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07-13-2018CITY OF EDGEWATER GENERAL EMPLOYEES' PENSION BOARD QUARTERLY MEETING MINUTES City Hall Council Chambers Friday, July 13, 2018 at 10:30AM TRUSTEES PRESENT: Bridgette King Brenda DeWees Tim Sopko Tyna Hilton TRUSTEES ABSENT: None OTHERS PRESENT: Paul Daragjati, Klausner, Kaufman, Jensen & Levinson Julie Christine, Director, Human Resources, City of Edgewater Frank Wan, Burgess Chambers & Associates Mindy Johnson, Salem Trust Ferrell Jenne, Foster & Foster 1. Cali to Order — Brenda DeWees called the meeting to order at 10:40 a.m. 2. Roll Call — As reflected above. 3. Public Comments -- None. 4. Approval of Minutes The board voted to approve the minutes from the March 19 2018quarterly meetinq as resented upon motion by Bridgette King and second from T na Hilton motion carried 4- 0. 5. New Business a. Vacant trustee seat i. Bridgette King commented that Tiana DeWees was no longer the union representative. The board requested Ferrell Jenne to reach out to the IUOE and request the new representative information. b. Trustee term expirations i. Ferrell Jenne informed the board that the two Council appointed seats were due to expire at the end of the month. Tim Sopko and Bridgette King stated that they would like to serve another term. Ferrell commented that she would let the City Clerk know that Tim Sopko and Bridgette King would like to serve another term. 8. Old Business - None. 7. Reports a. Salem Trust, Mindy Johnson, Plan Custodian i. Quarterly service report 1. Mindy Johnson reviewed the quarterly service report and the additional security measures that Salem Trust was taking against cybercrime and phishing. 2. Mindy Johnson reviewed the cyber liability policy their firm has in place. b. Burgess Chambers & Associates, Frank Wan, Investment Consultant i. Presentation of the June 30, 2018, quarterly report 1. Frank Wan commented that the June 30, 2018, quarterly report recently became available, so he would like to review that report with the board. 2. Frank Wan gave a brief overview of the market environment during the quarter. Frank reviewed the interest rate hikes that occurred during the quarter. 3. The total fund gross returns for the quarter were 1.5%, outperforming the benchmark of 1.2%. Trailing total fund gross returns for the 1, 3 and 5 -year periods were 7.5%, 5.6% and 7.4% respectively. The 1 year outperformed the benchmark of 6.4% where the 3 year underperformed the benchmark of 6.0% and the 5 year was on target with the policy benchmark being 7.4%. 4. The market value of the plan as of June 30, 2018, was $12,388,518. 5. Frank Wan reviewed the current asset allocation and didn't recommend any changes. 6. Frank Wan reviewed the treasury yield curve and associated rates. Frank commented the yield curves haven't substantially increased in the last 12 months. C. Klausner, Kaufman, Jensen, Levinson, Paul Daragjati, Plan Attorney i. Summary Plan Description (SPD) 1. The board discussed the board of trustees listed in the SPD. On consensus, the board requested that the current trustees be listed with the understanding the board could change. 2. The board reviewed the SPD and didn't request any changes be made. The board voted to approve the SPD as presented, upon motion by Tyna Hilton and second from Tim Sopko, motion carried 4-0_ 3. Paul Daragjati reviewed a recent Sunshine Law case with a city in Florida. Paul reviewed the Sunshine Law and how to abide by the law as a member of the pension board. Consent Agenda a. Ratification of Warrants i. Warrant #36 and #37 b. New invoices for payment approval i. None c. Fund Activity Report for March 13, 2018 — July 6, 2018 The board voted to approve the consent agenda as presented, upon motion by Tim So ko and second by Bridqette King, motion carried 4-0 8. Staff Reports, Discussion and Action d. Foster & Foster, Ferrell Jenne, Plan Administrator i. Upcoming educational opportunities 1. Ferrell Jenne reviewed upcoming educational opportunities. 2. Ferrell Jenne reviewed the SB 534 requirements and commented everything was sent to the city for posting. 9. Trustee Reports, Discussion and Action — None. 10. Adjournment — The meeting adjourned at 11:15 a.m. 11. Next Meetin — September 26, 2018, at 10:30 a.m. 2 Ily sub 'tted by: Approved by: Ferr II Jenne Name: Brenda DeWees Administrator Title: Chairperson Date Approved by the Pension Board: