08-15-1989 Regular Meeting•
•
MIAMI SHORES VILLAGE
PENSION BOARD MEETING AUGUST 15, 1989
The meeting of the Village of Miami Shores Pension Board was
called to order by Mayor Courtney at 8:02 a.m. The following
were in attendance:
Board Members:
Also Present:
Mayor Henry Courtney
Mr. Herbert Spahn
Sgt. Jack Ulmer
Mr. William Walker
Ms. Gail Macdonald
Mr. David Newman and Ms.Karen
Cole of Kidder Peabody
Ms.Ann Maseyko and Mr.Scott
Glvens of NCNB
Mr. Bill Eickhoff of
Elckhoff & Pieper
Mr. Wallace Wilson of
The Wyatt Company
Mr. William Fann, Village
Attoreny
Ms.Patrlcia Varney, Plan
Administrator
Absent: Mr. William Heffernan
1. Quarterly Investment Review - Mr. Scott Glvens NCNB
Mr. Givens reported to the Board that the overall Fund per-
formance is In excellent condition. The Fixed Income and Real
Estate portions have a positive outlook for the future with
Bonds and Real Estate steady and firm.
2. Quarterly Investment Review - Mr. Bill Eickhoff - Eickhoff
and Pieper
Mr. Eickhoff reported to the Board that the Equity portion of
the Plan Is doing well and has had a strong first half of
year. The overall performance of the Plan is strong.
3. Quarterly Investment Review - Mr. David Newman - Kidder
Peabody
Mr. Newman reported to the Board that the overall Plan has
over a 9% gain for the first half year. The Plan Is strong
and doing well.
4. Eagle Asset Management - Mr. David Newman of Kidder Pea-
body
Mr. Newman reported to the Board that Eagle Asset Management
is showing a positive return as of 7/31/89.
Sgt. Ulmer requested that a representative from Eagle Asset
Management attend all the quarterly meetings In the future.
Mr. Newman advised Sgt. Ulmer and the Board that he will
arrange this.
5. Discussion of Master Investment Policy - The Board elected
to table the discussion until Mr. Newman revises the Policy
and distributes It to the Board at the next meeting in
November.
• 6. A motion was made by Mr. Walker to approve payment of the
following: Eagle Asset Management Inc. management fees
from 5/15/89 to 9/30/89 invoices In the
amount of $1,287.67 and $2,504.97.
Eickhoff & Pieper management fees from 4/1/89
to 9/30/89 invoices In the amount of
$4,951.98 and $4,835.36
NCNB management and transaction fees for
quarter ending 6/30/89 invoices in the amount
of $340,$1,125.49, $345, $216, $1,785.50 and
$6,971.44
Sgt. Ulmer seconded the motion and the motion passed unani-
mously.
7. Approval of Retirement Benefits for Clifford Edmondson
Sgt. Ulmer made a motion to approve the retirement benefits
of Mr. Clifford Edmondson effective October 1, 1989. The
motion was seconded by Mr. Spahn with the understanding that
Mr. Edmondson's final option selection will be reported to
the Board at the November quarterly meeting. The motion
passed unanimously.(copy of Benefit Certification attached)
8. Discussion of Actuarial Assumptions - Mr. Wallace Wilson
Mr. Wilson recommended that the Board consider a change In the
Actuarial Assumptions on the basis that the Plan is well fund-
ed.
Sgt. Ulmer moved to revise the Assumptions In accordance with
the Wyatt Company's reommendation of an 8% Investment return
assumption as well as a 6.5% salary Increase assumption to be
effective for the plan year commencing 1/1/90.
• The motion was seconded by Ms. Macdonald and the motion passed
unanimously.
9. Renewal of Fiduciary Responsibility Bond -
Mr. Walker made a motion to renew the Fiduciary Responsibility
Bond, Mr. Spahn seconded the motion and the motion passed un-
animously.
•
•
10. Approval of the Minutes of the May 16,1989 Pension Board
Minutes
Mr. Spahn made a motion to approve the Minutes of the May 16,
1989 Pension Board meeting, Sgt. Ulmer seconded the motion and
the motion passed unanimously.
11. No New Business was discussed
12. No Old Business was discussed
13. Mr. Walker made a motion to adjourn at 9:57 a.m. and the
motion was seconded by Ms. Macdonald.
?%h4A)
Gall Madonald, Interim Secretary
Mayor He ry Mour ney
MIAMI SHORES PENSION PLAN
A. Actuarial Gains (Losses)
FIVE YEAR EXPERIENCE
Year Gain (Loss)
1988 $ 300,000
1987 (73,500)
1986 132,500
1985 993,800
1984 (220,300)
5 Year Average 226,500
B. Investment Rate of Return
Year
Market Actuarial
Return Return
1988 10.9% 8.1%
1987 (1.8%) 8.1%
1986 15.4% 7.5%
1985 19.2% 19.2%
1984 7.7% 7.7%
5 Year Average 10.0% 10.0%
C. Salary Increase
Year Increase
1988 5.4%
1987 8.5%
1986 7.6%
1985 5.6%
1984 7.6%
5 Year Average 6.9%
THE Wall COMPANY
MIAMI SHORES PENSION PLAN
COSTS ON REVISED ASSUMPTIONS
1989 Valuation City Cost
(7%; 6%).
1989 Valuation City Cost
(8%; 6.5%)
1989 Valuation City Cost
(8%; 7%)
$ 358,025 13.0%
$ 248,974
$ (109,051)
282,236
(75,789)
THE Wyatt COMPANY
9.0%
(4.0%)
10.2%
(2.8%)
t
M
MIAMI SHORg0._PENSION PLAN
Calculation of Delayed Retirement Income
1. Name
2. Social Security number
3. Date of birth
4. Date of employment
6. Normal retirement date
6. Delayed retirement date
7. Age of participant as of delayed retirement date
8. Credited service as of delayed retirement date
9. Final monthly compensation as of delayed retirement date
No. Of
Year Compensation Paid Months
1989 $ 14,386.00 8
1988 20,277.00 12
1987 19,432.00 12
1986 6.134.00 4
$ 60,209.00 36
10. Accrued monthly retirement income as of delayed retirement date
(a) 2% (.0200) x $1,672.47 = $33.45
(b) $33.45 x 16.917 years w
11. Monthly delayed retirement Income payable for life,
commencing es of October 1, 1989
12. Date of birth of beneficiary, Ruth Edmondson
13. Age of beneficiary as of the particlpant's delayed
retirement date
INC Wall COMPANY
Clifford Edmondson
267-34-4144
May 4, 1927
September 11, 1972
June 1, 1989
October 1, 1989
92.417 years
16.917 years
$1,672.47
$565.87 •
$565.87
September 3, 1928
61.083 years
Lr • J. 1 a iii
j
Page Two
14. Monthly retirement inoome payable to the participant
during his lifetime under a 50% joint and contingent
form of payment with 50% of such amount to be paid
to his beneficiary for the remaining lifetime of
the beneficiary following his death, commencing
as of October 1, 1889
($865.87 x 0.9081)
15. Monthly retirement Income payable to the participant
during his lifetime under a 100% joint and contingent
form of payment with 100% of such amount to be paid
to hie beneficiary for the remaining lifetime of the
beneficiary following hie death, commencing as of
October 1, 1989
0688.87 x .8284)
Clifford Edmondson
8512.73
$468.77
Based on the Information supplied by the Village and the provisions of the Plan, Mr. Clifford
Edmondson is eligible to receive a monthly retirement Income of 8585.87, commencing as of October 1,
1989, payable on each subsequent first day of the month until the payment due immediately preceding his
date of death. If Mr. Edmondson should elect, he may receive a monthly benefit under one of the optional
forms of payment as shown under Items 14., or 15. In lieu of receiving any other,.beneflts from the Plan.
Prepared by:e.-t
Jean Mauldin
Administrative sistant
Calculated by: THE WYATT COMPANY
'' • . Actuaries for the Plan
Reviewed by: _ce LS24.e".,1
.... ff r,musWr
Lawrence P. Wilson, A.S.A.
Actuary