11-14-1990 Regular MeetingMIAMI SHORES VILLAGE
PENSION BOARD MEETING NOVEMBER 14, 1990
The meeting of the Village of Miami Shores Pension Board was
called to order by Vice Mayor Spahn at 7:32 a.m. The
following were in attendance:
Board Members:
Also Present:
Vice Mayor Herb Spahn
Mayor Courtney (arrived at
8:30 a.m.)
Sgt. Jack Ulmer
Ms. Jeanne Bryant
Ms. Gail Macdonald
Mr. William Fann, Village
Attorney
Ms.Patricia Varney, Plan
Administrator
Mr. William Eickhoff,
Eickhoff & Pieper
Mr. Scott Givens, Ms. Anne
Miseyko, NCNB
Mr. David Newman, Ms. Karen
Cole, Merril Lynch
Mr. Wally Wilson and
Mr. Larry Wilson, Wyatt Co.
Absent: Mr. William Walker
Mr. Steve Johnson
1. After discussion with Mr. Larry Wilson regarding the
change of the actuarial evaluation date, Ms. Macdonald made
a motion to change the actuarial evaluation date from
January 1 to October 1. The motion was seconded by Ms. Bryant
and was passed unanimously.
2. The proposed dates for Pension Board meetings for FY 91
were suggested to be:
Thursday February 21, 1991 :_
Thursday May 16, 1991
Thursday August 22, 1991
Thursday November 21, 1991
All board members are to check their calendar and inform the
Plan Administrator of any conflict of time.
3. Sgt. Ulmer made a motion to pay Eagle Asset Management In
the amount of $2,173.57 for management fees for the period of
10/1/90 through 12/31/90. Ms. Macdonald seconded the motion
and the motion passed unanimously.
4. Sgt. Ulmer made a motion to pay Eickhoff, Pieper and
Willoughby In the amount of $4,902.11 for management fees for
the period of 10/1/90 to 12/31/90. Ms. Bryant seconded the
motion and the motion passed unanimously.
5. Ms. Macdonald made a motion to pay the Wyatt Company in
the amount of $12,588 for actuarial services rendered for the
period of 11/1/89 through 9/30/90. Ms. Bryant seconded the
motion and the motion passed unanimously.
6. Ms. Macdonald made a motion to pay NCNB for Invoices in
• the amounts of $6,938.10, $976.24, $1,802.61, $340.00,
$1,005., and $260, totaling $11,321.95. Ms. Bryant seconded
the motion and the motion passed unanimously.
7. Quarterly Investment Review
Eickhoff, Pieper and Willoughby - Due to the market
situation, performance in the third quarter was down by 13.6%
compared to 13.7% indicated by S & P 500. Cash reserves
Increased to 23% of the portfolio so as to position ourselves
ready when the market returns.
Eagle Asset Management - Performance in the third quarter was
down by 16.2% with a negative return of 18.8% since
Inception. Mr. Mort Millhauser explained the philosophy of
the investment policy of Eagle. They focus on the cash flow
of the company as they believe a company can still be strong
although the earning ratio is low. Eagle has a cash reserve
of 38%.
NCNB --Mr. Scott Givens discussed the possibility of lifting
the freeze on the Real Estate Fund by the end of December or
early January 1991. A survey will be sent to all participants
to obtain direction with respect to the purchase or sale of
the Fund units if the Fund is reopened. Mr. Givens also
indicated that' the fees will be reduced from 1.2% to 1.0% for
1991, 1.1% for 1992 and resume the regular schedule in 1993.
NCNB will absorb a loss of 1.5 million dollars in fees. NCNB
is also proposing a one-year notice requirement to withdraw
from the fund; however, all Investors have to vote It un-
animously.
Merrill Lynch - Mr. David Newman expressed his concerns re-
garding Eagle Asset Management performance and recommended
that the Board should look into other alternatives.
• Mr. Spahn made a motion that effective as of Wednesday
November 14, 1990 Eagle Asset Management freeze the cash
position with the dollar value of $313,000. Miami Shores
Village will send a letter to Eagle Asset Instructing them to
continue trading and that they consider the frozen cash
position as part of the portfolio. The motion was seconded by
Sgt. Ulmer and the motion passed unanimously.
The Board instructed Merrill Lynch to submit proposals for
new managers at the December 13 meeting, when the Real Estate
portfolio will be discussed again.
8. Sgt. Ulmer made a motion to approve the minutes from the
August 16, 1990 Pension Board meeting. Ms. Macdonald seconded
the motion and the motion passed unanimously.
9. The meeting was add urned at 10:25 a.m.
Gall
Mr. enry Courtney, 'ayor
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