01/17/2017Tuesday, January 17, 2017
9:00 AM
City of Clearwater
City Hall
112 S. Osceola Avenue
Clearwater, FL 33756
Council Chambers
Pension Trustees
Meeting Agenda
January 17, 2017Pension Trustees Meeting Agenda
1. Call To Order
2. Approval of Minutes
2.1 Approve the minutes of the December 12, 2016 Pension Trustees Meeting as
submitted in written summation by the City Clerk.
3. Citizens to be Heard Regarding Items Not on the Agenda
4. New Business Items
4.1 Approve the new hires for acceptance into the Pension Plan as listed.
4.2 Approve the following request of employees Jana Hofferle, Engineering
Department and Catalina Tefft, Finance Department, to vest their pensions as
provided by Section 2.419 of the Employees’ Pension Plan.
4.3 Approve the following request of employee Kathleen LaTerza, Parks and
Recreation Department for a regular pension as provided by Sections 2.416
and 2.424 of the Employees’ Pension Plan.
4.4 Approve revised pension plan expenditures for fiscal year 2017, increasing the
previously approved $338,900 by $5,000 for actuarial consulting services and
$2,000 for pension benefits calculator software license, for a revised total of
$345,900.
5. Adjourn
Page 2 City of Clearwater Printed on 1/6/2017
Cover Memo
City of Clearwater City Hall
112 S. Osceola Avenue
Clearwater, FL 33756
File Number: ID#16-3117
Agenda Date: 1/17/2017 Status: Agenda ReadyVersion: 1
File Type: MinutesIn Control: Pension Trustees
Agenda Number: 2.1
SUBJECT/RECOMMENDATION:
Approve the minutes of the December 12, 2016 Pension Trustees Meeting as submitted in
written summation by the City Clerk.
SUMMARY:
APPROPRIATION CODE AND AMOUNT:
USE OF RESERVE FUNDS:
Page 1 City of Clearwater Printed on 1/6/2017
Pension Trustees Meeting Minutes December 12, 2016
City of Clearwater
City Hall
112 S. Osceola Avenue
Clearwater, FL 33756
Meeting Minutes
Monday, December 12, 2016
1:00 PM
Council Chambers
Pension Trustees
Page 1 City of Clearwater Draft
Pension Trustees Meeting Minutes December 12, 2016
Roll Call
Present 5 - Chair George N. Cretekos, Trustee Doreen Caudell, Trustee Bob
Cundiff, Trustee Hoyt Hamilton, and Trustee Bill Jonson
Also Present – William B. Horne – City Manager, Jill Silverboard – Deputy City
Manager, Pamela K. Akin – City Attorney, Rosemarie Call – City
Clerk, Nicole Sprague – Official Records and Legislative Services
Coordinator, and Joe Roseto – Human Resources Director
To provide continui ty for research, items are listed in agenda order although not
ne cessarily discussed in that order.
Unapproved
1. Call To Order – Chair Cretekos
The meeting was called to order at 1:42 p.m. at City Hall.
2. Approval of Minutes
2.1 Approve the minutes of the November 15, 2016 Pension Trustees Meeting as
submitted in written summation by the City Clerk.
Trustee Cundiff moved to approve the minutes of the November 15,
2016 Pension Trustees Meeting as submitted in written summation
by the City Clerk. The motion was duly seconded and carried
unanimously.
3. Citizens to be Heard Regarding Items Not on the Agenda – None.
4. New Business Items
4.1 Approve the new hires for acceptance into the Pension Plan as listed.
Name/Job Classification/Department Pension
Eligibility
Date
Catherine Cotton *, Fire Inspector II, Fire 10/03/2016
Jordan Tellone, Fire Medic, Fire 10/03/2016
James Griffin, Fire Medic, Fire 10/03/2016
Chase Westbrook, Fire Medic, Fire 10/03/2016
Logan Chaple, Fire Medic, Fire 10/03/2016 Page 2 City of Clearwater Draft
Pension Trustees Meeting Minutes December 12, 2016
Michael McKnight, Fire Medic, Fire 10/03/2016
Jack Cresap, Fire Medic, Fire 10/03/2016
George Lewis-Saldana, Fire Medic, Fire 10/03/2016
Derek Silver, Fire Medic, Fire 10/03/2016
Patrick Curry, Fire Medic, Fire 10/03/2016
Chris Smaha, Fire Medic, Fire 10/03/2016
Eric Rodriguez, Fire Medic, Fire 10/03/2016
Carlos Rivera, Fire Medic, Fire 10/03/2016
Jason Lubecki, Parks Service Technician I, Parks and Rec. 10/03/2016
Karlen Harrison Kane **, Librarian I, Library 10/15/2016
Amanda DeWitt ***, Library Assistant, Library 10/15/2016
Danielle Jansen ****, Library Assistant, Library 10/15/2016
Sarah Jameson *****, Librarian I, Library 10/15/2016
Chris Lanni, Parks Service Technician I, Parks and Rec. 10/17/2016
Garrett Banks, Police Officer, Police 10/17/2016
James Brady, Police Officer, Police 10/17/2016
Jesse Leeman, Police Officer, Police 10/17/2016
Christopher Roberts, Police Officer, Police 10/17/2016
Cody Steele, Police Officer, Police 10/17/2016
James “Ethan” Yazinski, Police Officer, Police 10/17/2016
Michael Bright, Solid Waste Worker, Solid Waste 10/17/2016
Ryan Alexander, Waste W ater Treatment Plant Oper., Public Utilities 10/17/2016
Hector Noyas, Fire Inspector II, Fire 10/24/2016
* Catherine Cotton was previously employed from 01/23/2006 to 12/27/2006.
She was rehired on 10/03/2016 and will be eligible for pension on 10/03/2016.
** Karlen Harrison Kane was employed in a part time position from 11/16/2015
to 10/14/2016 and hired into a full time position on 10/15/2016. She will be
eligible for pension as of 10/15/2016.
*** Amanda DeWitt was employed in a temporary position from 12/07/2015 to
03/30/2016 and a part time position from 04/02/2016 to 10/14/2016. She was
hired into a full time position on 10/15/2016 and will be eligible for pension as
of 10/15/2016.
**** Danielle Jansen was employed in a temporary position from 05/27/2015 to
08/072015 and a part time position from 08/08/2015 to 10/14/2016. She was
hired into a full time position on 10/15/2016 and will be eligible for pension as
of 10/15/2016.
***** Sarah Jameson was employed in a part time position from 09/08/2014 to
10/14/2016. She was hired into a full time position on 10/15/2016 and will be
eligible for pension as of 10/15/2016.
Trustee Hamilton moved to approve the new hires for acceptance
into the Pension Plan as listed. The motion was duly seconded and
carried unanimously. Page 3 City of Clearwater Draft
Pension Trustees Meeting Minutes December 12, 2016
4.2 Approve the following request of employee Richard Riley, Fire Department to vest his
pension as provided by Section 2.419 of the Employees’ Pension Plan.
Richard Riley, Fire Division Chief, Fire Department, was employed by the City
on May 23, 2005, and began participating in the Pension Plan on that date.
Mr. Riley terminated from City employment on October 10, 2016.
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 2.416 provides for normal retirement eligibility for non-hazardous duty
employees hired prior to the effective date of this reinstatement (January 1,
2013), a member shall be eligible for retirement following the earlier of the date
on which a participant has reached the age of fifty-five years and completed
twenty years of credited service; the date on which a participant has reached
age sixty-five years and completed ten years of credited service; or the date on
which a member has completed thirty years of service regardless of age. For
non-hazardous duty employees hired on or after the effective date of this
restatement, a member shall be eligible for retirement following the earlier of
the date on which a participant has reached the age of sixty years and
completed twenty-five years of credited service; or the date on which a
participant has reached the age of sixty-five years and completed ten years of
credited service.
Section 2.416 provides for normal retirement eligibility for hazardous duty
employees, a member shall be eligible for retirement following the earlier of the
date on which the participant has completed twenty years of credited service
regardless of age, or the date on which the participant has reached fifty-five
years and completed ten years of credited service. Mr. Riley will meet the
hazardous duty criteria and begin collecting pension in April 2020.
Trustee Caudell moved to approve the following request of
employee Richard Riley, Fire Department to vest his pension as
provided by Section 2.419 of the Employees’ Pension Plan. The
motion was duly seconded and carried unanimously.
4.3 Approve the following request of employees William Harding, Police Department,
Page 4 City of Clearwater Draft
Pension Trustees Meeting Minutes December 12, 2016
Christopher Squitieri, Police Department, and Christopher White, Police Department
for a regular pension as provided by Sections 2.416 and 2.424 of the Employees’
Pension Plan.
William Harding, Police Officer, Police Department, was employed by the City
on July 15, 2002, and his pension service credit is effective on that date. His
pension will be effective November 1, 2016. Based on an average salary of
approximately $71,663.95 over the past five years, the formula for computing
regular pensions and Mr. Harding’s selection of the Life Annuity, this pension
benefit will be approximately $28,968.48 annually.
Christopher Squitieri, Police Sergeant, Police Department, was employed by
the City on January 17, 1990, and his pension service credit is effective on that
date. His pension will be effective December 1, 2016. Based on an average
salary of approximately $94,916.67 over the past five years, the formula for
computing regular pensions and Mr. Squitieri’s selection of the 100% Joint and
Survivor Annuity, this pension benefit will be approximately $68,707.44
annually.
Christopher White, Police Sergeant, Police Department, was employed by the
City on February 6, 1995, and his pension service credit is effective on that
date. His pension will be effective November 1, 2016. Based on an average
salary of approximately $82,952.85 over the past five years, the formula for
computing regular pensions and Mr. White’s selection of the 100% Joint and
Survivor Annuity, this pension benefit will be approximately $48,631.20
annually.
Section 2.416 provides for normal retirement eligibility for non-hazardous duty
employees hired prior to the effective date of this reinstatement (January 1,
2013), a member shall be eligible for retirement following the earlier of the date
on which a participant has reached the age of fifty-five years and completed
twenty years of credited service; the date on which a participant has reached
age sixty-five years and completed ten years of credited service; or the date on
which a member has completed thirty years of service regardless of age. For
non-hazardous duty employees hired on or after the effective date of this
restatement, a member shall be eligible for retirement following the earlier of
the date on which a participant has reached the age of sixty years and
completed twenty-five years of credited service; or the date on which a
participant has reached the age of sixty-five years and completed ten years of
credited service.
Section 2.416 provides for normal retirement eligibility for hazardous duty
employees, a member shall be eligible for retirement following the earlier of the
date on which the participant has completed twenty years of credited service
regardless of age, or the date on which the participant has reached fifty-five
Page 5 City of Clearwater Draft
Pension Trustees Meeting Minutes December 12, 2016
years and completed ten years of credited service. Mr. Harding, Mr. Squitieri
and Mr. White have met the hazardous duty criteria.
Trustee Cundiff moved to approve the following request of
employees William Harding, Police Department, Christopher
Squitieri, Police Department, and Christopher White, Police
Department for a regular pension as provided by Sections 2.416
and 2.424 of the Employees’ Pension Plan. The motion was duly
seconded and carried unanimously.
4.4 Award a contract for pension plan actuarial services for the five-year period ending
December 31, 2021 to Gabriel, Roeder, Smith and Company for a not-to-exceed
amount of $165,850 and authorize the appropriate officials to execute same.
Annually, the pension plan requires an actuarial valuation of the plan to
determine the City’s funding contribution, as well as annual benefit statements
to be provided to all employees participating in the plan. In addition, a separate
actuarial valuation is required annually for financial reporting per Governmental
Accounting Standards Board (GASB) requirements. The State of Florida also
requires separate annual reporting from the actuary per Chapter 112.664
Florida Statutes. Finally, the pension plan ordinance requires an actuarial
“experience study” at least every six years, analyzing the mortality, service,
and compensation experience to determine whether related actuarial
assumptions require adjustment.
Request for Proposal (RFP) 50-16 was issued in September 2016, with
proposals received in October. The RFP selection committee consisting of the
HR Director, HR Manager, Finance Director, Finance Assistant Director, and
the Senior Pension Payroll Analyst, unanimously chose Gabriel, Roeder, Smith
& Company (GRS) from the five respondents for pension plan actuarial
services. GRS has been the actuary for the pension plan since January 2010.
The annual fee for the actuarial valuation for funding purposes, along with
employee benefit statements, will be $18,500. The annual fee for the actuarial
valuation for GASB-required financial reporting purposes is $5,500. The fee for
annual reporting required per Chapter 112.664 Florida Statutes will be $3,000.
Finally, the experience study fee is $22,500.
Subsequent fees will be adjusted annually for inflation, not to exceed 3%
annually. As needed, additional services will be provided per various hourly
rates provided in the agreement fee schedule, to be adjusted annually.
APPROPRIATION CODE AND AMOUNT:
Funds are available in cost code 646-07410-530100-585-000-0000 to fund this
agreement.
Page 6 City of Clearwater Draft
Pension Trustees Meeting Minutes December 12, 2016
In response to questions, Finance Director Jay Ravins said the City
Charter requires actuarial firms to be rotated every five years. Prior
to 2010, Price Waterhouse Coopers was the Plan's actuarial firm.
Trustee Jonson moved to award a contract for pension plan
actuarial services for the five-year period ending December 31,
2021 to Gabriel, Roeder, Smith and Company for a not-to-exceed
amount of $165,850 and authorize the appropriate officials to
execute same. The motion was duly seconded and carried
unanimously.
5. Adjourn
The meeting adjourned at 1:48 p.m.
Chair
Employees’ Pension Plan Trustees
Attest
City Clerk
Page 7 City of Clearwater Draft
Cover Memo
City of Clearwater City Hall
112 S. Osceola Avenue
Clearwater, FL 33756
File Number: ID#16-3060
Agenda Date: 1/17/2017 Status: Agenda ReadyVersion: 2
File Type: Action ItemIn Control: Pension Trustees
Agenda Number: 4.1
SUBJECT/RECOMMENDATION:
Approve the new hires for acceptance into the Pension Plan as listed.
SUMMARY:
Name/Job Classification/Department Pension Eligibility Date
Daniel Ruben, Parks Service Tech I, Parks and Recreation 10/31/2016
Ernest Franks, Public Utilities Tech I, Public Utilities 11/14/2016
David Vincent, Fleet Mechanic, General Services 11/14/2016
Ronald Testa, Building Inspection Technician, Planning and Dev. 11/14/2016
APPROPRIATION CODE AND AMOUNT:
N/A
USE OF RESERVE FUNDS:
N/A
Page 1 City of Clearwater Printed on 1/6/2017
Interoffice Correspondence Sheet
TO: Pension Advisory Committee
FROM: Joseph Roseto, Human Resources Director
SUBJECT: Recommendation for Acceptance into Pension Plan
DATE:
Subject/Recommendation: Recommend approval of the new hires for acceptance into the Pension Plan as listed.
Name Job Classification Department
Pension
Eligibility
Date
Daniel Ruben Parks Service Technician I Parks and Recreation 10/31/2016
Ernest Franks Public Utilities Technician I Public Utilities 11/14/2016
David Vincent Fleet Mechanic General Services 11/14/2016
Ronald Testa Building Inspection Technician Planning and Development 11/14/2016
Cover Memo
City of Clearwater City Hall
112 S. Osceola Avenue
Clearwater, FL 33756
File Number: ID#16-3061
Agenda Date: 1/17/2017 Status: Agenda ReadyVersion: 2
File Type: Action ItemIn Control: Pension Trustees
Agenda Number: 4.2
SUBJECT/RECOMMENDATION:
Approve the following request of employees Jana Hofferle, Engineering Department and
Catalina Tefft, Finance Department, to vest their pensions as provided by Section 2.419 of the
Employees’ Pension Plan.
SUMMARY:
Jana Hofferle, Parking Enforcement Supervisor, Engineering Department, was employed by
the City on August 19, 1996, and began participating in the Pension Plan on that date. Ms.
Hofferle terminated from city employment on November 23, 2016.
Catalina H. Tefft, Procurement Analyst, Finance Department, was employed by the City on
March 21, 2005, and began participating in the Pension Plan on that date. Ms. Tefft
terminated from city employment on December 15, 2016.
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 2.416 provides for normal retirement eligibility for non -hazardous duty employees
hired prior to the effective date of this reinstatement (January 1, 2013), a member shall be
eligible for retirement following the earlier of the date on which a participant has reached the
age of fifty-five years and completed twenty years of credited service; the date on which a
participant has reached age sixty -five years and completed ten years of credited service; or
the date on which a member has completed thirty years of service regardless of age. For
non-hazardous duty employees hired on or after the effective date of this restatement, a
member shall be eligible for retirement following the earlier of the date on which a participant
has reached the age of sixty years and completed twenty -five years of credited service; or the
date on which a participant has reached the age of sixty -five years and completed ten years of
credited service. Ms. Hofferle will meet the non-hazardous duty criteria and begin collecting a
pension in September 2026. Ms. Tefft will meet the non -hazardous duty criteria and begin
collecting a pension in September 2026.
Section 2.416 provides for normal retirement eligibility for hazardous duty employees, a
member shall be eligible for retirement following the earlier of the date on which the participant
has completed twenty years of credited service regardless of age, or the date on which the
participant has reached fifty-five years and completed ten years of credited service.
Page 1 City of Clearwater Printed on 1/6/2017
File Number: ID#16-3061
APPROPRIATION CODE AND AMOUNT:
N/A
USE OF RESERVE FUNDS:
N/A
Page 2 City of Clearwater Printed on 1/6/2017
Cover Memo
City of Clearwater City Hall
112 S. Osceola Avenue
Clearwater, FL 33756
File Number: ID#16-3062
Agenda Date: 1/17/2017 Status: Agenda ReadyVersion: 2
File Type: Action ItemIn Control: Pension Trustees
Agenda Number: 4.3
SUBJECT/RECOMMENDATION:
Approve the following request of employee Kathleen LaTerza, Parks and Recreation
Department for a regular pension as provided by Sections 2.416 and 2.424 of the Employees’
Pension Plan.
SUMMARY:
Kathleen LaTerza, Recreation Program Coordinator, Parks and Recreation Department, was
employed by the City on December 1, 1986, and her pension service credit is effective on that
date. Her pension will be effective January 1, 2017.
Based on an average salary of approximately $70,218.79 over the past five years, the formula
for computing regular pensions and Ms. LaTerza’s selection of the Life Annuity, this pension
benefit will be approximately $58,075.32 annually.
Section 2.416 provides for normal retirement eligibility for non -hazardous duty employees
hired prior to the effective date of this reinstatement (January 1, 2013), a member shall be
eligible for retirement following the earlier of the date on which a participant has reached the
age of fifty-five years and completed twenty years of credited service; the date on which a
participant has reached age sixty -five years and completed ten years of credited service; or
the date on which a member has completed thirty years of service regardless of age. For
non-hazardous duty employees hired on or after the effective date of this restatement, a
member shall be eligible for retirement following the earlier of the date on which a participant
has reached the age of sixty years and completed twenty -five years of credited service; or the
date on which a participant has reached the age of sixty -five years and completed ten years of
credited service. Ms. LaTerza has met the non-hazardous duty criteria.
Section 2.416 provides for normal retirement eligibility for hazardous duty employees, a
member shall be eligible for retirement following the earlier of the date on which the participant
has completed twenty years of credited service regardless of age, or the date on which the
participant has reached fifty-five years and completed ten years of credited service.
APPROPRIATION CODE AND AMOUNT:
N/A
USE OF RESERVE FUNDS:
N/A
Page 1 City of Clearwater Printed on 1/6/2017
File Number: ID#16-3062
Page 2 City of Clearwater Printed on 1/6/2017
Cover Memo
City of Clearwater City Hall
112 S. Osceola Avenue
Clearwater, FL 33756
File Number: ID#16-3131
Agenda Date: 1/17/2017 Status: Agenda ReadyVersion: 1
File Type: Action ItemIn Control: Pension Trustees
Agenda Number: 4.4
SUBJECT/RECOMMENDATION:
Approve revised pension plan expenditures for fiscal year 2017, increasing the previously
approved $338,900 by $5,000 for actuarial consulting services and $2,000 for pension
benefits calculator software license, for a revised total of $345,900.
SUMMARY:
The Trustees previously approved fiscal year 2017 pension plan routine administration
expenditures of $338,900. This item is requesting approval of a revised total due to the
addition of actuarial consulting services ($5,000) and annual licensing for the pension benefits
software ($2,000).
The previous actuarial services agreement and related purchase order included, in addition to
fees for the annual actuarial valuations, estimated actuarial consulting services and the
software license in a total not -to-exceed amount approved by the Trustees. The new
agreement not-to-exceed amount, approved by the Trustees in December, includes the fees
for annual actuarial valuations /reporting only. We are consequently requesting approval of a
$5,000 contingency for hourly actuarial consulting services and $2,000 for the Gabriel Roeder
Smith (GRS) pension benefit calculator software license during fiscal year 2017.
The hourly consulting services and the software license, while provided by Gabriel Roeder
Smith, are separate services from the annual actuarial valuations that we feel should be
disclosed and approved annually by the Trustees.
APPROPRIATION CODE AND AMOUNT:
0646-xxxxx-5xxxxx (various pension plan expenditure codes)
Page 1 City of Clearwater Printed on 1/6/2017
Description FY 2017 FY 2016
Increase/
(Decrease)
%
Increase/
Decrease
541600 Building & Maint - Variable Charges (Convert Payroll Pension
Administrators's cubicle to office for employee/pensioner privacy)15,000 - 15,000 One time
capital
543400 Printing & Binding 400 400 - 0.0%
542500 Postage 400 400 - 0.0%
557100 Memberships 600 600 - 0.0%
548000 Misc 100 100 - 0.0%
557300 Training 5,000 5,000 - 0.0%
547200 Travel Expense 3,000 3,000 - 0.0%
521500 Physicals - Police converting to LifeScans for FY2017 29,500 26,400 3,100 11.7%
590200 Reimbursement to General Fund/Central Ins. Fund (Human Resources)37,600 37,800 (200) -0.5%
590200 Reimbursement to General Fund (Accounting & Finance)18,900 20,100 (1,200) -6.0%
590200 Reimbursement to General Fund (Payroll & IT)88,400 84,600 3,800 4.5%
530100 Pension Attorney 140,000 140,000 - 0.0%
Previously approved by Trustees - 9/12/2016 338,900$ 318,400$ 20,500$ 6.4%
Additions:
530100 Hourly actuary consulting services as needed (pension buybacks, etc.)5,000 5,000
530300 GRS Pension Benefit Calculator Software - annual license 2,000 2,000
Adjusted Total 345,900$ 27,500$ 8.6%
General Fund Reimb 6.4%
HR 25,300.00 26,800.00 (1,500)$ -5.6%
Acctg Finance 18,900.00 20,100.00 (1,200)$ -6.0%
Payroll IT 88,400.00 84,600.00 3,800$ 4.5%
132,600.00 131,500.00 1,100$ 0.8%
0.8%
Central Ins - HR 12,300.00 11,000.00 1,300$ 11.8%
11.8%
Total HR 37,600.00 37,800.00 (200)$ -0.5%
Acctg Finance 18,900.00 20,100.00 (1,200)$ -6.0%
Payroll IT 88,400.00 84,600.00 3,800$ 4.5%
144,900.00 142,500.00 2,400$ 1.7%
1.7%
City of Clearwater
Employees' Pension Plan
Administrative Expenses