Police Employees Pension Board Minutes - 2-19-15 CITY OF ATLANTIC BEACH
BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUND
POLICE EMPLOYEES' PENSION BOARD MEETING
MEETING MINUTES
February 19,2015
1. The City of Atlantic Beach Police Employees' Pension Board meeting was called to order at
6:38 P.M. The members in attendance were trustees: Vic Gualillo, David Cameron, Bill Tomson,
John Wolfel, and Tim Saggau. Pension Plan Administrator Nelson Van Liere, Investment Advisor
Michael O'Shields, and Actuary Piotr Krekora from Gabriel, Roeder, Smith& Company also
attended.
2. Courtesy of the floor to visitors. Chris Jorgensen is very interested in listening to the Actuary
tonight.
3. Approval of the minutes from the Police Employee Retirement System January 8,2015
meeting. Motion to approve was made by Bill Tomson and seconded by David Cameron. The vote
was unanimous to approve.
4. Approval of the minutes from the Police Employee Retirement System January 29,2015
meeting. Motion to approve was made by Vic Gualillo and seconded by John Wolfel. The vote was
unanimous to approve.
5. Financial Expenditures for the quarter ended December 31,2014—Police Employees' Pension
Fund. Motion to approve was made by David Cameron and seconded by Vic Gualillo. The vote was
unanimous to approve.
6. Michael O'Shields led the discussion on investment performance as of 2/17/15 including year to
date information.
a. Michael provided two handouts for information purposes including Morgan
Stanley's "Active Small/Mid Cap US Equity (SMID)to Play Rebound in SMID &
Active Managers," and"International/Global Mutual Fund Sector Summary."The
second item will be discussed further at the next meeting.
b. Discussion related to current allocation and rate of return. The current plan has
75.3% in Equity, 5.2% in Fixed Income, and 19.5% in Cash. The ending portfolio
value of$8,350,729 represents an annualized return of 6.2% for the period 2/29/12
to 2/17/15.
7. To be discussed by Piotr Krekora, Gabriel,Roeder, Smith & Company(GRS),for both Police
Officers' and General Employees' Retirement Systems:
a. Acceptance of Actuarial Valuation Reports dated 9/30/14. The Board approved
the Draft version dated February 13, 2015. Motion to approve was made by John
Wolfel and seconded by Bill Tomson. The vote was unanimous to approve.
b. Impact to City Financial reporting upon implementation of GASB 67. Piotr
gave a basic overview of the implementation of GASB 67.
c. Approval to retain the services of GRS to perform a periodic experience
study.No Action.
d. Board Declaration of the Expected Rate of Return. David Cameron made a
motion that based on the advice of the consultant; the Board declares the expected
rate of return of 7%for the next year and future years. This was seconded by Vic
Gualillo and the vote was unanimous to approve.
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8. Pension Board Attorney to discuss matters of interest to the General Employees' & Police
Officers' Pension Board—Pension Board Attorney Scott Christiansen of Christiansen &
Dehner, P.A. Scott discussed pension plan reviews and will let us know if any changes need to be
made. He also gave an update regarding the various bills being worked in the House and Senate.
Nelson asked Scott about rescinding the Mortality Table that was approved during the January 29,
2015 Special Meeting. The Board can adopt the draft Actuarial Report which did not include the
mortality table and this will reverse the vote to use the table.
9. Police& Fire Pension and F.P.P.T.A. Upcoming Events Calendar Nelson let the Board about
upcoming opportunities in the attached calendar.
10. New business: No new business
11. Adjournment—Bill Tomson made a motion to adjourn the meeting at 8:22 PM.
Vic Gualillo David Cameron
Chair Vice Chair
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