HomeMy WebLinkAboutItem 09 Ordinance Amending Ordinance No. 96-20, Section 4, re: Police Officers’ and Firefighters’ Retirement Trust Fund
AGENDA ITEM COVER SHEET
Meeting Date: 10/04/05
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Item #
Contact Name:
Contact Number:
James Carnicella
1032
Background Summary:
The Pension Board Trustees and the Money Managers for the City of Ocoee Police Officers' and Firefighters
Retirement Trust Funds are responsible for recommending investment strategies regarding the above mentioned
funds.
Issue:
Amend Ordinance 96-20, Section 4. Finances and Fund Management.
Recommendations
The Trustees and Money Mangers of the City of Ocoee Police Officers' and Firefighters Retirement Trust Fund
recommend amending the Fund investment strategy by providing authority to invest in common stock, capital
stock and convertible securities at market rather than at cost and not to exceed seventy percent rather than sixty
percent of the assets of the Fund.
Attach ments:
Ordinance Amendment, letter from the Pension Board Attorney Mr. Lee Dehner and a letter from the Actuary Mr.
Donlan.
Financial Impact:
None.
Type of Item: (please mark with an "x'j
Public Hearing
~ Ordinance First Reading
Resolution
Commission Approval
Discussion & Direction
_ Original Document/Contract Attached for Execution by City Clerk
_ Original Document/Contract Held by Department for Execution
Reviewed by City Attorney
Reviewed by Finance Dept.
Reviewed by ( )
N/A
N/A
N/A
Commissioners
Dannv HowelL District 1
Scott Anderson, District 2
Rusty ,Johnson, District 3
Nancy,J. Parker, District 4
Mayor
S. Scott Vandergrift
City Manager
Robert Frank
STAFF REPORT
TO:
The Honorable Mayor and City Commissioners
FROM:
James Carnicella, Pension Administrator
DATE:
September 23, 2005
RE:
Amendment to Ordinance 96-20
ISSUE
Amend Ordinance 96-20, Section 4- Finances and Fund Management.
BACKGROUNDIDISCUSSION
The Money Managers for the City ofOcoee Municipal Police Officers' and Firefighters Trust Fund have
recommended to the Pension Board they consider amending the authority of the Money Managers to invest
funds within certain limits. The Pension Board has approved the same and requested the Attorney for the Board
to prepare the attached amendment. The Actuary from Foster and Foster, Inc. has also included a letter that
indicates there is no financial impact to the City as a result of this amendment and as a result there is no need for
an actuarial impact statement.
The revisions contained in this amendment will allow the Money Manager to invest in common stock, capital
stock and convertible securities at market rather than at cost, and not to exceed seventy percent of the Fund,
rather than sixty percent of the assets of the Fund.
The Money Managers and the Attorney will be available for the reading at the Commission meeting.
ORDINANCE NO.
AN ORDINANCE OF THE CITY OF OCOEE, FLORIDA,
RELATING TO THE CITY OF OCOKE MUNICIPAL POLICE
OFFICERS' AND FIREFIGHTERS' RETIREMENT TRUST
FUND; AMENDING ORDINANCE NUMBER 96-20, AS
SUBSEQUENTLY AMENDED; AMENDING SECTION 4,
FINANCES AND FUND MANAGEMENT; REPEALING ALL
ORDINANCES IN CONFLICT HEREWITH AND PROVIDING
AN EFFECTIVE DATE.
SECTION 1: Authority. The City Commission of the City ofOcoee has the authority
to adopt this ordinance pursuant to Article VIII of the Constitution of the State of Florida and
Chapter 166, Florida Statutes.
SECTION 2: That Ordinance No. 96-20, adopting the amended and restated City of
Ocoee Municipal Police Officers' and Firefighters' Retirement Trust Fund, as subsequently
amended, is hereby further amended by amending Section 4, Finances and Fund Management,
subsection, B.( 5)( c), to read as follows:
B.
(5)
(c)
The Board shall not invest more than five percent (5%) of its assets
in the common stock, capital stock, or convertible securities of any
one issuing company, nor shall the aggregate investment in anyone
issuing company exceed five percent (5%) ofthe outstanding capital
stock of that company; nor shall the aggregate of its investments in
common stock, capital stock and convertible securities at 'C'O'5t market
exceed mty seventy percent t6B%1 (70%) of the assets of the Fund.
SECTION 2. Repeal of Ordinances. All ordinances or parts of ordinances in conflict
herewith are hereby repealed.
SECTION 3. Effective Date. This ordinance shall take effect upon second reading
and adoption.
PASSED AND ADOPTED this _ day of
,2005.
ATTEST:
APPROVED:
CITY OF OCOEE, FLORIDA
Beth Eikenberry, City Clerk
By:
S. Scott Vandergrift, Mayor
1
(SEAL)
ADVERTISED
READ FIRST TIME
READ SECOND TIME AND ADOPTED
FOR USE AND RELIANCE ONLY BY
THE CITY OF OCOEE, FLORIDA
APPROVED AS TO FORM AND LEGALITY
THIS day of ,2005.
CHRISTIANSEN & DEHNER, P.A.
Special Counsel
By:
noc \ocoee\pf\06-05 .ord
APPROVED BY THE OCOEE CITY
COMMISSION AT A MEETING HELD
ON ,2005, UNDER
AGENDA ITEM NO.
2
FOSTER & FOSTER, INC.
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TELEPHONE
(239) 433-5500
6290 CORPORATE COURT, C-201
FORT MYERS, FLORIDA 33919
FACSIMILE
(239) 481- 0634
August 16, 2005
Capt. Tony Wilson, Chairman
City of Ocoee Police Officers'
and Firefighters' Pension Board
150 North Lakeshore Drive
Ocoee, FL 34761
Re: Police Officers' and Firefighters'
Retirement Trust Fund
Dear Tony:
In response to H. Lee Dehner's letter dated August 5,2005, we have reviewed the
proposed Ordinance, identified on page 2 as noc\ocoee\pf\06-05.ord, amending the
investment provisions of the Plan and have determined that its adoption will have no
financial impact on the funding requirements to the program.
Because the changes do not result in a financial impact on the funding requirements, it
is our opinion that a formal Actuarial Impact Statement is not required in support of its
adoption. However, since the Division of Retirement must be aware of the current
provisions of all public pension programs, it is recommended that you send a copy of
this letter and a copy of the fully executed Ordinance to each of the following offices:
Mr. Charles Slavin
Division of Retirement
Bureau of Local Retirement Systems
P. O. Box 9000
Tallahassee, FL 32315-9000
Ms. Patricia Shoemaker
Division of Retirement
Municipal Police and Fire
Pension Trust Funds
P.O. Box 3010
Tallahassee, FL 32315-3010
If you have any questions, please let me know.
Sincerely,
f~\)~
Patrick T. Donlan
PTD/hja
cc: Jim Carnicella, H.R. Director
H. Lee Dehner, Board Attorney
Mr. Rob Frank, City Manager
05-08-18POl :2.8 RCVD
LAW OFFICES
CHRISTIANSEN & DEHNER, P.A.
SCOTT R. CHRISTIANSEN
H. LEE DEHNER
63 SARASOTA CENTER BLVD.
SUITE 107
SARASOTA, FLORIDA 34240
PHONE: (941)377-2200
FAX: (941)377-4848
August 5, 2005
Mr. Rob Frank
City Manager
City of Ocoee
150 N. Lakeshore Drive
Ocoee, FL 34761
Re: City ofOcoee Pension Plans
Dear Rob:
As directed by the Board of Trustees of the City of Ocoee Municipal General Employees'
Retirement Trust Fund and the City of Ocoee Police Officers' and Firefighters Retirement Trust
Fund, I am forwarding proposed ordinances for each plan. These proposals amend each plan by
increasing the investment in equity securities from 60% at cost to 70% at market value ofthe assets
of the fund and for the General Employees' Plan only, increases that fund's investment in
international securities from 10% at cost to 20% at market. These amendments are proposed at the
recommendation of the money managers for the two Plans.
Please review these documents, and ifthey met with your approval, take the necessary steps
to have them read by the City Commission. As it will be advisable to have the money managers and
myself present at first reading, please contact my office for scheduling purposes.
By copy ofthese ordinances to the Boards' Actuary, Foster & Foster, Inc., I am requesting
them to prepare the appropriate actuarial analyses and forward them to you.
If you have any questions or comments, please do not hesitate to contact me.
Yours very truly,
~~
H. Lee Dehner
HLD\noc
enclosures
cc: Ward Foster, with enclosure
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