01-23-1979 Regular Meeting1
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PENSION BOARD MEETING
January 23, 1979
A breakfast meeting of the Miami Shores Pension Board was held on
Tuesday, January 23, 1979, 8:00 a.m., at Mr. Adam's Restaurant on Biscayne
Boulevard.
Those in attendance were:
Pension Board members - Mayor Farina
Chief Fletcher
Village Manager Ackley
Mr. John McCoy
Mr. Joseph Gionfriddo
Ann Vigneron
Also in attendance:
Mr. William Fann, Village Attorney
Mr. Dennis Clum, First State Bank
Mr. Walter Wrase, First State Bank
Mr. Marvin Freedenberg, Pension
Administrator
Absent: Councilman Ralph E. Bowen, Pension Board member
(1) Minutes of the Board meeting of November 1, 1979 were
read. After eliminating two paragraphs on Page 1 that were repetitious
and changing paragraph 2. under Wyatt Forms reviewed, the minutes were
approved as corrected by motion duly made and carried.
(2) The Board reviewed and discussed the investment folio as
presented by the Trust Department of First State Bank for the period 9/30/78
to 12/31/78. In discussing ways to get better income on short term invest-
ments, Mr. Ackley stated he would look into the possibility of having the
Village prepay the employees contributions to the Bank, with adjustment at
the end of the year, to allow the Bank to invest this money at short term.
(3) Resolution outlining duties of the Pension Plan Administra-
tor, as prepared by Mr. John McCoy: The following corrections were noted:
Page 2, paragraph (e) "Pension Board" instead of Pension
Committee.
Page 4, paragraph 5. (b) add: "Obtain from the actuai^y
quarterly itemized invoices for
submission to the Board at their
next meeting."
Chief Fletcher moved the adoption of the resolution with
the changes noted. The motion was seconded by Mr. Gionfriddo and passed
unanimously.
(4) Wyatt Company invoice: Chief Fletcher questioned the
number of reports that are required annually and suggested that some can
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could be done less than annually. The Pension Administrator will check
into this. It was generally agreed that an effort should be made to cut
the cost of actuarial services.
Chief Fletcher moved approval of the Wyatt bill in the amount of
$6,643.00 for actuarial services through November 30, 1978, requesting a
detailed statment with reasons for the increase over 1977 as to what is
required on an annual basis and what is being done at the request of the
Board, and the Pension Administrator will determine what can be done
internally. The motion was seconded by Ann Vigneron and passed unanimously
Village Attorney Fann will redraft the beneficiary designation
form and submit it for the Board's approval at the next meeting.
The Secretary was directed to prepare the Board minutes within 5 days
after the meeting and forward to the members as a reminder of any business
to be handled.
The meeting adjourned at 9:05 a.m.
Approved:
Chairman
RESOLUTION OF PENSION BOARD
MIAMI SHORES PENSION PLAN
Adopted January 23, 1979.
RESOLVED that, in order to insure that the administration of
the Miami Shores Pension Plan (the "Plan") is conducted in
accordance with the requirements of the Plan and that conti-
nuity of administrative responsibility is maintained, the
Pension Board under the Plan hereby:
A. Designates and appoints as the Pension Plan Administra-
tor under the Plan the individual who, from time to
time, is employed as Finance Director of the Village
of Miami Shores, and delegates to the Village Manager
of Miami Shores authority to make the formal written
appointment of any such individual as Pension -Plan
Administrator on behalf of the Pension Board. In the
event that the office of Finance Director is vacant,
the Village Manager is hereby delegated authority to
appoint as Pension Plan Administrator any other ex-
ecutive employee of the Village to serve until employ-
ment of another individual as Finance Director.
B. The appointment by the Village Manager of a Pension
Plan Administrator shall be made by writing (with
copy to the Chairman of the Pension -Board), and shall
become effective upon acceptance in writing by the
person so designated of such appointment. The ap-
pointment of an. individual who is employed as Finance
Director shall continue in effect until termination
of his employment as Finance Director, and upon such
termination he shall turn over to. the Village Manager
or his successor as Pension Plan Administrator all
records and documents in his possession pertaining
to the Plan. The appointment of any other executive
employee shall continue in effect until the employ-
ment of a Finance Director, and upon such event he shall
turn over to the Finance Director all records and docu-
ments in his possession pertaining to the Plan.
C. Notwithstanding the foregoing, any individual appointed
as Pension Plan Director may be removed at the pleasure
of the Village Manager orof the Pension Board.
D. The Pension Plan Administrator shall serve without com-
pensation for services rendered in that capacity, but
shall receive his regular compensation as Finance
Director or other executive employee.
E. The Pension Plan Administrator shall have the following
responsibilities, subject to the supervision and control
of the Pension Board:
1. Enrollment of Members. Upon an employee becom-
ing a member of the Plan pursuant to Sec. 17.29
of the Plan, the Administrator shall:
(a) Initiate contribution by the employee to the
Plan by payroll deduction pursuant to Sec.
17.29, and maintain a record of the employee's
contributions and interest accrued thereon.
Obtain the birth certificate or other satis-
factory proof of birthdate of the employee
and the employee's spouse, if any.
Maintain a record of the employee's age,
creditable service as defined in Sec. 17-30
of the Plan (including where applicable,
military leave of absence), and compensation
as defined in Sec. 17-19 of the Plan.
(d) Maintain a record of the employee's share
in the special fund provided for in Sec.
17-21 of the Plan, if applicable to the
employee.
(e) Furnish the employee with a copy of the cur-
rent plan summary approved by the Pension
Board.
2.. Termination of Members. Upon termination of the employ-
ment of an employee who has been a member of the Plan,
the Administrator shall:
(a) Furnish to the actuary of the Plan such in-
formation as is necessary for calculation
of the member's retirement income, and obtain
such calculation from the actuary.
(b) Advise the member of his right to benefits
under the Plan and furnish the necessary ap-
plications and forms for obtaining such bene-
fits.
(c) Present to the Pension Board for action the
information necessary for the Board to act
upon the member's application for benefits,
and upon authorization by the Board of an
annuity or other benefit payment to the mem-
ber, forward a certified copy of the Board's
action to the Trustee of the Plan for payment
of the annuity or other benefit in accordance
with the Board's action.
(d) In the event that the Board denies, in whole
or in part, a member's application for an
annuity or other benefit, advise the member
in writing of the Board's action with a
statement of the reasons for the denial.
Written notice of the denial must be given
to the member within 30 days after the Board's
action.
3. Trustee of Pension Fund. The Administrator shall:
(a) Obtain from the Trustee appointed by the Board
under Sec. 17-23 of the Plan and maintain a
file of the following reports, and review them
for accuracy and completeness when received:
(1) A monthly statement of all receipts
and disbursements of the Trust.
(2) A quarterly report for the first,
second and third quarters of each
fiscal year of the Plan (beginning
October 1) showing all cash, securi-
ties and investments held at the end
of the quarter, the cost of each item,
the market value of each item at the
end of the quarter and at the end of the
preceding fiscal year. Such reports
shall also include a statement of the
total interest and dividends received
during the period.
(3) An annual report for each fiscal year
of the Plan showing (i) all contribu-
tions received during the year and the
sources thereof; (ii) all benefit pay-
ments and any other disbursements with
respect to benefits paid during the year;
(iii) all expenses and other disburse-
ments paid during the year; (iv) all
cash, securities and investments held
at the end of the year, the cost of each
item, the market value of each item at
the end of the year and at the end of
the preceding year. Such reports shall
also include a statement of the total
interest and dividends received during
the period.
(b) Furnish copies of all quarterly reports and annual
reports to each member of the Pension Board, and
tothe certified public accountants and the actuary
of the Plan.
(c) Prepare an analysis of the investment performance
of the Trust during each fiscal year, or more
frequently if requested by the Pension Board.
(d) Transmit to the Trustee promptly all contributions
to the Trust received, including member contribu-
tions by payroll deduction, together with a speci-
fication of the source of all contributions.
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(e) Use his best efforts to make sure that funds
held by the Trustee are invested promptly to
produce income. In this connection, the
Pension Administrator, acting with the ap-
proval of the Village Manager
is authorized to direct the Trustee to invest
such funds in U. S. Government bills or in
savings accounts and to specify the maturity
of the bills.
(f) Maintain a file of all correspondence with the
Trustee.
4. Certified Public Accountant. The Administrator shall:
(a) Obtain from'the certified public accountant em-
ployed by the Board under Sec. 17-21(7) of the
Plan an annual audit report, containing a state-
ment of the assets and liabilities of the Trust
Fund as at the end of each calendar year (unless
the Board specifies another date); a state-
ment of net assets available for payment of plan
benefits; and a statement of changes in net as-
sets available for plan benefits during the period.
The audit report may be that included in the over-
all audit report prepared by the accountant for
the Village Council.
(b) Furnish copies of all audit reports to each mem-
ber of Pension Board and to the actuary of the.
Plan.
(c) Maintain a file of all correspondence with the
certified public accountant.
5. Plan Actuary. The Administrator shall:
(a) Obtain from the actuary of the Plan employed by
the Board under Sec. 17-21(7) of the Plan an
actuarial valuation .report of the Plan as of
January 1 in each year, and furnish a copy of
each report to each member of the Pension Board,
and to the certified public accountant of the
Plan.
(b) Maintain a file of all correspondence with the
plan actuary. Obtain from the actuary quarterly itemized invoices
for submission to the Board at their next meeting.
6. Reports. The Administrator shall:
(a) Prepare or cause to be prepared and timely file
all reports required to be filed by the Plan
or its administrators under applicable Federal
and State law.
(b) Furnish a copy of all such reports to each
member of the Pension Board, the actuary and
the certified public accountant of the Plan.
(c) Prepare for approval of the Pension Board,
or cause to be prepared, the annual report
to the Village Council showing the financial
condition of the Plan provided for in Sec.
17-22 of the Plan.
(d) Maintain a file of all correspondence with
respect to such reports.
7. Expenses. The Administrator shall submit to the Pension
Board for its approval all bills and invoices received
for services rendered to the Trust or Plan, and, upon
approval of the Board, shall instruct the Trustee to pay
the same from the Trust Fund.
8. Interpretations of Plan. In the event an interpretation
of the Plan-is required, the Pension Administrator, act-
ing in cooperation with the Village Attorney, shall pre-
sent to the Pension Board in writing a statement of the
problem with recommendations where appropriate. If the
Board's interpretation affects the pension or other rights
of any member or members, the Pension Administrator shall
promptly inform in writing the persons affected by the
Board's determination.
9. Liability; Reliance. The Pension Administrator shall be
fully protected in all action taken by him in good faith,
and in accordance with the terms and conditions of the
Plan, unless due to his negligence or willful misconduct;,
shall be fully protected in relying on the directions, findings,
determinations and interpretations of the Pension Com-
mittee; shall be fully protected in relying on the written
opinion of the Village Attorney; and shall be fully pro-
tected in exercising in good faith his duties as to in-
vestment of funds in accordance with section 3(e) of this
Resolution, unless due to his willful misconduct.
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