10-13-2003AGENDA
PEN SION
TRUSTEES
AGENDA
Board of Trustees of the Employees' Pension Fund
October 13, 2003 - 9:00 A.M.
1 - Call to Order
2 - Approval of Minutes: 09/15/03
3 - Request for acceptance into membership: Robert McKnight, Richard McGinley,
Russell Becker, Rachel DeBella, Ian Prior, Gabriel Parra, John Giordano, James
Armstrong, Louis Beem, Bonnie Bagry, Ryan Robinson, Roy Dacke, Philip Harris,
Elizabeth McCluskey, Anthony Martin, Willie Watts, Jemarall Richards.
4 - Regular Pension(s) to be granted: Fredrick Maier, Firefighter, Fire Department;
Donald Flynn, Firefighter, Fire Department; Thomas Mulder, Police Officer, Police
Department; James Milton Smith, Maintenance Worker II, Public Services; and
Raymond Taylor, Communications Operator, Police Department, be granted regular
pensions under Section(s) 2.393 and 2.397 of the Employees' Pension Plan as
approved by the Pension Advisory Committee.
5 - Pension(s) to be vested: Cynthia Bender, Human Resources Department and Larry
Shefts, Engineering Department be allowed to vest their pensions under Section(s)
2.397 and 2.398 of the Employees' Pension Plan as approved by the Pension
Advisory Committee
6. Review the attached letter from the Pension Plan's attorney (Klausner and Kaufman)
and provide direction to the Plan's attorney for future work priorities.
7. Approve the following policy with regard to travel for the Employees Pension Plan: It
is the policy of the Trustees of the Employees Pension Plan to follow the City of
Clearwater ordinances and policies with regard to travel including per diem and
travel expenses for travelers; all expenses for travel must be approved in advance
by the Trustees.
8 - Other Business
9 - Adjourn
P_i 3
Clearwater `
Agenda Cover Memorandum
Page 1 of 2
City Commission Item ID: 213 Submitted: 09-17-2003
Preferred Date: 10-16-2003 Latest Possible Date: 10-16-2003 Actual Date:
-Subject / Recommendation:
Accept the employees listed below into membership in the City of Clearwater Employees' -?
Pension Plan.
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-Summary:
As Trustees of the City of Clearwater Employees' Pension Plan, you are hereby notified
that the employees listed below have been duly examined by a local physician and each has
been designated as a "first class risk." These employees are eligible for pension
membership as noted in the Pension Eligibility Date column below, and it is the
recommendation of the Pension Advisory Committee that they be accepted into membership.
Pension Elig.
Name, Job Class, and Dept./Div. Hire Date Date
Robert McKnight, Solid Waste Worker/Solid Waste 6/16/03 6/16/03
Richard McGinley, Gas Technician/Gas 6/23/03 6/23/03
Russell Becker, Water Plant Operator C/Public Util. 6/30/03 6/30/03
Rachel DeBella, Staff Assistant/Fire 6/30/03 6/30/03
Ian Prior, TV Production Specialist/Public Com. 6/30/03 6/30/03
Gabriel Parra, Code Enf. Inspector/Development Ser. 7/14/03 7/14/03
John Giordano, Parking Technician/Engineering 7/14/03 7/14/03
James Armstrong, Parks Service Tech. I/Parks s Rec. 6/30/03 6/30/03
Louis Beem, Solid Waste Worker/Solid Waste 7/14/03 7/14/03
Bonnie Bagry, Police Communications Operator/Police 7/28/03 7/28/03
Ryan Robinson, Dev. Review Tech./Development Ser. 7/28/03 7/28/03
Roy Dacke, Survey Assistant/Engineering 7/28/03 7/28/03
Philip Harris, Neighborhood Ser. Spec./Dev. Ser. 7/28/03 7/28/03
Elizabeth McCluskey, Police Com. Operator/Police 7/28/03 7/28/03
Anthony Martin, Police Recruit/Police 5/19/03 5/19/03
Willie Watts, Parks Service Tech./Parks s Rec. 8/11/03 8/11/03
Jemarall Richards, Solid Waste Wo
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Originating Department: Human Resources 1 Section: Consent Agenda ;
Category: Other
Public Hearing: I=?
Number of Hard Copies attached: I.
-Review Approval: (Signature indicates approval.)
Cyndie Goudeau 10-06-2003 11:39 Bill Horne 10-06-2003 11:18:04
Gary Brurnback 10 OG 2003 10:19:
-Additional Summary Space
rker/Solid Waste 8/11/03 8/11/03
David Blow, Solid Waste Worker/Solid Waste 8/11/03 8/11/03
Robert Kalch, Engineer I/Engineering 8/11/03 8/11/03
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Attached Documents:
If your Summary is greater than 4000 characters you will be prompted to attach a separate document for the Summary.
Please enter the name of the attached summary above.
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Clearwater Pas-' of z
Agenda Cover Memorandum
City Commission Item ID: 210 Submitted: 09-16-200-3
Preferred Date: 10-16-2003 Latest Possible Date: 10-16-2003r? Actual Date:
-Subject / Recommendation:
Fredrick Xaier, Firefighter, Fire Department; Donald Flynn, Firefighter, Fire Department;
Thomas Xu-lder, Police Officer, Police Department; James Stilton Smith, Maintenance llor .er
II, Public Services; and Raymond Taylor, Communications Operator, Police Department, be
granted regular pensions under Section(s) 2.393 and 2.397 of the Employees's Pension Plan
as approved by the Pension Advisory Committee.
.1
- Summary:
Fredrick Maier, Firefighter, Fire Department, was employed by the City on October 10, "
1.977, and his pension service credit is effective on that date. His pension will be
effective October 1, 2003. Based on an average salary of approximately $48,707 per year
over the past five years, the formula for computing regular pensions, and Mr. Maier's
selection of the 100. Joint & Survivor Annuity, this pension will be approximately
$34,284 annually.
Donald Flynn, Firefighter, Fire Department, was employed by the City on May 29, 1972, and
his pension service credit is effective on that date. His pension will be effective
August 1, 2003. Based on an average salary of approximately $45,038 per year over the
past five years, the formula for computing regular pensions, and Mr. Flynn's selection of
the 100 Joint & Survivor Annuity, this pension will be approximately $37,990 annually.
Thomas Mulder, Police Officer, Police Department, was employed by the City on March 25,
1974, and his pension service credit is effective on that date. His pension will be
effective September 1, 2003. Based on an average salary of approximately $58,511 per year
over the past five years, the formula for computing regular pensions, and Mr.
MulderAfr'A,A Afac§A,A?s selection of the 100% Joint & Survivor Annuity, this pension
will be approximately $46,344 annually.
James Milton Smith, Maintenance Worker II, Public Services Department, was employed by
the City on October 17, 1973, and his pension service credit is effective on April 16,
1974. His pension will be effective November 1, 2003. Based on an average salary of
approximately $25,485 per year over the past five years, the formula for computing
regular pensions, and Mr. Smith's selection of the 100% Joint & Survivor Annuity, this
pension will be approximately $20,196 annually.
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Originating Department: Human Resources Section: Consent Agenda •
Category: Other z
Public Hearing: I =1
Number of Hard Copies attached: I
- Review Approval: (Signature indicates approval.)
Cyndie Goudeau 10-06-2003 11:38 Bill Horne 10-06-2003 11:11:06
Garry Brumback 10-06-2003 10:22:
-Additional Summary Space
Raymond Taylor, Communications Operator, Police Department, was employed by the City on
September 19, 1983, and his pension service credit is effective on that date. His
pension will be effective October 1, 2003. Based on an average salary of approximately
$33,807 per year over the past five years, the formula for computing regular pensions,
and Mr. Taylor's selection of the Life Annuity, this pension will be approximately
$20,279 annually.
The Pension Advisory Committee approved these pensions on August 28, 2003. Section 2.393
(p) provides for normal retirement eligibility when a participant has reached age 55 and
completed twenty years of credited service, has completed thirty years of credited
service, or has reached age 65 and completed ten years of credited service. Section
2.393 also (p) provides for normal retirement eligibility when a participant has
completed twenty years of credited service in a type of employment described
as "hazardous duty" and further specifically defines service as a Police Officer and
Firefighter as meeting the hazardous duty criteria. Mr. Maier, Mr. Flynn and Mr. Mulder
qualify under the hazardous duty criteria. Mr. Smith qualifies under the 20 years of
service and age 55 and the 30 years of service criteria. Mr. Taylor qualifies under the
20 years of service and age 55 criteria.
VA
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?? 47:1
:'Clearwater! Agenda Cover Memorandum Pagel o(2
City Commission Item ID: 211 Submitted: 09-16-2003
Preferred Date: 10-16-2003 Latest Possible Date: 10-16-2003 Actual Date: F-
-Subject/ Recommendation:
Cynthia Bender, Human Resources Department and Larry She_`ts, Engineering Department be
allowed to vest their pensions under Section(s) 2.397 ar:c 2.398 of the Employees's
Pension Plan as approved by the Pension Advisory Committee.
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-Summary:
Cynthia Bender, Benefits Manager, Human
June 24, 1981, and began participating
terminated from City employment on June
Resources Department was employed by the City on
in the Pension Plan on that date. Ms. Bender
5, 2003.
Larry Shefts, Parking Technician, Engineering Department, was employed by the City on
December 17, 1990, and began participating in the Pension Plan on that date. Mr. Shefts
terminated from City employment on May 9, 2003.
The Employees's Pension Plan provides that should an employee cease to be an employee of
the City of Clearwater after completing ten or more years of creditable service (pension
participation), then such employee shall acquire a vested interest in the retirement
benefits. Vested pension payments commence on the first of the month following the month
in which the employee normally would have been eligible for retirement.
Sectior _..393 (p) provides for normal retirement eligibility when a participant has
completed twenty years of credited service in a type of employment described
as "hazardous duty" and further specifically defines service as a Police Officer as
meeting the hazardous duty criteria. Section 2.393 also (p) provides for normal
retirement eligibility when a participant has reached age 55 and completed twenty years
of credited service, has completed 30 years of credited service, or has reached age 65
and completed ten years of credited service. Ms. Bender would have had thirty years of
service on June 24, 2011. Her pension will be effective on July 1, 2011. These pensions
were approved by the Pension Advisory Committee on August 28, 2003. Mr. Shefts would
have twenty years of credited service and reach age 55 on December 17, 2010. His pension
will be effective January 1, 2011.
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Originating Department: Section: Consent Agenda .71
Category: Other
Public Hearing: I J
Number of Hard Copies attached: F_
- Review Approval: (Signature indicates approval.)
Cyndie Goudemr 10-06-2003 11:37 Bill Horne 10-06-2003 12:01:19
Garry Bruniback 10-0G-2003 1021:
1" + ?-'
ClearnTater Agenda Cover Memorandum Page ?'?
City Commission Item ID: 238 Submitted: 09-30-3003
Preferred Date: 1 1-0b-200: Latest Possible Date: --? Actual Date: F-
-Subject / Recommendation:
fr-.:rl the Fe:: i n [,Ian's attorr:el (Flausner and Kaufman) and
for fut'_Ir
J.
-Summary:
This is Pension Trustee Item for 10/13/03
-----------------------------------------
Flausner and K",uf:narl were hired as the Plan's attorney beginning May 12, 2003. Since
that tim-v, tile;- have ,n several c rojects including disabilities, review of the
1I11'*rS't([ICI1C policy, aSS1SCcd with C'Olltrd`t langUctjc for M.SUlta(itS, revieW Of prOCedUreS
I11i11Ud1S, C.C.
Klausner and Kaufman have prepared a written summary of their work to date and will make
a presentation at the Trustee meeting. Direction from the Trustees is requested as to
what projects they would like the firm to work on in the future.
Tt:c City ?.-tcrney, Finance Director, and Human Resources Director be available at
the m,=ting t,? discuss areas where additional assistance ti.ill be requested from Klausner
and Kaufman.
Th- urr?Ilr .y;-1:-I „al rlln fr..)Il. I!a_. L"', _'(103 - =1:Ce(nbeL 2004 for a total of $60,000.
This jtmcunt ;:as set ba ed c)n prior experience without regard to specific tasks that will
S1o,1_'7.63 has been spent. fter direction is
iecitved from the Trustees, an agenda item will be brought forward to approve a new "not
to e:-coed" amount, if necessar..
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Originating Department: Finance • Section: Consent Agenda
Category: Otlier
Public Hearing: 1 J
Number of Hard Copies attached: F_
-Review Approval: (Signature indicates approval.)
1. <..• n,i?t, .i. .i. .??'? i .. ?.1{I? l?l it l; ll??l .'1. Il:.:i?'. full 1'. fix
1 ?n ll.' 1 r, ttilc.lu !!r_i);_ (1t1: I.1 I' 11 till Illlln? I0-161-?Itlt; I x.1() 2I
mailto:bob@robertdklausner.com
Writer's e-mail. bob@robertdklausner.com
October 6, 2003
Board of Trustees
City of Clearwater Employees' Pension Plan
Post Office Box 4748
Clearwater, Florida 33758-4748
Re: City of Clearwater Employees' Pension Plan
Legal Update/Progress report
Our File No. 03-0014
Dear Trustees:
This letter is to provide each of you with a progress report of the
work we have performed since being retained by the Trustees and the
Pension Advisory Committee in May of this year.
Almost immediately upon being retained, we had the opportunity to work
with Steve Moskun on several occasions to negotiate investment manager
contracts as well as an investment consultant contract. We had also
performed a comprehensive review, of the current investment policy and
forwarded our recommendations to the investment committee for
consideration.
Commissioner Gray had requested that we review the disability policies
employed by the Pension Advisory Committee and provide guidance in
the form of a disability manual to address procedures and due process
issues which might arise during disability hearings. We had forwarded
an initial draft of the manual for review and have received comments
from the City Attorney's office.
We had received several disability files from prior counsel and have
processed these files and brought them before the Pension Advisory
Committee for hearing. We have also started to receive disability
applications directly from the City to be processed. There are two
applications that are currently being processed.
October o, 2003
Page 2
This firm has also had the opportunity to respond to several requests
for legal opinions on various pension related and legislative issues.
We have been working closely with Margie Simmons, Joseph Roseto, and
Debbie Ford to provide timely responses to all inquiries.
We are also working towards development of a securities monitoring
policy. Such a policy will help identify losses suffered by the Fund
as a result of corporate misconduct. The Trustees may then consider
if they would like to pursue lead plaintiff status in any securities
violation/class action cases that arise.
We are in the process of reviewing the City Code sections applicable
to the Plan from top to bottom so that we may provide our
recommendations as to any Plan changes we feel are necessary. We
expect this project to be completed within the next two to three
months.
We have been most impressed with the institutional efficiency of the
pension plan and the staff's high standards for performing its
fiduciary mission. We consider ourselves fortunate to be. of service
to the Fund and its participants, and to have the opportunity to work
with dedicated staff, advisory board members and trustees.
As always, we remain available to attend any Trustee meetings for
which you deem our attendance necessary to address any questions you.
may have. Additionally, we are always available by telephone or via
E-mail should you have any questions or inquiries.
Sincerely,
ROBERT D. KLAUSNER
STUART A. KAUFMAN
SAK:ldm
cc: Margie Simmons
Joseph Roseto
\llp\030019\Board ltr re progress
. Pagel 2
Cleanater Agenda Cover Memorandum Page
City Commission Item ID: 228 Submitted: 09-33-300
Preferred Date: 10-16-2003 Latest Possible Date: Actual Date:
-Subject / Recommendation:
rpro-_ -he following policy with regard to travel for the Employees Fensicr: Flan: •
It is _?f the Trustees of the Employeas Pensic•n Flan to follow the City cf
r iti. ?•t' 'L:11nc:C:? d! -:1 ir3 ..itl1 .. ::Cl "'D tr'i:'?__ _!7Cltlillr: -:•L' :"11 ctI"1 ::1 try"ct
for Crd".c1:rS. it c __iL trd'.--1
_1 •:1. :':=:, IAUSt be :ti 'ed :9<1VaI1c the
Trust-r
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-Summary:
This is a Pension Trustee Item
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The BaaL:3 of Trustees encouraq_es all Trustees, Pension civisory Committee members,
Investrn_r,t Committee members, Pension Fund staff and other personnel performing duties on
l.ehalf _f the FUrld t-D regularly attend seminars, conferences and schools :•:h1ch are
design=d to 1t1Cr dS their knowledge Cif pensi:>I1 administration, investments, and
fiduciar. Standards.
City travel is governed by Section 2.321 through Section 2.332 of the City's Code of
Ordinances. Legislation was passed this year which enables entities to prescribe their
own rates for reimbursement of travel expenses, and the City is in the process of
updating these codes accordingly.
In order to make travel reimbursement consistant beteen the City and the Pension Plan,
the Trustees should adopt a policy stating that travel for the pension plan is governed
by the same rules and regulations as City travel.
The adcCtion of this policy i•_ c011613,tent with the obli,7_-irions set :orth in Section
11_,(;t;1 1.1), Florida St',tut-zs, <'011'_-rnlilq _.:F1tlllUlllil edu'--zltion of trustees relating to
investm::,ts and board responsibilities. This policy shall also apply to travel related
to due :iligence of investment managers. This policy is adopted pursuant to Section
166.021 Florida Statutes, which permits the Board of Trustees to depart fromthe
provisions of 11=.661, FLorida Statutes.
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Originating Department: t--inance 7 Section: Consent Agenda 7
Category: Other
Public Hearing: I J
Number of Hard Copies attached:
-Review Approval: (Signature indicates approval.)
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