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July 18, 2016 Special MeetingCity of Okeechobee and Okeechobee Utility Authority Employees' Retirement System BOARDS OF TRUSTEES: SPECIAL MEETING Location: Council Chambers, City Hall 55 SE 3rd Avenue Okeechobee, FL 34974 Meeting Contact: (800) 206 -0116 (Plan Administrator) Time: Monday, July 18, 2016 3:00 PM AGENDA 1. Call to Order: Board Chairs General Employees/ OUA Board Jamie Mullis, Chair Jackie Dunham, Secretary Robert Ellerbee Daryl Roehm Jose Santiago 2. Approval of Agenda 3. Public Comment 4. Okeechobee Utility Authority Withdrawal from Employees' Retirement System 5. Board Members 6. Adjourn Individual Session: Board Chair Next Meeting Date: August 1, 2016 at 5:00 PM NOTICE TO PUBLIC: This is a public meeting. Should any interested party seek to appeal any decision made by the Board with respect to any matter considered at such meeting or hearing, he will need a record of the proceedings and that, for such purpose he may need to ensure that a record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. 1. CALL TO ORDER CITY OF OKEECHOBEE /OKEECHOBEE UTILITY AUTHORITY PENSION BOARD SPECIAL MEETING MINUTES, JULY 18, 2016 CITY HALL, 55 SE THIRD AVENUE OKEECHOBEE, FL 34974 Jamie Mullis called a meeting of the Board of Trustees for the City of Okeechobee /Okeechobee Utility Authority Pension Boards to order at 3:03 PM in the Council Chambers at City Hall. TRUSTEES CITY OF OKEECHOBEE /OUA Jamie Mullis, Chairman Jackie Dunham, Secretary Robert Ellerbee Jose Santiago 2. APPROVAL OF AGENDA OTHERS Scott Baur & Brittany Park, Resource Centers Scott Christiansen, Attorney India Riedel- Finance Director Janet McKinley -OUA Financial Liasion Lane Gamiotea- City Clerk Members of the plan Jackie Dunham made a motion to approve the agenda. Robert Ellerbee seconded the motion, approved by the Trustees 4 -0. 3. PUBLIC COMMENT There was no public comment. 4. Withdrawal from Employees' Retirement System The Trustees reviewed and discussed the Resolution Letter of the Okeechobee Utility Authority. This proposed document allows for withdrawal from participation in the City of Okeechobee and Okeechobee Utility Authority Employees' Retirement System and adopting the Okeechobee Utility Authority Employees' Retirement System. Jackie Dunham asked how it would impact the City plan and had questions whether the Utility Authority employees are going to lose money because of less invested. Mr. Christiansen explained that the assets and liabilities will go over to the new Okeechobee Utility Authority plan. The transfer of assets to the Utility Authority and all liabilities including all retired employees will be paid from the new plan and not the City plan. Mr. Christiansen suggested the Board to authorize him to work with the City and prepare a revised ordinance extricating the Utility Authority from the City plan. This new ordinance would be effective October 1, 2016. The City will have to adopt an ordinance and go through the normal process of adopting an ordinance. The Utility Authority Pension Board will have to hire their own service providers as they will become a separate entity. Mr. Baur discussed the charges for additional meetings and advised that they should begin the process as soon as possible. Mr. Christiansen explained holding the elections prior to October 1, 2016. Meeting July 18, 2016 Page 2 of 2 Ms. Dunham expressed her concerns regarding the assets and losing money from an investment stand point. Mr. Christiansen advised that depending on what the Utility Authority Board wants to do, they will work with the investment consultant to move assets and have new accounts set up. Mr. Baur explained how the blackout process works with assets in regards to the investment managers and how they will resume with trading after October 1. Mr. Mullis additionally explained that the Board has no impact on the ordinance. Mr. Christiansen agreed and stated that the pension Board has no authority to tell the City that they can't make changes to the pension plan. The Board needs to make a motion to authorize Mr. Christiansen to work with the City to draft an ordinance that will accomplish the separation. He explained that it is crucial to work with the City as they will have their own way of composing their new Board of Trustees. Jaimie Mullis made a motion to authorize Mr. Christiansen to draft and ordinance in coordination with the City. Jose Santiago seconded the motion, approved by the Trustees 4 -0. Ms. Dunham asked if the Utility Authority will be remaining with the Resource Centers. Mr. Baur advised that it is their decision and he said once the contract changes the City plan fee will be lowered. Mr. Christiansen's hourly fee would remain the same for the plans. The Utility Authority will have to do generate new contracts as they are a brand new Board. 5. ADJOURNMENT There being no further business, the Trustees adjourned the meeting at 3:30 pm. The next meeting date is August 1, 2016 at 5:00 PM.