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03-18-2013 Edgewater Firefighter's Pension Fund March 18, 2013 City Hall Conference Room 6:00 p.m. CALL TO ORDER: Chairman Dominick Fede called to order the regular meeting of the Edgewater Firefighters' Pension Fund Board on March 18, 2013 at 6:10 p.m. at the Edgewater City Hall Conference Room. ROLL CALL: Members present were Chairman Dominick Fede, Justin Nickels, Barbara Scott, and Shontella Jackson, Recording Secretary. Also present were David Kelley of Bowen Hanes, Jack Evatt of Bogdahn Group, Doug Lozen of Foster & Foster and Jonathan McKinney, Finance Director. Absent was: Gary Butt. APPROVAL OF MINUTES: The minutes of December 10, 2012 meeting was submitted for approval. MOTION by Barbara Scott. SECOND by Justin Nickels to approve the minutes of December 10, 2012 Edgewater Firefighter's Pension Board as written. MOTION CARRIED UNANIMOUSLY. NEW BUSINESS: Report by Bowen Hanes David Kelly of Bowen Hanes presented the portfolio as of March 14, 2013. Mr. Kelly gave clarification on the bond types. Mr. Kelly stated that the current portfolio owns bonds less than "A" but the firm feels it would be costly and imprudent to sell all non-rated "A" bonds to purchase "A" or Better bonds. Mr. Kelly plans to work with the City and ordinance language to accommodate less than "A" rated bonds. The Board reviewed and discussed the portfolio summary. Report by Bogdahn Consultants Jack Evatt of Bogdahn Group presented the fourth quarter report ending December 31, 2012. Mr. Evatt stated that ordinance changes have been needed in the past three years. The general and police pension board is working on new language and it should be completed by late 2013. The Board reviewed and discussed the quarterly report. Annual report by Foster & Foster Doug Lozen of Foster & Foster presented the annual actuarial valuation to the Board. Mr. Lozen stated that Foster & Foster will review all assumption and conduct a study for the assumptions. This could lower the city's contribution. Mr. Lozen state the study would not exceed the cost of $7000 and will return in June with the results. MOTION by Barbara Scott. SECOND by Justin Nickels to have Foster & Foster conduct the study of assumptions and for the cost not to exceed $7000. MOTION CARRIED UNANIMOUSLY. The Board had a brief discussion on the annual actuarial valuation. MOTION by Justin Nickels. SECOND by Barbara Scott to approve the annual actuarial valuation as written with the cost of $1500 for a reevaluation is needed. MOTION CARRIED UNANIMOUSLY. Foster & Foster will provide a revised copy to reflect the changes. Employee for all city pensions Chairman Dominick Fede discussed the plan to have an employee to oversee all pension boards. Jonathan McKinney explained that the general and police have had a plan advisor for their pension for a few years. The plan administrator will manage all three pension plans and handle the ordinance changes needed for all plans. Mr. McKinney advised the Board to join the general and police RFP for a plan administrator which will be conducted in June. MOTION by Justin Nickels, SECOND by Barbara Scott to join the RFP for a plan administration with general and police. MOTION CARRIED UNANIMOUSLY. Salem Trust signature update Chairman Dominick Fede discussed and advised that he would like to have a third party on the signature authorization with the Board. Mrs. Scott stated she could not sign due to her current employer restrictions. No other party was available to provide a signature. Chairman Dominick Fede stated he would ask the personnel department to be an additional signature authorizer. Board vacancies Chairman Dominick Fede introduced Scott Hopkins to the Board. Mr. Hopkins stated he is a retired firefighter. He was involved with the pension in New Hampshire on the State Board. He is willing to serve on the Board and can be very flexible and available. MOTION by Justin Nickels. SECOND by Barbara Scott to appoint Scott Hopkins to Firefighters' Pension Board. MOTION CARRIED UNANIMOUSLY. ADJOURNMENT: MOTION by Dominick Fede, SECOND by Barbara Scott to adjourned the meeting at 8:08 p.m. Minutes respectfully submitted by: Shontella Jackson, Recording Secretary 2