HomeMy Public PortalAbout2023-06-06_Quarterly_Meeting_MinutesCITY OF CRESTVIEW GENERAL EMPLOYEES' PENSION TRUST FUND
PENSION BOARD OF TRUSTEES
TRUSTEES PRESENT:
TRUSTEES ABSENT:
OTHERS PRESENT:
QUARTERLY MEETING MINUTES
198 N. Wilson Street
Crestview, FL 32536
Tuesday, June 6, 2023, at 1 :00pm
Joe Carr
Jerry Maughan
Chuck Powell
Wayne Steele
Gene Strickland
None
Tyler Grumbles, AndCo
Stu Kaufman, Klausner, Kaufman, Jensen, & Levinson
Sean Sendra, Klausner, Kaufman, Jensen, & Levinson
Joe Griffin, Foster & Foster
Michelle Rodriguez, Foster & Foster
1.Call to Order -Chair Jerry Maughan called the meeting to order at 1 :00pm.
2.Roll Call -As reflected above.
3.Public Comments -None.
4.Approval of Minutes
a.February 28, 2023, quarterly meeting
The minutes from the February 281 2023, quarterly meeting were approved as presented,
upon motion by Wayne Steel and second by Joe Carr; motion carried 5-0.
5.Reports /Attorney/Consultants)
a.Foster & Foster, Joe Griffin, Plan Actuary
i.October 1, 2022, Actuarial Valuation Report
1.Joe Griffin reviewed the report and commented the purpose of the
valuation was to take a snapshot of the financial health of the plan
and determine the contributions required to fund the plan.
2.Joe Griffin commented due to an overall unfavorable actuarial
experience, the City's minimum required contributions increased
by .5%.
3.Joe Griffin commented there had been no changes in plan
provisions or actuarial assumption since last year's report.
The Board approved the October 1. 2022. actuarial valuation report as presented. upon
motion by Joe Carr and second by Chuck Powell; motion carried 5-0.
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The Board voted the declaration of returns for the plan shall be 7 .0% for the next year,
the next several years, and the long-term thereafter net of investment related expenses,
upon motion by Wayne Steele and second by Gene Strickland; motion carried 5-0.
b.AndCo Consulting, Tyler Grumbles, Investment Consultant
i.Quarterly report as of March 31, 2023
1.Tyler reviewed the market environment over the last quarter and
commented that even with the Fed increasing its rates, longer
term rates have decreased, and short-term rates have increased.
2.Tyler commented the real estate market experienced a downturn.
3.Tyler reviewed the asset allocations of the fund and commented
he did not have any recommendations for rebalancing at this time.
4.As of March 31, 2023, the market value of assets was
$22,600,703.
5.The gross earnings for the quarter were 4.49%, slightly
underperforming the benchmark of 4.68%. The fiscal year-to-date
returns were 9. 79%, underperforming the policy benchmark of
10.33%. The trailing returns for the 1, 3, 4, and 5-year periods
were -4.22, 10.90%, 6.96%, and 6.51% respectively. Since
inception (07/01/1998) returns were 6.41 %, outperforming the
policy benchmark of 6.02%.
c.Klausner, Kaufman, Jensen, & Levinson, Stu Kaufman, Board Attorney
i.Proposed Ordinance Amendment -RMD Age
1.Sean Sendra reviewed the proposed language and the board
agreed by consensus to request a no impact letter from the
actuary and send to the City for first reading.
ii.Legal/Legislation update
6.New Business
1.Sean Sendra reviewed the memo and commented House Bill 3
recently passed the Florida House and Senate and went into
effect July 1, 2023.
2.Sean Sendra commented the bill stipulated that only pecuniary
factors may be used when making investment decisions and
specifically prohibited trustees to consider Environmental, Social
and Governance (ESG) factors when making investment
decisions. Sean commented the legislation did not prohibit any
specific funds, but rather seeks to regulate the reason for
choosing funds. Sean commented this board was already in
compliance because they only used data points provided by their
investment consultant to make all of their investment decisions.
3.Sean Sendra commented the legislation would require additional
reporting requirements and added his firm was waiting for the
State to issue guidance on the process.
a.Outstanding Benefit Checks -Lia Randolph
i.Michelle Rodriguez advised the board beneficiary Lia Randolph receives
a $243.43 benefit payment and of that, $200 was sent directly to the City
to pay her health insurance premium. Michelle commented the remaining
$43.43 was sent to her as a paper check via US Mail and many of the
checks have remained uncashed.
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ii.Michelle Rodriguez advised the board several attempts had been made to
contact Ms. Randolph and she would now instruct the custodian to stop
payment on all outstanding checks, discontinue sending any future
checks and then send Ms. Randolph a certified letter to request she
complete a direct deposit form.
7.Old Business None.
8.Consent Agenda
a.Payment ratification -Warrants #28
b.Invoices for approval -None
c.Fund activity report for February 22, 2023 -May 30, 2023
The Board voted to approve the Consent Agenda as presented, upon motion by Chuck
Powell and second by Wayne Steele; motion carried 5-0.
10.Staff Reports, Discussion and Action
a.Foster & Foster, Michelle Rodriguez, Plan Administrator
i.Financial disclosure forms
1.Michelle reminded the board to submit their financial disclosure
forms to the Supervisor of Elections in the County in which they
reside by July 1 st -
ii.Upcoming educational opportunities
1.Michelle reviewed education opportunities that are available to the
board.
11.Trustee Reports, Discussion and Action -None.
12.Adjournment-The meeting adjourned at 2:34 pm.
13.Next Meeting August 29, 2023, at 1 :00pm.
Respectfully submitted by:
Date Approved by the Pension Board:
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