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08/29/2011 TRUSTEES OF THE EMPLOYEES' PENSION FUND MEETING MINUTES CITY OF CLEARWATER August 29, 2011 Present: Chair/Trustee Frank Hibbard, Trustee John Doran, Trustee George N. Cretekos, Trustee Paul Gibson, and Trustee Bill Jonson. Also Present: William B. Horne 11 - City Manager, Jill S. Silverboard - Assistant City Manager, Rod Irwin - Assistant City Manager, Pamela K. Akin - City Attorney, Rosemarie Call - City Clerk, and Nicole Sprague — Official Records and Legislative Services Coordinator. To provide continuity for research, items are in agenda order although not necessarily discussed in that order. 1. Call to Order— Chair Frank Hibbard The meeting was called to order at 10:15 a.m. at City Hall. 2. Approval of Minutes 2.1 Approve the minutes of the August 15, 2011 Pension Trustees meeting as submitted in written summation by the City Clerk. Trustee Bill Jonson moved to approve the minutes of the August 15, 2011 Pension Trustees meeting as submitted in written summation by the City Clerk. The motion was duly seconded and carried unanimously. 3. Pension Trustee Items 3.1 Approve new hires for acceptance into the Pension Plan as listed. Pension Name, Job. Class. & Dept./Div. Hire Date Elig. Date Charles King, SWEquip. Oper./Solid Waste/General Ser. 3/19/10 7/5/11 Frank Ciafone, WWTP Operator Trainee/Pub. Util. 7/2/11 7/2/11 Steve Heppler, WWTP Operator C/Public Utilities 7/18/11 7/18/11 Sean Hailey, Police Communications Operator/Police 7/16/11 7/16/11 Pension Trustees 2011-08-29 1 Heather Husted, Librarian II/Library 10/26/09 7/16/11 ** Freda Daniels, Customer Service Rep./Customer Service 7/7/10 7/4/11 *** Charles Lane, Real Estate Coordinator/Engineering 8/1/11 8/1/11 Valerie Craig, Recreation Leader/Parks & Recreation 8/1/11 8/1/11 Jesse Jones, Utilities Chemist/Public Utilities 8/1/11 8/1/11 *Resigned on 2/11/11; rescinded resignation effective 7/5/11; pension eligible as of that date since he received a refund of his pension contributions **Originally hired as part-time on 10/26/09; promoted to full-time position and pension eligible as of 7/16/11 ***Originally hired as part-time 7/7/10; status changed to full-time and pension eligible as of 7/4/11. Trustee John Doran moved to approve new hires for acceptance into the Pension Plan as listed. The motion was duly seconded and carried unanimously. 3.2 Approve the requests of employee Richard Breest, Police Department; Michael Waters, Police Department; Sharon Imray, Police Department; John Horning, Police Department; Randy Holm, Gas Department; Nick Gossman, Police Department; Tracey Bruch, Engineering Department; and John Schuster, Public Utilities Department, for a regular pension as provided by Sections 2.397 and 2.398 of the Employees Pension Plan. Richard Breest, Police Sergeant, Police Department, was employed by the City on December 12, 1986, and his pension service credit is effective on that date. His pension will be effective September 1, 2011. Based on an average salary of approximately $99,967 per year over the past five years, the formula for computing regular pensions, and Mr. Breest's selection of the Life Annuity, this pension will approximate $72,651 annually. Michael Waters, Police Lieutenant, Police Department, was employed by the City on August 18, 1986, and his pension service credit is effective on that date. His pension will be effective September 1, 2011. Based on an average salary of approximately $110,229 per year over the past five years, the formula for computing regular pensions, and Mr. Waters' selection of the 100% Joint and Survivor Annuity, this pension will approximate $74,682 annually. Sharon Imray, Police Officer, Police Department, was employed by the City on May 14, 1990, and her pension service credit is effective on that date. Her pension will be effective September 1, 2011. Based on an average salary of Pension Trustees 2011-08-29 2 approximately $67,780 per year over the past five years, the formula for computing regular pensions, and Ms. Imray's selection of the 100% Joint and Survivor Annuity, this pension will approximate $38,838 annually. John Horning, Police Department, was employed by the City on May 20, 1991, and his pension service credit is effective on that date. His pension will be effective September 1, 2011. Based on an average salary of approximately $77,720 per year over the past five years, the formula for computing regular pensions, and Mr. Horning's selection of the 100% Joint and Survivor Annuity, this pension will approximate $42,905 annually. Randy Holm, Gas Supervisor, Gas Department, was employed by the City on June 11, 1984, and his pension service credit is effective on that date. His pension will be effective November 1, 2011. Based on an average salary of approximately $55,518 per year over the past five years, the formula for computing regular pensions, and Mr. Holm's selection of the 100% Joint and Survivor Annuity, this pension will approximate $40,873 annually. Nick Gossman, Police Communications Supervisor, Police Department, was employed by the City on June 20, 1989, and his pension service credit is effective on January 18, 1990. His pension will be effective October 1, 2011. Based on an average salary of approximately $64,636 per year over the past five years, the formula for computing regular pensions, and Mr. Gossman's selection of the 100% Joint and Survivor Annuity, this pension will approximate $37,588 annually. Tracey Bruch, Parking Manager, Engineering Department, was employed by the City on September 15, 1980, and her pension service credit is effective on that date. Her pension will be effective October 1, 2011. Based on an average salary of approximately $77,868 per year over the past five years, the formula for computing regular pensions, and Ms. Bruch's selection of the Life Annuity, this pension will approximate $70,214 annually. John Schuster, Wastewater Treatment Plant Operator B, Public Utilities Department, was employed by the City on September 8, 1981, and his pension service credit is effective on that date. His pension will be effective October 1, 2011. Based on an average salary of approximately $60,713 per year over the past five years, the formula for computing regular pensions, and Mr. Schuster's selection of the Joint and Survivor Annuity, this pension will approximate $50,088 annually. Section 2.397 provides for normal retirement eligibility when a participant has completed thirty years of credited service, has reached age 55 and completed twenty years of credited service, or has reached age 65 and completed ten years of credited service. Section 2.397 also provides for normal retirement eligibility Pension Trustees 2011-08-29 3 when a participant has completed twenty years of credited service or has reached age 55 and completed ten years of credited service in a type of employment described as hazardous duty and further defines service as a Police Sergeant, Police Lieutenant, and Police Officer as meeting the hazardous duty criteria. Mr. Holm and Mr. Gossman qualify under the age 55 and twenty years of service criteria. Ms. Bruch and Mr. Schuster qualify under the 30 years of service criteria. Mr. Breest, Mr. Waters, Mr. Horning, and Ms. Imray qualify under the hazardous duty criteria. Trustee George N. Cretekos moved to approve the requests of employee Richard Breest, Police Department; Michael Waters, Police Department; Sharon Imray, Police Department; John Horning, Police Department; Randy Holm, Gas Department; Nick Gossman, Police Department; Tracey Bruch, Engineering Department; and John Schuster, Public Utilities Department, for a regular pension as provided by Sections 2.397 and 2.398 of the Employees Pension Plan. The motion was duly seconded and carried unanimously. 3.3 Approve the request of employee Colleen Lau, Police Department, to vest her pension as provided by Section 2.397 of the Employees Pension Plan. Colleen Lau, Police Information Technician 1, Police Department, was employed by the City on July 16, 2001, and began participating in the Pension Plan on that date. Ms. Lau terminated from City employment on July 15, 2011. The Employees' Pension Plan provides that should an employee cease to be an employee of the City of Clearwater or change status from full-time to part-time after completing ten or more years of creditable service (pension participation), 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. Section 2.397 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. Lau would have completed at least 10 years of service and reached age 65 on November 6, 2015. Her pension will be effective December 1, 2015. Trustee Bill Jonson moved to approve the request of employee Colleen Lau, Police Department, to vest her pension as provided by Section 2.397 of the Employees Pension Plan. The motion was duly seconded and carried unanimously. Pension Trustees 2011-08-29 4 4. Other Business — None. 5. Adjourn The meeting was adjourned at 10:16 a.m. / 7`LLQ/ Chair Attest Employees' Pension Plan Trustees Ci C), City Clerk **�`�1/,,,a". 4%4.erA • Pension Trustees 2011-08-29 5