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HomeMy WebLinkAbout2008-11-17 Police & Fire Pension Board Minutes City of Dania Beach Police and Fire Fighters Retirement System 113 S.W. 1 Street Dania Beach, Florida 33004 Phone: (954) 921-0404 Fax: (954) 921-1403 E-mail: PFPENS@bellsouth.net Page 1 of 4 MINUTES NOVEMBER 17, 2008 REGULAR MEETING I. CALL TO ORDER • The meeting was called to order by Chairman Rogers at 6:45 pm MEMBERS PRESENT: MEMBERS ABSENT: Chairman Larry Rogers Vince Marlin Vice Chairman Ted Spongross Secretary Beulah Lair John Williamson Wardell Lee Roger Handevidt Commissioner John Bertino Carolyn Jones ALSO PRESENT: Ken Harrison — Sugarman & Susskind, PA Mike Welker— Bogdahn Consulting Mike Brown - Barings Asset Management II. APPROVAL OF MINUTES MOTION by Beulah Lair to accept the minutes from the September 15, 2008 meeting as submitted. SECOND by Carolyn Jones PASSED UNANIMOUSLY November 17, 2008 Page 2 of 4 III. CONSENT AGENDA No items listed on the Consent Agenda IV. OLD BUSINESS 4.1 ' Pop-Up" Provision The systems actuary, Steve Palmquist researched and contacted the systems administrator regarding the"Pop-Up" provision. The "Pop-Up" provision was included in the 2002 State Report and went into affect 10-1-2002. The "Pop-Up"option was automatically included for any DROP participant or fire fighter retirement on or after 10-1-2002 even though it was not stated in the joint and survivor options available form completed when selecting retirement . In the future the retirement options form will be amended to include the "Pop-Up" in the wording of joint and survivor selections. Discussion took place regarding a letter to be sent to retirees indicating their benefits that include the "Pop-up". • MOTION by Beulah Lair to have Steve Palmquist prepare a letter to the Board verifying the "Pop-up". SECOND by Roger Handevidt PASSED UNANIMIOUSLY 4.2 Baring Asset Management Baring Asset Management presented their firms policy and Investment earnings. Current assets under management are $38.5 bn with a long history of investing in foreign markets. TABLED by Chairman Larry Rogers to this possible change in foreign investments until January 2009 in order to review investment earnings of Barings Asset Management, ICC Capital Management and Voyageur International Asset Management again due to the turbulent market conditions. V. NEW BUSINESS 5.1 Gabriel Roeder. Smith &Company Fee Increase Gabriel, Roeder, Smith & Company is requesting a fee increase For regular annual services from $11,696.00 to $13,791.00 and a separate charge for DROP statements from around $2900.00 to $3000.00. TABLED until Steve Palmquist brings the item back to the Board. November 17, 2008 Page 3 of 4 5.2 Steve Palmauist. Gabriel. Roeder, Smith &Com ag_ny Steve Palmquist discussed with the Board the Systems Chapter 175 reserve revenue, the reserve for future benefit provision and the "COLA" provision. It was noted that the COLA provided in the plan was a performance base COLA and may not be granted according to state statutes until the accrued actuarial losses are paid off. The provision for future benefits was explained as the funding is prioritized by repaying the retiree's 1/3 health premium first, reimbursing the city for the remaining health premium and then funding a reserve for future benefits. 5.3 Steven I. Gordon, CPA The administrator has received the system's auditor, Steven I. Gordon's Engagement letter for the forthcoming audit of September 30, 2008. • The fee will be $5800.00 for the audit and $1,100.00 for the State Report MOTION by Beulah Lair for the Chairman to sign the Engagement Letter and authorize fees of$5800.00 for the audit and $1,100.00 for the State Report SECOND by Roger Handevidt PASSED UNANIMIOUSLY VI. CORRESPONDENCE 6.1 Investment Manager Market Turbulence Letters. The system has received response from all investment managers in response to The Bogdahn Group's request for a letter to be sent to the system outlining their perspective and strategy with regard to the market, the systems portfolio and the investment guidelines established in the Investment Policy Statement. 6.2 Voyageur Asset Management Jack Farland departed Voyageur on October 31. Mike Spencer, Senior Portfolio Manager will be our primary client service contact. • November 17, 2008 Page 4 of 4 VII. NEW EMPLOYEE APPLICATIONS-none VIII. RETIREMENTS / TERMINATIONS-none IX. OPEN DISCUSSION AND INFORMATION 9.1 Attorneys Report Attorney Harrison discussed with the Board various pending issues regarding pensions X. ADJOURN MOTION b Chairman Larry y ry Rogers to adjourn meeting SECOND by Beulah Lair Meeting adjourned at 9:20 PM • •