09-19-2022TRUSTEES PRESENT: Justin Nickels
James Binder
Herb Epstein
TRUSTEES ABSENT: David Blair
Ron Hayward
OTHERS PRESENT: Pedro Herrera, Sugarman, Susskind, Braswell & Herrera (via phone)
John Thinnes, AndCo Consulting
David Kelly, Bowen Hanes & Company
Doug Lozen. Foster & Foster
Michelle Rodriguez, Foster & Foster
1. Call to Order —Justin Nickels called the meeting to order at 4:11 pm.
. 0 0 of If I I
3. Approval of Minutes
a. June 13, 2022, Quarterly Meeting Minutes
The Board approved the June 13, 2022, quarterly meeting minutes as presented, upon motion by
Herb Epstein and second by James Binder; motion carried 3-0.
4. New Business
a. 2023 meeting dates
i. Michelle Rodriguez reviewed the 2023 meeting dates for the board.
b. Fiscal year (FY) 2022-2023 proposed budget
i. Michelle Rodriguez reviewed the proposed budget for the upcoming fiscal year,
The Board voted to approve the FY 2022-2023 proposed budget, upon motion by James Binder and
second by Herb Epstein; motion carried 3-0.
Pension plans FAQs
i, Justin Nickels reviewed the pension plan FAQs that were prepared by the plan
administrator, Michelle Rodriguez commented she would put the FAQs on plan
letterhead, post them on the plan website and send them out to the active
members.
Annual service provider review
i. This item was tabled until the next meeting.
5. Old Business — None.
6. Reports (Attornev/Consultants
a. Foster & Foster, Doug Lozen, Plan Actuary
i. Fee proposal
1. Doug Lozen reviewed the Foster & Foster fee and commented the
updated fees would be effective 10/1/22 and thereafter would be tied to
annual inflation.
2. Doug Lozen commented the administrator and annual valuation fees were
not included in this proposal.
The Board voted to approve the fee proposal as presented, upon motion by Herb Epstein and
second by James Binder; motion carried 3-0.
Bowen Hanes. David Kelly, Investment Manager
i Quarterly Investment Report
1. David Kelly reviewed the plan's investment strategy in the current market
environment and commented hefelt any problems they experienced were
solvable and looking back historically the market had always bounced
back within ayear and ahalf.
The Board voted to accept the investment manager's report, upon motion by James Binder and
second by Herb Epstein, motion carried 3-0.
AndCo'John Thinnee.Investment Consultant
i June 3O'2D22.Quarterly Investment Report
1 . John Thinnesreviewed the market environment over the last quarter and
commented the Federal Reserve was expected to raise interest nahae
again this week and this was having anegative impact onthe market.
2, John ThinneScommented they did not have the overweight exposure to
growth like other plans, their bonds did not lose relative tothe market aso
who|e, and real estate did not dowell. John added their bonds did great
and equity did better than most plans,
3. John Thinnescommented this plan has had positive returns over the last
seven yeana, and even though this fiscal year would be negative, the
smoothing that the actuary did would help the plan, The market value of
assets as ofJune 3O.2O22.was $17'885.39Q.The total fund net returns
for the quarter ending June 30. 2032. were -13.6196. slightly
underperforming the policy benchmark of-11.8OY6.The 1'.3 -.5'.7 -.and
1D-yaartrailing returns were -11.7896. 6,48%, T64%. 7.0696 and 8.50%.
respectively. Since inception (12/01/01). the return was 5.94Y6.
underperforming the benchmark mfG.5996.
Sugarman, Susmkind, Braswell & Hmrrerm, Pedro Herrera, Plan Attorney
i. Legislative update
1. Pedro Herrera commented they were tracking abill atthe federal level that
would make first responders eligible for Medicare atage 5O.
ii. Financial Disclosure forms
1. Pedro Herrera reminded the board ofthe deadline tosubmit their financial
disclosure forms.
Rodriguez,Staff Reports, Discussion, and Action
a. Foster & Foster, Michelle Plan Administrator
i. State Annual Report update
1. Michelle Rodriguez advised the board the State monies had been
deposited into the plan.
ii Educational Opportunities
1. Michelle Rodriguez reviewed educational opportunities there were
available tothe board.
8, Consent Auenda
a. Payment Ratification
i Warrants #BOand #9i
b. Invoices for payment approval
i None
c. Fund activity report for June 7,2O22.through September 13.2O22
The consent agenda was approved as presented, upon motion by James Binder and second by
Herb Epstein; motion carried 3-0.
Q. ' Reports, Discussion, and Action -None.
10, Adiournment - Meeting adjourned at 5:16pm.
11. Next Meeting - December 12.2O22'ot4:OOom.
Respectfully submitted by: Approved by:
4zeZem
Date Approved by the Pension Board: