11-12-1996 c #
Nome , ftwe
GENERAL EMPLOYEES PENSION BOARD
MEETING
November 12, 1996
CALL TO ORDER:
The General Employees Pension Board meeting was called to order
by Mayor Jack Hayman, in the City Hall Conference Room, Tuesday,
November 12, 1996 at 2:40 p.m.
ROLL CALL:
Mayor Jack Hayman Present
City Clerk Susan Wadsworth Present
Rev. Harvey Hardin Excused
Charlane Runge Present
Tyna Hilton Present
Lynne Plaskett Excused
Also present were Jack Ascherl, Consulting Agent of Record,
and Deborah Sigler, Human Resources Director.
OLD BUSINESS:
Mr. Ascherl reviewed the questions asked of him at the employees
general meeting. Regarding the plan language concerning "last
three consecutive years ", it was asked if this could be re- worded
to "last three years" leaving out the word "consecutive ". The
answer was basically yes because it is the City's plan. He sees
no significant problem with this change.
Mayor Hayman asked if bonuses given those employees who are maxed
out are included in the plan. Mr. Ascherl's answer was yes. We
have adopted into our plan what is called "the 415 definition of
pay" which includes bonuses. He stated we have W -2 income and it
is calculated from the previous twelve months from July 1st
through June 30th. June accrual date can be changed if it is
better internally for us. This also came up at the other
meeting. He will touch base with the Finance Department
concerning the need to make a change.
Mr. Ascherl also spoke of Spouse Survivorship Annuity and what
is in our plan now. He said if you have an employee who has been
married for at least one year and he /she passes away, his /her
spouse is entitled to a survivorship annuity. That amount is
based on what their accrued pension is at that time. If you are
not married there is no survivorship annuity available, but there
is a "being single" sum payment paid to the named beneficiary.
That amount is determined by the present value of what the
retirement benefit would have been, and based on what they had
accrued and vested at that time. It is a single sum dollar
amount.
Mayor Hayman requested that Mr. Ascherl look into children
receiving survivorship annuity funds. Mr. Ascherl said the State
of Florida just changed their plan to read that children's
benefits are only payable until age 25. Our plan could be
changed to read that way.
Mr. Ascherl was asked to change the language in our plan
pertaining to calculating retirement as follows: "Best three out
of last ten years ". Beneficiary language to be consistent with
the new 401a Plan presently proposed by the City. He is also
looking into adding lump sum option for retirement funds. It was
discussed and agreed to meet again in about ninety days to review
and get an update on these issues.
1.10e
NEW BUSINESS:
Mr. Ascherl reviewed the Investment Results Report and discussed
investment possibilities. Mayor Hayman inquired as to the
balance in the general account. He also questioned the
performance of the equity accounts.
After much discussion, Charlane Runge moved to instruct Principal
to invest 50% in the Stock Index Account and 50% in the Inter-
national Stock Account including any roll over monies, seconded
by Susan Wadsworth. Motion carried.
Mr. Ascherl referred to the new contract series of reports
produced by Principal which the board discussed previously but
did not take action on. He explained this is the latest state of
the art computer program and the reports will be much better.
There is no additional cost for this plan participation.
Charlane Runge moved to change to the FIA contract with no
additional costs incurred effective October lst. Seconded by
Susan Wadsworth. Motion carried.
ADJOURNMENT:
Meeting adjourned 3:50 p.m.
Page 2
Minutes submitted by:
Deborah Sigler