HomeMy WebLinkAbout10-08-1996 Minutes MINUTES OF THE GENERAL EMPLOYEES RETIREMENT TRUST FUND
4160, MEETING HELD OCTOBER 3, 1996
STATUS REPORT ON BOARD MEMBERSHIP
The two year terms of both Chairperson Miller-McCallister and Member Oliver expired
September 30. Mrs. Miller-McCallister had requested that she not be reappointed to serve
on this Board due to scheduling difficulties, and Mr. Daniel Murphy was appointed by the
City Commission to till that vacancy. As reflected in the October 2 Canvassing Board
Minutes, Mr. Donald Carter was elected by employees to serve a two year term beginning
October 1. The primary purpose of this called meeting was for the two appointed and two
elected members to choose the fifth member according to the procedures established in the
adopting ordinance. In the absence of a chairperson, the meeting was chaired by Secretary
Grafton.
CALL TO ORDER
Secretary Grafton called the meeting to order in the Commission Chambers Conference
Room at 4:05 p.m. The roll was called and a quorum declared present.
PRESENT: Members Carter. Dabbs. Murphy, and Grafton. Also present were Board
Attorney Denner and employee Fran Gosnell.
MLNUTES APPROVED
Upon a motion by Member Murphy and second by Member Dabbs. the minutes of the
General Employees' Retirement Trust Fund Meeting of October 2, 1996 were unanimously
approved as presented.
QUESTIONS CONLMENTS FROM AUDIENCE
Mrs. Fran Gosnell. secretary to the City Manager, addressed the Board on several issues.
She expressed an interest in conducting a survey of surrounding cities and those similar in
size and growth to Ocoee regarding multipliers. Board Attorney Denner advised that he had
all that data available in his office and would provide a copy for her use. There was
discussion about the difference in the City's contribution to police:tire employees' retirement
versus general employees' retirement as well as the City's discontinuing short term disability
coverage. Mrs. Gosnell suggested that a newsletter in layman's terms from the Pension
Board would be helpful to keep the employees informed about their benefits and the efforts
of the Board on the employees' behalf. She asked that the Board reconsider the policy
regarding long term members' withdrawing their funds when they leave, and she cited the
case of Barbara Spainhoward who was employed for twelve years and then upon leaving had
to make the choice of leaving her contributions in place in order to draw her retirement many
years from now, or withdrawing her contributions without interest, including in the process
losing the City's contributions to her fund along with paying 20% taxes and the 10% penalty
for early withdrawal. Mr. Denner explained the difference between a defined benefit plan
such as ours (where the City provides the balance of the needed funds annually to assure full
funding) and a defined contribution plan such as a 401K (where the investor could lose
heavily in a bad investment choice and have nothing left for retirement).
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Ocoee General Employees' Retirement Trust Fund Board of Trustees Meeting
October 8, 1996
Secretary Grafton pointed out that Mrs. Gosnell's suggestions could be considered during
the review and update of the Rules and Regulations and Summary Plan Description during
the next meeting. Member Dabbs pointed out that there were many objections to the
elections procedure regarding the voter's signature on the envelope when casting a ballot and
Member Murphy noted also that something should be included regarding how to break a tie
vote in an election.
NOMINATION/ELECTION OF 1+114'1'H TRUSTEE
Member Dabbs nominated Mrs. Joyce Oliver to serve as the fifth trustee and moved that the
Board cast a unanimous ballot. Secretary Grafton seconded and the motion carried 4-0.
OTHER BUSINESS
BILLS AUTHORIZED FOR PAYMENT
The bills presented for payment were as follows:
Christiansen and Delmer $1,708.85
City of Ocoee - Postage for August 6.24
Member Dabbs moved to pay the bills as presented. Member Carter seconded and the
motion carried 4-0.
REPORT/CONMIENTS FROM ATTORNEY
Attorney Denner reported:
1. The Federal changes required to be implemented by January 1. 2000 regarding §415
of the Code are now in the Plan.
Military buy-backs are not subject to §415.
3. 457 Deferred Comp funds will now be held in trust.
4. The 57.500 maximum annual limit on contributions to 457 Deferred Comp plan funds
will be indexed back to September 30. 1994 and will be increased in increments of
$500 as the indexing hits those marks.
5. Our plan is as current as it can be.
ADJOURNMENT
The meeting adjourned at 5:05 p.m.
Jean Grafton, Secretary