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General Employee Pension Board - September 24, 2013MIAMI SHORES VILLAGE GENERAL EMPLOYEE PENSION BOARD MEETING The Miami Shores Village General Employee Pension Board and Police Retirement Board jointly met on Tuesday, September 24, 2013 at the C. Lawton McCall Community Center. The General Employee Pension Board meeting was called to order at 8:25 AM. The following individuals were present for the meeting: GENERAL EMPLOYEE PENSION BOARD Herta Holly Mary Ross Agosta Mark Hunter Averill Dorsett Jim McCoy Angela Dorney Also present were Elizabeth Keeley, Plan Administrator and Dave West of the Bogdahn Group. Pension Attorney Alison Bieler and Actuary Melissa Algayer from the firm of Gabriel Roeder Smith also joined the meeting. ELECTION OF BOARD CHAIR Ms. Dorney moved to appoint Mayor Herta Holly as the Board Chair. Ms. Ross Agosta seconded the motion and the vote was unanimous in favor of the motion. ELECTION OF BOARD SECRETARY Ms. Ross Agosta moved to appoint Ms. Angie Dorney as the Board Secretary. Mr. McCoy seconded the motion and the vote was unanimous in favor of the motion. APPROVAL OF PAYMENT WARRANT: 2013-005 Mr. Hunter moved to approve payment of warrant #2013-005. Ms. Dorsett seconded the motion and the vote was unanimous in favor of the motion. INVESTMENT CONSULTANT REPORT Although Mr. West’s presentation was provided in two parts due to other agenda considerations needing attention, all information is relayed in this section of the minutes. Mr. Dave West from The Bogdahn Group provided an overview of the last quarter and year to date, as well as current performances. Mr. West spoke of the 5% to 6% increase in asset values and the recommendation to rebalance the funds per the investment policy targets. A discussion regarding whether or not there has been prior approval to automatically rebalance the funds ensued. Following the discussion, the Board chose to authorize the transfers, with Mr. Hunter moving to rebalance the funds per the investment policy targets. Ms. Ross Agosta seconded the motion and the vote was unanimous in favor of the motion. Mr. West provided information on a number of the investment areas and reviewed the comparative performances of the funds. The specific investment performances referenced are attached hereto and made a part hereof. DISCUSSION REGARDING THE SALEM TRUST REPORTING TRANSITION Mr. West and Ms. Bieler spoke of the Salem Trust reporting matter which will result in an amended quarterly report and recalculation and reissuance of statements. Ms. Bieler detailed the process to rectify any problems which occurred due to the reporting system issues. Ms. Bieler stressed that the Plan’s assets are safe and if any losses were realized, Salem Trust has committed to make up the loss. The CEO of Salem Trust will be invited to attend the next Board Meeting to address the Board. DISCUSSION REGARDING ADOPTING A POLICY RELATING TO PUBLIC COMMENT AT THE BOARD MEETINGS Ms. Bieler reviewed the proposed policy recommended by her firm with respect to complying with recently adopted State Legislature pertaining to public comment. Following a review of the policy and its rules, Ms. Dorsett moved to adopt the policy as presented and recommended by Ms. Bieler. Ms. Dorney seconded the motion and the vote was unanimous in favor of the motion. Ms. Bieler announced the “Nuts and Bolts of Shareholder Litigation” workshop taking place in Orlando. PRESENTATION OF THE 2011 GENERAL EMPLOYEE ACTUARIAL VALUATION Ms. Algayer provided information relating to the valuation report and outlined the options available to the Board for submitting the report to the State. Ms. Algayer reviewed the reasons for the significant increase in the Village’s required contribution. Ms. Algayer clarified the various funding ratios provided in the handout. Following a brief discussion and recommendation by Ms. Keeley and Ms. Algayer, Ms. Dorney moved to accept the draft valuation and submit the valuation report utilizing Option 3 as presented and attached hereto. Ms. Dorsett seconded the motion and the vote was unanimous in favor of the motion. DISCUSSION REGARDING OVERPAYMENT TO BENEFICIARY Ms. Keeley indicated that an overpayment of retirement benefits has been made to a former employee’s widow. Ms. Keeley confirmed that a notification letter has been mailed and that she is seeking the Board’s direction on how to proceed. Following a discussion regarding the necessity of having the overpayment returned, Ms. Dorsett moved to have Ms. Meizoso make a monthly payment of $6.25 towards the balance of overpayment made. Mr. McCoy seconded the motion and the vote was unanimous in favor of the motion. ADJOURNMENT: The General Employee Pension Board Meeting was adjourned at 9:50 AM. _________________________ Herta Holly, Chair _________________________ Barbara A. Estep, MMC Village Clerk