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Board Agenda 10-9-14CITY OF ATLANTIC BEACH BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUNDS BOARD MEETING AGENDA FOR October 9, 2014 at 6:30P.M. Call to Order both boards 1. Courtesy of the Floor to Visitors 2. Approval of the Minutes for September 11 , 2014, Police Officers' board meeting-(1) 3. Approval of the Minutes for September 11 , 2014, General Employees' board meeting-(2) 4. To be discussed by Michael O'Shields, Morgan Stanley Smith Barney: a. Recap Investment Performance for the Police Officers' for the period ended 09/30114 and subsequent activity since. b. Recap Investment Performance for the General Employees' for the period ended 09/30/14 and subsequent activity since. 5. Approval of Benefit Changes-General Employees-(3) 6. Any New Business 7. Adjournment-Police 8. Adjournment-General CITY OF ATLANTIC BEACH GENERAL EMPLOYEES' PENSION BOARD OF TRUSTEES: 4 year term; no term limit The board members are required to file Statement o(Financial Interests N arne and Address Position Employee Elected Tim Townsend Chair 902 Assisi Lane Atlantic Beach, FL 32233 ttownsend @coab. us Employee Elected Timmy Johnson Member 716 Ocean Blvd Atlantic Beach, FL 32233 tj ohnson @coab. us Civilian Appointed by Commission Ray Brandstaetter Member 254 Oceanwalk Dr. S. Atlantic Beach, FL 32233 brandstaetter@comcast.net Civilian Appointed by Commission - Alan Gleit Secretary 10 Tenth Street #32 Atlantic Beach agleit@hotmail.com Business Phone (904) 247-5839 (904) 247-5828 (904) 206-2655 Resident selected by Board, Confirmed by Commission Gil Flores Vice Chair 271 Sailfish Drive E . Atlantic Beach, FL 32233 gflores @coab .us Home Phone Term Expiration 02116118 09 /24118 (904) 247-2867 06 /09 /18 (904) 241-9966 10 /11115 (904) 613-4195 05 /09115 CITY OF ATLANTIC BEACH POLICE EMPLOYEES' PENSION BOARD OF TRUSTEES: 4 year term; no term limit The board members are required to file Statement o(Financial Interests Business Name and Address Position Phone Employee Elected Vic Gualillo Chair 247-5859 Atlantic Beach Police Department 850 Seminole Road Atlantic Beach, FL 32233 vgualillo @coab. us Employee Elected David Cameron Member 247-5859 Atlantic Beach Police Department 850 Seminole Road Atlantic Beach, FL 32233 dcameron @ coab.us Ci vilian Appointed by Commission William (Bill) T. Tomson Member 377 12th Street Atlantic Beach, FL 32233 williamtomson@ gmail.com Ci vilian Appointed by Commission John Wolfel Vice Chair 435 Inland Way Atlantic Beach, FL 32233 John. Wolfel @ comcast.net Re sident selected by Board , Confirmed by Commission Tim Saggau Member 2032 Duna Vista Court Atlantic Beach, FL 32233 Timsaggau@yahoo.com Home Phone N/A N I A 853-6985 699-8887 241-9800 (FAX) 838-3900 Term Expiration 02 /28 /18 08 /01 /17 12/31 /17 10/11117 6/10117 CITY OF ATLANTIC BEACH BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUND POLICE EMPLOYEES' PENSION BOARD MEETING MEETING MINUTES September 11, 2014 1. The City of Atlantic Beach Police Employees' Pension Board meeting was called to order at 6:30P.M. The members in attendance were trustees: David Cameron, John Wolfel, and Bill Tomson. Pension Plan Administrator Nelson VanLiere, and Investment Advisor Michael O'Shields , were also in attendance . 2. Courtesy of the floor to visitors. There were no visitors . 3. Approval of the Minutes for August 14, 2014, Police Employees' board meeting. Motion to approve was made by bill Tomson and seconded by David Cameron. The vote to approve was unammous. 4. Michael O'Shields led the discussion on investment performance as of 9/10/14 including year to date information. Discussion related to current equity and bond investment allocation, and rate of return . The ending portfolio value of $8 ,048 ,518 represents a net return of 7.4% (net of fees) for the last 12 months ended September 10 , 2014. David Cameron asked if we are on track to meet the funded amount and Michael said we are. Motion to keep the allocation the same for now and re- address in October was made by David Cameron and seconded by Bill Tomson. The vote to approve was unanimous . 5. Discussion of Investment Return Charts as of June 30,2014. Michael O'Shields gave an update of the fund performance after June 30 , 2014 , shown on the chart provided by Pension Board Attorney Scott Christiansen. The higher risk funds have shown a loss since June 30th. The goal of the Risk Adjusted plan the Board adopted is steady growth with minimal loss. (See attached chart) 6. Acknowledged Receipt of 2013 Premium Tax Distribution. A warrant has been received and the funds deposited. The required return documentation to the state was mailed on August 20, 2014. 7. New business. David Cameron requested approval to attend the 44th Annual Police Officers' Pension Trustees Conference with Vic Gualillo. John Wolfel mentioned he might go as well. There is no fee to attend however lodging will be required. Members attending the conference will submit the necessary travel request forms . 8. Adjournment -David Cameron made a motion to adjourn the meeting at 7:14PM. Vic Gualillo Chair David Cameron Secretary .- - - - Pl a n Sp o n s o r Pe e r Gr o u p An a l y s i s vs . . A l l Pu b l i c Pl a n s - T o t a l Fu n d 23 . 0 20 . 0 17 .0 14 . 0 E :: > 11 . 0 ' i 0: : 8, 0 5. 0 2. 0 -1 . 0 e 45 % R3 0 0 0 I 15 % EA F E I 40 % AG G 5t h Pe r c e n W e 1s t Qu a r t i l e Me d i l i n 3r d Qu a r t i l e 95 t h Pe r c e n t i l e Pa r e n t h e s e s co n t a i n pe r c e n t i l e ta 1 1 k i ' l g • . Ca l c u l a Uon ba s e d on mo n th l y pe r i o < i e i t y . QT R 3.66 (4 7 ) 4. 6 2 3. 9 9 3. 6 3 3. 2 7 2. 6 1 } YT D Fi s c a l YT D 5 .52 (4 6 ) 11 . 1 0 (5 5 ) 7. 3 4 13 . 9 2 6. 1 1 12 . 2 9 5. 4 1 11 . 2 6 4. 7 7 10 . 3 3 3. 6 7 8 .23 ~ ~\Y ' l c e <f eu s ~ e l \ Pl a n Sp o n s o r Peer Group Analysis 45 % R3 0 0 0 /15% EAFE /40% AGG As of June 30, 2014 --~C N \ e 30j J,.o \ L\ jf 3 , 0 o a Cl I. <g /(') 1 t? u . s ~ e \ ) :; ) , 0 0 6 ~ (-:). ~ ~0) {-3,\~o) ~ ms c : r : £ A F e ·~ ~ BC A ' 6 13 0 ! \ d - .. , 1 YR 3Y R SY R 16 . 4 5 (5 7 ) 10 . 3 1 (3 7 ) 12 . 6 4 (5 5 ) 19 . 9 4 11 .67 14 . 3 2 18 . 0 2 10 .64 13 . 4 1 16 . 8 2 9. 9 1 12 . 7 6 15 . 5 4 9. 0 1 11 . 9 3 12 . 2 3 7. 3 7 10 . 3 2 0 0.0 /0 10YR 7.15 (50) 8.34 7.62 7.13 6.64 5.76 ~THE '(......,;, BOGDAHN GROUP. CITY OF ATLANTIC BEACH BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUND GENERAL EMPLOYEES' PENSION BOARD MEETING MEETING MINUTES September 11, 2014 1. The City of Atlantic Beach General Employees' Pension Board meeting was called to order at 6:30P.M. The members in attendance were trustees: Tim Townsend, Dennis Roberts , Alan Gleit, and Gil Flores. Pension Plan Administrator Nelson Van Liere, and Investment Advisor Michael 0' Shields, were also in attendance. 2. Courtesy of the floor to visitors. There were no visitors. 3. Approval of the Minutes for August 14, 2014, General Employees' board meeting. Motion to approve was made by Tim Townsend and seconded by Gil Flores. The vote to approve was unanimous . 4. Status of Board position for Dennis Roberts. Three employees were nominated for the General Employee Pension Board . Timmy Johnson accepted the nomination while the other two declined so Timmy Johnson will step in to fill the position vacated by Dennis Roberts . 5. Michael O'Shields led the discussion on investment performance as of 9/10/14 including year to date information. Discussion related to current equity and bond investment allocation, and rate of return. The ending portfolio value of $14,960,314 represents a net return of 6.4% (net of fees) for the last 12 months ended September 10 ,20 14. Motion to keep the allocation the same for now andre- address in October was made by Tim Townsend and seconded by Dennis Roberts. The vote to approve was unammous . 6. Discussion of Investment Return Charts as of June 30,2014. Michael O'Shields gave an update of the fund performance after June 30, 2014, shown on the chart provided by Pension Board Attorney Scott Christiansen. The higher risk funds have shown a loss since June 30th. The goal of the Risk Adjusted plan the Board adopted is steady growth with minimal loss. (See attached chart) 7. No new business. 8. Adjournment-Tim Townsend made a motion to adjourn the meeting at 7:14PM. Tim Townsend Chair Alan Gleit Secretary .- - - - Pl a n Sp o n s o r Pe e r Gr o u p An a l y s i s vs . Al l Pu b l i c Pl a n s - T o t a l Fu n d 23 . 0 20 . 0 17 . 0 14 . 0 E :: I 11 . 0 a; 0: : 8, 0 5. 0 2. 0 -1 . 0 e 45 % R3 0 0 0 /1 5 % EA F E /4 0 % AG G 5t h Pe r c e n t i l e 1s t Qu a r t i l e Me d i l i n 3r d Qu a r t i l e 95 t h Pe r c e n t i l e Pa r e n t h e s e s co n t a i n pe r c e n t i l e ra n l < n g s . Ca l c u l a ti on ba s e d on mo n l h l y pe r i o d i c i t y . QT R 3. 6 6 (4 7 ) 4. 6 2 3. 9 9 3. 6 3 3. 2 7 2. 6 1 } · YT D Fi s c a l YT D 5.52 (4 6 ) 11 . 1 0 (5 5 ) 7. 3 4 13 . 9 2 6 .11 12 .29 5. 4 1 11 . 2 6 4. 7 7 10 . 3 3 3. 6 7 8 .23 ~ Pl a n Sp c m s o r Peer Group Analysis 45 % R3 0 0 0 /15% EAFE I 40% AGG As of June 30, 2014 <; , ( \ c e -:s - C N \ e 30! ')0 \ '--\ Jf - <f eu s ~ e l \ 3 , 0 o a Cl I. ~ /(') I eu . s ~ e \ ) :> , 0 0 6 ~ ms c : r : £ A F e ,_ . , . . . . . . . . _ r . = .. . . , . , . . ... a .. . . ~.z : : : - J ' " " " " - 1,.~, ~ ~ 13 C A ' 6 B( ) f ' d - ··~ -. 1 YR 3Y R SY R 16 . 4 5 (5 7 ) 10 . 3 1 (3 7 ) 12 . 6 4 (5 5 ) 19 . 9 4 11 . 6 7 14 . 3 2 18 . 0 2 10 . 6 4 13 . 4 1 16 . 8 2 9. 9 1 12 . 7 6 15 . 5 4 9. 0 1 11 . 9 3 12 .23 7. 3 7 10 . 3 2 ~(-;). ~ ~0) = {-3,\ ~0) 0 0.0 /0 10YR 7.15 (50) 8.34 7.62 7.13 6.64 5.76 cnoGDAHN GROUP. Nodine , Phillip (general) Recent Changes to Benefits Retired 10 /10 /2014 lJ)