09/09/2004
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PENSION ADVISORY COMMITTEE MEETING
CITY OF CLEARWATER
September 9, 2004
Present:
John Lee
Tom Jensen
John Schmalzbauer
Hoyt P. Hamilton
Frank Hibbard
Chair
Committee Member
Committee Member
Committee Member/Councilmember
Committee Member/Councilmember
Absent:
Nathan Hightower
Carlen Petersen
Committee Member
Committee Member/Councilmember
Also Present: Joe Roseto
Stuart Kaufman
Patricia O. Sullivan
Human Resources Director
Pension Advisory Committee Attorney
Board Reporter
The Chair called the meeting to order at 9:02 a.m. at City Hall.
To provide continuity for research, items are in agenda order although not
necessarily discussed in that order.
3 - Selection of Vice-Chair
Member Hibbard moved to approve the minutes of the regular meeting of August 12,
2004, as amended to reflect "Councilmember" titles. The motion was duly seconded and
carried unanimously.
4 - Emplovees to be Heard - None.
5 - Action Items
a) Review and Action on Employee Requests for Years of Service Pension:
1. Thomas L. Miller, Police Department
2. Steven H. Burch, Police Department
3. Dorothy A. Reehling, Official Records & Legislative Services
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Member Schmalzbauer moved to approve Years of Service Pensions for Thomas L.
Miller, Steven H. Burch, and Dorothy A. Reehling. The motion was duly seconded and carried
unanimously.
b) Approval of New Hires as Plan Members:
As of September 9, 2004, the City had 1811.14 FTEs out of 1895.4 budgeted positions.
Member Hibbard moved to accept the following employees into membership in the
Pension Plan:
Joseph Hamm, Fleet Mechanic
Kenneth Paul, Custodial Worker
William Anderson, Public Utilities Tech I
Milisa Schnatterer, Accounting Clerk
Clifton Long, Public Utilities Technician I
Christopher Gresham, Accounting Clerk
Timothy Ferlanie, Public Utilities Tech I
Sam Elliott, Public Utilities Technician I
Lawrence Divine, Construction Inspector
Khanh Doan, Utilities Chemist
Toilea Fetuuaho, Library Assistant
Chad Korince, Firefighter Paramedic
Robert Lee, Firefighter
Matt Lefort, Firefighter
Robert Palisi, Jr., Firefighter Paramedic
Jim Schaus, Firefighter
Blaise Sciarra, Firefighter Paramedic
Raymond Tracy, Firefighter Paramedic
Che Jean-Pierre, Public Utilities Tech I
Brian Wilhite, Water Plant Operator C
Date of Pension
Emplovment Eliq. Date
Solid Waste/Gen Services 07/26/04
Marine & Aviation
Public Utilities
Finance
Public Utilities
Finance
Public Utilities
Public Utilities
Public Services
Public Utilities
Library
Fire Department
Fire Department
Fire Department
Fire Department
Fire Department
Fire Department
Fire Department
Public Utilities
Public Utilities
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07/27/04
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The motion was duly seconded and carried unanimously.
6 - Pendinq/New Business
Adopt Administrative Rule Governing Forfeiture Proceedings
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Under provisions of Section 2.401 of the City of Clearwater Employee's Pension Plan,
the Board of Trustees has jurisdiction over the forfeiture of pension benefits should a participant
be convicted of any of the following offenses committed prior to retirement: 1) The committing,
aiding or abetting of an embezzlement of public funds; 2) The committing, aiding or abetting of
any theft by a public officer or employee from the employer; 3) Bribery in connection with the
employment of a public officer or employee; 4) Any felony specified in F.S. Ch. 838 (except
9838.15 and 9838.16); 5) The committing of an impeachable offense; and 6) The committing of
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any felony by a public officer or employee who willfully and with intent to defraud the public or
the public agency, for which he acts or in which he is employed, of the right to receive the
faithful performance of his duty as a public officer or employee, realizes or obtains, or attempts
to obtain, a profit, gain, or advantage for himself or for some other person through the use or
attempted use of the power, rights, privileges, duties or position of his public office or
employment position.
The Board of Trustees is required to hold a hearing in accordance with F. S. Ch, 120 to
determine whether benefits should be forfeited. Counsel to the Board recommends the Board
adopt the administrative rule in this regard.
Pension Advisory Committee Attorney Stuart Kaufman reviewed the City's Code and
Florida Statute related to forfeiture. The defined benefit plan indicates that members cannot
forfeit personal contributions. Forfeiture includes all City contributions and investment earnings.
He reviewed a recent hearing in Tarpon Springs involving the theft of a $100 printer whereby
the perpetrator had to forfeit her pension due to this embezzlement of public funds.
Draft rule procedures require a hearing where the Pension Trustees determine probable
cause and proceed to schedule a formal hearing, which includes an opening statement,
presentation, cross-examination, and closing arguments. The City Attorney acts as prosecutor.
The Pension Trustees/Pension Advisory Committee Attorney acts as advisor to the Pension
Trustees. Following the hearing, the Pension Trustees deliberate in public and vote. The
Pension Trustees Attorney then drafts a recommended final order, allowing the defendant to file
exceptions to the order. After the Trustees review the final order and admit or deny the
exceptions, the Pension Trustees Attorney enters the final order, and serves it on the member
whose pension is forfeited. That pension member has 30 days to file an appeal with the District
Court of Appeal, bypassing the Circuit Court.
Mr. Kaufman recommended the PAC (Pension Advisory Committee) recommend the
Pension Trustees adopt the administrative rule governing forfeiture proceedings.
In response to a question, Mr. Kaufman said a plea of "No Contest" is defined as a
conviction. If a participant is terminated due to the admitted confession to a crime, the City can
take away a pension without a criminal court conviction. Mr. Kaufman opined that the pension
member's contribution would be returned without interest.
Member Jensen moved to recommend the Pension Trustees approve the administrative
rule governing forfeiture proceedings. The motion was duly seconded and carried
unanimously.
Pending Disability Cases
Mr. Kaufman reviewed pending disability cases, stating they are not ready for PAC
consideration.
7 - Director's Reports - None.
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8 - Committee Members to be Heard
In response to a question, Mr. Kaufman reported his firm handles Tarpon Springs'
general pension plan. His firm is unable to coordinate its two to three annual trips to Tarpon
Springs with visits to Clearwater. He said Human Resources Director Joe Roseto and Finance
Director Margie Simmons determine when his firm's presence is required at PAC and Pension
Trustee meetings. Mr. Roseto said staff tries to be judicious with funds.
It was felt Mr. Kaufman could have accomplished his presentation via teleconference,
and avoided expensive travel costs. Mr. Kaufman's firm is not scheduled to attend Monday's
Pension Trustees meeting.
9 - Adiournment
The meeting adjourned at 9:13 a.m.
~~~
air
Pension Advisory Committee
Attest:
~MCl-/YlO:~
oard Reporter
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