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HomeMy WebLinkAbout08-02-2017 Minutes CITY OF OCOEE MUNICIPAL GENERAL EMPLOYEES' RETIREMENT TRUST FUND BOARD OF TRUSTEES QUARTERLY MEETING MINUTES City Hall, Commission Chambers Wednesday, August 2, 2017, at 10:00AM TRUSTEES PRESENT: Jean Grafton Patricia Gleason Robert Godek Robert Briggs Gequita Cowan TRUSTEES ABSENT: None OTHERS PRESENT: Ferrell Jenne, Foster&Foster Tim Nash,AndCo Consulting Debbie Kocsis, Salem Trust Lynn Skinner, Salem Trust 1. Call to Order—Robert Godek called the meeting to order at 10:03AM. 2. Roll Call—As reflected above. 3. Public Comments—None. 4. Approval of Minutes The minutes from the May 3, 2017, quarterly meeting were approved upon motion by Jean Grafton and second by Patricia Gleason, motion carried 5-0. 5. Consent Agenda a. Warrants#34,#35 for ratification. b. Warrant#36 for payment approval. i. Ferrell Jenne reviewed the warrants with the board. The consent agenda was approved upon motion by Robert Briggs and second by Jean Grafton, motion carried 5-0. 6. New Business a. Quarterly Fund Activity report for April 27, 2017-July 26, 2017. i. Ferrell Jenne reviewed the Fund Activity report with the board. The fund activity report was approved as presented upon motion by Jean Grafton and second by Geguita Cowan, motion carried 5-0. b. Trustee term expirations i. Ferrell Jenne reviewed the terms set to expire on September 30, 2017. ii. All trustees expressed interest in serving another term. iii. Ferrell Jenne commented that she will work with the City Clerk to send a notice to the membership regarding Robert Brigg's seat. The notice will inform the membership that his term is up and will ask if anyone is interested in running against him. 7. Old Business—None • 1 8. Reports a. Salem Trust Company, Lynn Skinner/Debbie Kocsis, Board Custodian i. Lynn Skinner and Debbie Kocsis introduced themselves and advised that the first benefit payments from Salem Trust were made to the retirees on August 1, 2017. ii. Lynn Skinner briefly reviewed the transition process that occurred with Fifth Third. iii. Lynn Skinner reviewed the forms needed to complete the plan set-up. iv. Tim Nash reviewed the rebalancing letter that he can draft; Salem Trust confirmed that was acceptable. The Board had no questions. v. Lynn Skinner reviewed the class action authorization form, advising the board that they use a third party(Chicago Clearing)to process the class actions. Lynn advised that after the claims have been settled, Chicago Clearing will deduct a 20% processing fee and the net proceeds would then be deposited into the plan's account. vi. Tim Nash recommended the Board to utilize the Salem Trust class action processing service. The board approved Salem Trust to provide the class action processing services for a fee of 20% of the award upon motion by Robert Briggs and second by Jean Grafton, motion carried 5-0. vii. Tim Nash reviewed the money market sweep authorization form and all options. Tim recommended the Goldman Sachs Treasury Fund. The board approved the Goldman Sachs Financial Square Treasury Fund option as the cash management sweep upon motion by Jean Grafton and second by Gequita Cowan, motion carried 5-0. viii. Debbie Kocsis reviewed the disbursement process and commented that all requests are processed in 3-5 business days. Debbie reviewed the 1099-R process and informed the Board that all monthly payments are made on the first business day of the month. b. AndCo Consulting, Tim Nash, Investment Manager i. Quarterly report as of June 30, 2017. 1. Tim Nash gave a brief overview of the market environment during the quarter. 2. Tim Nash reviewed the performance of each manager and the financial reconciliation through June 30, 2017. 3. Market value as of June 30, 2017, was$36,141,263. 4. Net returns for the quarter were 3.11%, outperforming the policy benchmark of 2.94% and placing the fund in the 30th percentile on a gross basis. Trailing net returns for the 1, 3, and 5 year periods were 11.99%, 5.91%, and 8.92%. Since inception (4/1/2004), net returns were 6.52% slightly underperforming the policy benchmark of 6.77%. 5. Tim Nash reviewed the asset allocations commenting that Brown advisory has been removed from the portfolio and the MFS Growth Fund has been added. 6. Tim Nash reviewed the Peer Group Analysis, commenting the plan has performed well for the third, fourth and fifth year trailing periods. 7. Tim Nash reviewed the compliance checklist. 9. Staff Reports, Discussion and Action a. Educational opportunities. i. Ferrell Jenne reminded Board about upcoming FPPTA conferences. 2 b. Confirmation of receipt of benefits verification. i. Ferrell Jenne gave an update on the PF-1 is, commenting that 77 letters went out on June 1, 2017, and follow-up letters went out on July 20, 2017 to five members who had not returned their form. 10. Adjournment—The meeting adjourned at 11:00am. 11. Next Meeting—November 1, 2017 at 10:00AM. R- •ectfully sub itted by: Appr j y: i . 51.11 Jenne Name: Robert Godek Title: Plan Administrator Title: Chairman Date Approved by the Pension Board: NUv Lill(3F. ler \ t .,O 1 3