12-17-1996
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Edgewater Firefighters' Pension Fund
Regular Meeting
Tuesday, December 17, 1996
6:35 p.m.
Call to Order: The Regular Meeting of the Firefighters Pension Board was called to
order on December 17, 1996 by Mr. Vola at 6:35 p.m. in the Fire Administration Office.
Members present were: Bill Vola, Fred Munoz and Jill Landreville. Secretary Patricia
Richards and Chairman Nancy Williams were absent. Also present were Ms. Krista Storey
City Attorney, Mr. Steve Burkhalter from Mr. Charlie Mulfinger from Smith Barney, Mr.
John Garrett from Foster and Foster, Inc. and Lisa R. Miller, Recording Secretary.
Minutes: The Regular Minutes from the October 15, 1996 meeting were submitted for
approval. Ms. Landreville moved to approve the minutes as submitted. Mr. Munoz
seconded. Motion CARRIED 3-0.
Financial Report: Mr. Mulfinger gave his presentation of the Quarterly Report. There
was discussion regarding how the fund did for the quarter. There was a question if the
fund was under performing. Mr. Mulfinger stated if it was their second or third year
investing with this company they might recommend a change, but since it was not even a
full year yet, he is not recommending a change. Mr. Mulfinger went on to note pertinent
information from the quarterly report from Smith Barney. Mr. Vola noted this was the third
report where the fund has performed below expectations and he wasn't thrilled with ICC's
performance. He added he hoped to see a significant change soon. Mr. Mulfinger
recommended hanging in there to see if things were going to get better. Mr. Munoz stated
they should give them another quarter and see how it goes, and they are being compared to
other managers who are working under the same restrictions.
Actuarial Report: Mr. John Garrett from Foster and Foster, Inc. presented the Board
with the completed actuarial valuation. There was discussion regarding the 7.5% actuarial
valuation. There was discussion regarding the investing ratio limitation of Chapter 175. It
was noted the actuarial impact statements need to be signed by the Chairman before they are
submitted to the State, and actuarial valuations just needed to be board approved. Mr.
Garrett noted ICC had a long term track record that was very good and the board shouldn't
do anything really drastic too soon.
City Attorney's Report: Ms. Storey stated she was present at the request of the
Chairman to respond to a letter from Mr. Charles Slavin. She stated she would be happy to
draft a letter in response. There was discussion regarding items that were raised by Mr.
Slavin and ways for the board to address his concerns. Ms. Storey stated she would help
draft a diplomatic response.
Old Business: The subject of medical benefits being added to the plan was discussed.
Mr. Garrett noted that instead of putting it in as a medical benefit it was a better idea to put
it in as a monthly supplemental benefit that the firefighters could use to pay for their
medical insurance. Mr. Garrett noted the increase in the cost of health benefits in the last 10
years and there was no way they could estimate what it would be at the time of an
employee's retirement. He did not believe it would be a smart move to add the medical
benefit.
There was discussion regarding the Special Risk Category. Mr. Garrett stated if the
members wanted to be raised to the 3% special risk category like the Rorida Retirement
System had done, it would mean that the contribution would have to be an additional 6% to
the existing 11 % contribution. This 6% would have to come from either the City or the
Employees and that was pretty expensive.
The Board thanked Mr. Garrett, Mr. Mulfinger, and Mr. Burkhalter for their presentations
and they left at this time. The Board recessed at 7:55 p.m. The meeting resumed at 8:00
p.m.
The Board discussed the actuarial valuation as presented by Mr. Garrett. Mr. Munoz
moved to accept the actuarial valuation report as presented. Ms. Landreville seconded.
Motion CARRIED 3-0.
There was discussion regarding board absences and it was noted the Resolution on
absenteeism should be checked for the number of meetings a board member could miss.
There was discussion regarding the Special Risk Category. It was noted that to pay for it
would be a big jump. There was discussion regarding the percentage of contributions to the
fund. Ms. Storey stated in terms of added benefits the City Manager would consider
anything as long as he had the money information to look at.
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Firefighter Pension Fund
Regular Meeting 12/17/96
Page 2
New Business: There was discussion regarding the FPPT A yearly dues. Mr. Munoz
moved to pay the FPPT A dues. Ms. Landreville seconded. Motion CARRIED 3-0.
There was discussion regarding the fee for Foster and Foster, Inc.'s actuarial study. Mr.
Munoz moved to pay the bill from Foster and Foster, Inc. Ms. Landreville seconded.
Motion CARRIED 3-0.
There being no more business to come before the Board at this time, Ms. Landreville
moved to adjourn. Mr. Munoz seconded. Meeting adjourned at 8: 15 p.m.
Minutes respectfully submitted.
Lisa R. Miller
Recording Secretary.
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