HomeMy WebLinkAboutDocumentation_Pension General_Tab 02_08/03/2009SYNOPSIS OF GENERAL EMPLOYEES' PENSION BOARD SPECIAL
MEETING HELD 06/17/09
Mr. Johnson ofi Bogdahn Consulting went through the investment policy
statement document with the board and indicated he would send back
changes so the policy could be re-circulated for the August quarterly
meeting
2. Voted to direct Attomey Jensen to draft an updated ordinance with the
changes discussed to send to the Village Council and to get a cost no
impact statement from Gabriel, Roeder and Smith Company, and present
that to the Village Council for approval.
3. Voted to approve Chair Michael Rhodes signing the notification letter to
Salem Trust Company to separate the international equity assets into a
separate account.
4. Discussed changing meeting times to have time to complete the agenda.
This is to be placed on the quarterly meeting agenda for both pension
boards.
5. Discussion was held regarding the meeting for employees that HR
Director Merlene Reid was planning to hold following the August quarterly
meetings to educate employees regarding the pension plans. Mr.
Johnson reported Joe Bogdahn planned to attend. Attorney Jensen
offered to make a presentation.
6. Board Member Gload asked for a copy of the proxy voting document used
by Dana Investment Advisors.
7. Chair Rhodes commented nothing had been received from Mr. Palmquist
regarding what the Village contribution would have been if asset
smoothing had been in place the last 3-4 years; Pension Coordinator
McWilliams indicated she would contact him with a reminder., but he might
have planned that for the next regular meeting.
END OF SYNOPSIS
DRAFT
TEQUESTA GENERAL EMPLOYEES PENSION
TRUST FUND
SPECIAL BOARD OF TRUSTEES MEETING
June 17, 2009
I. Call To Order And Roll Call
The Tequesta General Employees Pension Trust Fund Board of Trustees held a
special meeting at the Tequesta Village Hall, 345 Tequesta Drive, Tequesta, Florida,
on Wednesday, June 17, 2009. The meeting was called to order at 9:03 a.m. A roll
call was taken by Betty Laur, Recording Secretary. Board Members in attendance at
the meeting were: Chair Michael Rhodes, Secretary Carl Hansen, Board Member
Michelle Gload, and Board Member Deanna Mayo. Also in attendance were
Attorney Bonni Jensen, Daniel Johnson with Bogdahn Consulting LLC -Monitor,
Pension Coordinator Lori McWilliams, Senior Accountant Monica Rahim, and Betty
Laur, Recording Secretary. Board Member Archie Mangum, Jr. was absent from
the meeting due to illness. Chair Rhodes commented the board wished Mr.
Mangum a speedy recovery.
II. APPROVAL OF AGENDA
MOTION:
Secretary Hansen moved approval of the agenda as submitted. Board Member
Gload seconded the motion, which carried by unanimous 4-0 vote.
III. UNFINISHED BUSINESS
1. Consideration of amending the Investment Policy -Dan Johnson,
Bogdahn Consulting, LLC and Pension Attorney Bonni Jensen
Mr. Johnson of Bogdahn Consulting went through the investment policy statement
document with the board and indicated he would send back changes so the policy
could be re-circulated for the August quarterly meeting. The ordinance would need
to be changed before the revised investment policy could be adopted.
The following changes were made to the draft investment policy statement:
Page 1:
• Under II Target Allocations::
First line -delete the word "several"
Agenda -Special General Employees' Pension Trust Fund Board Meeting
June 17, 2009 2
Add a line to the chart of targets and ranges with Asset Class
TIPS, Target 0, Range 0 to 5%, Benchmark Barclays
Intermediate U. S. Govt/Credit.
At beginning of second paragraph add "with the assistance of
the Investment Consultant and Monifor Firm" .
• III. Investment Performance Objectives
(3) Delete "at the time of this Investment Policy Publication"
Page 3:
• (D) Treasury Inflation Protection Securities (TIPS)
Change description to read: "The overall objective of an
investment in TIPS, if utilized, will be measured as a part of the
overall Barclays Capital U. S. Treasury TIPS."
• (E) Real Estate Performance -Strike. (REITS will still be allowed; it
is Dana's decision whether to invest in them)
• (F) Alternatives -Strike
Page 4:
• (3)
• (1)
•
(2)
• (3)
Strike "Bonds issued by the State of Israel."
Equities
(a) Strike "with exception to foreign equities"
(b) Change "stock" to "bonds" in line 2
Fixed Income
(a) Change to read: "All fixed income investments shall have
a minimum rating in one of the 4 highest classifications of
investment grade or higher as determined by a major
rating service. "
Money Marke#
(a) Add after STIF: Short Term Investment Fund (money
market)
Agenda -Special General Employees' Pension Trust Fund Board Meeting
June 17, 2009 3
Page 5:
• (4) Foreign Securities
Change to read: "Limited to securities traded on nationally
recognized exchange and fully and easily negotiable equity
securities."
• B. Trading Parameters
Add second sentence: "The Investment Manager Agreement
between the Plan and the Investment Managers will govern the
responsibility of monitoring best price and execution of trades
placed by each manager on behalf of the Plan."
• C. Limitations
2. Change to read: "Foreign securities shalt not exceed
twenty five percent (25%) of the fund assets at market."
• D. Absolute Restrictions
Add warding as proposed under 4, with one change: after
"venture capital", insert "limited partnership"
Page 6 - no changes
Page 7:
• Make the following changes in the second sentence of the first
paragraph:
Change "two" to "three"
Change "Board's" to "Consultant's"
Page 8:
• Add signature lines for Dana Investment Advisors and for Bogdahn
Consulting, LLC
Attorney Jensen was requested to add comingled fund language to the ordinance;
increase the international equity from 10% to 25% at market; change "at cost" to
"market"; equity to be measured at market 70%, and strike "alternatives".
Agenda -~Speciai General Employees' Pension firust Fund Board Meeting
June 17, 2009 4
MOTION
Secretary Hansen moved to direct Attorney Jensen to draft an updated
ordinance with the changes discussed to send to the Village Council and to
get a cost no impact statement from Gabriel, Roeder and Smith Company, and
present that to the Village Council for approval. Board Member Deanna Mayo
seconded the motion, which carried by unanimous 4-0 vote.
2. Response to Board's request to separate the international equity
assets at Salem Trust - Dan Johnson, Bogdahn Consulting, LLC
Mr. Johnson explained there would be no cost to separate the accounts and
presented a letter of instruction for the Board's use in notifying Salem Trust
Company of this change.
MOTION
Board Member Mayo moved approval of Chair Michael Rhodes signing the
notification letter to Salem Trust Company to separate ~e iinternational equity
assets into a separate account. Secretary Hansen seconded the motion,
which carried by unanimous 4-0 vote.
IV. NEW BUSINESS
3. Discussion regarding meeting time(s) -Lori McWilliams, Pension
Coordinator
Pension Coordinator McWilliams expressed concern that the meetings had become
so lengthy there had not been time to handle all of the agenda items. Secretary
Hansen suggested one board might meet at 8 a.m. and the other at 1 p.m. Both
Attorney Jensen and Mr. Johnson of Bogdahn Consulting indicated tha# would be
fine with them. Pension Coordinator McWilliams advised the meeting times would
stay the same for the August quarterly meeting, and both boards could consider
making a change at that time.
V. ANY OTHER MATTERS
Discussion was held regarding the meeting for employees th8t HR Director Merlene
Reid was planning to hold following the August quarterly meetings to educate
employees regarding the pension plans. Mr. Johnson reported Joe Bogdahn
planned to attend. Attorney Jensen offered to make a presentation.
Board Member Gload asked for a copy of the proxy voting document used by Dana
Investment Advisors.
Chair Rhodes commented nothing had been received #rom Mr. Palmquist regarding
what the Village contribution would have been if asset smoothing had been in place
Agenda -Special General Employees' Pension Trust Fund Board Meeting
June 17, 2009 5
the last 3-4 years; Pension Coordinator McWilliams indicated she would contact him
with a reminder., but he might have planned that for the next regular meeting.
VI. COMMUNICATIONS FROM CITIZENS
There were no communications from citizens.
VII. ADJOURNMENT
Secretary Hansen moved to adjourn the meeting; seconded by Board Member
Mayo and unanimously carried 4-0.
Respectfully submitted
Betty taur
Recording Secretary