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05-12-2005 Regular Meeting• • • MIAMI SHORES V! LLAGE POLICE PENSION BOARD REGULAR MEETING MAY 12, 2005 1. CALL TO ORDER The regular meeting of the Miami Shores Village Police Pension Board was held on Thursday, May 12, 2005 in the Conference Room of the Village Hall. The meeting was called to order at 8:05A.M. 2. ROLL CALL In order for the record to reflect those present the roll was called with the following members present: Present Al Davis JC Rodriguez Officer Clifford Vickers Absent Lieutenant David McLeod Also Present: Steve Cypen, Pension Board Attorney Mark A. Malatak, Plan Administrator Lisa Keeley, Recording Secretary 3. ELECTION OF CHAIRPERSON With new members on the Board, an election of a new chairperson was held. Mr. Rodriguez nominated Mr. Al Davis as Chairperson for the Police Board. Ofc. Vickers seconded the motion. The vote was unanimous in favor. 4. APPROVAL OF MIMJTES — August 12, 2004, August 30, 2004 & September 22, 2004 Mr. Rodriguez moved for approval of the minutes as submitted. Mr. Vickers seconded the motion. The motion to approve passed unanimously. 5. APPROVAL OF PAYMENT WARRANT — Police Warrant No. 2005 — 002 & 002A Mr. Davis asked that each warrant be considered separately. After discussion regarding the management and consultant fees, Ofc. Vickers moved for approval of payment warrant Police Warrant No. 2005 — 002 with a second from Mr. Rodriguez. The motion passed unanimously. There was discussion regarding the retirement benefits for the two police officers. The motion to approve Police Warrant No. 2005 — 002A which includes the retirement benefits payable as a result of DROP participation for Richard Jessup estimated not to exceed the straight life annuity of $3,843.33 monthly and the retirement benefits payable as a result of retirement for Martha Reed-Norato estimated not to exceed the straight life annuity of $2,759.68 monthly was made by Mr. Rodriguez and seconded by Ofc. Vickers. The motion to approve passed unanimously. Police Pension Board May 12, 2005 Page 2 • 5A. INVESTMENT MANAGER REPORT - Davis, Hamilton, Jackson & Associates - Janna Woods Ms. Woods reviewed the performance of the fund with a total market value of $4,812,481 as of March 31, 2005. The return for the period was -2%; the equity return being -2.9% beating the Russell 1000 Growth return of -4.1% and the fixed income return of -0.3% also beating the Lehman Government/Corporate return of -0.7%. 5B. INVESTMENT MANAGER REPORT - The Boston Company — Ryan Fitzpatrick Mr. Fitzpatrick reported that the fund's total market value as of March 31, 2005 was $5,274,681. The total return for the quarter was -0.7%; with a -1.0% return on equities compared to the Russell 1000 Value of 0.1 %. The -0.1% fixed income return just beat the Merrill Lynch Government/Corporation return of -0.6%. 6. CONSULTANTS REPORT - Merrill Lynch — Jeff Swanson Mr. Swanson was absent and unable to provide the quarterly report. 7. OTHER BUSINESS • Mr. Rodriguez made a motion to amend the agenda to allow a presentation from Smith Barney. Ofc. Vickers seconded the motion which passed unanimously. Mr. Malatak gave a brief summary regarding past discussion on the plan's investment consultant, Merrill Lynch Mr. Mark King and Mr. Eddie King from Smith Barney were introduced. Mark King gave a brief background on the firm's platform in comparison with the current pension plan. A fee analysis was also provided. After hearing the information presented, Mr. Cypen suggested that a breakdown of hard and soft dollar costs be provided in order to better compare with the current plan costs. 8. ADJOURNMENT The Mr 12, 2005 regular meeting of the Police Pension Board was adjourned at 10:10 AM with a motion from quez seconded by Ofc. Vickei and unanimous in favor. Al Davis, Chairperson • Lisa Keeley, Recording Secretary • • • Police Warrant - No. 2005 - 002 For payment from the Village Pension Fund for Police Officer's in the Village of Miami Shores, Florida. To Chair and Administrator, or such other officers, who from time to time are duly designated and authorized by the Board of Trustees of said Fund, to sign checks, drafts or orders for the payment of money; You are hereby authorized by the Board of Trustees of the Miami Shores Village Pension Fund for Police Officer's in Miami Shores Village to pay the amounts listed below for services rendered to the said Board of Trustees, and to pay the persons named below, hereby certified by the Board of Trustees as being on the Pension list ofsaid Board at its meeting held on 05/12/2005, pensions from 02/01/05 to 05/01/05 inclusive, or for the period of time opposite the name of said persons. Name (Pensions, Benefits, Services Provided or Obligations) Amount To be paid by Trustee: Authorize payment to Davis, Hamilton, Jackson & Associates Quarterly management fees for the period 04/01/05 — 06/30/05 $ 6,015.60 Authorize payment to The Boston Company Quarterly management fees for the period 01/01/05- 03/31/05 $ 7,912.02 Authorize payment to Merrill Lynch Consulting Services Quarterly consulting services for the period 01/01/05 - 03/31/05 $ 3,019.50 Authorize payment to Salem Trust Company Quarterly fee for period 01/01/05 - 03/31/05 $ 1,509.47 Dated this 12a' day of May, 2005 Approved by: Al Davis, Chairperson As air ofthe Board ofTrustees Village Pension Fund for Police cer's in the Village of Miami Shores, Florida w • • Police Warrant - No. 2005 - 002A For payment from the Village Pension Fund for Police Officer's in the Village of Miami Shores, Florida. To Chair and Administrator, or such other officers, who from time to time are duly designated and authorized by the Board of Trustees of said Fund, to sign checks, drafts or orders for the payment of money, You are hereby authorized by the Board of Trustees of the Miami Shores Village Pension Fund for Police Officer's in Miami Shores Village to pay the amounts listed below for services rendered to the said Board of Trustees, and to pay the persons named below, hereby certified by the Board of Trustees as being on the PensionlistofsaidBoard at its meeting held on 05/12/2005, pensions from 02/01/05 to 05/01/05 inclusive, or for the period of time opposite the name of said persons. Name (Pensions, Benefits, Services Provided or Obligations) Amount To be pard by Trustee: Authorize Benefits Payable as a Result of DROP Participation commencing July 1, 2005 Richard Jessup (Estimate not to exceed straight life annuity) Authorize Benefits Payable as a Result of Retirement commencing August 1, 2005 Martha Reed Norato (Estimate not to exceed straight life annuity) Dated this 12th day of May, 2005 Approved by: $ 3,843.33/monthly $ 2,759.68/monthly A L 'DAV! St Chairperson As Chair ofthe Board of Trustees Village Pension Fund for Police Officer's in the Village of Miami Shores, Florida