09-03-2002
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EDGEW ATER POLICE PENSION BOARD
REGULAR MEETING
Tuesday, September 3, 2002
City Hall Conference Room
Minutes
CALL TO ORDER:
Chairman Conroy called to order the Regular Meeting of the Edgewater Police Pension
Board on Tuesday, September 3, 2002 at 10:00 a.m. in the City Hall Conference Room.
ROLL CALL: .
Members present were Chairman Gary Conroy, Ms. Rena Green, Officer Bret Teitelbaum
and Mr. Jon Williams. Mr. Ferdinand Heeb was absent. Also present was Mr. Jack
Ascherl, Agent of Record, Mr. Tim Hollinger, Principal Financial Group and Donna
Looney, Recording Secretary.
APPROVAL OF ~~:
Mr. Williams made a motion to accept the minutes of June 28, 2002 as submitted, second
by Ms. Green. Motion CARRIED 4-0.
OLD BUSl,NESS:
Chairman Conroy explained the committee to select an independent consultant, which
Mr. Heeb was a part of, met and reviewed the fIrms. Burgess Chambers has been
selected to perform the three..year evaluation along with reviewing the current investment
policy.
NEW BUSINESS~
Chairman Conroy confirmed the reappointment of Mr. Williams to the Board and also
thanked Officer Teitelbaum for rejoining.
Chairman Conroy discussed the memo from the Finance Department requesting
reimbursement for advertisement of the independent consultant. This cost will be divided
50% police and 50% fire. Mr. Williams made a motion to pay the bills, seconded by Ms.
Green. Motion CARRIED 4-0
Chairman Conroy introduced Mr. Hollinger from Principal Financial Group. He handed
out two (2) booklets. In the first booklet Mr. Hollinger went over the charts showing the
plan asset allocation, investment portfolio and fund statement from July 31, 2002. With
the second booklet Mr. Hollinger explained what Principal does on the management side
for us with the Fund Management Selection Services. He also explained the letter that
went out August 28, 2002 explaining the changes in the allocation.
Chairman Conroy asked Mr. Hollinger about the demutualization fund that this Board is
in charge of and what the Board should do with it. He talked about the plus and minuses
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of this stock. Eight percent of the fund is in this stock. The Board has the ability to
decide what percent to keep in here and how much they want to move out.
Mr. Ascherl pointed out in the investment policy it states they should not have more than
five percent in anyone stock.
Mr. Ascher! also mentioned that the investment policy has to be updated by the end of the
year in order not to hold up any funds from the State.
Mr. Hollinger agreed that they should follow the guidelines and keep only five percent in
this stock and reallocate the other three percent. Then on a quarterly basis, the Board
should continue to look at this stock and decide what to do at that time.
After further discussion Chairman Conroy feels they should wait and see what Burgess
Chambers recommends.
Mr. Hollinger told the Board that a copy of the new plan document will be going out this
week and once it is signed and returned Principal will be printing the new booklets.
With no other questions, the Board thanked Mr. Hollinger for coming.
Mr. Ascher! talked about the asset allocation chart and how diversified the funds are. He
reviewed the July 31, 2002 fund statement.
MISCELLANI';PUS:
Chairman Conroy informed the Board that he has received a letter from the Division of
Retirement stating they have approved the yearly report and will be issuing the check
roM. .
Chairman Conroy showed the book Mr. Heeb had made up for each trustee when he was
on the Board before and feels they are a good tool for them to have. He will get one
made up for Ms. Green and Officer Teitelbaum for the next meeting.
Mr. Hollinger wanted the Board to know that Mr. Cory Weber, who manages our plan
from the corporate office in De Moines, Iowa, will be in town the week of November 18,
2002 to meet with his clients. After discussion the Board has agreed the next meeting
will be held on Monday, November 18, 2002 at 4:00 p.m. with the representatives from
Principal.
ADJOURN1\JENT:
With no further business, Officer Teitelbaum made a motion to adjourn, second by Mr.
Williams. Motion CARRIED 4-0.
Minutes submitted by:
Personnel Department
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