HomeMy WebLinkAboutDocumentation_Regular_Tab 08_05/18/2006 TE UESTA PUBLIC SAFETY OFFICERS PENSION
Q
- � TRUST FUND �
QUARTERLY B4ARD OF TRUSTEES MEETING -
FEBRUARY 14, 200b -
� I, CALL TO ORDER AND ROLL CALL .
The Tequesta Public Safety Officers Pension Trust Fund Board oCf T� �ee S Public Safety .
quarterly meeting at the Emergency Operations Center (EO )
Facility, 357 Tequesta Drive, Tequesta, Florida, on February 14, 2006. 'The meeting was
called to order at 8.00 a.m. A roll cal.l was taken by Betty I.aur, Recording Secretary. .
�oazdmembers in attendance at the meeting were: Chair Ed Sabin, Secretary Ray Giblin,
Boardmember Geraldine Genco, and Boardmember Ken Neilson. Also in attendance
were Attomey Bonni Jensen, David West from Bogdahn Consulting LLC (monitoring
consultant); Pension Coordinator Gwen Carlisle; Finance Director Joann Forsythe;
Accounting Manager Patrice Monaco; and Risk Manager Dan Gallagher.
- II, APPROVAL OF AGENDA
Hearing no revisions to the agenda, Chair Sabin announced the agenda was approved
as submitted.
III. APPROVAL OF MINUTES
1. MOTION:
Boardmember Genco made a motion to approve the minutes of the November 8,
2005 quarterly meeting as submitted. Boardmember Nielson seconded the motion,
which carried by unanimous vote.
�, CHANGES I N BOARD MEMBERSHIP .
2. Discussion of Police Department Representative _ �
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LIC SAFETY OFFICERS PENSION TRUST FUND .
TEQU�TA PUB
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February 14� 2006 , _
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� � ' n Coordinator Carlisle reported the Police Department was in the process of �
Pensio the next meeting they shouldhave �
selecting a representative and she assumed that by an �temate; which Ms.
� inade a selection. Boazdmember Genco suggested appo��g
lisle indicated she would relay that request to �e C he held an election. noted
Car
there should be no problem with ha�ing an alternate i t y
Mp_T_ION� .
Boardmember G
enco m�de a motion to request that fhe Police dePa�r� � tio t
� � a representative and an alternate. � Boardmember Nielson seconde
which carried by unanimous MO vote.
- �i, pRESENTATIONS �
3, �resentation by Monitoring Consuitant �
dahn Consulting, provided a presentation, and discussed the
- David West, Bog
� y 24 000 loss for the quarter ending 12/31/O5. Boardms�e � hown on the
$ ' ement company were not
amounts from the manag et on the same
monitor's report. Mr• west Promised to malce a note to g an rior to
accounting standazd and to reconcile with the management comp y P
'ntin his reports, commenting there might be some subtle differences in bond
p g uestion every quarter
pricing. Boardmember Genco advised she had asked th lanation in writinS and if
since there had been a report, and she would like an exp west assured her he
the monitor chose not to reply to give a reason why. �'•
would be hapPY to comply.
ear returns on page 2, commenting
� � Boardmember. Gerico referied to the calendar y ab�ut the index that was
that when talkin8 about our policy, it was talking
osed to be used as a target, so if we had the re a a�eaz to-date re o3 91
supp ested, we would have ha y
i.e., index, would have sugg
versus the negative return Qf 1.57; then whent n��'� We t g e s p o nded the rePort
you were tallang about a gross difference, no
kin about absolute differences. Boardmember Nie sso�n a d he wouldg �
was ta1 S
up capture ratio was in up and down markets. Mr. West re p
100% in an up ma�'ket and less than 100% in a down market he would
more than market and 80% + or — in a_
like to see Rockwood come in at 105%-110% in an up _
down mazket. , _
_ Boardmember
GencQ noted tliat with the next report, Rockwood would ha�e had a
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BOA.RI) UF 1;RUSTEES
• TA PUBI.I� SA�ETY O��CE� P�SION TRUST FUND
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1 ear and on►ly one quarter so far came close to meeting the boaz'd's policy, �
�t y ,
� and asked how much loriger the board should g ab nce he saw bad 9u�rters �
managers. Boardmember Genco commented th
she wanted to get somebody else. 1Vir: West responded thas and i they we e�n t
hired Apri14, 2005, and his firm would give them 4 quarter
An exhaustive interview of
meeting objectives, a red flag would go up• � i � �d they would report back
Rockwood by Bogdahn Associates would take p
� to the boazd. Mr. West eommented that hopefullY the reason for under
performance would be identified and Bogdahn Associates wou�d�man � one or
recommendation. Mr. West noted Rockwa search. Boaxdmember Genco stated
more quarters Bogdahn would go out fo �e� on short-term trading meant
she was very concerned—that three down q -
they were not hitting too many winners �d she felt if they did not make the next
uarter that they should go on probation. Mr• West comme�n °� � .
� was 4-4-1/2% and the S&P for January
return for January an excellent quarter, and it looked like
_! y They anticipated the current quarter being �
Rockwood was on track. Mr. West explained the aC et h�� lagged. 'They n
period and in a transition period Rockwood s app �
had communicated that they had slufted thf pan folio t� wes not d his�firm uP �
but they had done well during the month o �'Y
would be prepared to address these coneerns at the next meeting, if need be.
� goardmember Nielson noted on page 5 under calendar yeax' retums that lU0
percentile was the worst possible score, and that R hc�kwo �o ae�e� hed
closely. Chair Sabin commented when the board ood, and it was a question
performance leading into that decision had of a cont nual decline. Boardmember _
of whether this was a cycle or the beginning
Genco commented that principal preservatio�a be oncern d about because they
Rockwood and that was something they sho
were dealing witli pension assets. Chair Sabin commented the data shown pnor,
in 2004 and the year before that was for the previous manager, and that
investment manag
er had ranked nwnber one, so they had gone through a poor to
excellent performance as well. Board.me e�re t philosophy e Northstar had had
never accounted for the change in the m e�r, and
a different management philosophy, and they barely missed it in a down y
the were being measured under the new criteria. They had mi e a ed ;
• y rovi d e d th e fi m d v� t h a g o o d y i
percentages invested and it h a d p
goardmember Genco co m m e n t e d that when looking a�t e� rand when they were �
needed to consider thatNorthstar had had a differen g
BOARD OF TRUSTEES
TEQUESTA PUBLIC SAFETY OFFICERS PENSION TRUST FUND •
MEETING MINLTrE3 - - '
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measured by today's target it was not going to be co a�e ne manager had been -
commented Northstar Had only been in large caps an
� chosen because they were all cap and their performance would be less cyclical.
Mr. West noted from the time Rockwood was hired they had actually shifted—
prior to being brought on boazd they had nice returns—and they had started to
transition into lazger cap growth from mid-cap space; they were doing what the
board asked, but the problem was being in transition.bMr a closely
� . concems were well warranted and .Rockwood would
Turnover of equity was discussed. Boazdmember Nielson asked how volatility
affected turnover. Mr. West noted Rockwood was using their approach to make
aajustments�they hoped would be timely. Chair Sabin commented they were
around 75%: Boardmember Genco commented such a low institutional rate
allowed us to �absorb more turnover, and stated she would like �to know when
everything was purchased. Mr. West indicated a column could be added on the
� - custodial report to show purchase dates on equity holdings and fixed income. Mr.
! Y West commented they would ask Rockwood to address that. There were similaz
concerns regarding fixed incotne; there had been a very nice quarter for returns
and it appeazed there was a mazket transition strategy in place, which would not
pay off until the last quarter. Regarding the fixed income ranking, continued close
observation and monitoring would be necessary. Mr• West commented the asset
allocation was right on with the investment policy.
Boazdmember Genco commented Rockwood was managing the Village's assets
similar to a commingled fund--a lot that had been sold had had better yields and
t�ey took a loss on some and bought the same asset with a lower return.
� Boardmember Genco stated this troubled her, and tlie boazd was paying a fee that
should get them personalized, customized management. She s need d t be
Rockwoo d to come to me e t i n g s; b o t h B o g d a h n a n d R o c k w o o d
meetings so t h� boazd could hear each talk. Chair Sabin noted the board had
agreed that Rockwood would be present eve e ava able by�conference al n
present last quarter, and they had offered to b
Boardmember Genco asked who the other people were that they were managing
assets for in this "commingled fund"—other pension funds or institutions/
� individuals. Mr. West advised the Village was in an institutional program.
Attorney Jensen stated the funds were supposed to be individually managed. Ms.
' Cazlisle advised that the General Employees' Pension board had been with
- Rockwood but had moved to Dana to be individually managed. Boazdmember .
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M were to individually manage this fi�d and she did not like to
�
eement, and �
Genco stated, they were violating their agr �
be nianaged like a commingled fund—theY osed to be
she asked 1VIr West to impress upon them that� a�s Was her lastclay here and
individually managed. Boardmember Genco s ,�
re oints the board really needed to focus on; she would request a copy of �
these we p rson for the �
the reports and would attend future Gencagcommen ed she d d not like what she ;
Village of Tequesta. Boardmeml�er o�ou Bogdahn to get to , �
� was seeing. Boaz�ember Genco stated we had to g �� o��,00d.
Rockwood—Bogdahn W�s n�ber one as far as dealing
' reviewed his three marching orders, for clarification: (1) The board
Mr. West
ould like a letter explaining the basis of the return dk ood was to dd a column
w
. Rockwood and Bogdahn Consulting xeports. (2)
showing transaction da.tes as far as security
transactions in their report. (3) The
ard would like someone from Rockv�'ood to attend the next meeting to address
bO other topics.
:� the individual management, among
� � Executive SummarY� �'��h he
Boazdmember Nielson referred to page one,
I�O
inted out only talked about where to find somethi come u��� an an and
asked why the boaz'd�embers should have to dig to �• west suggested it be re-
which they should have in the executive summary•
beled as Report Directory. Boardmember Nielson�e��er N el on commented
la i �t�g. Boar
analysis in the executive summaz'Y� ers it might not be too early to start
` if it was a long-term process to change manag
rocess by this board had taken about a year--
looking. Chair Sabin advised the p on the boatd's
� after that the responses by others had ea �ey Wou w k t the pace the boat'd t -
decision an d r e q u e s t. M r. W e s t a d
wanted. Boardmember Genco stated she felt it was a e� ou d start m �g uP e x
quarter did not meet the target that Bogdahn Asso
vv�th a rec
ommendation. Boardmember Genco asked if Loikwood was being used
- as a rating agency; Mr• West responded tlzat they used Mo
' Sabin clarified that it was the consensus of the bSe �� tha there must
Chau ers. Attorney Jen
pickup next quarter to look at manag �n ercentile, so after next quarter the
be four consecutive quarters below the 50 p .. ,
� board should take that step. .
Attorney Jensen noted that Rockwood was trading
through Lynch, Jones & RYan�
� if he would recommend to the board that Rockwood should consider
. and asked
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BOARD �F TRUSTEES _ Q
AFETy OFFICERS PENSION TRUST FUND .- <
�'EQUESTA PUBLIC S
MEETING MINU'rE5 . � ' '
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�, �, West �
e �� Lynch, Jones & Ry
some form of directed brokerag but given the size
es onded, yes, and they could address this at the ana �� $ � for the last
r p volum =.
of the assets he wanted to see the �ingfor reca.phu'e• BoaT�ember Genco ;
quarter there could be some opport�tY but she could not tell what o� west
stated that $2�000 was a high commission
was versus the ma�ket value of securities bough ould add a� .
�omnussion lement a reeapt� Pr��° �
stated if they were to imp �a�, etc., and could add tha.t to the
consolidated statement to zero in on trading ch, Jones & Ryan
enda if the boa�d`wanted. Bo�dmem � d tha d was �1e but it did not
� t out or merged. Mr• w =
had been bough did not trade on their own behalf ��;
lained theY enda: �_
� affect their attractiveness, and exp ;,
�. West commente�d the new statement would be added to the next ag �
� rovided For Information By Rockwood Capitai
4. Investment Manager Report P
- � Advisors, LLC for example,
� y dmember Nielson observed that the Rockwood�� ° for fi ed ncome referred
Boar
on page 2 the last bulleted iEe o��th fazxed ncome. Chair Sablin agreed it was not
to equity, w�ch had noth�g on returns in excess of 2%. Boa�dmembe
: relevant for them to be at o�� isle commented
Nielson al
so observed th p e 6 under characteris38s M�n�ber of stocks was
there were
shown as 37, but when he counted them, c �� a � ��
rts had been noted several times. Ms, Forsythe advise
inaccuracies in their repo �ion fund ha� been �� Ro
when tlie General Employees' pe month by a CPA firm, however, �vvhen her
the number of shares was audited every sitive was actu�lY a
staff had reconciled the numberS� �'„hat Rockwood sho e�� P°h� printed a name
negative. Boardmember Nielson co Bo�� m� Nielson also commented er
backwards: Pnce T. Rowe Group I� ate Technology; ho�'�'ev ,
845 shares voted for Seag
p � e 9, their report showed 12, ate only had 2,165 shares. Boardmem�r
on the opposite page it showed Seag
inted out that the last page of the Rockwood report titled Economtc
Nielson po local a r with a business s�� to
Environment & Outlook had information tliat anc � about how they were�g� �
would tell you, and he would likianat on of why the Perf°�anCe Was so
�� meet the benchm�k� �� an exp ln to answer that on page 5 of their report
t they were try g Boardmember Nielson
West commented made comments SPecific to strategy. -
where they had ds, normallY they said which added
commented when he got a re� � and what they were going to do about it to
and which detracted from p ..
BOARD OF TRUSTEES OFFICERS �.'.F•NSIUN TRUST FUND .
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MEETING MIrt�[JTFS . ;
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MM situation, �and he would like that kind of report Mre Would po t ou
correct the
when he contacted Rackwood az ember N on comment d when there were so
the necessary corrections. Bo �,ere at their job: _.
many corrections, one wondered how good they .
the fund's position
Boardmember Genco commented they v�'ere �a f the e was a li sin�e she would
in the information technology sector and ask
ye uncomfortable with 4�%. Attorney Jensen noted the investment policy only
� be ry
' ed as to companies, not sectors. Boardmemb�r Genc one sectort b ause��
l�mrt
g firm monitore d no t to h a v e t o o m u c h i n an y
a tica ll . Chair Sabin noted that three sectors were heavy ri g h t
_ incr�ased r�sk dram y did a attention to that•
� now. Ivlr• West stated they P Y __
VI, UNFI1vISHED BUSINE5S
Procedure To Get Jupiter Inlet Colony To Pass Ordin►ance To
5. Further Discussion Of Fire De artments Who Provide All Of The
Comply With House Bi111159 Permitting P
Fire Pr
otection Services To Another Municipality Through An Interlocal Agreement
To Collect Premium Tag From The Other Municipality iter Inlet
Pension Coorclinator Gwen Carlisle advise em er of this board wanted to app��b
Colony to ask thei�r meeting times in case a m
. Ms. Cazlisle reported she had discussed this with Bu �' B��e Genco
them y �t �,�nted to follo p
• with Secretary Giblin separatel , andJ iter Inlet Colony to put
commented she had been hoping an n ed �t she cou d attend as a member of the
the pension b o a r d o n t h e i r a g e n d a, � be e n a p p r o a c h e d
Vil lage Council. Ms. Carlisle adva e an had no ac�on. Boazdmember Genco
to place a resolution on their agen a, nsion board .
requested a letter be sent to them from � on �e T�g nda. Ms. Carl sle eXpressed her
jointly, askinS to have this matter placed
op
inion the matter would need to be brought up at �e V Counc 1 me tm8
Boardmeml�er Genco stated she would bring it e p u iter Inlet Colony to put this on
T Z i u r s d a y n i g h t, a nd that the larger issue was to g P
t re s n d t o a l e tt e r fr om the �illago
their agenda• Ms. Carlisle indicated they mi g h P°
C
o u n c i l. B o az d m e m b er Genco asked Ms. Cazlisle to remin n her 1 t Th �� C y � s
� bring this uP� and commented she would like to see p es for
. agenda the ftrst of 1Viarch. Boardmember Giblon �� h�g t oe g� �ef
' � JoAnn at Jupiter Inlet Colony witih no resp ' Jensen commented that i� �e
�� Weinand to attend their meeting with him• Attomey
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� BOARD �F TRU�TEES Ty OFFICERS PENSION TRUST FUND ... y
TEQUESTA PUBLIC SAFE k
MEETING M 2N �� -
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� r � re this occurred, she had had to be i� �on� �,� issue
.. other municipallt}' "�'he enda. Boardmember Genco comm t�at
attorney waekly to get on their ag
litical issue and threatened litigation, �d Sne �� � ay It
really w� �� � p° in that over Te.questa s head to see � g
Jupiter Inlet Colony w� l �ed on the agenda for informational purposes. .
was noted this had been p �GA�ING RESULTS .
REPORT BY FINANCE DEPAitT�NT }
6. FOLLOWUp A gABLE M�CIpALITIE5 TO FIND UUT THE
OF CONTACTING COMP M�AGE THE BOOKI�EEPING PRQCESS FOR ,_
50FTWA� USED TO HEL�' . �
THE FUND �
or Joann Forsythe reported that Fund Balax�n t awareof any oth�r
Finance Direct �ent, had said they �"1e
So �,are used in the Finance Dep Genco noted the cl►n'ent
e that would interface with theirs. Ms. F ember advised that the �u�'en
��' ear. Boardm
software gave the contributions by y ht, and she really did not thinl� a
__ y software had mare information than she had thoug l�ized reports•
was needed, since what was needed could b�� Sde om the ex�st�g
separate system roblem P
system. Ms. Monaco indicated tliere had been no p S to et a statement
Boardmember Genco commented she would like tW� �e V illage h� Put �n• She
every six months of their pension benefit, showing�ici ated in the plan to have the
rtant for the people `�vh° p p e had ut in
felt it was really impo an d it would only show what the Villag P
infonnation every six months, ositive thing for them to see their assets
e , Finance.,,Director Forsythe
� and what their benefit was• It would be a P •] commented she would
growing
and the contribution from the Villag
cornmented she would get hold of n�°e e mployeesCbehalf. Boardmember Gen�
like to see what the Village put m o uarterl and she
ot such a statement q Y
commented wherever she had worked they g
ocked to learn the V illage did not even do ihe �� Ss��em�t �o e � �
been sh
now they got it annuallY• Ms. Forsythe commente t
looked at to see how it was developed. Atte em loyees�be �g
actuar�' could be Te �ed statements for th P
every other year the actuary P p e �. thereafter• Chair Sabin asked if the
September 2004 and in each even y he commented
conclusion was that the existing software of how muchM� �a on the existing
�� there had not been a good understanding
. ed. Boardmember Genco indicated her co nornh �as now � ere
software collect ulation in the past� r'�'h��h was
had had to be manual. m�p
7. DISCUSSION OF W�ET
HER A FULL t�UDIT SHOULD BE DONE IN �TU�
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BOARD OF TRUSTEES ;
TEQUESTA PUBLIC SAFE'I'Y OFFICEI�S PENSION 'I;$UST FUND ._, �
- MEETING MINUTES � :�
.. February 14, 2006 �
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YEARS �
- e had been working
Pension Coordinator Gwen Carlisle reported she and M e��hen the board had .
�vith the auditors on this item, tabled from the last m . g,
suggested having a separate audit. The auditV 11a pension plan wwas included
� no more than what they currently did for the S
. in the Village audit, but if the board wanted a separate audit it needed to be
� � . discussed, and the audit firm was available by telep ck from the S trustee c s h°°1 �th
� the reference pomt was that he had originallY come ba
the information that a separate audit should b� e school he had rec ntly atten dr
Nielson had encounter�d that issue m the trus
Boazdmember Nielson responded he had mentioned e uirement to ��a
� were all over the map. No one could cite any p q
sepazate audit report. The lacksonville Public Safety Officers Board had 1.75 billion
dollazs in theu' fund and they relied on the audit for their city. on to have a eparate
advised he had been unable to find anyone to give a sohd reas
`� y audit report. C h air Sabin re ported a speaker who W� an difference was t he
advisable froni a fiduciary point of view, and the primaz'Y
report was directed to. The current report was directed to the Village of Tequesta,
not to this board, and that attorney's opinion hada� Sabin o that based on
board that the letter be written to the board• C
the fact others were not doing this, then he was comforta.ble moving away from this
one opinion. Boardmember Genco commented this pension was guaranteed by the
� finaucial status of the Village and they had to make it good. Ms. Fors Sh l�essahad
new auditor partner she had been working with since Jerry Chioca
. . contacted an attorney who worked with 40 diff ttorne ens n advis ds he was not
� � aware of any cases having to do with this• A y
aware of any cases and she agreed with Mr. Chioca, who had indicated they were
unable to provide a letter to the board without doing a separat�elaone who oul�e
advised that an audit report was written for a third party Y
_ ex ected rely on that report could come back and sue the auditors--tha�had �az
P
up in law. Discussion ensued. Boardmember Nielson asked if s
but it was separate. Boardmember
: the Village. Attorney Jensen advised it was, o Chair Sabin indicated
Genco commented this board was on1Y formalized 4 years ag •
since the risk was low he was comfortable without a separate audit. Attorney Jensen
dvised the boazd did have an auditing services contract with Rachlin Cohen and that
a
should be terminated. �
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pARD OF TRUSTEES ENSION TRUST FUN1� �
TEQUES�'A pU�LIC SAFETY OFFICERS P �
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MEETING MI�NU'rE . �
Februax'3' 14� 2006 �
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� Rachlin Cohen & Holtz that the
Boardmember Genco made a motion to notify a letfer of . =
oin forward with a Q secooded t�e motionaBoardmember �
board would not be Chio a. Secretary Gibl
termination to Jerry
� ended the motion to allow Finance Director Forsyt �eot onnwhich carried
- Genco am
behalf of the board. Secretary Giblin seconded the amende
� by unanimous 4-0 vote. :
� VIII. STANDING KEPORTS . "
A roval of new applicants for participation in Pension Plan � -
8. PP
�;
Police Off'icer . �
Rabert Neier Date of Hire: 11129/OS ��
David McGovern Date of Hire: 12/2/05 Firefighter
Ma�►�ian LaUy Date of Hire: 1/17/06 Police Officer
goardmember Genco requested that social security
numbers be redacted. It was
"' " noted it was an enor that they had not been blanked out.
MOTION: rove the new app6cants for participation in
Boardmember Genco made a motion to app
nsion lan as submitted. Boardmember Nielson seconded the motion, whicL
the pe P
carried by unanimous 4-0 vote.
9, - Approval of Beneficiary Changes
James Trube Firefighter
Boardmember Nielson asked if it was necessary
for the boa�d to approve changes •- �
in beneficiary. Boardmember Genco indicated W� O�y an i ue f som one died
agenda before. Attomey Jensen commented i
and there was no beneficiary. Discussion ensued as to why this was on the
a enda for approval. It was indicated this had always been �e res�en d i the t on
g
the agenda• Boazdmember Gencobedi o dmg Se �etaz'Y La asked if this was
change W� For a non-fam�ly mem
to be left off the agenda in the futw'e, to which the response was yes.
M��T�-�-N' ' rove agenda item 9 and to make a policy .
Boardmember Genco made a motion to aPe of beneficiary unless it was a non-family .-
the board did not have to approve a chang :
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BOARD 4F TRUS'TE S E,I,Y �FFICERS PENSION TRUST FUND • . �
�'EQZTFSTA PUBLI. . .� • '
MEETING MIN 6� , �
February 14� 2
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Nr_ � f fami member was parents, children or im ma a te
member, and the definit�on o 13' on our suppo�� a
family—P�PIe living im the same house and depending Y
brothe
r would be family. Boardmember Nielson se�co ��d� ay by v t og n this
Director Forsythe asked if the board could be put i 7 P b a labor
�vin it to an HR persoo who could determineub ement for,a
rather than g g
attorney. Attorney Jensen indicated there was no legal r q
sus was these items,.the standing r�P�rts� � Genco
beneficiarY• Consen �. them. Boar
' information items, but the board had been app Boardmember Nielson
stated she wished to withdraw the motion for item 9;
withdrew the second.
�
_ Genco �tated she wished to also withdraw her motioa for item 8;
Boardmember
Boardmember Ni�lson withdrew 6is second.
M�—�N' m,otion to accept the standing report items a� 9 as
Boardmember Genco made a unanimous 4-0
• forination items and in the future to have the o° which carried by form
in
items. Boardmember Giblin seconded the mo i,
vote.
10. Request for withdrawa
1 of contributions (employees termiaating emPloyment
with Village of Tequesta)
None � .: .
' ation of withdrawals made since the last meeting on 2 signature basis:
11, Ratific ,
None
12, Budget Report
er Monaco reviewed the report and noted it only showed services
Accounting ManaS enses were always split pro rata based on ass�t S bin
in the current fiscal year. Exp
hin approved at the last meeting had been for�te aPnO V ld today, w� ould
Anyt g
commented approximately $6,000-$7,000 woul PP
. change the numbers. . '
. IX. FINANCIAL REPORTS .
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BOARD �F TRUSTEES
C S�ETY �FFICERS PE�TSION TKUST FUND
TEQU�TA PUBLI .
MEETING M Z
FebruarY 14� .. .. _
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Account Statements (October-December 2005)
13. one's book,
ension Coordinator Gwen Cazlisle advised the sta�t�e�mw� n contact h them quite
P complete report• S
- and that Sa1em Trust did a very eat to work with. -�
often, and they were very cordial and g�'
PAYMENTS TO BE REVIEWED AND APPROVED "
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14, Business Services Connecrion — $ 322.20
11i8i06 meeting and minutes
$ 703.07 .
15. Hanson, peri'Y & Jensen, P•A• �
- $ 2,000.00 .
16. Bagdahn Consulting, LLC _
$ 3,893.07
17� y Rockwood Capital Advisors � �
1$, Salem Trust Company fee advice for period - $ 750.00
7/1/05 to 9/30/OS $ 750.00
10/1/05 to 12/31/05 -
MO--- TION' a motion to approve tLe invoices in agenda items 14
Boardmember Genco made unanimous
� hrou h 18. Boardmember Nielson seconded the motion, which carried bY
t g
4-0 vote. � '
bin noted that there were two statements from Sale�me o S a new sofl�'�'e
Chau Sa
reason. Ms. Monaco respon e be n � h consumed with gettmg
program dur�ng �e J�y-Sept Pe ave more
monthly statements conect. Their staxements were wonderful � e�in checks
information than nee de d f o r r e c o n c i l i a t i o Sa n salem Trus h a d eac h m o n t h
out. Ms: Monaco confirmed for Chau'
accrued income.
�, NEW BUSINESS
20.
Recommendation of resident member appo��e°t
Coordinator Gwen C.arlisle reported there were two people interested in
Pension licants �from the previous
becoming a resident member of the boazd, who were app
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BOARD UF TRUSTEES
LIC SAFETY OFFICERS I'ENSION TRiIST FUND .x , ,,
�QLJFSTA PUB r;
MEETING MINU"rES - Y
FebruarY 14� Zoo6 =°
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c and they were both still very interested. Ms. Carlisle C d until3 31 06
vacan y,
placed an ad in smoke Signals stahng applications would u o the board if they
and this would go to the April �� on of one of the two applicants to the Village
" wanted to make a recommen
- Council. Boardmember Genco stated she wo Counc'il genda in March eM�s.�C�'lisle
the boazd, and had Wa�ted this on the Village roved by Village
explained that a recommendation would not fileth a W��g � Apri1 �lillage
Council. Discussion ensued. Ms. Carlisle sugg
� Council meetin8 to be fa�r to people who might respond to the Smoke Signals ad _
which gave a March 31 deadline to apply.
- . MOTION: (LATER wITHDR���
goa.rdmember Genco made a motion to fill the posit �e a K�c� P a� o ap �� t
�position was of�'icially vacant, and if there was an PP
them as an alternate resident member and they
could fill in for any member who
_ didn't show up• Pension Coordinator Carlisle advisesa a n�econd d he�motion to
"- y allow for alternate mem bers o n t h e b o a r d. C h a i r
c o n t i n u e d i s c u s s i o n. Attorne y Jensen �vl had been azl t h i n l c i g t h e Y �' v o u l d h ave an
suggeste d from t he P o l i c e I� e p a r t m e n t, s h e
election for a re presentative and for an alternate, and �h ve been e lec ted and o t uld
could no longer serve, then t1�e alternate would already
ste in as the representative. An alternate could not fill lOf ee s Pensbon board had an
P
Boardmember Genco stated she knew the General mp y
alternate, and was advised that they did not. Attorne e��11 in,�and s he a � l ne er
' Staiute did not have a provision in the law for someon olice off'icers were
asked the State if they would a11� � at t���e �e � could not serve
elected and one servect out lu Y 1e if the pohce
without beinS re-elected. Boardmember Genco asked as an examP W��h
representative was sick. for three meetings a� �et� earnact'O C ould n t�serve� w1less
Attomey Jensen in d i c a t e d w a s c o r r e c t, a n ro b lem was t h a t n o t
the police representa.tive had res egn �S�t rnate could be elected but be gone
rnany employees wanted .to serv , recommendations on the two
tomorrow• Chair Sabin asked if there were any
individua.ls that had been Provided. Boardmember N ce to n ut the�ir h t m t11e n g and
that this should wait un ti l eve ry b o d y h a d h a d a c h an P lican t s•
h e w o u l d b e u n c o m f ortable making a recomm� Mt y n° e e t n g n e e d e d t o. t a k e place �
Boazdmem b er Genco c o m i ri e n t e d t h a t m e a n concern had been i f an eme r g e n c y
before the Village Council meeting, and her only li �� �d
� meeting was needed and there was not a quorum• It Was confirmed the app
BOA.RD OF TRUSTEES �
.:. �QU�STA P�.�BI.IG SAFETY OFF�CERS PENSION TRUST FUND
MEETING MINUTES �
February 14, 2006
PAGE i4 � .
not have to come before this board. Boardmember Nielsoe dec saone Chair
leave the selection up to the Village Council to make th
expressed his opinion that this board should make a recommendation. Boardmember
Genco at�vised that to date the Village Council did not interview : they left it up to .
the board and if the board was happy the Council voted for the applicant. Since the
board had to work with that person she thou �t� BoazdmemUe sta.t d she
the applicant they could best commumcate
would withdraw her motion; Cha.ir Sabin stated he withdi'ew his second. Consensus
was to table this matter to the next meeting. Ms. Carlisle commented it would be
nice to have the May pension boazd meeting before the Village Council meeting.
Boardmember Genco commented that under Any Other Matters the board would
have her resignation. _
21, Payout of contributions to Alex Nathanson
Risk Manager Dan Gallagher explained that after five years the trustees had a right to
-= y mail funds that were on deposit in the plan to the participant, and the 5 years were up
for Alex Nathanson. Robbie Russo, HR representative, had contacted Mr. Nathanson
and he had not yet made a decision to roll over or get cash less the Federal
withholding. Bob Garlo had set up a meeting wia � d m� �S� V llage Manager
previous correspondence with Mr. Nathanson, an
Couzzo. It was reported that Mr. Nathanson felt he had been told if there was a
� change in the plan that he would benefit�by the change in plan• About a year ago,
Attorney Jensen had sent him a letter explaining the situation and that he was not
entitled to changes made in the pension plan after he left the Village; however, he ,
. had not accepted that. Mr. Gallagher expl ember G o askedaf the board had the .
which might affect his judgment. Boardm
option to send the payout or to leave it in the fund. Mr. Gallagh Nathan on had been
not be 1eft after five years. Mr. Gallagher advised that Mr
contacted with the option of rolling Genco re orted she had b en ssu�ed the full
ensued during wluch Boardmembe P
amount she had had in pension funds twice. Attorney Jensen advised that pension
rules required 20% for withholding must be taken out up front. Boazdmember Genco
asked if Mr. Nathanson had understood from the letter that he could designate an
institute without the 20% withholding. Attorney Jensen recommended documenting
that.� Boardmember Genco requested it be documented by sta.ting he had two
' alternatives, (A) or (B�that_ he had "X" number of days; if not we are going to do
(A) which is 20% withholding and send him a check. It was noted it should be sent
� certified. Pension Coordinator Carlisle asked, if Mr. Nathanson passed away before
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- OAR� OF TRUSTEES pF,rTS10N TRUST FUND �
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'PAGE_15 �-------�..----------- ----------------'_ -------- - � for the rest of their ;
w a in his beneficiary t
aid out if the Village would b� P y g =
he was P et the money less 20% ���l�g
life. Attorney Jensen responded he would still g
been vested. Boazdme��r �nco Wx�p�t � o C om back t Y
because he had not es if someone
limit had been done deliberately in the hop -
could still be in t�e plan.
� � i�ng Mr: Nathanson
MD_,._. T�� a check
. - member Genco made a mo�on tO �`�t a d t him, flr option (B)
Board and the money p. ;
option (A) 24% withholding to be deposited intv a .�
• two calendar weeks to respond, with� sa e
made out to a financial institutio° R'ithout the withholdung �
lan, and that we gi�e hlm The letter shou Y
qualified p '
as no response that the funds woul ��
ttorney to write the letter and that it bw sent out eertifi •
a �vbich
that if after two calendar weeks there � Bob �arlo, to
et1 with.20% withheld. Chair Sabin h m�g motion,
distribut arding
Gallagber asked for clarification reg , b unanimous 4-4 vote.
r Genco responded she did not want to involve the Vi age
� - which Boardme�►be e out of it. Motion carr�ed Y
Jensen if she put into her letter that the
�� r furt6er and ta leave the Villag Boardmember Genco
Boardmember Nielson asked AttorneY tag advisor. Cbair Sabin
individual might waat to consult h� a e in the letter;
amended the motion tm � II 1 arried bY unanimous 4-0 vote.
seconded the amended
Z�„ Consideratton
of sending a member of the board to Trustee School
ented this was a standard ltem on �e
pension Coordinator Gwen Carlisle comxn • b�se the cost,
ber Genco stated she would like to mak�u � e��at if someone
agenda• Boa�dmem on the. board a Yeaz' �ey
ed 60 days after attending �� � hO°l. '
� attended school and did no� s people resign on � ��d for a year•
S ��e in the last two Ye�� itment to stay
inion that was a good idea. Boardmember
goardmember Genco stated s�ie wanted a comm eO Ie on notice so theY
Boardmember Nielson expressed his oP � a �licy to put p P
ust let them know,
Genco commented, j b� com�ented for
ut it. Chair Sabi� noted that �'�'as Ch�,1Sahe business wor ,
would thinit abo lo ent for relocation, etc.
requ�ng a YeaT�s emp Ym �st attended tntstee school, and Secretary
clarification that Boardmemb�r Nielson j • ted he felt it would
to o at some point when his schedule allowed. The intent was
Giblin was scheduled S e � . C�air Sabin indica
to have at least one se?nem on the agenda. � '
be helpful to keep �1 :
� �. re rted that she . had been unaWa�e �'t a��
Pension Goordinator Carhsle i� .
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$OARD OF TRUSTEES
TEQUFSTA Pi�BLIC SAFETY•OFFI!CERS PENSIQN TRUST FUND - '
MEETING MINUTF.S �
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February �4� 2006
PAGE i6 � �
membership dues needed to be paid to FTTPA, and last year had been skipped. In
researching past minutes, one could not tell if the membership dues had been
included in the motion to send someone to the trustee school. A motion was needed
from the board to pay the $450 membership fee on an annual basis so that members
could attend the school, unless the board wanted to pay an addit'ional $200 per
� person who attended. In this particular deal, General Employees. were thrown in fiee
of charge for the $450, which inight not benefit this board, but it was a benefit to the
� Village. If two people from t his b oaF d an d t w o p e o p l e fr o m t h e G e neral Em plo yees ,
board it would cost $800, or they could all go for the $450 membership fee•
goardmember Genco commented if two people from this board went in a year that
' would be $20a versus $450 for memberslup, so this board would be $50 ahead by
paying nothing. Ms. Carlisle responded that the General Board was also included in
the $450. Boardmember Genco cornmented there was nothing
extra received by
being a member. Ms. Carlisle advised there o�abehe budget only�allowed twa
went in a year. Boardmember Genco pointed
_ Discussion ensued. Boardmember Genco commented if the board decided to be a
�" member then the Genera.l Employees board should pay half of it.
MOT_ I_
Boardmember Genco made a motion to pay the membership fee for FPPTA only
if the General Employees Board paid 50%. Boardmember Nielson seconded
the motion, which carried by unanimous 4-0 vote.
Attorney Jensen announced another trustee school fro e wou d b held March
responsible for overseeing 175/185 funds. Theu conferenc
,13, 14, and 15 in Tallahassee.
23. Discussion of suggested future meeting dates through end of fiscal or calendar year
Chair Sabin commented other boards in which he was involved set a ye�'luld mark the r
meeting dates, which was helpful and avoided conflicts smce everyone co
Au ust, and November dates be selected
calendazs. Chair Sabin suggested that the May, g t g�d November 14. It was
at this time. 7 he second Tuesday dates were May 9, Augus ,
determined none of those dates fell on a holiday. Boardmember Genco suggested that the
board might want to consider changing the month to April, July, and October since the
investment manager's reports came out quarterly, and were available 10��days after the
end of the calendar quarter. Ms. Carlisle suggested in'that case the boazd might want to
make the da.te later in the month to allow more time to prepare for the meeting after the
quarterly reports were received. Mr. West requested that both boards meet on the same
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gpARD OF TRUSTEES
TEQUESTA PUBLIC S�ETY 4FFICERS PENSION TRUST FUND . - . �
MEETING MIrTUTES ; - �
February 14, 2006
PAGE i� .. ..
day which was part of the origi aa1 discussion. It was confirmed that the General
Employees currently met on the 3 Monday of May, August, November, and February.
goardmember Genco commented staff might want to bring this to that boazd for their
' consideration to have timeliness with the investment manager report. Discussion ensued.
It was confirmed there was nothing in the ordinance against changing the month;
Attomey Jensen noted that the General Employees board had their date in their
administrative rules. Chair Sabin commented the objective was to set dates for the
. quarterl}� meetings for this yeaz and to try to coordina.te that with the General Employees �
board, and asked if they could have it after this board's meeting. Ms. Garlisle reported
they could have it at 10:30, but in ensuing discussion it was pointed out they had gone to
a different date in order to be able to meet at 8 a.m. Boardmember Genco stated their
choice was whatever their choice was : this board had nothing to do with that, but we ' �
could encourage them to do that. Ms; Carlisle asked the boazd ta let her know what this
board preferred, and she could recommend to that bo nd o stat d that was what she was
totally different that was up to them. Boardmember Ge
proposing, but she was asking Ms. Carlisle to explain the reasons to the General
�E`mployees Board. Ms. Carlisle responded she could take that up under Any Other
Matters at the General Em ployees Board meeting. Chair Sabin confirmed that this boazd
wished to meet on the 3 Tuesday of April, July, October and January at 8 a.m. The next
meeting dates therefore would be April 18, 2006; July 18, 2Q06, and October 17, 2006,
and in October dates would be set for next year,
� XII. ANY OTHER MATTERS
Pension Coordinator Carlisle i�oted the following items were for information only, and
item 27 was not relevant to this board.
25. Information Item - News Scan and Research Memo developed by Gabriel,
Roeder, Smith & Company
26. Information Item - Senate passed pension legislation with provisions affecting
public sector
27. Informallon Item -Dana Viewpoint — January 10, 2006
Boardmember Genco announced that effective tomorrow, the board would have her letter
of resignation. Chair Sabin and the other members of the board expressed their
appreciation for Boazdmember Genco's service, and Chair Sabin weleomed her to attend
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gpARD OF TRUSTEES _ � :
/ ZTESTA PUBLIC SAFET'� 4FFICERS PENSION TRUST FiJND j
1 i�Q 3
MEETING MINU'fES 3
FebruarY �, 2006 =
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N a est. Boazdmember Genco asked the board to feel free to ca11 her if they
meetwgs as gu
had any questions. -
- XIII. COMMUNICATIONS FROM CITIZENS _ � �
� There were no co�ununications from citizens. � .
- � IX. ADJOURNMENT -
There being
no further business to come before the board, the meeting was adJourned at
10:14 a.m. ' �
Respectfully submitted,
�'�'�' ' _"� ` " "" V
�°�-'"
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- Betty Laur
Recording Secretary