01-19-1988 Regular MeetingMIAMI SHORES VILLAGE
PENSION BOARD MEETING
The January 19, 1988 meeting of the Miami Shores Pension Board was called to order
by Mayor Spero Canton at 8:10 a.m. The following were in attendance:
Board Members:
Also Present:
Mr. Elly Johnson
Mr. William Walker
Dr. Robert Butler
Mayor Spero Canton
Sargeant Jack Ulmer
Ms. Patricia Varney
Mr. Bruce Baker of Stembler Adams & Sweet
Mr. William Fann, Village Attorney
Ms. Gail Macdonald, Plan Administrator
Absent: Mr. William Heffernan
1. Fiduciary Liability Insurance
Mr. Bruce Baker of Stembler Adams & Sweet, Inc. advised the Board of the cost
of fiduciary insurance equivalent to 20% of the plan assets. (Approximately
a $1,000,000 limit would be adequate.) Dr. Butler made a motion to defer to
Mr. Fann for a ruling as to whether this needs to be bid out. If so, authorize
Mr. Johnson to start that process and bring back the bids to the Board at the
next meeting. At that time, the Board can make the final decision as to what
coverage is necessary and to insure the lowest premium for the coverage.
The motion was seconded by Ms. Varney.
The motion passed unanimously.
2. Approval for Payment of Kruse, O'Connor & Ling Invoice of 12/23/87
Ms. Macdonald brought to the Board's attention the discrepancy of this invoice
in the charges that were orally quoted to her and the actual charge. Mr. Rizzo
quoted to Ms. Macdonald "a couple of hundred dollars" to do the Actuarial
Valuation, and his charges on the invoice are $918. Also, Ms. Macdonald compared
the charges bf Mr. Linn to the charges of W. Rizzo for the same meeting held on
11/25/87 for attendance and travel whereas Mr. Linn's charges were $285.18 and
Mr. Rizzo's charges are $866.
Dr. Butler made a motion to have Kruse O'Connor & Ling submit to the Board a
breakdown of charges as to the hourly charge, transportation,lawyer and legal
assistant and any administrative preparation that was necessary for this invoice
and all future invoices. The motion was seconded by Mr. Johnson.
The motion passed unanimously.
3. Disability Legislation
Ms. Macdonald reported to the Board that Mr. Linn had no further information
at this time to report to the Board and this item was deferred.
4. Joint Annuitant - Revised Motion
Ms. Macdonald suggested to the Board that they give this language to Carson
& Linn and that they incorporate it into the final ordinance.
5. Preparation of Plan Amendments
Ms. Macdonald suggested to the Board that they send all the information that
has been agreed on to Mr. Linn at Carson & Linn to rewrite the Plan Amendments
at the cost of $500 as proposed by Mr. Linn.
Mr. Johnson made a motion to authorize Carson & Linn to proceed with the
drafting of the ordinance. Dr. Butler seconded the motion.
The motion passed unanimously.
6. Asset Allocation Language
Dr. Butler made a motion to give the drafting of the asset allocation to Carson
& Linn for the necessary language to place it in a final ordinance. The motion
was seconded by Mr. Johnson
The motion passed unanimously.
7. Carson & Linn invoice of 12/15/87
Mr. Walker made a motion to approve the invoice of Carson & Linn of 12/15/87.
The motion was seconded by Sargeant Ulmer.
The motion passed unanimously.
8. Eickhoff & Pieper, Inc. invoice of 1/8/88
Mr. Johnson made a motion to approve the invoice of Eickhoff & Mem; invoice
of 1/8/88. The motion was seconded by Mr. Walker.
The motion passed unanimously.
9. Approval of 11/25/87 minutes
Mr. Walker made .a motion to approve the minutes of the 11/25/87 meeting. The
motion was seconded by Mr. Johnson.
The motion passed unanimously.
10. Other Business
Sargeant Ulmer requested from Ms.. Macdonald information as to the number of
employees involved in the minimum age requirement and the cost involved to the
Pension Plan to have these people as participants below the age of 21. He also
requested Ms. Macdonald to provide the Pension Board with the cost of a cost of
living increase to present retirees of the Pension Plan. After further discussion
by the Board, Mr. Fann commented to the Board that the proper procedure would be
for the Pension Board to recommend to the Village Council the possibility of a cost
of living increase and that the Council would have the final say with this matter.
Mr. Fann also suggested to the Board that they wait with any further discussion
until the election on March 8, 1988 with the anticipation of the referendum to
to approved and proceed at that point.
Mr. Johnson requested Ms. Macdonald to place the question of a cost of living
increase for retirees on the next agenda for the next Pension Board meeting,
which would include cost break down, facts and figures.
Mr. Walker requested Ms. Macdonald to provide the Board with a fact summary sheet
regarding the 1% mill cap and what it means and the pros and cons, facts and
figures pertaining to it. Also, what impact it would have on our Pension Plan.
11. Adjournment
Sargeant Ulmer made a motion to adjourn and the motion was seconded by
Mayor Canton.
The motion passed unanimously and the meeting adjourned at 9:25 a.m.