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07/18/2006 , (. ~L~.r r.'1~ A.~\.' . .>~ ~, "":-:k::' ._ C:i, "~'~JM:<c ,="". ..... :~ -. . .,.., '~~ i"r':\ - ": .:'.::... A~ ~ii::~""'"'' .; .,~~ '?4TE~~ PENSION TRUSTEES AGENDA Location: Council Chambers - City Hall Date: 7/18/2006- 8 :00 AM 1. Call to Order 2. Approval of Minutes 2.1 Approve the minutes of the June 13, 2006, Pension Trustees meeting as submitted in written summation by the City Clerk. @) Attachments 3. Pension Trustee Items 3.1 Accept the employees listed below into membership in the City of Clearwater Employees' Pension Plan. @) Attachments 3.2 Laurel Schultz, Marine & Aviation Department; Gregory Olson, Public Utilities Department; Denise Wilson, City Manager's 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. @) Attachments 3.3 Jennifer Jo Skipper, Police Officer, Police Department, be allowed to vest her pension under Section(s) 2.397 and 2.398 of the Employees' Pension Plan as approved by the Pension Advisory Committee. @) Attachments 3.4 Approve the conversion of the non-job-connected disability pension of Elizabeth Alvarez to an early retirement pension. @) Attachments 3.5 Approve a contract with Dahab Associates for $15,000 to perform a small cap equity manager search and Marquette Associates for $18,000 to perform a mid cap value manager search and authorize the appropriate officials to execute the same. @) Attachments 4. Other Business 5. Adjourn Meeting Date:7/18/2006 Pension Trustees Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve the minutes of the June 13,2006, Pension Trustees meeting as submitted in written summation by the City Clerk. SUMMARY: Review Approval: 1) Clerk TRUSTEES OF THE EMPLOYEES' PENSION FUND MEETING MINUTES CITY OF CLEARWATER June 13, 2006 Unapproved Present: Frank Hibbard Carlen Petersen William C. Jonson John Doran Chair Trustee Trustee Trustee Absent: Hoyt Hamilton Trustee Also Present: William B. Horne, II Garry Brumback Pamela K. Akin Cynthia E. Goudeau Brenda Moses City Manager Assistant City Manager City Attorney City Clerk Board Reporter Approval of Minutes - May 30, 2006 The Chair called the meeting to order at 1 :31 p.m. To provide continuity for research, items are in agenda discussed in that order. h not necessarily Trustee Jonson moved to approve recorded and submitted in written su was duly seconded and ani The PAC (Pensio ommittee) recommended the following employees be accepted into membership I City of Clearwater's Employees' Pension Plan: Jennifer Bass, Carolyn Tellier, Anne Willis, izabeth Minor, Jesse Switek, Elizabeth Renfroe, Anthony Capria, Shannon Winthrop, Danielle Smith, Leann Holbrook, Patricia Shields, Adam Kraft, and Michael Hatch. Elizabeth Renfroe transferred from full-time to part-time and received refund of contributions on October 15, 2006; transferred to full-time and pension eligible as of April 1, 2006. Trustee Petersen moved to accept the recommendation of the Pension Advisory Committee. The motion was duly seconded and carried unanimously. Alphonso Hinson, Parks & Recreation Department, be qranted a reqular pension under Section(s) 2.393 and 2.397 of the Emplovees' Pension Plan as approved bv the Pension Advisorv Committee. Alphonso Hinson, Recreation Supervisor I, Parks & Recreation Department, was employed by the City on September 8, 1970, and his pension service credit is effective on June 7, 1977. His pension will be effective August 1, 2006. Based on an average salary of Pension Trustees 2006-06-13 approximately $49,011 per year over the past five years, the formula for computing regular pensions, and Mr. Hinson's selection of the 100% Joint & Survivor Annuity, this pension will approximate $38,374 annually. This pension was approved by the PAC on May 11,2006. Section 2.393 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. Mr. Hinson qualifies under the age 55 and twenty years of service criteria. Trustee Doran moved that Alphonso Hinson, Recreation Supervisor I, Parks & Recreation Department, be granted a regular pension under Sections 2.393 and 2.397 of the Employees' Pension Plan as approved by the Pension Advisory Committee. The motion was duly seconded and carried unanimously. Adopt the Administrative Rule Governinq Annual Certification of Pension Entitlement. Under provisions of Section 2.394 of the City of Clearwater Employee's Pension Plan, the Board of Trustees has jurisdiction over control, manage nt eration and administration of the Plan. Section 2.394 (h)(1) specifically authorizes th st "establish rules and procedures as are necessary to administer the Plan, whic les ocedures shall be applied in a uniform and non-discriminatory manner." The se of the Pension Fund is to pay retirement benefits to members of the Fund iaries and the Board of Trustees must ensure that the proper amount is b' aid. iary duty, the Board of Trustees has determined that it is neces an m ers a r their beneficiaries to submit an annual certification of ent t etirement benefit from the Pension Fund. Counsel to the Board has ard pt the administrative rule in this regard. I n response t ensures that pen ' they are receiving e adopting the Administrative Rule governing Annual e motion was duly seconded and carried unanimously. ceed 25 000 for the law firm of Klausner & Kaufman PA to an ordinance. City staff has requested that the law firm of Klausner & Kaufman, PA, rewrite the current pension ordinance to simplify the language and clarify provisions of the Pension Plan. In addition, there are other changes needed to maintain compliance with current and pending Internal Revenue Code Regulations affecting public plans, as well as compliance with provisions of Florida Statutes. The City will be charged an hourly rate of $285 for all work performed relating to the rewrite, including all drafting, attendance at any required City Council meetings, and any related work. The project cost will not exceed $25,000. Therefore, once the hourly charges reach this amount, no further fees will be incurred by the City of Clearwater for this project. Trustee Doran moved to approve an expenditure not to exceed $25,000 for the law firm of Klausner & Kaufman, PA, to rewrite the current Pension Plan ordinance. The motion was duly seconded. Pension Trustees 2006-06-13 2 In response to a question, Mr. Roseto said, as the Administrator of the Pension Plan, he requested the rewrite to resolve confusing and ambiguous language. He said no changes that must be negotiated with the employee unions are anticipated. All changes to the pension plan require referendum approval. Upon the vote being taken, the motion carried unanimously. Other Business - None. Adiourn The meeting adjourned at 1 :38 p.m. Chair, Pension Trustees Attest: Pension Trustees 2006-06-13 3 Meeting Date:7/18/2006 Pension Trustees Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Accept the employees listed below into membership in the City of Clearwater Employees' Pension Plan. SUMMARY: Pension Elig. Name, Job. Class, & Dept./Div. Hire Date Date Sheri Tully, Pol.Com. Oper. Trne/Pol. 5/1/065/1/06 Natalye Watts, Pol.Com. Oper. Trne/Pol. 5/1/06 5/1/06 Gina Hulburt, Accounting Clerk/Finance 5/1/06 5/1/06 Christopher Lawrence, PS Tech. liPS 5/1/06 5/1/06 Deborah Voigt, Custodial Worker/Library 5/1/06 5/1/06 Edward Tumber, Librarian llLibrary 7/25/05 4/29/06 * Sean Sizemore, Field Ser. Rep. IICus. Service 5/15/06 5/15/06 Brody Burke, PU Tech. I/Public Util. 5/15/06 5/15/06 Evelyn Stevens, PU Coord/Pub. Util. 5/15/06 5/15/06 Maria Del Pilar Jone Suarez, Pol. Info. Technician I/Police 5/15/06 5/15/06 Marianne Gearhart, Pol. Info. Tech. 1/ Police 5/15/06 5/15/06 Robert Dutton, Survey Assistant I/Eng. 5/15/06 5/15/06 John Fahey, Building Inspection Tech.! Dev. & Neigh. Ser. 5/15/06 5/15/06 * originally hired as part-time on 7/25/05; changed to full-time and pension eligible as of 4/29/06 Review Approval: 1) Clerk Meeting Date:7/18/2006 Pension Trustees Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Laurel Schultz, Marine & Aviation Department; Gregory Olson, Public Utilities Department; Denise Wilson, City Manager's 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. SUMMARY: Laurel Schultz, Marine Recreation Program Supervisor, Marine & Aviation Department, was employed by the City on September 4, 1985, and her pension service credit is effective on December 5, 1986. Her pension will be effective January 1,2007. Based on an average salary of approximately $43,889 per year over the past five years, the formula for computing regular pensions, and Ms. Schultz' selection of the Joint & Survivor Annuity, this pension will approximate $24,139 annually. Gregory Olson, Utilities Chemist, Public Utilities Department, was employed by the City on April 9, 1979, and his pension service credit is effective on August 11, 1979. His pension will be effective June 1,2006. Based on an average salary of approximately $46,514 per year over the past five years, the formula for computing regular pensions, and Mr. Olson's selection of the Joint & Survivor Annuity, this pension will approximate $34,245 annually. Denise Wilson, Assistant to City Manager, City Manager's Department, was employed by the City on February 11, 1974, and her pension service credit is effective on August 26, 1974. Her pension will be effective August 1, 2006. Based on an average salary of approximately $60,713 per year over the past five years, the formula for computing regular pensions, and Ms. Wilson's selection of the Life Annuity, this pension will approximate $56,845 annually. These pensions were approved by the Pension Advisory Committee on June 8, 2006. Section 2.393 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. Ms. Schultz and Mr. Olson qualify under the age 55 and twenty years of service criteria. Ms. Wilson qualifies under the thirty years of service criteria. Review Approval: 1) Clerk Meeting Date:7/18/2006 Pension Trustees Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Jennifer Jo Skipper, Police Officer, Police Department, be allowed to vest her pension under Section(s) 2.397 and 2.398 of the Employees' Pension Plan as approved by the Pension Advisory Committee. SUMMARY: Jennifer Jo Skipper, Police Officer, Police Department, was employed by the City on December 9, 1995, and began participating in the Pension Plan on that date. Ms. Skipper terminated from City employment on January 20, 2006. The Employees' 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), 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 2.393 (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. Ms. Skipper would have completed 20 years of service on December 9,2015. Her pension will be effective January 1,2016. This pension was approved by the Pension Advisory Committee on June 8, 2006. Review Approval: 1) Clerk Meeting Date:7/18/2006 Pension Trustees Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve the conversion of the non-job-connected disability pension of Elizabeth Alvarez to an early retirement pension. SUMMARY: In August of 2003 the Pension Advisory Committee approved a non-job-connected disability pension for Elizabeth Alvarez, a Police Officer. In February of 2006 Ms. Alvarez contacted the City asking to convert her disability pension to an early retirement pension for which she was eligible at the time she retired. One of the criteria for normal retirement for sworn police and fire personnel is age 55 and at least ten years of service. The pension ordinance also provides for early retirement for sworn personnel if they have completed at least ten years of service and are at least age 50 with a 3% reduction for each year or portion thereof under the age of 55. Ms. Alvarez met this criteria at the time she retired on her disability pension. At its meeting of June 8, 2006, the Pension Advisory Committee approved her request to convert her pension to an early retirement pension. This change is effective February 1,2006, since Ms. Alvarez returned to employment as a sworn police officer on January 30, 2006. Review Approval: 1) Clerk Meeting Date:7/18/2006 Pension Trustees Agenda Council Chambers - City Hall SUBJECT / RECOMMENDATION: Approve a contract with Dahab Associates for $15,000 to perform a small cap equity manager search and Marquette Associates for $18,000 to perform a mid cap value manager search and authorize the appropriate officials to execute the same. SUMMARY: Recently the Employee's Pension Plan performed an asset allocation study. That study recommended some changes to the asset allocation of the plan. Some of the recommended changes require changes to the plan's allowable investments. A voter referendum is scheduled in the near future to approve those changes. However, two of the recommended changes can be made at this time. Those changes are the hiring of a small cap growth manager and a mid cap value manager. To assist with these searches a request for qualification (RFQ) process was used. The first round of the RFQ involved firms that had responded the City's previous RFQ for performance measurement services and consulting firms that had previously contacted the city. The second round of the RFQ involved the following eight firms: Dahad Associates $15,000 CSG $15,000 Kalson & Associates $16,500 Marquette Assoc. $18,000 Pipich Boucek $20,000 PFM $25,000 Mercer $25,000 Callan $28,000 The selection committee ranked Dahad Associates and Marquette Associates are the top two firms based on the following criteria: organization of the firm, professional staff, references, their manager search process, and cost. Type: Current Year Budget?: Purchase None Budget Adjustment: None Budget Adjustment Comments: Current Year Cost: Not to Exceed: For Fiscal Year: $33,000 Annual Operating Cost: Total Cost: $33,000 2005 to 2006 Appropration Code 0646-07410-530100-585-000- 0000 Amount $33,000 Appropriation Comment Review Approval: 1) Financial Services 2) Financial Services 3) Financial Services 4) Office of Management and Budget 5) Legal 6) Clerk AGREEMENT FOR INVESTMENT EVALUATION CONSULTANT SERVICES THIS AGREEMENT made and entered into this day of , 2006, by and between the CITY OF CLEARWATER GENERAL EMPLOYEES' PENSION FUND(hereinafter referred to as lithe Fund" or "Pension Fund") and MARQUETTE ASSOCIATES, INC., an Illinois corporation-for-profit (hereinafter referred to as "Consultant"). WIT N E SSE T H: WHEREAS, the Fund is desirous of hiring the Consultant for the purpose of providing certain investment evaluation services to the Board (particularly, an investment manager search); WHEREAS, Consultant is desirous of providing those services for the Fund; and NOW, THEREFORE, in consideration of the promises and mutual covenants contained in this Agreement, the parties agree as follows: 1. The Consultant shall perform an investment manager search for the City of Clearwater General Employees' Pension Fund. 2. The Consultant shall also perform any other consulting services, as reasonably agreed upon by the Consultant, which shall be directed in writing by the Fund. 3. Information needed to conduct the search will be provided to Consultant. Consultant will rely on those records as the official records of the Pension Fund. Should additional information be needed by the Consultant, the Fund shall execute such releases as are necessary to secure such information. The Consultant is entitled to reasonably rely on information provided by the Fund, its agents or investment advisors and the Consultant will, to the best of its ability, notify the Fund of any material discrepancy that it may find between the official records and the reports and records of the investment advisors. 1 4. The Fund shall pay the Consultant in accordance with Schedule A, attached to this Agreement. The fee shall be paid in one lump sum upon delivery of the completed study. 5. The Consultant certifies that it is professionally qualified as an independent consultant to perform this manager search and to evaluate the performance of professional money managers that may be selected to invest the assets of the Pension Fund. 6. This Agreement shall be governed by the laws of the State of Florida. Venue for resolution of any dispute under the terms of this Agreement shall be in Pinellas County, Florida. 7. The parties further agree: a. In the event of any legal action arising out of the enforcement or interpretation of this Agreement, the prevailing party shall be entitled to recover its costs and attorneys' fees. b. The Fund represents that a person authorized to transact business for the Pension Fund has determined that the services hereunder, to the extent that they are paid for by the Pension Fund, inure solely to the benefit of the Pension Fund and that, under the governing instruments of the Pension Fund and/or the Board, and the laws to which the Board and/or the Pension Fund is subject, the services are a proper and permissible expense. c. The parties hereby represent and warrant that they have full power, authority and capacity to execute and deliver this Agreement and to perform their respective obligations under this Agreement, and that this Agreement has been duly executed and delivered by the parties and constitutes a legal, valid, and binding obligation of the parties, and is enforceable against the parties in accordance with its terms, except as enforcement may be limited 2 by bankruptcy, insolvency, moratorium or other laws affecting the enforcement of creditors' rights. d. The Consultant represents that it is an investment advisor registered with the Securities and Exchange Commission under the Investment Advisors Act of 1940. e. The parties to the contract recognize that the Board is not governed by ERISA. However, in all of its relations with the Board, the Consultant will utilize the skill, care, prudence and diligence which a prudent person acting in a like capacity and familiar with such matters would use in the conduct of an activity of a like character and purpose. The Consultant recognizes that its primary obligation under this Agreement is to the Board and members of the Pension Fund, and that it will place the interest of the Board and the members above all others and will not enter into any agreement or take any action contrary to that obligation. The Consultant will be governed in all of its activities by Chapter 112, Part VII, Florida Statutes, including, but not limited to, the standards applicable to providers of services to retirement plans in Section 112.656, Florida Statutes. f. The Consultant agrees to disclose, in writing, to the Board, within seven business days if the Consultant becomes the subject of an investigation by the Securities and Exchange Commission for alleged breach of federal securities laws; an investigation by the U. S. Department of Justice for allegations relating to violation of federal securities laws or related allegations of fraud; or if the Consultant is named as the defendant in any 3 civil action alleging fraud, negligence or breach of fiduciary responsibility in connection with its consulting duties. g. The Consultant and its employees will not render any legal, accounting or actuarial advice, and will not prepare any legal, accounting or actuarial documents. The Consultant encourages the Board to obtain such services from competent professionals. h. The Consultant will treat confidentially, by not disclosing to unaffiliated persons, information furnished by the Board to the Consultant hereunder without the Board's consent except: (I) incident to a subcontract or service contract entered into by the Consultant to assist in performing services hereunder, (ii) in connection with an audit or regulatory examination, or (iii) as may otherwise be legally required. 8. This Agreement shall commence on the day and year first above written. The Fund may terminate this Agreement upon thirty (30) days' written notice, with or without cause. The Consultant may terminate this Agreement upon ninety (90) days' written notice, with or without cause. 9. No assignment of this Agreement shall be made by the Consultant without the prior written consent of the Board. 10. Professional Liability insurance shall be maintained by the Consultant during the life of this Agreement, with the following limit of liability: Professional Liability $1,000,000. The Consultant shall provide the Fund with proof of insurance within 7 business days of execution of this Agreement. 4 IN WITNESS WHEREOF, the parties here have duly executed this Agreement on the day and year above written. ATTEST: MARQUETTE ASSOCIATES, INC. By: By: Signature BRIAN WRUBEL, MANAGING DIRECTOR Countersigned: CITY OF CLEARWATER, FLORIDA By: William B. Horne II City Manager Frank V. Hibbard Trustee Approved as to form: Attest: Stuart Kaufman Pension Attorney Cynthia E. Goudeau City Clerk 5 SCHEDULE A The Fund shall compensate the Consultant for a hard dollar fee of $18,000 (Payment Amount) to cover the cost of the investment manager search. Included within this fee is the cost of attendance (inclusive of actual travel expenses) at two Investment Committee meetings to present the results of the search/study. \lIp\030014\Marquette Consulting Agreement - revised AGREEMENT FOR INVESTMENT EVALUATION CONSULTANT SERVICES THIS AGREEMENT made and entered into this _ day of ,2006, by and between the CITY OF CLEARW A TER GENERAL EMPLOYEES' PENSION FUND (hereinafter referred to as "the Fund" or "Pension Fund") and DAHAB ASSOCIATES, INe., a corporation-for-profit (hereinafter referred to as "Consultant"). WIT N E SSE T H: WHEREAS, the Fund is desirous of hiring the Consultant for the purpose of providing certain investment evaluation services to the Board (particularly, an investment manager search); WHEREAS, Consultant is desirous of providing those services for the Fund; and NOW, THEREFORE, in consideration of the promises and mutual covenants contained in this Agreement, the parties agree as follows: 1. The Consultant shall perform an investment manager search for the City of Clearwater General Employees' Pension Fund. 2. The Consultant shall also perform any other consulting services, as reasonably agreed upon by the Consultant, which shall be directed in writing by the Fund. 3. Information needed to conduct the search will be provided to Consultant. Consultant will rely on those records as the official records of the Pension Fund. Should additional information be needed by the Consultant, the Fund shall execute such releases as are necessary to secure such information. The Consultant is entitled to reasonably rely on information provided by the Fund, its agents or investment advisors and the Consultant will, to the best of its ability, notify the Fund of any material discrepancy that it may find between the official records and the reports and records of the investment advisors. 1 4. The Fund shall pay the Consultant in accordance with Schedule A, attached to this Agreement. The fee shall be paid in one lump sum upon delivery of the completed study. 5. The Consultant certifies that it is professionally qualified as an independent consultant to perform this manager search and to evaluate the performance of professional money managers that may be selected to invest the assets of the Pension Fund. 6. This Agreement shall be governed by the laws of the State of Florida. Venue for resolution of any dispute under the terms of this Agreement shall be in Pinellas County, Florida. 7. The parties further agree: a. In the event of any legal action arising out of the enforcement or interpretation of this Agreement, the prevailing party shall be entitled to recover its costs and attorneys' fees. b. The Fund represents that a person authorized to transact business for the Pension Fund has determined that the services hereunder, to the extent that they are paid for by the Pension Fund, inure solely to the benefit of the Pension Fund and that, under the governing instrnments of the Pension Fund and/or the Board, and the laws to which the Board and/or the Pension Fund is subject, the services are a proper and permissible expense. c. The parties hereby represent and warrant that they have full power, authority and capacity to execute and deliver this Agreement and to perform their respective obligations under this Agreement, and that this Agreement has been duly executed and delivered by the parties and constitutes a legal, valid, and binding obligation of the parties, and is enforceable against the parties in accordance with its terms, except as enforcement may be limited 2 by bankruptcy, insolvency, moratorium or other laws affecting the enforcement of creditors' rights. d. The Consultant represents that it is an investment advisor registered with the Securities and Exchange Commission under the Investment Advisors Act of 1940. e. The parties to the contract recognize that the Board is not governed by ERISA. However, in all of its relations with the Board, the Consultant will utilize the skill, care, prndence and diligence which a prndent person acting in a like capacity and familiar with such matters would use in the conduct of an activity of a like character and purpose. The Consultant recognizes that its primary obligation under this Agreement is to the Board and members of the Pension Fund, and that it will place the interest of the Board and the members above all others and will not enter into any agreement or take any action contrary to that obligation. The Consultant will be governed in all of its activities by Chapter 112, Part VII, Florida Statutes, including, but not limited to, the standards applicable to providers of services to retirement plans in Section 112.656, Florida Statutes. f. The Consultant agrees to disclose, in writing, to the Board, within seven business days if the Consultant becomes the subject of an investigation by the Securities and Exchange Commission for alleged breach of federal securities laws; an investigation by the U. S. Department of Justice for allegations relating to violation of federal securities laws or related allegations of fraud; or if the Consultant is named as the defendant in any 3 civil action alleging fraud, negligence or breach of fiduciary responsibility in connection with its consulting duties. g. The Consultant and its employees will not render any legal, accounting or actuarial advice, and will not prepare any legal, accounting or actuarial documents. The Consultant encourages the Board to obtain such services from competent professionals. h. The Consultant will treat confidentially, by not disclosing to unaffiliated persons, information furnished by the Board to the Consultant hereunder without the Board's consent except: (I) incident to a subcontract or service contract entered into by the Consultant to assist in performing services hereunder, (ii) in connection with an audit or regulatory examination, or (iii) as may otherwise be legally required. 8. This Agreement shall commence on the day and year first above written. The Fund may terminate this Agreement upon thirty (30) days written notice, with or without cause. The Consultant may terminate this Agreement upon ninety (90) days written notice, with or without cause. 9. No assignment of this Agreement shall be made by the Consultant without the prior written consent of the Board. 10. Professional Liability insurance shall be maintained by the Consultant during the life of this Agreement, with the following limit of liability: Professional Liability $1,000,000. The Consultant shall provide the Fund with proof of insurance within 7 business days of execution of this Agreement. 4 IN WITNESS WHEREOF, the parties here have duly executed this Agreement on the day and year above written. ATTEST: By:_Signed Countersigned: By: Frank V. Hibbard Trnstee Approved as to form: Attest: Signed Stuart Kaufman Pension Attorney DAHAD ASSOCIATES, INC. By:_Signature Richard E. Dahab, President CITY OF CLEARWATER, FLORIDA William B. Horne II City Manager Cynthia E. Goudeau City Clerk 5 SCHEDULE A The Fund shall compensate the Consultant for a hard dollar fee of $15,000 (Payment Amount) to cover the cost of the investment manager search. Included within this fee is the cost of attendance (inclusive of actual travel expenses) at two Investment Committee meetings to present the results of the search/study. 6