Loading...
HomeMy WebLinkAboutMinutes_Pension Public Safety_05/11/2005CJ TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND QUARTERLY BOARD OF TRUSTEES MEETING MAY 10, 2005 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 Emergency Operations Center (EOC) of the Public Safety Facility, 357 Tequesta Drive, Tequesta, Florida, on May 10, 2005. The meeting was called to order at 8.00 a.m. A roll call was taken by Betty Laur, Recording Secretary. Boardmembers in attendance at the meeting were: Chair James Weinand, Ed Sabin, and Joe Petrick. Also in attendance were Attorney Bonni Jensen, Monitoring Consultant Joe Bogdahn, Pension Board Coordinator Gwen Carlisle, and Finance Department Accounting Manager Patrice Maqueda. Vice Chair Geraldine Genco was absent from the meeting. II APPROVAL OF AGENDA Chair Weinand requested addition of item VIII (e) - an invoice from Gabriel Roeder Smith in the amount of $1,646; and discussion of the audit to be added under Any Other Matters. MOTION: Boardmember Sabin made a motion to approve the agenda as amended with the additions stated above. Boardmember Petrick seconded the motion, which carried by unanimous 3-0 vote. III. APPROVAL OF MINUTES Consensus was to table approval of the February 18, 2005 meeting minutes, since two pages were missing from the minutes as submitted in the agenda packet. MOTION: Boardmember Sabin made a motion to approve the minutes of the March 14, 2005 BOARD OF TRUSTEES • TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE 2 special meeting as submitted. Boardmember Petrick seconded the motion, which carried by unanimous 3-0 vote. IV. PRESENTATIONS Mr. Bogdahn reviewed the fund performance for the second quarter of the fiscal year, which ended March 31, 2005, and reported this had not been a great quarter. There had been a total fund loss for the quarter of a little over 5%. Mr. Bogdahn reported it had also been a very bad quarter for Northstar. They had been down 8% for the quarter. Mr. Bogdahn advised he would continue to give a comparison with Northstar in the future, so that the board could see how the change in money managers was working, compared to if they had stayed at Northstar. The funds had been moved to Rockwood, and were completely invested by April 25 for equities and Apri126 for bonds. Mr. Bogdahn asked if the board wanted the Rockwood representative to come • to the next quarterly meeting for the quarter ending June 30. Attorney Jensen commented Rockwood's contract required monthly investment reports, and attendance at a meeting only semiannually. Discussion ensued. For the General Employees' fund, a letter was sent to Rockwood listing those who wanted to receive the monthly reports by mail. Mr. Bogdahn advised he would get with Ms. Carlisle for the addresses of everyone to whom these reports should be sent. Consensus was to have Rockwood come to the meeting in November and May, but this first year to have them come in August and November, which would be the two meetings for the first year, meeting the contract requirement. Mr. Bogdahn reported the fund's fiscal YTD number was up 87. V. UNFINISHED BUSINESS a) Discussion of Budget for 2005 Chair Weinand announced that Finance Director Forsythe was going to put together a budget, which would be presented at the next meeting. Boardmember Sabin commented he had suggested this six months ago to give a baseline of where the board thought they would end up at the end of each fiscal year. Mr. Sabin requested this be done by October 1, because he thought it would help to have a FY 06 budget planned. Ms. Maqueda asked if the budget was to be in the • Village's budget book, to which Chair Weinand responded, no. Boardmember Sabin commented that at the August meeting it would help this board to know BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE 3 what to expect in FY 06, starting October 1, and he was particularly looking for fees and expenses so those could be monitored during the year. Chair Weinand commented the board should get a copy of the annual report and asked if it was done. Ms. Maqueda responded, yes. Chair Weinand commented that report showed the expenses, but it was after the fact. Boardmember Sabin commented he would like to do it ahead, and if it was a complicated process not to do it. Ms. Maqueda indicated a summary basis could be done. VI. STANDING REPORTS a) Approval of new applicants for participation in Pension Plan. MOTION: Boardmember Petrick made a motion to approve new applicants Joseph A. Fabiano, Police Department, hire date 4/4/05, and Jason Fawcett, Fire Department, hire date 4/15/05. Boardmember Sabin seconded the motion, which carried by unanimous 3-0 vote. b) Approval of Beneficiary Changes -None c) Request for withdrawal of contributions -None d) Ratification of withdrawals made since last meeting -None VII. FINANCIAL REPORTS a) Statement of Accounts (October-December 2004) Ms. Carlisle advised the Wachovia statements were in the packets, probably the last from them. At the next meeting Salem Trust statements would be available. The Board had no questions. b) Schedule of Investments Activities for Quarter ended March 31, 2005 Boardmember Sabin questioned why the summary of account balances . shown by Mr. Bogdahn, by this report, and by Wachovia, were all slightly different. Ms. Maqueda responded that could be due to in transit items. BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, aoo5 PAGE 4 Mr. Bogdahn commented there could be a difference because the custodian may show the value of securities at settlement and his report showed the value at trade, so that could be different. VIII. PAYMENTS TO BE REVIEWED AND APPROVED Chair Weinand announced the following payments to be reviewed and approved: Business Services Connection - $188.80 for meeting and minutes of 2/18/05 and $165.20 for meeting and minutes of 3/14/05; Hanson, Perry & Jensen, P.A. - $3,593.37 and $42.50; Bogdahn Consulting LLC - $2,000.00; Northstar Capital Management, Inc. - $230.00 for their final invoice for services 4/1/05 through 4/4/05; and Gabriel, Roeder, & Smith $1,646 for actuarial services. Regarding the invoice from Gabriel, Roeder, & Smith, Boardmember Sabin asked . if when they were doing an actuarial study for determination of extra benefits and the decision as to the participants contributing more, if their fees were included in the analysis for the fund. Attorney Jensen advised that they included in their annual actuarial evaluation an amount for administrative activities, but that was based on the prior year's work. Chair Weinand questioned the portion of the bill that was for page 6a for inclusion in 2004 annual report to Division of Retirement, which Chair Weinand indicated he believed was part of Mr. Palmquist's duties under the contract. Chair Weinand commented he did not know if Mr. Palmquist had billed for the annual report and he did not want to pay a bill for that and another $550 for page 6a. The actuarial impact statement was extra, but he believed page 6a was a part of the contract. Chair Weinand commented he was also supposed to do individual benefit statements, which had not been received. Chair Weinand requested that only $1,096 of Gabriel, Roeder, & Smith's invoice be approved at this time, which was the portion for the actuarial impact statement. MOTION: Boardmember Sabin made a motion to approve the following payments: Business Services Connection - $188.80 for meeting and minutes of 2/18/05 and $165.20 for meeting and minutes of 3/14/05; Hanson, Perry & Jensen, P.A. - $3,593.37 and $42.50; Bogdahn Consulting LLC - $2,000.00; Northstar Capital Management, Inc. - $230.00 for their final invoice for services 4/1/05 through 4/4/05, and Gabriel, Roeder, & Smith $1,096 for actuarial impact a statements. Boardmember Petrick seconded the motion, which carried by unanimous 3-0 vote. • BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE 5 Chair Weinand confirmed with Attorney Jensen that payment of her invoices would mean she was caught up. Chair Weinand requested that Ms. Carlisle contact Mr. Palmquist of Gabriel, Roeder & Smith to get an answer regarding the billing for $550 for page 6a, and inquire as to the employee benefit statements which were to be provided. IX. NEW BUSINESS a) Accept Resignation from Boardmember Peter Lucia MOTION: Boardmember Sabin made a motion to accept the resignation of Peter Lucia. Boardmember Petrick seconded the motion, which carried by unanimous 3-0 . vote. Boardmember Sabin asked if anyone had had a conversation with Mr. Lucia, to which Chair Weinand responded he gathered that Mr. Lucia felt so strongly about the Star program that he could not separate his conflict of interest. Attorney Jensen confirmed that Mr. Lucia felt he would have a continuing conflict of interest. Chair Weinand indicated he wished Mr. Lucia could have stayed. Chair Weinand commented this position was appointed by Village Council. Ms. Carlisle advised it would be advertised. Boardmember Sabin requested someone with investment knowledge. AMENDED MOTION: Boardmember Sabin made a motion to accept the resignation of Peter Lucia, and to authorize the Chair to send Mr. Lucia a letter of thanks for his participation. Boardmember Petrick seconded the motion, which carried by unanimous 3-0 vote. Boardmember Sabin commented that Mr. Lucia had been the Board Secretary. Attorney Jensen indicated the secretary signed minutes and was a signatory on checks. Chair Weinand advised that item would be added as item (e) under New Business, to appoint a secretary. b) Consideration of opening a checking account at Independent Community Bank BOARD OF TRUSTEES • TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE 6 --------------------------------------------------------------------------------- Ms. Maqueda advised that the fee schedule for Salem Trust for regularly recurring payments for retirees was $3.00 per month per check, which was felt to be cost effective. However, the service fee for each expense check was $15.00. Ms. Maqueda had researched account requirements at Independent Community Bank, which for a no service charge account required a minimum $750 deposit be maintained and no more than 50 transactions in a statement cycle. The conclusion of Ms. Maqueda, Ms. Forsythe, and Tony Brown of Rockwood had been that would be the best solution. Boardmember Sabin questioned how funds would get into the checking account. Attorney Jensen advised that some funds deposited contributions into their checking account so as not to have to liquidate assets from investments to put into the checking account. Then a check could be written to Rockwood. Ms. Maqueda commented that would mean a delay before contributions were invested. Discussion ensued. Mr. Bogdahn asked if Independent Community Bank would allow the Village to write a check out the same day the contributions were deposited and not hold funds, so by the time it got to Salem Trust it could be invested just as • quickly as it was now. Boardmember Sabin asked if Bank of America had been considered since the Village did business with them, so they should not have any issues about holding funds. Ms. Maqueda advised that Bank of America had huge fees. Mr. Bogdahn noted if there was a delay so that funds that were now sent on the 1St and 15t" were sent on the 7t" and 21St, it really would not matter since statistically over time it had been shown there was no difference in investment returns, so long as it was consistently applied. Boardmember Sabin expressed his opinion that the checking account was a very good idea. Attorney Jensen commented this would work if Ms. Forsythe had no problems with the Salem Trust statement not showing a straight line matching the contributions. Ms. Maqueda commented she did not know the reporting ramifications. Mr. Sabin responded you would just add the Independent Bank statements also. Ms. Maqueda advised she would want Ms. Forsythe's approval before doing anything because there were time period requirements for depositing government funds. Discussion ensued. Attorney Jensen commented she did not know if one could analyze whether the $15 per check was worth the time that the money would not be invested, because there would be a certain minimum balance that would never be invested on an ongoing basis. Salem Trust would have access to all the cash that was with the investment manager, so they wouldn't have to un-invest in order to write a check. Boardmember Sabin commented there would be no reason to fund higher than the $750 minimum required except once a quarter when bills were approved. Chair Weinand noted it would cost $300 annually to have Salem Trust write the checks, based on the number of bills approved today, and the question was whether BOARD OF TRUSTEES • TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE ~ it was worth the time and energy to write the checks, reconcile the checking account, etc. Boardmember Sabin commented he would like to defer that to the Finance Department. Ms. Maqueda commented this would be a decent amount of work, described the process that would be needed, and commented it could be done but there really was a shortage of staff at the present time. Chair Weinand commented if you were going to invest that money you would make $160 at 8%, so the difference was really only $140. Mr. Bogdahn suggested having Salem Trust write the checks for the first six months and then he could do an analysis and let the Finance Department then say whether the amount of work was worth the money. Boardmember Sabin noted that checks for expenses would only be done once a quarter. Chair Weinand commented he did not like it because doing it one way one month then differently another month there was room for confusion, and if personnel changed, he did not think it was worth the mistakes that could happen. Ms. Maqueda commented that Chair Weinand was correct. Boardmember Sabin asked that the Finance Department come back with a recommendation. • Boardmenber Sabin asked how today's bills were going to be paid. Ms. Maqueda responded the Finance Department needed direction on that. Boardmember Sabin commented, so once a quarter they would have to contact Salem to do disbursements. Chair Weinand advised that Ms. Carlisle would send a letter to release those funds, and Attorney Jensen advised that two signatures would be needed, and all the trustees' signatures were on file with Salem Trust. Ms. Maqueda commented Salem Trust did an outstanding job during the transition and sent a survival packet containing sample forms for everything, and there was probably a form for that. Chair Weinand commented he had nothing against this but wanted Finance Department to do an analysis, and if Finance felt this was really needed, to come back and advise the board. Ms. Maqueda commented it needed to be done quickly so today's bills could be paid. Boardmember Sabin responded at this point Salem would have to pay these bills and if there was a change it would need to be done next quarter. Chair Weinand commented that if Finance Department wanted to open the bank account, to bring a resolution to the next meeting to get all the signatures, and then they could open an account. Ms. Maqueda responded she would like the Finance Director to make that determination. MOTION: Boardmember Petrick made a motion to table any action on possibly opening a checking account. Boardmember Sabin seconded the motion, which carried by • unanimous 3-0 vote. BOARD OF TRUSTEES • TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE 8 c) Discussion of a Plan Administrator Chair Weinand asked Ms. Carlisle to report on conversations that had taken place regarding a Plan Administrator. Ms. Carlisle reported that the Finance Department felt it administered the board, and would like an administrator to do that with Finance helping out. Ms. Carlisle was not sure of the functions, which were not defined, and must be defined because it was in the ordinance that the board was the administrator. Attorney Jensen advised that the board was the administrator but needed someone to do the day-to-day operations because it was too unwieldy for five people to take care of those day-to-day functions; and the board was called the administrator but was really like a coordinator. Ms. Carlisle commented she was the coordinator and everything that happened at the meetings came through her and she tried to move things along, but she did not have a financial background and could not make financial decisions. Attorney Jensen advised the plan administrator would not be making financial decisions, but be a coordinator and do follow-upreceive • information and know it had to be put on an agenda for a decision, or that it was really important and a special meeting should be called, making sure the checking account was operational and checks were being written and payouts of contributions were being made. Ms. Carlisle commented that was where the duties separated because she did not deal with the financial day-to-day matters. Ms. Maqueda expressed her opinion it would be more like who did she go to as a Finance member if there was a problem with a deposit and the Chair was on leave, and she believed she would go to the coordinator, who would know who to contact, or if a special meeting was needed to then coordinate that meeting, to act as a liaison. Chair Weinand commented also, to get the bill from Gabriel, Roeder & Smith and look at it and stop it before it got to the board if it was incorrect. Ms. Carlisle commented she believed the Plan Administrator was Vice Chair Genco's idea and she was not present today to say why she thought the position should be called plan administrator instead of pension board coordinator, which was Ms. Carlisle's current title. Chair Weinand reported he had discussed this with Vice Chair Genco and most industry professionals were used to talking to a plan administrator. That was the reason for the title. Attorney Jensen advised the words "plan administrator" meant something in the ERISA world. It had less meaning in the governmental sector, where "Plan Administrator" commonly meant a third party, not a board member, someone like a secretary who, whatever needed to be done, they just did it. In the private pension side, "Plan Administrator" meant you had fiduciary responsibility and made financial decisions. Ms. Carlisle commented she believed that was where the conflict was • coming in, because she and Ms. Forsythe did not handle it that way-they really just coordinated and did what they needed to do, which was why it had never officially BOARD OF TRUSTEES • TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE 9 --------------------------------------------------------------------------------- been a plan administrator. Ms. Carlisle commented she did not know how the board wanted to proceed, but she had no financial background, and she thought Vice Chair Genco wanted a financial based person to be Plan Administrator. Chair Weinand commented that had been his thought all along that it needed to come from Finance, and he thought Ms. Forsythe was willing to do it but wanted to know a list of tasks. Ms. Carlisle agreed that Ms. Forsythe wanted a list of tasks and responsibilities so that it was not pushed to the next level where she was responsible for the whole plan. Boardmember Sabin commented he had been a Plan Administrator for a pension plan for ten years for a private company, and there was wide responsibility with a board to report to, so he was familiar with the functions for a private company. Boardmember Sabin asked whether there would be a conflict of duties between fiduciary responsibility to the Village and to the pension board if the Plan Administrator was the financial person for the Village. Attorney Jensen advised most of the plans she worked with had a third party administrator who was not with the government. Some of the smaller plans did keep it within the government. Standard language from • Statutes 175/185contemplatedthat the person responsible for the money would be the Finance Director, and anticipated that the day-to-day administration would fall on the Board Secretary-keeping records, keeping copies of checks, making sure everything was processed. Attorney Jensen commented that none of the plans she worked with had the Board Secretary perform those duties. Attorney Jensen advised she did have contracts for third party administrators that listed their responsibilities and she had given Mr. Gallagher a copy of an RFP that gave the job duties of an administrator that would be responsible for day-to-day operations. Ms. Carlisle commented those duties would tell who would be doing that function, because if it was financial responsibility it would be done by the financial person. Attorney Jensen commented it was a mix of writing checks, balancing statements, writing letters, etc., not just one category. Ms. Carlisle commented that person needed to have the experience and qualifications to do it; and she knew nothing about writing checks other than her own personal checks. A decision needed to be made based on the responsibilities of who had the knowledge to perform the particular job. Attorney Jensen commented she could send a copy of an RFP showing duties. Ms. Maqueda commented she took her cue for writing checks from Betty or Gwen and if it was in the minutes to pay, then she literally wrote a check. Boardmember Sabin commented the board needed to define the rules because there was a certain amount of traditional pension plan administration going on with that. Boardmember Sabin commented it also involved working with participants and asked, how did the names get on the agenda for new hires. Response was that came from HR, and when someone left employment, that • also came from HR. Boardmember Sabin commented the list of duties needed to be defined as to who was doing what-that there was pension plan administration • BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE io already going on-but the go-to person day-to-day needed to be defined. Chair Weinand requested Attorney Jensen to send him contracts with the list of duties. Then the responsibilities could be delineated as to who is doing what and it could be brought back to the board, so an intelligent decision could be made. Chair Weinand asked right now, who would an outside vendor contact, and whether the person was called an administrator or plan manager or whatever, they needed to know who to contact. Boardmember Sabin commented he did not have a problem designating a go-to person other than a pension plan administrator to perform those duties, because it would not be a traditional plan administration because this board had responsibilities that they did. MOTION: Boardmember Petrick made a motion that Chair Weinand, Pension Coordinator Carlisle and Finance Director Forsythe go over the list of duties and responsibilities to be provided by Attorney Jensen, and present the list to • the board at the next board meeting with the duties marked as to who was doing each function. Boardmember Sabin seconded the motion, which carried by unanimous 3-0 vote. d) Consideration of approval of Ordinance No. 598 (to be presented to Village Council at their May 12, 2005 meeting) Ms. Carlisle announced there was one change in the ordinance; the code book originally had Section 2-33 which had become a reserved section, so it was changed to 2-61 which actually talked about the pension board. The ordinance had two exhibits-Exhibit A for the General Employees' Pension Fund, and Exhibit B for the Public Safety Officers' Pension Fund. Attorney Jensen reviewed the changes that had been made to Exhibit B, which concerned this board. Page 6 contained a provision to give the board broader abilities to do all acts, which the Trustees may deem necessary or desirable for the protection of the Trust Fund. Page 7 had the following additions-to sue or be sued; and to settle, compromise or submit to arbitration (at the sole discretion of the Trustees) any claims, debts or damages due or owing to or from the Fund. Under Section 5 an addition had been made that written authorization shall require the signature of two of the Trustees for payment of benefits and disbursements. On page 11 the following addition had been made: With respect to any investment, the Trustees may consent or object to any action or non-action of any corporation or of the directors, officers or stockholders of any corporation. The amount of member contributions was now effective the first full payroll period after the effective date of the ordinance for Police Officer members to • BOARD OF TRUSTEES TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE 11 make contributions of 5% of their salary, and for Firefighter members to make contributions of 6.1 % of their salary. On page 13, normal retirement benefits were changed to 3% from 2.5% for the years 16 through 21, and 2% the next 4 years, and 3% for all years after 25 years. On page 17, increase in monthly supplemental benefits from $5 per year of service up to a maximum benefit of $600. MOTION: Boardmember Sabin moved approval of Ordinance 598. Boardmember Petrick seconded the motion. During discussion of the motion, Boardmember Sabin commented on page four, it talked about the two members appointed by the Village Council and the fifth member appointed by the other four. It was clarified that Mr. Sabin was the fifth member, that Vice Chair Genco and Peter Lucia were appointed by the Village Council, and the fifth member did not have to be approved by Village Council. Ms. Carlisle advised that reappointment of Vice Chair Genco would come up at the next Council meeting. Chair Weinand • was elected by the firefighters; and Boardmember Petrick was elected by the police officers. Boardmember Sabin asked if the Village was maintaining fiduciary insurance for the trustees. Chair Weinand commented the board paid for it, which he questioned. Attorney Jensen explained both boards together purchased insurance for the boards, separate from the Village. Attorney Jensen commented item N on page 11 was still accurate. Discussion ensued. It was clarified that the Village actually paid for it as a pass through expense. Attorney Jensen noted the wording could be changed-that it would be more accurate to say the board shall purchase insurance. Chair Weinand expressed his opinion the Village should pay for the insurance-it was their plan document, but in the end it came out of the Village funds. Chair Weinand questioned regarding State funds about a proposed new law, and asked if one city was under contract with another city would the state excise funds end, to which Attorney Jensen responded she did not know if that law passed before the legislative session ended on Friday. The law would allow a municipality that was providing fire or police services through an interlocal agreement to collect premium taxes from that. Chair Weinand requested that Attorney Jensen check on that since the Village provided services to Jupiter Inlet Colony and could use those funds. Motion carried by unanimous 3-0 vote. Chair Weinand announced he would present Ordinance 598 at the Village Council's May 12, 2005 meeting. • e) Nominations for Secretary of the Board BOARD OF TRUSTEES • TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, ZooS PAGE 12 Boardmember Petrick suggested waiting to see the qualifications of the next board member. Chair Weinand commented the board needed a secretary. Boardmember Sabin recommended an interim secretary pending the new board member. Chair Weinand asked if officer nominations should be done on an annual basis. Attorney Jensen responded most of the boards she worked with had basically let the Chairman stay as Chairman for their term, and only changed when the Chairman was re-elected or re-appointed. Chair Weinand recommended appointment of an interim secretary and possibly at the next meeting to put all the positions up for re-election. Attorney Jensen advised the board could schedule that annually or biannually. Chair Weinand commented the board probably should schedule it annually and requested this be done at the November meeting, after the new Fiscal Year to appoint new officers and to have an interim secretary until that November election. Boardmember Petrick asked what the duties would be, to which Chair Weinand responded primarily to sign checks, and Attorney Jensen advised that any two available members of the board • could sign. Salem Trust had everyone's signatures, and any two were authorized to sign. MOTION: Boardmember Sabin nominated Boardmember Petrick to serve as interim secretary until the November election. Chair Weinand seconded the motion, which carried by unanimous 3-0 vote. X. ANY OTHER MATTERS a) Auditing Services Chair Weinand commented that under the contract with the auditors were supposed to have presented an audit as of January 31 and he seen nothing. Rachlin Cohen was the firm and they were supposed to do a full-blown audit, separate from the Village audit. Ms. Maqueda indicated she would follow up that afternoon, and report to Chair Weinand. Chair Weinand advised they needed to make a presentation to the board, which was called for by the contract. If not, the board did not need this expense, and Finance Director Forsythe thought the pension fund did not need a separate audit because they covered the pension fund in the Village audit. Boardmember Sabin commented it was only one page, a supplemental schedule, to • the Village audit, and there were no fiduciary qualifications on it, so they should do a full audit opinion to the trustees. Boardmember Sabin commented they really did not BOARD OF TRUSTEES • TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE i3 have to do any more audit work, just give the board an opinion. Attorney Jensen responded they would have to do a management discussion and analysis, etc. Discussion ensued regarding whether they had done the work. Boadmember Sabin commented it was simple, just point them to the contract document and ask where their report was, because they had signed a contract to do the work. Chair Weinand advised he had a copy of the contract. Boardmember Sabin commented the board also had not received an invoice for the audit, which was good. Chair Weinand commented if it was not needed by law, perhaps it did not need to be done, but when he read Statute 175 it pretty well said to do it. Boardmember Sabin commented that was one of the recommendations from the State conference he attended, to have a separate audit directed to the trustees, but it had been a suggestion by an attorney or financial advisor discussing responsibilities of board trustees, and if the audit was provided by the same firm who audited the Village, there would be additional costs but it would not cost as much as if a separate firm was used. Attorney Jensen advised it was the level of audit that would be received-if a separate audit was not done for • the pension fund, then the pension audit was just a supplemental fiduciary fund with a basic balance sheet and financial sheet, which was a part of the CAFR. It was a business judgment to be made by the board, because the State did accept it as a part of the CAFR. Ms. Maqueda commented Finance Director Forsythe could probably give an opinion as to whether it was worth having a separate audit. Boardmember Sabin commented the board had already approved the audit and the board needed the report. Chair Weinand agreed and commented that after the report, the board could weigh the worth and make a decision for future years. FPTTA Conference Ms. Carlisle reported the FPTTA conference would be held in Boca Raton June 26- 29. No members of the board expressed interest in attending. Boardmember Petrick noted the next State conference would be held in Orlando in October. Boardmember Sabin indicated he thought someone should go in October. Chair Weinand asked Ms. Carlisle to make Vice Chair Genco aware of the Boca Raton conference in case she was interested in attending. XI. COMMUNICATIONS FROM CITIZENS There were no communications from citizens. BOARD OF TRUSTEES • TEQUESTA PUBLIC SAFETY OFFICERS' PENSION TRUST FUND MEETING MINUTES May io, 2005 PAGE i4 --------------------------------------------------------------------------------- XII. ADJOURNMENT Upon motion by Boardmember Sabin, seconded by Boardmember Petrick, and unanimously carried, the meeting was adjourned at 9:39 a.m. Respectfully submitted, ~~~, Betty Laur Recording Secretary U •