HomeMy WebLinkAbout2010-08-04 General Employees Pension Board Minutes
MINUTES
GENERAL EMPLOYEES RETIREMENT SYSTEM
BOARD OF TRUSTEES
REGULAR MEETING
AUGUST 4, 2010
3:30 PM
ROLL CALL:
Myrtle Corbin Present
Walter Duke Present
Patricia Rafacz Present
Leo Williams Excused
Joseph Husosky Present
Attorney Harrison Present
Marie Jabalee, Administrative
Manager Present
1. CONSENT AGENDA
1.1 Approval of minutes of May 5, 2010.
1.2 Ratification of payment of the May Cardmember Services statement for
the April phone bill, office supplies and postage.
1.3 Ratification of payment of the June Cardmember Services statement for
the May phone bill.
1.4 Ratification of payment of the July Cardmember Services statement for
the June phone bill.
1.5 Approval to pay Gabriel, Roeder Smith & Co. for invoice #112197,
actuarial services through 6/30/2010.
1.6 Approval to pay Citi Smith Barney for consulting services from 4/1/2010
to 6/30/2010.
Motion by Corbin, second by Duke to approve the May 5, 2010 minutes. The
motion passed unanimously.
Motion by Corbin, second by Duke to approve the Consent Agenda. The
motion passed unanimously.
2. OLD BUSINESS.
3. NEW BUSINESS
2
3.1 SunTrust Bank report June 30, 2010– Blake Myton.
Mr. Myton reported that it was a difficult quarter for stocks. Fixed income was the
best performer in the portfolio. Domestic markets outperformed International and
emerging markets did better than developed markets. Major concerns were
housing, tight credit and sovereign debt. In reference to the Protection of Florida
Investment Act the Division of Retirement advises that the statute does not
prohibit increasing security holdings in identified scrutinized countries when the
percent cap is increased more then 10% if the investment manager currently
holding the securities advises that they have no other product that complies with
the state requirement. However, local law plans may direct investment
managers not to increase such holdings.
3.2 Graystone Consulting report – June 30, 2010– Charles Mulfinger
Mr. Mulfinger agreed with Mr. Myton’s assessment of current economic
conditions. The Plan’s investment allocation is within the policy guidelines and
he has no concerns regarding the manager’s investment strategy. Earnings for
the quarter were -5.66%.
3.3 Addendum to SunTrust Authorized Signers form.
Motion by Corbin, second by Rafacz to approve item 3.3. The motion passed
unanimously.
3.4 Northwestern Mutual and The Russell Co. – Mr. Shawn DeRosa
Representatives from the firm gave a presentation outlining their investment
policies and the benefits they provide to their clients.
After discussion of the presentation, the Trustees expressed their satisfaction
with the current manager. They thanked Mr. DeRosa for the presentation and
agreed that if they should decide to change investment mangers in the future
they would go through the RFP process. .
4. CORRESPONDENCE
4.1 NONE
5. RETIREMENT & WITHDRAWAL APPLICATIONS
NONE
6 .OPEN DISCUSSION
6.1 Attorney’s comments:
Mr. Harrison reminded the Trustee to file their financial disclosures Forms.
Legislative action re Laws of Florida.
Mr. Harrison discussed the optional amendments recently passed by the Florida
Legislature regarding the following:
Compliance with the Florida Investment Protection Act (recommended adoption)
3
Change in Joint Annuitant (actuarial impact studies show no cost to plan as long
as wording in amendment provides that member assumes liability for any
additional cost.)
Full Funding upon Plan termination (Recommends adoption)
Longer Trustee terms (recommends adoption extending terms “up to four years”)
Increase foreign investment limit (limits have been increased from 10% to 15%)
The item was tabled for further consideration.
Discussion of IRS requirements regarding Qualified Plan status and the need to
review Plan to insure that all IRS requirements have been included in Plan since
the qualified determination was issued.
7. ADJOURN
Adjourn at 4:45P.M.
_____________________
Secretary