03-31-2011 Regular Meeting•
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MIAMI SHORES VILLAGE
POLICE PENSION BOARD
REGULAR MEETING
March 31, 2011
1. CALL TO ORDER
The regular meeting of the Miami Shores Village Police Pension Board was held on Wednesday, March
31, 2011 at the Miami Shores Community Center and was called to order at 8:25 A.M.
2: ROLL CALL
In order for the record to reflect those present, the roll was called with the following members present:
Present
Steve Loffredo Al Davis
Lt. David McLeod Ofc. Cliff Vickers
Absent
JC Rodriguez
Also Present: Lisa Keeley, Interim Plan Administrator / Recording Secretary
3. APPROVAL OF PAYMENT WARRANT — Police Warrant No. 2011— 002
Lt. McLeod moved for approval of payment warrant Police Warrant No. 2011 — 002 as submitted. Mr. Al
Davis seconded the motion which was passed unanimously.
4. INVESTMENT CONSULTANT REPORT — Bogdahn Group, Dave West
Mr. West discussed market conditions and how they affected the plan returns. He reviewed the
investment manager's returns for the quarter ending December 31, 2010. The total market value of the
fund was $8,803,692, a net increase of $456,862. The total fund returned 6.43%. The domestic equity
portfolio return of 12.40% beat the US Core Large Cap Equity Median return of 10.86%. The
international equity portfolio return of 6.65%, was below the International Equity Multi -Cap Core Funds
Median return of 7.16%. The fixed income portfolio return of -0.76% beat the US Broad Market Core
Fixed Income Median return of -1.14%. The plan ranked in the forty-second percentile compared to all
public plans in the Total Fund Median. Mr. West recommended that fixed income alternatives be
presented at a future meeting to help the plan address the inflationary impact.
5. DISCUSSION AND POSSIBLE ACTION REGARDING THE SELECTION OF A NEW
GROWTH MANAGER — Dave West, Bogdahn Group
Mr. West discussed the poor performance of the current growth manager, Aletheia as they have
consistently lagged behind in performance as outlined in the Investment Policy Statement. Additionally,
due to recent key personnel changes in management structure and litigation distractions, it is the
recommendation of the Bogdahn Group to find an alternative growth manager. After standard
disclosures, Mr. West presented six managers to the Board in the growth manager style.
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Police Pension Board March 31, 2011 Page 2
5. DISCUSSION AND POSSIBLE ACTION REGARDING THE SELECTION OF A NEW
GROWTH MANAGER — Dave West, Bogdahn Group (Continued)
After some further discussion, Mr. West recommended two of the six managers for a Board presentation.
They were Wells Capital Heritage and Winslow Capital Management. Costs associated with the
transition will relate to the liquidation of the Aletheia plan, not the purchase of the new fund.
Lt. McLeod moved that the Board accept the recommendation of the Bogdahn Group to remove Aletheia
and entertain options for a replacement growth manager. The motion was seconded by Mr. Davis and
passed unanimously.
It was the request of the Board that a special meeting be held as soon as possible for presentations from
the Bogdahn Group recommended replacement growth managers Wells Capital Heritage and Winslow
Capital Management.
6. ADJOURNMENT
Before adjourning, Lt. McLeod requested an update of the Annual State Report filing. Mrs. Keeley
reported that the 2008 report was awaiting approval from the State so the 2009 can subsequently be filed.
Lt. McLeod also requested clarification on the status of police officer's who began as a General
Employee and transferred to the Police plan. It was the request of the Chairman that for the record, at the
next regular Board meeting, the Plan attorney provide clarification on the transfer status of an employee
from one pension plan to another.
The March 31, 2011 meeting of the Police Pension Board was adjourned at 9:50 AM.
Lisa Keeley, Recording Secretary
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Police Warrant - No. 2011 - 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 of said Board by circulation of this warrant, pensions from 11/01/10 to 03/31/11 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 Aletheia Research and Management, Inc
Quarterly management fees for the period 10/01/10 —12/31/10
Authorize payment to Boston Company
Quarterly management fees for the period 10/01/10 —12/31/10
Authorize payment to Cutwater Asset Management
Quarterly management fees for the period 10/01/10 —12/31/10
Authorize payment to The Bogdahn Group
Quarterly consulting fees for the period 10/01/10 —12/31/10
Quarterly consulting fees for the period 01/01/11— 03/31/11
$ 4,593.68
$ 2,921.21
$ 2,254.66
$ 5,000.00
$ 5,000.00
Authorize payment to Salem Trust Company
Quarterly fee for period 10/01/10 —12/31/10 $ 1,857.97
Authorize payment to Gabriel Roeder Smith & Company
Actuarial Services through 10/30/10 Invoice date 11/10/10
Actuarial Services through 01/31/11 Invoice date 02/11/11
$ 1,006.00
$ 1,548.00
Authorize payment to Holland & Knight LLP total costs not to exceed $25,000
Legal Counsel IRS Review 03/11/11 Invoice #2627351 $ 175.00
Authorize reimbursement to Miami Shores Village for payment made to FEDEX
For Courier Services through 11/09/10 Invoice #7-286-23361 $ 45.79
Authorize Lump Sum Distribution of DROP account for the period ending 12/31/10
Donald Lohnes $173,911.89
Authorize Benefits Payable as a Result of Retirement commencing January 1, 2011
Donald Lohnes $ 3,637.79/monthly
Dated this 31st day of March, 2011 Approved by
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Stephen Lo
Chairperson
As • of the Board r Trustees Village Pension Fund for
Police Officer's in the Village of Miami Shores, Florida