HomeMy Public PortalAboutR3556 ST Employees Pension Plan Investment Manager Change - UBSRESOLUTION NO. 3556
WHEREAS, the adoption of Resolution No. 3556 will authorize the Secretary-
Treasurer of The Metropolitan St. Louis Sewer District to liquidate assets held in the UBS Realty
Investors LLC, Real Estate Separate Account (“RESA”) within the Defined Benefit Plan as
recommended by the District’s pension investment consultant, Aon Hewitt Investment
Consulting, Inc.
WHEREAS, Resolution No. 2 6 33, adopted March 9, 2006, appointed UBS Realty
Investors, LLC a District Pension fund manager, and
WHEREAS, The Metropolitan St. Louis Sewer District has established an
Employee Pension Plan in accordance with the Charter Plan, as amended June 5, 2012, Section
3.020(22). Article 9 of the Pension Plan allows the Board of Trustees to appoint investment
managers and direct the Trustee of the Pension Plan to invest a specified portion of the Pension
Fund in a particular asset or assets, and
WHEREAS, in the form of a Pension Plan, Ordinance No. 4641, as amended,
provides for the pensioning and other retirement benefits of employees of MSD and the spouses
and minor children of deceased employees, and provides for the payment of public funds for
such purposes, in accordance with the MO Constitution of 1945, as amended, and the MO
Statutes enacted authorizing said Pension Plan, and
WHEREAS, specifically, Article 9.3 of the Pension Plan provides that the Board
of Trustees of the District, may from time to time, appoint one or more investment managers and
direct any Trustee or Trustees of the Pension Plan with respect to all or a specified portion of the
assets of the Pension Fund held by said Trustee. Such investment managers must meet the
requirements of section 3(38) of the Employee Retirement Income Security Act of 1974, P.L. 93-
406, as amended, and
WHEREAS, specifically, Section 9.3 of the Pension Plan provides that the Board
of Trustees of the District may, from time to time, direct the Trustee of the Pension Plan to invest
a specified portion of the Pension Fund in a p articular asset or assets, and
WHEREAS, The Defined Benefit Plan Statement of Investment Policy,
Objectives and Operating Guidelines (“Investment Policy”), Resolution 3416, Adopted April 12,
2018, has set the target allocation of the Real Estate asset class at 0 – 12%, and
WHEREAS, specifically, Section IV, Paragraph B of the Investment Policy
provides that the Secretary-Treasurer and the Consultant review the asset allocation at least
quarterly and develop a plan to rebalance allocations to target, and
WHEREAS, the Board of Trustees of The Metropolitan St. Louis Sewer District
presently receives services from Aon Hewitt Investment Consulting, Inc., per Ordinance No.
15006, adopted August 13, 2018, to act as the employee pension fund investment consultant and
provide investment advisory services, and
WHEREAS, Aon Hewitt Investment Advisors, Inc. has conducted a review and
evaluation of the Employee Pension Fund investment activities, and has made certain pension
fund investment recommendations to th e Board of Trustees.
NOW, THEREFORE, BE IT RESOLVED, the Secretary-Treasurer of The
Metropolitan St. Louis Sewer District is hereby authorized to liquidate assets held in the UBS
Realty Investors LLC, Real Estate Separate Account (“RESA”) within the Defined Benefit Plan
as recommended by the District’s pension investment consultant, Aon Hewitt Investment
Consulting, Inc.
The foregoing Resolution was adopted on December 12, 2019 by the following vote:
Ayes – A. Mandel, J. Singer, J. Faul; and A. Fehr
Nays – None.
Secretary-Treasurer