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09/15/2003 TRUSTEES OF THE EMPLOYEES' PENSION FUND MEETING CITY OF CLEARWATER September 15, 2003 Present: Brian Aungst Chair Hoyt Hamilton Vice-Chair/Trustee Whitney Gray Trustee William C. Jonson Trustee Frank Hibbard Trustee Also Present: William B. Horne II City Manager Pamela K. Akin City Attorney Joe Roseto Human Resources Director Cynthia E. Goudeau City Clerk Patricia O. Sullivan Board Reporter The Chair called the meeting to order at 9:33 a.m. at City Hall. To provide continuity for research, items are in agenda order although not necessarily discussed in that order. 2 - Approval of Minutes: Trustee Jonson moved to approve the minutes of the August 18, 2003, meeting, as motion recorded and submitted in written summation by the City Clerk to each Trustee. The carried was duly seconded and unanimously. 3 - Approve the recommended administrative expenditures for Fiscal Year 2003/04 totaling $151,250 for the City of Clearwater Employees’ Pension Plan. The Employees’ Pension Plan does not have a legal requirement to have a budget. The Trustees must approve all expenditures. For the sake of efficiency, staff requests approval of the following routine expenditures. These expenditures involve routine and small dollar amounts. Medical Bills is the medical services that the PAC (Pension Advisory Committee) authorizes. Travel is for the following two trips: 1) attendance by two people at a training seminar and a due diligence visit and 2) training for two people with the new custodian, Northern Trust. Printing and Binding is for statutorily required annual information distribution to members of the Pension Plan. Training is for mandatory training required by state statute. Money Manager, Safekeeping Service, and Pension Administrator fees are all set by contracts approved by the Trustees and are not included in this administrative budget. Reimbursement to the General Fund and Self Insurance Fund is for the cost of oversight of the Plan and is recognized as revenue to the General Fund and Self Insurance Fund. Pension Trustees 2003-09-15 1 Medical Bills $ 6,000 Physicals 35,000 Travel Expenses 4,500 Training 2,500 Printing 750 Miscellaneous 500 Reimbursement to General Fund 79,000 Reimbursement to Self Insurance Fund 23,000 $151,250 In response to a question, Fiscal Manager Margie Simmons said some of the staff in Human Resources are paid out of the Insurance Fund. Trustee Jonson moved to approve the recommended administrative expenditures for Fiscal Year 2003/04 totaling $151,250 for the City of Clearwater Employees’ Pension Plan. motion carried The was duly seconded and unanimously. 4 – Approve the contract with the firm of Charles D. Hyman & Company for consulting services with an annual cost of $15,000. As directed by the Trustees on June 16, 2003, staff has negotiated a contract with Charles D. Hyman and Company for pension plan consulting services. The contract provides for pension plan consulting services (i.e. strategic and tactical asset mix, diversification guidance, economic and market analysis) to the Pension Plan at an annual cost of $15,000, paid quarterly. Trustee Hamilton moved to approve the contract with the firm of Charles D. Hyman & Company for consulting services with an annual cost of $15,000 and that the appropriate motion carried officials be authorized to execute same. The was duly seconded and unanimously. 5 - Other Business In response to a question regarding correspondence related to a recent PAC (Pension Advisory Committee) hearing, Human Resources Director Joe Roseto said the PAC decision is final. The City Attorney said the Pension Trustees do not have the authority to act on PAC disability rulings. 6 - Adjournment The meeting adjourned at 9:38 a.m. Pension Trustees 2003-09-15 2