Loading...
HomeMy WebLinkAboutDocumentation_Pension Public Safety_Tab 01_02/04/2008• SYNOPSIS OF PUBLIC SAFETY OFFICERS PENSION BOARD MEETING 11.5.07 1. Oath of Office was administered to Board Member Pittman. 2. Ken Nielson was elected Chair for the coming year, and conducted the meeting from this point. Ray Giblin was elected Secretary for the coming year. 3. Minutes of the August 6, 2007 meeting were approved as submitted. 4. Presentation was made by Andrew Holtgrieve, Rockwood Capital Advisors, LLC, the investment manager. In response to questions by members of the Board, Mr. Holtgrieve indicated he would research the proxy statement issue and advise the board; and would add a cost column to the company information. The Board indicated they were now comfortable with the level of reporting provided by Rockwood; with Mr. Holtgrieve researching proxy voting to address inaccuracies. 5. The Board accepted Rockwood's report for the quarter ended 6/30/07, which had been previously tabled because of questions, and the current report for the quarter ended 9/30/07. 6 Presentation was made by Dave West, Bogdahn Consulting, LLC. Mr. Bogdahn was also present. New material added to the report was reviewed; the Board • requested comparison between this fund and CALPER, a national standard for public employee pension funds. Mr. Bogdahn advised the new material provided for this report would be in the back of the report as a reference in the future. Consensus of the board was to retain the attribution summary in future reports. The Board indicated they were comfortable with not adding a partial index fund. 7. The Board accepted the report from Bogdahn Consulting LLC for the quarter ended 9/30/07. 8. Pension Coordinator McWilliams reported the Village Council action regarding the request to reduce the Firefighters' contribution back to 5% had been to use this as a negotiable item for union negotiations. 9. Standing Reports -information only -were read, which consisted of new employees Thomas E, Berg, Jr., firefighter, and Erik Howell, police officer. The following requests for withdrawal of contributions had been made: Christopher Gass -Fireman 7/26/07 -Gross $10,543.23 (Rollover) Michael Morrill -Police Officer 8/2/07 -Gross $2,300.54; Net $1,840.43 James Dyal -Police Officer 8/23/07 -Gross $937.60; Net $750.08 Erik Howell -Police Officer - 9111 /07 -Gross $177.89; Net $142.31 Matthew Galli -Police Officer 9/25/07 -Gross $10,494.91; Net $8,395.93 C7 SYNOPSIS OF PUBLIC SAFETY OFFICERS PENSION BOARD MEETING 11/5/07 Page 2 • 10.. Consensus of the Board was not to include Salem Trust statements in future meeting books, since they were on file in the Village Clerk's office and available at any time; future agendas would list the statements with the information that they were available in the Clerk's office.. 9. Ratified payments since last meeting: Hanson, Perry & Jensen P.A. $687.40 ; Business Services Connection, Inc. $282.37; and Gabriel, Roeder, Smith and Company $2,549.00. 10. The following payments were presented for review and approval: Hanson, Perry & Jensen, P.A. - $ 161.50 Bogdahn Consulting, LLC - $ 2,000.00 Salem Trust Fee Advice - $ 1,551.84 Rockwood Capital Advisors, LLC $ 5,605.63 Gehring Group Fiduciary Liability Policy Premium - 10/1/07 - 10/1/08 $ 3,205.34 Secretary Giblin noted that the insurance certificate from Gehring Group only • listed the General Employees Pension Board, and not the Public Safety Officers Pension Board. MOTION: Secretary Giblin moved approval of the above listed payments contingent upon addition of the Public Safety Officers Pension Board to the Fiduciary Liability Policy Insurance Certificate. Board Member Pittman seconded the motion, which carried by unanimous 5-0 vote. 11. Board Member David Cooper reported favorably regarding his attendance at the FPPTA school, and expressed interest in obtaining certification. The Board approved Board Member Cooper to attend the FPPTA certification program. 12. The Board voted to table the item for discussion regarding the Investment Monitor's performance and the Board's Expectations to the next meeting. 13. Attorney Jensen reported her firm had provided information requested by the Village's auditors; and also reported on a case where the Town of Lake Park did not want to make up funds needed to pay out members when they transferred their firefighting services to the county. END OF SNYOPSIS • TEQUESTA PUBLIC SAFETY OFFICERS PENSION TRUST FUND QUARTERLY BOARD OF TRUSTEES MEETING NOVEMBER 5, 2007 I. Call To Order And Roll Call The Tequesta Public Safety Officers Pension Trust Fund Board of Trustees held a regular quarterly meeting at the Tequesta Village Hall, 345 Tequesta Drive, Tequesta, Florida, on Monday, November 5, 2007. The meeting was called to order at 8:00 a.m. A roll call was taken by Betty Laur, Recording Secretary. Board Members in attendance at the meeting were: Chair Ray Giblin, Secretary Ken Nielson, Board Member David Cooper, and Board Member Kevin Pittman. Board Member Ed Sabin was absent from the meeting. Also in attendance were Pension Coordinator Lori McWilliams, Attorney Bonni Jensen, Dave West and Joe Bogdahn of Bogdahn Consulting, LLC, Andrew Holtgrieve of Rockwood Capital Advisors. II. Approval of Agenda • MOTION: Secretary Nielson made a motion to approve the agenda as submitted. Board Member Cooper seconded the motion, which carried by unanimous 4-0 vote. III. Oath of Office Pension Coordinator McWilliams in her capacity of Village Clerk administered the Oath of Office to Board Member Kevin Pittman. IV. Election of Officers Annual Election of Chair MOTION: Board Member Giblin nominated Ken Nielson as Chair for the coming year. Board Member Pittman seconded the motion, which carried by unanimous 4-0 vote. Chair Nielson took charge of the meeting. Annual Election of Secretary • • BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS PENSION TRUST FUND MEETING MINUTES NOVEMBER 5, 2007 PAGE 2 Board Member Cooper nominated Ray Giblin as Secretary for the coming year. Board Member Pittman seconded the motion, which carried by unanimous 4-0 vote. IV. APPROVAL OF MINUTES 4. Tequesta Public Safety Officers' Pension Trust Fund Board of Trustees Quarterly Meeting Minutes -August 6, 2007 MOTION: Secretary Giblin made a motion to approve the meeting minutes of August 6, 2007 as submitted. Board Member Cooper seconded the motion, which carried by unanimous 4-0 vote. V. PRESENTATIONS • 5. Semiannual Presentation by Investment Manaster Andrew Holtgrieve, Rockwood Capital Advisors, LLC, distributed supplemental information which included a recap of the portfolio for the quarter and for the year. Approximately $500,000 had been added from contributions, and another $500,000 from investments, making the total approximately $1 million added to the fund during the past year. The past quarter had been good-the portfolio was up 5.1 % for the quarter. The transition to large cap growth stocks had been made. Types of stocks within the portfolio were reviewed. 21 % one-year returns had beat the benchmark S&P return of 16%. Characteristics of holdings were discussed. Anew chart had been added to show where money was allocated and outperformance or underperformance of stock selections. Mr. Holtgrieve answered questions from the board regarding some of the holdings, and advised that 32 of the 38 positions in the portfolio had been profitable. Mr. Holtgrieve discussed proxy voting; advised Institutional Shareholder Services (ISS) had been contracted to vote those proxies for the shareholders in the best way to propel those shares upward for their clients. Chair Nielson clarified that the question at the last meeting had been that management recommendations had all been voted the same way the board • of directors had recommended and he did not think it made sense they would recommend voting for cumulative voting rights. Mr. Holtgrieve advised • BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS PENSION TRUST FUND MEETING MINUTES NOVEMBER 5, 2007 PAGE 3 he would research with ISS regarding their vote on specific items. Chair Nielson reported he had researched the proxy statement of Boeing on the internet and had found inconsistencies between their board of directors' recommendation shown with the statement of proposal and the actual voting. Attorney Jensen indicated her concern whether the board was getting accurate reporting on the proxy voting. Mr. Holtgrieve advised he would find out why, in the Boeing case, if they recommended against it why the vote would be shown for it. Chair Nielson expressed concern that there might be other inaccuracies in the report. Mr. Holtgrieve stated he would have the answer by the end of the meeting. Mr. Holtgrieve reviewed fixed income, indicating it was providing a good solid foundation for the portfolio, which was very high quality. Looking forward, the belief was the Fed would decrease interest rates; a full recession was not anticipated; inflation was still a concern; finance companies were not • currently doing well. Board Member Cooper requested a cost column be added to the company information. Chair Nielson asked how the portfolio would be positioned if it were believed a recession was on the horiaon; Mr. Holtgrieve's response was they would be more aggressive. Mr. West advised there had been extensive follow-up with Rockwood regarding the issues the Board had wanted addressed; the Board indicated they were now comfortable with the level of reporting provided by Rockwood, and Mr. Holtgrieve was to research proxy voting to address inaccuracies within the report. Information on the specifics of holdings within the portfolio rather than the broader picture were desired by the Board. Mr. Holtgrieve discussed reducing relative volatility and described how they had transitioned the portfolio, which took time, so that there was a quarter where performance was not good, but after the transition performance was improved. Their outlook was long-term rather than quarter-to-quarter, and Rockwood had had no change in people or philosophy. Mr. Holtgrieve described in detail their style of investing in response to questions from Board Member Cooper. Mr. Holtgrieve advised he was one of the managing partners of Rockwood, and it was his responsibility to assure the reports were accurate. MOTION: Secretary Giblin made a motion to accept Rockwood's report for the quarter ended 6/30107, which had been previously tabled because of • questions, and the current report for the quarter ended 9130107. Board • BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS PENSION TRUST FUND MEETING MINUTES NOVEMBER 5, 2007 PAGE 4 Member Pittman seconded the motion, which carried by unanimous 4-0 vote. 6. Presentation By Monitor David West, Bogdahn Consulting, LLC, indicated Joe Bogdahn was also present. Mr. West reviewed the additional materials that had been provided in the report this quarter. Consensus of the Board was this high level of information did not really help with monitoring of their own fund and requested instead a comparison between this fund and the General Employees Pension Fund; and a comparison between this fund and CALPER, a national standard for public employee pension funds. Mr. Bogdahn described the link between the new information and the way Rockwood invested funds, and indicated that information would be in the back of the report as reference material in the future. • Mr. West reported the target actuarial return for the fiscal year had been exceeded; the plan benchmark had been exceeded; and peer group comparison was in the top 15% percentile. Mr. West reviewed fixed income performance. Attorney Jensen questioned American Depository Receipts; response was that ADR's were outside the S&P 500. Mr. Bogdahn explained international investments were limited to 10%, and reviewed the procedure used by Rockwood to stay within the investment policy with respect to ADRs. Mr. West responded to items from the previous meeting, the first of which was an attribution summary, showing their independent tracking of the manager's performance each month on equities. Mr. West asked if this information highlighting positives and negatives specific to Rockwood's process was what the Board wanted; consensus of the Board was this information was very helpful and to add it to future reports. Mr. West questioned what speci0cally the board had wanted regarding the next item in the minutes, confirmation of numbers on page 7 of last quarter's report, and was advised if there were further questions the board would notify him. The next item referred to a chart on page 12 of this quarter's report, which Mr. West explained was designed to show investment return only, without contributions included, and it showed comparison to actuarial rate of return. • Mr. Bogdahn provided an explanation of the chart and the following pages, • BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS PENSION TRUST FUND MEETING MINUTES NOVEMBER 5, 2007 PAGE 5 and answered questions from Chair Nielson. Mr. West noted concerns over Rockwood's management had been addressed, and the same process was in place and the same people were managing the fund, and his firm was comfortable with their strategy. Impact of adding a partial index fund to the report had been researched and was explained by Mr. West; following discussion of this matter, the Board indicated they were comfortable with not adding a partial index fund. MOTION: Secretary Giblin made a motion to accept the report from Bogdahn Consulting, LLC for the quarter ended 9/30/07. Board Member Pittman seconded the motion, which carried by unanimous 4-0 vote. Board Member Cooper asked if the goals were set for next year; Mr. West • responded they would remain the same if the actuarial rate did not change. VI. UNFINISHED BUSINESS 7. Report of Village Council action regarding reducing Firefighters' contribution back to 5%. Pension Coordinator Lori McWilliams reported the minutes of the Village Council meeting had been included in the packets; Village Council had decided this was a negotiable item. Secretary Giblin advised the minutes stated 185 and it should be 175 money. VII. STANDING REPORTS (INFORMATION ITEMS) Chair Nielson read aloud the following information items: 8. New applicants for participation in Pension Plan Thomas E. Berg, Jr. -Firefighter -Date of Hire 8/8/07 Erik Howell -Police Officer -Date of Hire 8/13/07 • 9. Beneficiary and Name Change • BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS PENSION TRUST FUND MEETING MINUTES NOVEMBER 5, 2007 PAGE 6 None 10. Request for withdrawal of contributions (employees terminating employment with Village of Tequesta) -Ratification of withdrawals made since the last meeting on 2 signature basis: Christopher Gass -Fireman 7/26/07 -Gross $10,543.23 (Rollover) Michael Morrill -Police Officer 8/2/07 -Gross $2,300.54; Net $1,840.43 James Dyal -Police Officer 8/23/07 -Gross $937.60; Net $750.08 Erik Howell -Police Officer - 9/11/07 -Gross $177.89; Net $142.31 Matthew Galli -Police Officer 9/25/07 -Gross $10,494.91; Net $8,395.93 11. Statement of Activities 12. Budget Report • There were no questions from the Board on the information items. Attorney Jensen commented regarding the Statement of Activities that contributions from the State for 175 and 185 had been received. VIII. FINANCIAL REPORTS 13. Account Statements Consensus of the Board was not to include Salem Trust statements in future meeting books, since they were on file in the Village Clerk's office and were available for review at any time; future agendas would list the statements with the information they were available in the Clerk's office. Attorney Jensen advised that in the Statement of Activities the statement information was balanced to the Finance Department records, and Joe Bogdahn's report referenced the same material. IX. PAYMENTS TO BE RATIFIED (PAYMENTS MADE SINCE LAST MEETING) 14. Hanson, Perry 8< Jensen, P.A. Services through September 15, 2007 $ 687.40 Business Services Connection, Inc. • Recording/Preparation of 8/6/07 minutes 282.37 • BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS PENSION TRUST FUND MEETING MINUTES NOVEMBER 5, 2007 PAGE 7 Gabriel, Roeder, Smith and Company Actuarial Services rendered through 8/31/07 2,549.00 MOTION: Secretary Giblin made a motion to ratify the payments as presented. Board Member Cooper seconded the motion, which carried by unanimous 4-0 vote. X. PAYMENTS TO BE REVIEWED AND APPROVED 15. Hanson, Perry 8l Jensen, P.A. Services through 10/15/07 $ 161.50 Bogdahn Consulting, LLC Fee for Quarter 7/1/07 - 9/30/07 $ 2,000.00 • Salem Trust Fee Advice for Quarter ending 9/30/07 $ 1,551.84 Rockwood Capital Advisors, LLC Fee for Quarter 7/1/07 - 8/30/07 $ 5,605.63 Gehring Group Fiduciary Liability Policy Premium Policy Period 1011/07 -10/1/08 $ 3,205.34 Secretary Giblin noted that the insurance certificate from Gehring Group only listed the General Employees Pension Board, and not the Public Safety Officers Pension Board. MOTION: Secretary Giblin moved approval of the above listed payments contingent upon addition of the Public Safety Officers Pension Board to the Fiduciary Liability Policy Insurance Certificate. Board Member Pittman seconded the motion, which carried by unanimous 5-0 vote. XI. NEW BUSINESS • 16. Report regarding attendance at FPPTA School in October 2007 at PGA . BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS PENSION TRUST FUND MEETING MINUTES NOVEMBER 5, 2007 PAGE 8 National, Palm Beach Gardens, Florida Board Member David Cooper reported he had been very overwhelmed with the amount of information provided, and felt a lot more comfortable now. Board Member Cooper advised he was very interested in the FPPTA certification program. 17. For consideration by the Board -Request by Board Member Cooper to obtain certification in the FPPTA certification program Chair Nielson commented he thought it was a good idea, and the Board would need to approve the fees involved. The next school was at the end of January 2008. No one on the Board had currently gone through the certification program. Pension Coordinator McWilliams advised that once you became certified, re-certification was required every three years; once • certified you had to complete 10 CEU's annually over a period of three years in order to retain certification. If interested, it would be very important to maintain that certification. The cost was $850 to register for the course, and hotel cost would need to be budgeted. MOTION: Board Member Pittman made a motion to approve Board Member Cooper to attend the FPPTA Certification Program. Secretary Giblin seconded the motion, which carried by unanimous 4-0 vote. 18. Discussion regarding Investment Monitor's Performance and the Board's Expectations Chair Nielson advised he had added this discussion item to the agenda, but due to the length of this meeting he would like to table it to the next meeting. MOTION: Secretary Giblin made a motion to table Item 18, Discussion regarding Investment Monitor's Performance and the Board's Expectations, to the next meeting. Board Member Pittman seconded the motion, which carried by unanimous 4-0 vote. • • BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS PENSION TRUST FUND MEETING MINUTES NOVEMBER 5, 2007 PAGE 9 XII. ANY OTHER MATTERS Attorney Jensen reported that annually her firm received a letter from the Village on behalf of the auditors for information to complete the audit, which they had received and provided. Attorney Jensen advised she had sent out between meetings information on a case in Lake Park where the Town had terminated their pension plan after transferred their firefighting service to the County, and there was not enough money in the plan to pay out all their members. The pension board had asked the Town for the money and they would not pay, so they had gone to court over it. The pension board lost at the Circuit Court level; appealed, and had won at the District Court level. Attorney Jensen advised she would keep the board advised of anything further on this case. • Mr. Bogdahn announced the dates for the next FPPTA Pension School were January 27 through January 30, in Ponte Verde, Florida. Mr. Holtgrieve advised he had not yet received an answer on the proxy voting matter. XIII. COMMUNICATIONS FROM CITIZENS There were no communications from citizens. XIV. ADJOURNMENT MOTION: Board Member Cooper made a motion to adjourn the meeting; seconded by Board Member Pittman and carried by unanimous 4-0 vote. Therefore, the meeting was adjourned at 10:43 a.m. 1 • Betty Laur Recording Secretary Respectfully submitted„