HomeMy WebLinkAbout05092013 minsSANFORD POLICE OFFICERS' RETIREMENT SYSTEM
PENSION BOARD MEETING MINUTES
Thursday, May 9 2013 —10:30 A.M.
1. Call to Order and Roil Call
The meeting was called to order at 10:30 a.m. by the Acting Chairman, Alan Smith. The following
members were present: Chris Collison, Bill Elliott, and John Dovydaitis. Chairman Darrel Presley was
excused. The following service providers were also in attendance: Scott Christiansen, Plan Counsel,
David Lee, Investment Consultant, and Ed Calkins and Jeff Detwiler, Investment Managers. Also present
was Karen Simpkins from the Finance Department.
2. Approval of Minutes
A motion was made by John Dovydaitis to approve the minutes from the regular meeting held February
7, 2013. Seconded by Bill Elliott, the motion carried unanimously. The Administrator noted that the
March 20th special meeting minutes required an additional paragraph and, therefore; will be placed on
the agenda for approval at the next meeting.
3. Disbursements
The Plan Administrator made note of one add-on item to the Disbursement Report. A motion was then
made by Bill Elliott to approve the disbursement report as amended. Seconded by John Dovydaitis, the
motion carried unanimously. (Copy is attached for the record.)
4. Investment Manager's Reports
Jeff Detwiler presented the Garcia Hamilton portfolio results for the period ending March 31, 2013.
The total market value of the Plan portfolio was $4,133,016.68 with a yield of 2.0%.
Ed Calkins presented the Great Lakes Advisors portfolio results for the period ending March 31, 2013.
The total market value of the Plan portfolio was $7,021,495.98 with a yield of 2.59%.
A lengthy discussion ensued regarding investment strategies, market volatility, and future investment
opportunities for the Plan portfolio. David Lee addressed the concerns of the Trustees and the
investment strategies utilized by the managers as well as the diversification and allocations in the
portfolio which allow for positive return opportunities.
5. Investment Consultant's Report — Dahab Associates
David Lee reviewed the performance report as of March 31, 2013. Asset allocation for the period: Large
Cap Equities — 45.6%, SMid Cap Equities — 12.3%, International Equity — 11.5%,
Real Estate — 4.7%, Fixed Income — 21.7% and Cash — 4.1%. Total portfolio value was $32,118,584.
David continued his report by recommending that the Trustees approve of the following allocations:
Transfer $1.5 million from Great Lakes Advisors to fund the anticipated capital call from Intercontinental
Real Estate by the end of the month and $800,000 from Sawgrass Asset Management to State Street
Global as soon as administratively possible. The motion to proceed was made by Chris Collison,
seconded by John Dovydaitis, and carried unanimously. David will coordinate this effort with the Plan
Administrator.
6. Attorney's Report
Scott began his report with a legislative update. Senate Bill 458 never made it to the floor during the
legislative session and died. However, Senate Bill 534 did pass and is awaiting the Governor's signature.
This bill imposed additional filing and disclosure requirements by the Plan Actuaries. If the Governor
signs the bill, and it is expected that he will, Foster & Foster will be required to provide additional
information in the Annual Valuation Reports. Scott concluded his report by reminding the Trustees to file
their Financial Disclosure Forms by July 1st.
7. Old Business
There was none.
Page 2 of 2 Sanford Police Officers' Retirement System May 9, 2013
S. New Business
(a) Scott reviewed his memo, dated April 22, 2013, detailing the addendum to the Operating Rules and
Procedures: Rule 15.1 Extent of Confidentiality Pennitted Following a brief discussion, a motion was
made by John Dovydaitis to adopt the Addendum. Seconded by Chris Callison, the motion carried
unanimously. The Vice -Chairman affixed his signature to the document and the Plan Administrator will
see to the proper distribution.
(b) Scott reviewed the drafted IRC Compliance Ordinance with the Board. Following a brief discussion, a
motion was made by John Dovydaitis to authorize the Attorney to submit the Ordinance to the City for
subsequent Adoption. Seconded by Chris Collison, the motion carried unanimously.
Additional Discussion Under New Business.,
Bili Elliott has made some efforts in attempting to locate Ms. Skiba to see if she has the ability to repay
the survivor benefits she had received in error. Though he was able to find some basic contact
information he has not been able to make actual contact with Rosie Skiba or any family members. At this
point in time, the Trustees agreed to drop this matter until such time that she can be located or a
notification of estate assets surfaces.
The Plan Administrator informed the Trustees that the Fire Board is looking into the possibility of holding
a joint meeting with the City Commissioners. Their Union is concerned that, in light of the Bolton
Partners report to the City, there is strong need to provide additional education and information to the
City Commissioners. Some of the educational information would be with regard to the investment
policies and procedures, actuarial assumptions, and legal matters. The Fire Pension Board asked Union
President David Frost to take the first step in reaching out to the City Manager to see if there would be
an interest on behalf of the Commission in the two groups getting together for a workshop session.
During this discussion, the Police Board members also agreed that a joint educational session would be a
good idea and member's Chris Collison and Alan Smith will pass this information on to the Police Union
President so that he, too, can reach out to the City Manager in this effort.
In light of the discussion above, a motion was made by Chris Collison to allow the Plan's Actuary to work
with Union and City Representatives for cost study purposes with the understanding that the requester
reimburse the Plan for the fees charged by the Actuary.
Seconded by Alan Smith, the motion carried unanimously.
9. Next Meeting Date
The next regular meeting date was set for Thursday, August 8, 2013 at 10:30 a.m.
10. Adjournment
The meeting ended at 12:40 p.m.
(For Board)
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Date
Issued to:
Issued for:
Amount
02/11/13
Great Lakes Advisors
Management Svcs.
$8,776.87
02/19/13
Dahab
Consulting Svcs.
$3,735.11
02/24/13
State Street Global
Management Svcs.
$7,410.95
03/01/13
Susy Pita
Administrative Svcs.
$1,000.00
03/19/13
Christiansen & Dehner
Legal Services
$1,089.49
04/01/13
Susy Pita
Administrative Svcs.
$1,000.00
04/09/13
Lee Munder Capital
Management Svcs.
$8,722.05
04/15/13
Sawgrass Asset Mgmt.
Management Svcs. $10,878.00
04/23/13
Garcia Hamilton
Management Svcs.
$2,583.14
04/23/13
Great Lakes Advisors
Management Svcs.
$9,876.64
04/30/13
Salem Trust
Custody Svcs.
$4,964.22
04/30/13
Dahab
Consulting Svcs.
$4,012.18
05/01/13
Susy Pita
Administrative Svcs.
$1,000.00
05/0'71 r3
t,,,zt 6oe-5.
d 438,92.
Date
Contribution Refunds: Amount
02/22/13
Anthony Alonzo
$11,657.89
04/01/13
Robert O'Connor
$8,704.40
Date
DROP Distributions: Amount
02/14/13
Randolph Smith
$9,652.93
02/19/13
William Crapps
$74,006.21