HomeMy WebLinkAboutMinutes_Pension Public Safety_3/1/2013 TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND
SPECIAL BOARD MEETING MINUTES
MARCH 1, 2013
I. Call To Order and Roll Call
The Special Board Meeting of the Tequesta Public Safety Officers' Pension Trust Fund
Board of Trustees was held at the Tequesta Village Hall, 345 Tequesta Drive, Tequesta,
Florida, on March 1, 2013. The meeting was called to order at 8.00 a.m.
A roll call was taken by Pension Administrator Dixie Martinez. In attendance at the meeting
were: Chair Ed Sabin, Secretary Ray Giblin, Board Member Dave Cooper and Board
Member John Terzakis.
Also in attendance were Attorney Bonni Jensen, Pension Administrators Scott Baur and
Dixie Martinez.
II. Approval of Agenda
MOTION:
Secretary Giblin made a motion to approve the Agenda as presented. Board Member
Terzakis seconded the motion, which carried by unanimous 4-0 vote
III. UNFINISHED BUSINESS
1. IRS Determination Letter, Attorney Bonni Jensen
Attorney Bonni Jensen explained the process of filing for an IRS determination letter. She
reported that she had received a facsimile transmission from a representative of the IRS, in
which the IRS requested that Section 19 of the Plan be amended to incorporate the
provision of Internal Revenue Code 415(c) (limits applicable to defined contribution plans)
to address the DROP. Ms. Jensen reviewed some of the history on DROP issues. Ms
Jensen reported that basically it seems that the Plan has two options. Either they can agree
that the Plan conforms with the provisions of Internal Revenue Code 415(c), if not the Plan
will be sent to Technical Assistance and hopefully will be considered along with the other
Pension Plans containing the DROP. The Board had a lengthy discussion regarding this
matter. The Board agreed that the DROP Plan contained in the Fund's Plan document is
an optional way for members to elect to receive their defined benefit plan distribution. As
such there are no separate accounts for members. The balances are maintained only in a
notional way. The Board agreed that the DROP Plan is not a defined contribution benefit
and therefore not subject to the limitations of that section.
MOTION:
Secretary Giblin made a motion to request that the Plan be sent to Technical
Assistance and be considered along with the other Pension Plans containing DROP
Plans. Board member Cooper seconded the motion, which carried by unanimous 4-0
vote.
The Board had a brief discussion in regards to implementing a fixed rate of return for
DROP accounts as opposed to the current variable rate based on market returns. The
Board will discuss this matter at a future meeting.
IV. Adjournment
MOTION:
Secretary Giblin moved to adjourn. Board Member Terzakis seconded the motion
which carried by unanimous 4-0 vote.
There being no further business, the meeting was adjourned at 8.21 a.m.
Respectfully submitted,
Dixie Martinez
Administrator
Village of Tequesta Public Safety Officers' Pension Plan
Board Member
Village of Tequesta Public Safety Officers' Pension Plan