08-12-1991
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CITY OF EDGEW A TER
FIREMEN'S PENSION BOARD
REGULAR MEET I NG
AUGUST 12, 1991
CITY HALL CONFERENCE ROOM
Chairman Ben Wagner called the Regular Meeting of the Firemen's Pension
Board to Order at 6:30 P.M. in the Conference Room of City Hall.
Roll call was taken. Members present were: Lt. Larry Carson, Firefighter
William Finch, Mr. Robert Morin, Mr. Al Gllbert, and Chairman Wi 11 iam "Ben"
Wagner. Also present was Firefighter James Erdman and Board Secretary
Lisa R. Warren.
APPROVAL OF MINUTES:
The Minutes of the May 20, 1991 Regular Meeting of the Firemen's Pension
Board were submitted for approval. Lt. Carson moved to accept the
Minutes as submitted. Firefighter Finch seconded. Motion CARRIED 5-0.
The Minutes of the June 21, Special Meeting of the Firemen's Pension
Board were submitted for approval. Firefighter Finch moved to approve
the Minutes as presented. Mr. Morin seconded. Motion CARRIED 3-0. Lt.
Carson and Chairman Wagner abstained as they were not present at that
meeting.
Mr. Al Gilbert gave a report regarding the Florida Publ1c Pension Trustees
Association Seminar he attended in St. Petersburg on June 24th, 25th, and
26th. Mr. Gilbert gave a brief rundown on the costs of the trip. He stated
the amount he paid out was $61.87 more than he received to cover the
costs and that included mileage.
Mr. Gl1bert stated at the Seminar he had spoken with Sgt. Westphal of the
Pol1ce Pension Board. Sgt. Westphal had told Mr. Gilbert the City provided
him with per diem. Mr. Gilbert stated he had checked with the Board
Secretary and she told him the City didn't pay it. Mr. Gilbert stated in
other places $25.00 a day is given over and above what you would
ordinarily get to help offset what you would get if you were staying home
doing a job and the Board is a Volunteer Job. He stated this needs to be
addressed in the future as there needs to be something to keep people's
interest. Mr. Gilbert stated the mlleage is about the same as everybody
pays and the hote I room costs are pretty much the going rate. He stated
the allocation for the meals was not bad.
Mr. Gilbert stated the Seminar was very informative and there were three
things that need to get done. He stated the first item was the Board
Members need to be bonded as the Seminar dealt extensively with this
topic saying if someone gets hurt on the Fire Department now in the
position the Board is in without a full benefit plan in place, the individual
that is hurt can turn around and sue each of the Board Members
individually to get his money. He added the Bonding would put them in the
position they could not be sued individually. He stated this needed to be
checked into immediately.
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Mr. Gllbert stated the second item he wanted to dlscuss was gett lng an
Attorney of the Board's cholce to represent the Board. He stated there
isn't a Board in the State that has a City Attorney representing the Board
as it ls a confllct of lnterest.
Mr. Gllbert stated the thlrd item was the F.R.S. monles. He stated the
subject of gett1ng the checks out on time was brought up at the semlnar
and the people from the State were very helpful.
Lt. Carson moved to relmburse Mr. Al Gllbert ln the amount of $61.87 for
monles spent at the semlnar he attended 1n St. Petersburg. Mr. Morln
seconded. Mot10n CARRIED 5-0. Cha1rman Wagner stated the Board needed
to set up po11c1es on how they were g01ng to do expenses s1nce more
semlnars would be com1ng up 1n the future. He stated most places do pay
a per d1em and he felt the Board should look 1nto so much a day to cover
expenses and lodglng and travel. He asked 1f it was the pleasure of the
Board to set some guldel1nes for expenses. Mr. Gllbert stated lt might be
aga1nst C1ty pol1cy to do lt. Lt. Carson stated the City pays a per dlem
now. Ms. Warren, Board Secretary stated the clerk at City Hall told her no.
Lt. Carson stated he recelved per dlem for a class he had taken. Ms.
Warren stated the clerk had told her only meals, 10dg1ng, and mlleage were
pa1d for and Mr. Gllbert was asklng for somethlng other than that. Mr.
Gllbert stated he was ask1ng about a per dlem to take care of the Board
Member for the day whlle he was away from hls job, etc. Chalrman Wagner
stated what "we" call a per d1em 1s to cover what lt takes you to live on,
food, drinks, etc. and most places pay $20-$30 per day. He stated he
d1dn't know what else they call lt 1f 1t ls over and above that. Mr. Gllbert
stated Sargent Westphal told hlm he got lt. Ms. Warren stated 1f Mr.
Gllbert asked Sargent Westphal lf he rece1ved per d1em he would have sald
yes, because the City d1d wrlte Sargent Westphal a check for h1s meals
and 10dg1ng. Lt. Carson stated what the City cons1ders per d1em 1s food
and travel. Cha1rman Wagner stated lf Mr. Gllbert was g1ven a flat rate for
food, then he d1dn't need to produce recelpts. Lt. Carson stated the way
the City has lt set up now they pay $20 some per day and you don't have to
turn ln recelpts or $30 per day and you have to brlng back recelpts. Mr.
Gllbert stated he was wrong and they should drop 1t or ra1se the amount
they allow. Chalrman Wagner stated $21.00 doesn't sound l1ke enough to
eat on for the day and New Smyrna Beach pays $30.00. Flrefighter Flnch
stated for $21 per day you can eat pretty good. Chalrman Wagner stated
th1s was true, but lf thls penslon conference had been ln a Dade County Mr.
Gl1bert probably couldn't have eaten for that. Mr. Gllbert stated there are
tlps to be consldered and for a week's Conference that would come up to
about $25 ln tlps. Mr. Morln stated maybe they could allow $50 per day and
whatever they don't use they could brlng back. Flreflghter Flnch stated lt
depends on how many days they are g01ng. Mr. Gllbert stated he was not
trylng to get more money for hlmself personally, he was dolng thls for
future semlnars. Mr. Morln stated 1t ls dlfferent lf you go w1th a lot of
people because they l1ke to go to more expenslve places as a group. Lt.
Carson moved to follow the City's pol1cles on travel and per dlem and
lodglng. Mr. Morln seconded. Motlon CARRIED 5-0.
Chalrman Wagner stated the Fund had recelved some money from the State
although lt was not as much as the F1nance Dlrector had antlclpated.
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Chairman Wagner stated the Board should approach some bonding
companies and see how much it would cost to be bonded. Mr. Morin stated
he didn't see why they had to be bonded. Lt. Carson stated since the City
has to make the fund actuarily sound and if somebody gets hurt the City
would have to kick in the money. Chairman Wagner stated the City is
required to insure the fund is actuarily sound and if someone pensioned
out tomorrow they would have to kick in the money. Mr. Gi lbert stated at
this particular point he would have to agree as there is no Pension Plan in
place. Lt. Carson stated bonding was a good idea, but they should do some
research and find out about it. Mr. Gilbert stated there is a possibility the
City has a bonding company. He stated the Board also did not have access
to the checkbook. Mr. Gi lbert stated at the Seminar there was discussion
regarding this subject with the attorneys and they didn't see any big deal
with it happening to a brand new Board and that umbrellaed them. He
stated if they had a couple of hundred thousand dollars then that would be
a different matter. Mr. Gilbert moved to find out through the City if the
City has a bonding company for a such a thing, if that is not in place then
the Board look into bonding itself as he believes it is a State Statute. Lt.
Carson seconded. Motion CARRIED 5-0.
Chairman Wagner stated he would see Mr. Munoz about the bonding as soon
as he could set up a meeting with him.
Chairman Wagner stated another item Mr. Gilbert brought up was the need
for an attorney. He added he highly recommends the Board have one
because he spent two years on the New Smyrna Firefighters Pension Board
trying to get an Attorney and there are some good Pension attorneys out
there. Mr. Gi lbert stated there were four attorneys at the conference that
are well known State wide. He stated two are good with pension stuff and
two are good with both pensions and investments. He stated the Board
needs an attorney that knows the laws the Board can operate under, to
protect the Board members, and to tell the City what can be done with the
Pension other than the City Attorney. He stated just because the City is
putting money into the Pension it is not their Pension; it belongs to the
members. Mr. Gilbert stated he would recommend Sugarman and Suskine
out of Miami or Bob Clauzner out of Hollywood, Florida. He stated he had
dealt with both of them and his personal opinion is that Mr. Sugarman
would do best for the Board. He added Mr. Sugarman already sits on the
Holly Hill Police Pension, Port Orange Police Pension, and is working on
New Smyrna. Mr. Gilbert added he does represent another dozen or so
Trust Funds around the State and Mr. Sugarman would like to represent
everybody up in this area on an "as need" basis so he could schedule his
visits to make fewer trips down and back.
At 7:20 P.M. there was a tone out for a structure fire. Firefighter Finch
and Firefighter Erdman left at this time and the meeting continued.
Mr. Gilbert stated Mr. Clauzner represents some big cities like Miami and
Jacksonville but had recently been taken off of the General Employees of
the City of Hollywood as he did not have the time. Mr. Gilbert stated he is
good and has helped him with questions when he needed them. He added
Mr. Sugarman has been building his practice up to do this and he has done
pension boards and trust funds for over 20 years.
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Mr. Morln asked what Mr. Sugarman charged for hls servlces. Mr. Gi lbert
stated the fees are based on hourly rates on servlce rendered. The
Attorney's rate for all servlces ln connectlon wlth the funds
representat 1 on 1 s $ 1 35 per hour w 1 th no charge for trave 1 t 1 me for board
meetings. Paralegal's time ls charged at the rate of $40 per hour and
Research Assoclate's tlme at the rate of $75 per hour. They also blll for
out of pocket costs such as photocopying, etc. Mr. Gllbert stated the
practlce is State wide and thelr maln offlce ls behlnd Mlaml National
Airport so there ls no problem wlth hlm catchlng a fllght. Mr. G11bert
stated thls ls not an overprlced attorney. Chalrman Wagner agreed.
Mr. Gllbert stated Sargent Westphal had the opportunlty to speak wlth Mr.
Sugarman and Sgt. Westphal would llke to have Mr. Sugarman come and
speak to hls Board and they could do them both at the same tlme. Mr. Morln
and Lt. Carson agreed thls would be a good ldea. Chalrman Wagner
suggested a jolnt meetlng be set up wlth the Flremen's Penslon and Pollee
Penslon Boards and plck two or three days that 1t can be held on and glve
Mr. Sugarman the optlon of choosing one. Mr. Gllbert stated he could call
Mr. Sugarman and see when hls next trip up would be for hls other Boards.
Lt. Carson stated thls was a good ldea to let hlm glve us a few dates. It
was agreed upon by the Board members the next meetlng would be set up
when Mr. Gllbert heard from Mr. Sugarman.
Mr. Gllbert stated he had more lnformatlon to give the Board, but 1t was
too early to get going on most of It. He stated the best thlng about the
semlnar was the people. Chalrman Wagner thanked Mr. Gilbert for hls
presentatlon. Mr. Gilbert thanked the Board for sendlng hlm to the
semlnar.
OLD BUS I NESS:
Chalrman Wagner stated he had recelved a call from Representatlve Jack
Ascherl. Chalrman Wagner stated Representatlve Ascherl asked hlm if
the Board wanted hlm to give any other presentatlons and what the
outcome was of hls presentation. Chalrman Wagner stated he would get
back to Representatlve Ascherl and let hlm know the Board was not ready
to make any commitments. He stated he had other people who are
lnterested ln glvlng presentatlons to the Board. Lt. Carson stated the
Board should llsten to everyone of them. Mr. Gllbert stated to save a lot
of tlme the Board should see who ls taklng care of other Clty's plans and
then add one or two of the other ones to the llst of people to hear. Lt.
Carson stated the people wantlng to make the presentatlons should show
thelr credentlals and let them flght amongst themselves to glve the Board
the best package. Mr. Gllbert stated he would like to see more of the
Board go to the sem i nars.
Chairman Wagner called a recess at 7:42 P.M. Meeting resumed at 7:47 P.M.
NEW BUSINESS:
There was discussion concernlng the upcomlng Elghth Annual Trustees
School to be held September 23-25, t 991. Thls School ls belng offered by
the Florlda Publlc Penslon Trustees Assoclatlon. Chalrman Wagner, Mr.
Gllbert, Flrefighter Flnch, and Lt. Carson all expressed a desire to attend
thls semlnar. Mr. Morln moved to allow Lt. Carson, Flreflghter Flnch, Mr.
Gllbert, and Chalrman Wagner to go to the semlnar September 23-25 and
they be allowed to go with the standard travel and per dlem allowed.
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Lt. Carson seconded. Cha1rman Wagner stated 1f someone could not make It
the amount would be reduced. Mot10n CARRIED 4-0. Fireflghter Finch was
st 111 absent at the Rescue Ca 11.
Lt. Carson stated the way the check1ng account 1s set up now, the C1ty can
put in and take money out of the pension account.
Mr. Mor1n requested there be a short recess.
Chairman Wagner called a Recess at 7:53 P.M. Meeting was resumed at
7:54 P.M.
Lt. Carson stated he would like to see the Board get the1r own check1ng
account where the people on the Board were responsible for the checking
account. He stated there should be one or two ma1n people with authorized
signatures and maybe an alternate so they cut their own checks. Chairman
Wagner agreed th1s is probably the next 10glcal step they w11l take. Mr.
Gi lbert stated when the fund got larger there would be an 1nvestment
group handling it. Mr. Mor1n stated they should have three s1gnatures on
the account. Lt. Carson stated Chairman Wagner m1ght want to discuss
this wlth Mr. Munoz when he had h1s meet1ng wlth h1m. Chairman Wagner
agreed.
Lt. Carson moved to check on gett1ng the check1ng account set up so that
the only people that can sign the checks are the Pension Board members
themselves wlth three slgnatures, two of wh1ch release. Mr. Mor1n
seconded. Motion CARRIED 4-0.
Mr. Gi lbert stated he had asked the secretary to flnd out 1nformat 10n on
the City supply1ng business cards. He stated at the conferences business
cards are very helpful as everyone wants to know where to send
informat10n. He stated the secretary told h1m the City did not supply
cards and he felt the Board should think about doing it. Ms. Warren asked
if the Board had considered hav1ng 500 cards made up leaving the names
blank and each Board Member putting their name on their cards. Mr. Morin
stated the Board should also cons1der a br1ef case. Cha1rman Wagner
stated the Board should check 1nto some pr1ces and bring the 1nformation
back.
Firefighter Finch returned at 8:02 P.M. and the Board informed him of
ltems which had taken place during his absence.
Lt. Carson moved to adjourn. Mr. Morin seconded.
Meeting adjourned at 8:04 P.M.
Minutes Respectfully Submitted By:
Lisa R. Warren
Board Secretary
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