Board Agenda 08.10.17 -W AttachmentsCITY OF ATLANTIC BEACH
BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUNDS
BOARD MEETING AGENDA FOR
August 10, 2017 - 6:30 P.M.
Call to Order both boards
1. Courtesy of the Floor to Visitors
2. Approval of the Minutes for May 11, 2017, General Employee’s board meeting – (1)
3. Approval of the Minutes for May 11, 2017, Police Pension board meeting – (2)
4. Fund Balance Report, General Employee Plan – non actionable, for discussion and
information only. (3)
5. Fund Balance Report, Police Plan – non actionable, for discussion and information only.
(4)
6. To be discussed by Sidney Taylor and Chris Bridges, Morgan Stanley:
a. Recap Investment Performance for the Police Officers’ for the period ended
07/31/17 and subsequent activity since.
b. Recap Investment Performance for the General Employees’ for the period ended
07/31/17 and subsequent activity since.
7. 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.
8. Update on Mougey investigation
9. Presentation of the Experience Study by Gabriel, Roeder, Smith & Company
10. Financial Expenditures through August 4, 2017 – Police Officers’ Pension Fund – (5)
11. Financial Expenditures through August 4, 2017 – General Employees’ Pension Fund – (6)
12. Change in status – Police Plan – Robert Harding
13. Discussion : Board Terms:
Civilian Appointed by Commission Bill Tomson 12/31/2017
Civilian Appointed by Commission John Wolfel 10/11/2017
14. Any New Business
15. Adjournment – Police
16. Adjournment – General
CITY OF ATLANTIC BEACH
BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUND
GENERAL EMPLOYEES’ PENSION BOARD MEETING
MEETING MINUTES
May 11, 2017
1
1. The City of Atlantic Beach General Employees’ Pension Board meeting was called to order at
6:31 P.M. Those in attendance were:
Members Non - Members
Ray Brandstaetter Russell Caffey - Plan Administrator
Alan Gleit Chris Bridges - Graystone Consulting
Jim Griffiths Sidney Taylor - Graystone Consulting
Timmy Johnson Scott Christiansen - Plan Attorney
Mike Jones Jim Rizzo – GRS Consulting
Nicolas Lahaye – GRS Consulting
2. Courtesy of the floor to visitors. None
3. Chris Bridges and Sidney Taylor of Graystone consulting lead a discussion of the portfolios of
both plans.
Discussion related to current allocation and rate of return. The ending portfolio value is
$17,154,213.
Return Summary
Quarter to Date 3/31/2017 - 3/31/2017 4.5%
12 Months 10/1/2016 - 3/31/2017 4.9%
Performance Since Inception 3/10/2010 - 3/31/2017 6.7%
a. Motion to accept Morgan Stanley’s recommendation and rebalance the
weighting of investments Motion to accept the recommendation was made by Alan
Gleit and seconded by Ray Brandstaetter. The vote was approved unanimously.
4. Scott Christiansen updated the board on pending and upcoming items.
a. Adoption of an Annual Rate of Return. Base on the advice of the Morgan Stanley,
the plan’s financial advisors a motion to adopt 7% rate of return was made by Ray
Brandstaetter and seconded by Mike Jones. The vote was approved unanimously.
b. Approval of the Summary Plan Description. Motion to approve made by by Ray
Brandstaetter and seconded by Alan Gleit. Vote was approved unanimously.
c. Approval of the minutes from the Police Pension Plans for February 9, 2017
with suggested revisions. Motion to approve was made by Mike Jones and
seconded by Alan Gleit. The vote was approved unanimously.
5. Gabriel Roeader Smith (GRS) presented the Annual Actuary Report and lead a discussion about
the state of the plan and an experience study.
a. Approval of the Actuary Report. Motion was made by Jim Griffiths and seconded
by Ray Brandstaetter. Vote was approved unanimously.
CITY OF ATLANTIC BEACH
BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUND
GENERAL EMPLOYEES’ PENSION BOARD MEETING
MEETING MINUTES
May 11, 2017
2
b. Vote to commission GRS to conduct an experience study. Motion was made by
Ray Brandstaetter and seconded by Timmy Johnson. Vote was approved
unanimously.
6. Vote to approve the Change in Status.
a. Laurie Scott. Motion by Timmy Johnson, seconded by Jim Griffiths. Approved
unanimously.
b. Shelton Flowers Sr.. Motion by Timmy Johnson, seconded by Jim Griffiths.
Approved unanimously.
c. Eugenio Cruz. Motion by Alan Gleit, seconded by Timmy Johnson. Approved
unanimously.
7. Adjournment 8:38 pm– Mike Jones made a motion to adjourn the meeting, it was seconded by Jim
Griffiths.
__________________________ ____________________________
Ray Brandstaetter Mike Jones
Chair Vice Chair
CITY OF ATLANTIC BEACH
BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUND
POLICE EMPLOYEES’ PENSION BOARD MEETING
MEETING MINUTES
May 11, 2017
1
1. The City of Atlantic Beach Police Employees’ Pension Board meeting was called to order at 6:31
P.M. Those in attendance were:
Members Non - Members
Dave Cameron Russell Caffey - Plan Administrator
Bob Liggero Chris Bridges - Graystone Consulting
John Wolfel Sidney Taylor - Graystone Consulting
Bill Tomson Scott Christiansen - Plan Attorney
Jim Rizzo – GRS Consulting
Nicolas Lahaye – GRS Consulting
2. Courtesy of the floor to visitors. None
3. Chris Bridges and Sidney Taylor of Graystone consulting lead a discussion of the portfolios of
both plans.
Discussion related to current allocation and rate of return. The ending portfolio value is
$9,135,695.
Return Summary
Quarter to Date 3/31/2017 - 3/31/2017 4.5%
12 Months 10/1/2016 - 3/31/2017 4.9%
Performance Since Inception 3/10/2010 - 3/31/2017 6.7%
a. Motion to accept Morgan Stanley’s recommendation and rebalance the
weighting of investments Motion to accept the recommendation was made by Bob
Liggero and seconded by Bill Tomson. The vote was approved 3 to 1 (Wolfel was
dissenting vote).
4. Scott Christiansen updated the board on pending and upcoming items.
a. Adoption of an Annual Rate of Return. Base on the advice of the Morgan Stanley,
the plan’s financial advisors a motion to adopt 7% rate of return was made by John
Wolfel and seconded by Dave Cameron. The vote was approved unanimously.
b. Approval of the Summary Plan Description. Motion to approve made by Bill
Tomson and seconded by Bob Liggero. Vote was approved unanimously.
c. Approval of the minutes from the Police Pension Plans for February 9, 2017
with suggested revisions. Motion to approve was made by Bob Liggero and
seconded by John Wolfel. The vote was approved unanimously.
5. Gabriel Roeader Smith (GRS) presented the Annual Actuary Report and lead a discussion about
the state of the plan and an experience study.
a. Approval of the Actuary Report. Motion was made by Bob Liggero and seconded
by John Wolfel. Vote was approved unanimously.
CITY OF ATLANTIC BEACH
BOARD OF TRUSTEES OF THE ATLANTIC BEACH PENSION FUND
POLICE EMPLOYEES’ PENSION BOARD MEETING
MEETING MINUTES
May 11, 2017
2
b. Vote to commission GRS to conduct an experience study. Motion was made by
John Wolfel and seconded by Dave Cameron. Vote was approved unanimously.
6. Vote to approve the Quarterly Financial Expenditure Report. Motion was made by John Wolfel
and seconded by Dave Cameron. Vote was approved unanimously.
7. Adjournment 8:38 pm– Dave Cameron made a motion to adjourn the meeting, it was seconded by
John Wolfel.
__________________________ ____________________________
Vic Gualillo David Cameron
Chair Vice Chair
Pooled Equity
(@08.09.17)
Morgan Stanley
Account (04.30.17) Total
Balance 10.01.16 160,615$ 16,324,242$ 16,484,857$
‐
Revenue ‐
Employer Contributions 1,077,634$ 1,077,634$
Employee Contributions 104,021 104,021
Morgan Stanley Portfolio 1,286,477 1,286,477
1,181,655$ 1,286,477$ 2,468,131$
Expenses
Admin (37,929)$ (37,929)$
Retirees Payouts (1,228,675) (1,228,675)
(1,266,604)$ ‐$ (1,266,604)$
Transfers ‐
75,666$ 17,610,718$ 17,686,385$
City of Atlantic Beach
General Employee Pension Fund Fund Balance Report
May 11, 2017
Pooled Equity
(@05.08.17)
Morgan Stanley
Account (04.30.17) Total
Balance 10.01.16 197,427$ 8,723,191$ 8,920,618$
‐
Revenue ‐
Employer Contributions 683,392$ 683,392$
Employee Contributions 108,822 108,822
Morgan Stanley Portfolio 667,344 667,344
792,214$ 667,344$ 1,459,559$
Expenses
Admin (25,748)$ (25,748)$
Retirees Payouts (587,541) (587,541)
(613,289)$ ‐$ (613,289)$
376,352$ 9,390,535$ 9,766,888$
City of Atlantic Beach
Police Pension Fund Fund Balance Report
May 11, 2017
.
Account Description
2016 Actual
Expense FY 17 Budget
FY 17
Expense
% Total
Budget
Plan Expense:
Service Providers:
Admin Expense (Acutuary & Legal)20,034 25,000 10,458 40.6%
Investment Expense 13,149 30,000 8,898 34.6%
Subtotal:33,183 55,000 19,357 75.2%
Trustee Expenses:
Book, Subscription, Memberships 600 700 - 0.0%
Training 2,194 3,500 - 0.0%
Subtotal:2,794 4,200 - 0.0%
Other Plan Expenses:
Insurance 2,979 4,270 2,915 11.3%
Subtotal:2,979 4,270 2,915 11.3%
Pension Office:
Office Expenses:
COAB Internal Services - City Manager 324 299 275 1.1%
COAB Internal Services - Finance Department 1,327 999 913 3.5%
COAB Internal Services - Human Resources 2,218 2,484 2,277 8.8%
Printing & Publishing 11 20 11 0.0%
Subtotal:3,880 3,802 3,476 13.5%
TOTAL:42,836 67,272 25,748 100.0%
Retirement Payouts:
Service Retired Pay 428,309 550,650 465,976
Disability Retired Pay 118,331 118,331 108,470
Drop Pay - ICMA 401 Plan - - -
Pension Refunds 23,671 15,000 13,095
Subtotal:570,310 683,981 587,541
Admin Expense Reconciliation
GABRIEL ROEDER SMITH & CO 3,600
CHRISTIANSEN & DEH 6,600
10,200
City of Atlantic Beach Police Pension Fund
Expenditures as ofAugust 8, 2017
Account Description
2016 Actual
Expense FY 17 Budget
FY 17 Expense
to Date
% Total
Budget
Plan Expense:
Service Providers:
Admin Expense (Acutuary & Legal)19,530 25,000 9,329 24.6%
Investment Expense 31,869 75,000 18,227 48.1%
Subtotal:51,399 100,000 27,556 72.7%
Trustee Expenses:
Book, Subscription, Memberships 600 800 - 0.0%
Training 1,206 4,200 - 0.0%
Subtotal:1,806 5,000 - 0.0%
Other Plan Expenses:
Insurance 2,979 4,270 2,915 7.7%
Subtotal:2,979 4,270 2,915 7.7%
Pension Office:
Office Expenses:
COAB Internal Services - City Manager 337 311 286 0.8%
COAB Internal Services - Finance Department 1,946 1,487 1,364 3.6%
COAB Internal Services - Human Resources 5,618 6,294 5,775 15.2%
Printing & Publishing 34 50 33 0.1%
Subtotal:7,935 8,142 7,458 19.7%
TOTAL:64,118 117,412 37,929 100.0%
Retirement Payouts:
Service Retired Pay 789,096 911,296 1,041,732
Disability Retired Pay 46,859 46,884 42,954
Beneficiary Pay 132,570 132,564 121,522
Drop Pay - ICMA 401 Plan - - -
Drop Pay - DB Plan - - -
Lump Sum Distribution 207,381 - -
Pension Refunds 31,898 - 22,467
Subtotal:1,207,803 1,090,744 1,228,675
Admin Expense Reconciliation
GABRIEL ROEDER SMITH & CO 3,000
CHRISTIANSEN & DEH 6,551
9,551
City of Atlantic Beach General Employee Pension Fund
Expenditures as ofAugust 8, 2017