

board certified or otherwise has demonstrated skill and experience 

in the restructuring field; and

(6) whether the compensation is reasonable based on the 

customary compensation charged by comparably skilled 

practitioners in cases other than cases under this title or title 11, 

United States Code. 

8. PROMESA section 317 and the First Amended Interim Compensation Order, 

entered November 8, 2017 [ECF No. 1715] (“Interim Compensation Order”) permit 

professionals to apply for allowance of compensation and reimbursement of expenses on an 

interim basis. 

9. Each factor set forth in section 316(a) supports allowance of the compensation 

sought herein on an interim basis. 

(a) Time spent on services rendered. During the Compensation Period, PTA 

expended 78.25 hours in connection with services rendered advising the Oversight Board. 

Specific services rendered include preparation for and attendance at mediation with the Official 

Committee of Retired Employees and related post-mediation services and correspondence. Time 

detail for the Compensation Period is annexed hereto as Exhibit 2.

3

 

3 Corresponding invoices, dated September 7, 2017 and October 6, 201, that include this time detail in a 

slightly higher amount due to PTA’s not having discounted nonworking travel time by 50% in accordance 

with the Fee Examiner’s guidance (PTA so discounted such time herein), were previously sent to the 

Oversight Board. In addition, time detail herein (and in those invoices) was maintained in quarter-hour 

increments. PTA understands from guidance issued after the Compensation Period that time should be 

billed in one-tenth of an hour increments and shall hereafter do so. 

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(b) Rates charged. As set forth in the Fornia Certification (defined below), 

the rates charged for services rendered herein are at or below those charged to PTA’s other 

clients. 

(c) Whether Services were necessary or beneficial. The services rendered 

were necessary to the administration of these Title III cases, and beneficial when rendered. 

The Oversight Board hired PTA for the express purpose of providing these services and has 

approved this application. 

(d) Timeliness of services rendered. The services rendered were performed 

within a reasonable amount of time, given their complexity and importance to these Title III 

cases.

(e) Professional certifications; Restructuring Experience. As noted above, 

Mr. Fornia is a Fellow of the Society of Actuaries, Enrolled Actuary, Member of the American 

Academy of Actuaries, and Fellow of the Conference of Consulting Actuaries. He has significant 

restructuring experience, having provided advisory services similar to those for which PTA was 

engaged herein in Detroit’s and Stockton’s chapter 9 bankruptcy cases. 

10. During the Compensation Period, PTA incurred reasonable and necessary 

expenses in connection with its engagement. A detailed itemization is annexed hereto as Exhibit 

3. Mr. Fornia has endeavored to minimize expenses incurred in connection with this 

engagement, and submits that those expenses for which reimbursement is sought are reasonable 

and justified under the circumstances to effectively serve the needs of the Oversight Board 

herein.

11. The certification required by Local Rule 2016-1(a)(4) and Rule 2016 is annexed 

hereto as Exhibit 4 (“Fornia Certification”). 

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II. MOTION TO SHORTEN NOTICE

12. Pursuant to Rule 2002(a)(6), at least 21 days’ prior notice is required of the 

hearing on a professional’s request for compensation or reimbursement of expenses. Pursuant to 

Rule 9006(c), the applicable notice period may be shortened for cause shown. Cause exists to 

shorten the applicable notice period with respect to this application. PTA engaged counsel to 

assist with this application on February 9, 2018. The following week counsel served PTA’s first 

consolidated monthly fee statement and this application, and asked the Fee Examiner when PTA 

could next have its first interim fee application heard. On February 16, 2018, the Fee Examiner 

suggested that PTA notice the application so as to be heard March 7, 2018 and include therein a 

request to shorten notice. 

NOTICE

13. Notice hereof has been served upon the following:

Fee Examiner

bwilliam@gklaw.com

kstadler@gklaw.com

adalton@gklaw.com

Fiscal Agency and Financial Advisory Authority

jrapisardi@omm.com

suhland@omm.com

dperez@omm.com

Official Committee of Unsecured Creditors

lucdespins@paulhastings.com

andrewtenzer@paulhastings.com

michaelcomerford@paulhastings.com

alexbongartz@paulhastings.com

Official Committee of Retired Employees

rgordon@jenner.com

rlevin@jenner.com

csteege@jenner.com

mroot@jenner.com

Financial Oversight and Management Board

arthur.gonzalez@nyu.edu

Office of the United States Trustee

guy.gebhardt@usdoj.gov

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WHEREFORE, PTA requests an order, in the form annexed hereto as Exhibit 5, (a) 

allowing interim compensation for professional services rendered during the Compensation 

Period in the amount of $28,901.25 and reimbursement for actual and necessary expenses 

incurred during such period in the amount of $4,214.88; (b) directing payment of the foregoing 

amounts, less that portion already paid pursuant to the Interim Compensation Order; (c) 

shortening the applicable notice period with respect to PTA’s application; and (d) granting such 

other and further relief as this Court deems just and proper.

Dated: February 20, 2018 Respectfully submitted,

/s/ William Fornia

William Fornia

Pension Trustee Advisors, Inc.

Pension Consultant to Financial Oversight 

and Management Board

By: /s/ Jeffrey Chubak

Jeffrey Chubak

STORCH AMINI PC

140 East 45th Street, 25th Floor

New York, New York 10017

(212) 490-4100

jchubak@storchamini.com

Attorneys for Pension Trustee Advisors, Inc.

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