12/05/1988
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POLICE
....SUPPLEMENTARy
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PENSION
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AGE N: D A
CLEARWATER POLICS SUPPLEMENTARY PENSION FOND
Meeting of December 5, 1988
1. Approval of Minutes of the two meetings held on
October 7, 1988.
2'. Approval of the request" of James J. Weber for his Share
Values on the effective date of his retirement
(December 2, 1988).
'3. Discussion of Performance Evaluation.
,
f. Discussion of Correspondence received from provident
reference retired officer Charles "Bo" Butler.
s--:....\
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5. Distribution of Monthly Financial Report from the Month
.of. September 1988 and the end of Fiscal 1987/88.'
6. . Approval of the Payment of $2,921.90 the Florida
National Bank forthe;periodof 7/1/88 to 9/30/88.
7. Approval. of entry of seven officers into the
Supplementary Pension Plan.
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8. Other business.
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WILLIAMS RICK, Chairman
Board of Trustees
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CLEARWATER POLICE SUPPLEMENTARY PENSION
MINUTES OF MEETING HELD DECEMBER 5, 1988
9:00 A.M.
A meeting of the Board of Trustees was.held,on December 5, 1988
at 9:00 A.M. in the second float conference room of Pollce
.Headquarters, 644 pierce street, clearwater, Florida.
,The followIng trustees were present:
Sergeant William Sedrick, Chairman
Roy Ma~f Vice-Chairman
JohnD~~n, Secretary
,nona~d Hibbard, Trustee
Mll~s Lance, Assistant city Attorney and
Police Legal Advisor
cindy Hicks, secretary to Deputy Chief Desmarais
was present to record the minutes
william Horton, Trustee was not present.
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BIll Moyle, Trust Officer, Florida National Bank
and 'Tom James, Investment Counselor, Florida
National Bank ~ere also In attendance.
Chairman Sedrick called the .meeting to order at 9:00 A.M. The
first item on the agenda was approval of the minutes of the two
meetings held on October 7, 1988. Motion was made by Roy May
that the minutes of both meetings be approved. Seconded by John
Dean. Motion carried unanImously.
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The ~econd item on the agenda was approval of a request from
James J. Weber for his share values on the effective date of his
retirement, which was December 2, 1986 (end of work day).
Discussion was held regarding the amount of money due Sergeant
Weber, which cannot be calculated until the value of the plan as
of the end of the day on December 2nd can be determined by
Florida National Bank. Upon receipt of the information from
Florida National, that figure will be added to the total in the
checking account at Fortune Federal (Clearwater). The total of
these two figures will be entered into the computer to determine
the amount due sargeant Weber. The amount of money is estlma~ed
to be around $47,000. BlIl Moyle and, Tom James explained the
~roblems Florida'National will encounter In determining the value
of the plan on any given day. They' suggested making the
determination on the value of the plan to the nearest end of
month value of the plan, which would be easier for them to
determine. In order t6 calculate the value in that manner,
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,'1 Minutes to Meeting Held December 5, 1988
I?a ge 2
another amendment to the ordinance would be required according to
Attorney Miles Lance. Therefore, it was decided to determine the
value according to the present ordinance (according to the actual
date of retirement). A motion to authorize the payment of
approximately $47,000 to retired Sergeant James J. Weber vas made
by Don Hlbuuzd. The motion ~as seconded by Roy HdY and passed
unanimously. (The amount of money actually paid is to be
ratified at the next meeting of the Board.)
Discussion was held on a non-agenda presentation may by'Mr.
James. His presentation consisted of an overview of investments
~ade by Florida National Bank. He stated that the breakdovn is,
as follows: Cash = 18\; Bonds & GIC's = appr~ximately 70%;
stocks = 11.5% at ,the present time. cash flow is running about
$250,000 to $300,000 per year. Questions from trustees vere
answered .relatlve to present investments and future
possibilities.
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At this point in the meeting, Chairman Sedrick called a brief
recess (of approximately 5 minutes) duririg which Mr. James and
Mr. Moyle departed.
The meet Ing re-convened with i tern >>3. ,I tern H 3 on the agenda
concerned a discussion of the equipment for a performance
evaluation on the money managers (since they have been in charge
of the funds). This evaluation is required every three years
(this Is the first time that it has bA~n required) by state law,
which also sets the required standards. After discussion, it was
decided to limit the number of evaluators to be considered for
the jo6 to five and to limit those five to local (within the
state of Florida or having a branch office within the state). It
was also decided to look 'for a company that would offer a flat
fee for this service. A motion was made by Roy May to limit the
number of evaluators constdered for the job to 5; to require that
they be located within the state' of Florida (or have a branch
office within Florida); and to require a flat rate up front.
Motion was seconded by John Dean and carried unanimously.
A second motion was made by Roy May for the Board to contact Dan
Deignan (City Finance Director) to determine which firm does the
evaluation on the City's pen~ion plan. Motion seconded by Don
Hibbard and carried unanlmously.
Item ~4 on the agenda concerned correspondence received from
Provident Insurance reference retired officer Charles' "Bo"
Butler'. Dlsc~ssion was held regarding his request to cash In his
~nnulty insuran~e pollcy. Chairman Sedrick explained to the
Board members that there is nothing that w~ can do. The Board is
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() Minutes to Hce ting Held December 5, 1988
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the owner of the policy on M~. Butler which ~as purchased at the
time of his retirement in accordance with the ordinance that was
in e'ffect at that 'time. (Purchasing an annuity insurance polley
is the manner in which disability pensions were handled at the
time that Mr. Butle~ retired - over six years ago.) Also under
that ordinance, n particIpant could not receive money for a
disability retirement until he reached age 50 which in Mr.
Butler's case will be In approximately 1-1/2 years. Based on
advice from MIles Lane, a motion was made by Roy May that we'
write a .letter to Provident Insurance telling them that under
" city ordinance, we cannot make any change In the annuity
purchased for charles Butler. The motion was seconded by John
Dean anacarried unanimously.
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Item #5 concerned the
report for the month
year report for 19~7/8a.
ear.lier at the time of
~ames and Mr. Moyle.
Item #6 was approval of the
National Bank for the period
by Don Hibbard to ratify the
Dean and carried unanimously.
distribution of the monthly financial
of september 1988 and the end of fiscal
Discussion on the reports was held
the financial presentation made by Mi.
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payment of $2,921.90 to Florida
of 7/1/88 to 9/30/88. Motion made
payment. Motion seconded by John
Item #7 was approval of
supplementary pension plan.
the entry of seven officers into the
The new members are:
Michael E. Harrell
Lawrence J. palombo
Jose A. Reid
Jack st. Hilaire
James D. steffens
Peter V. Vilardi
Faye A. Wilkinson
10-22-88 (employment date)
10-15-88 (employment date)
11-16-88 (employment date)
10-24-88 (employment date)
10-22-88 (employment date)
12-05-88 (employment date)
11-07-88 (employment date)
A. motipn to approve their entry into the plan was made by John
Dean. Motion seconded by Don Hibbard and carried unanimously.
Item H8 on the agenda was other business.
trustees should closely scrutinize the monthly
submitted by Florida National Bank.
Roy May noted that
financial reports
There being no furthet business, the meeting was adjourned at
10:20 A.M.
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JOh~&~tarY
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