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1998-02-11 General Fund MeetingCITY OF OKEECHOBEE AND OKEECHOBEE UTILITY AUTHORITY GENERAL EMPLOYEE PENSION PLAN TRUSTEE MEETING MINUTES FEBRUARY 11, 1998 Meeting called to order at 7:08 PM by L.C. Fortner, Jr., Chairman Trustees Present: L.C. Fortner, Jr. Jerry O'Bannon Ricky Bonnell Paul Overton Others Present: Ernie Mahler of Smith Barney, Performance Monitor Juan "J.C." Campuzano Scott Christiansen & Dehner, P.A. Jim Paul J.C. Campuzano and Ernie Mahler reviewed the Plan's Investments and returns for the quarter ended 12/31/97. Discussion ensued which included reaction to market changes, risk, short term vs. Long term positions and the funds' returns vs. other indexes. The Board next addressed the minutes of the meetings held on November 17, 1997 and January 22, 1998 and upon motion made and seconded, the Board unanimously approved the Minutes as presented. The Board next reviewed the Schedule of Expenses, New Employees, Retired Employees and Terminated Employees for the period November 18, 1997 thru February 4, 1998 and upon Motion made and seconded, Unanimously approved the schedule. The Board once again considered joining the Florida Public Pension Trustees' Association. No action taken. The Board next considered Fiduciary Insurance for trustees. Scott Christiansen briefed the Board on the merits and risks, and the typical coverage. After discussion the Board concurred that quotations for said insurance should be requested. The Board next addressed interest on employee contributions to the retirement fund. After discussion the Board concurred that interest on contributions will only be considered to the accounts of members who were active in the plan for the full plan year. The Board next reviewed possible changes to existing plan benefits. After considering several alternatives and the costs associated with each, the Board unanimously agreed to seek a change in the multiplier which would increase from the present 2% to 2.25%, and a decrease in normal IWOW retirement as defined in the plan, from 30 years to 25 years. Also to present a second option of 2.10% multiplier and retirement from 30 years to 25 years if the City and OUA feels the first option is not feasible now. Scott Christian was authorized to draft the necessary changes to the existing ordinance to include the 2.25% multiplier with normal retirement at 25 years of service and said changes would be presented to the City Council and the Okeechobee Utility Authority's Board for approval. The Board next discussed the matter of authorizing Jim Paul to sign checks on behalf of the pension fund. Upon motion made and seconded, the Board unanimously agreed to add Mr. Paul to the list of authorized check signers. Meeting adjourned at 9:00 P.M.