2018-05-07 General Meeting & All Funds Individual MeetingsCITY OF OKEECHOBEE GENERAL EMPLOYEES/POLICE/FIRE PENSION BOARDS
REGULAR MEETING MINUTES, May 7, 2018
CITY HALL, 55 SE THIRD AVENUE
OKEECHOBEE, FL 34974
1. CALL TO ORDER
Nathan Pippin called a meeting of the Board of Trustees for the City of Okeechobee General
Employees/Police/Fire Pension Boards to order at 5:02 PM in the Council Chamber at City Hall. Those
persons present included:
TRUSTEES OTHERS
OKEECHOBEE GENERAL Kyle Tintle & Denise McNeill, Administrators, Resource Centers
Nathan Pippin — Chairman Lee Dehner, Attorney, Christiansen & Delmer, PA
Jackie Dunham - Secretary John McCann, Investment Consultant, AndCo
Melissa Henry
Daryl Roehm
Willie Hall, Jr
POLICE
Bettye Taylor - Secretary
Ryan Holroyd
Dallon Boyd
FIRE
Herb Smith — Chairman p:061-1y,)
Glen Hodges
John Koepke
2. PUBLIC COMMENT
There were no additional comments from the public.
3. REPORTS
Investment Consultant Report (John McCann
Mr. McCann began the quarterly performance report by presenting a Callan Periodic Table of
Investment Returns demonstrating the importance of diversification across asset classes within a
portfolio. The chart reflects asset classes ranked by their returns.
5:06 PM Herb Smith arrived at the meeting.
Mr. McCann continued with an economic overview and the portfolio's performance. He remarked that
the quarter was very volatile. Mr. McCann reviewed the performance of the individual funds. The total
fund numbers were: General Employees-0,03% beating the bench of-0.95%, Police 0,03% beating the
bench of-0.97%, Fire 0,01% beating the bench of -0.97% for the quarter ending March 31, 2018. The
General Plan ended the quarter with $4,800,516 in assets; the Police Plan ended the quarter with
$9,171,750 In assets; the Fire plan ended the quarter with assets of $4,067,783, Mr. McCann reported
January was a good month, February was poor, and March was "okay". He then reviewed each of the
Meeting May 71 2018 Page 2 of 4
mutual fund accounts in detail. Mr. McCann did not recommend any changes however he was keeping
an eye on the interest rates. His advice was to stay with the current allocations and remember that last
year was a very good year for returns.
Attorney Report (Lee Delmer)
Mr. Delmer reported that were not any changes in reference to pension plans from Washington, D.C. or
Tallahassee that would have a negative impact on the Plans. A Firefighter and Police Bill (SB376) passed
regarding PTSD; the impact will be on workers' compensation not on the Plans directly. He reported the
impact study was pending for the Firefighters relating to the 300 hours of overtime to be added to the
calculations for pension benefits. Mr. Delmer reminded the Trustees that the Form 1 filing is due by July
11 2018 and that they should keep a filing receipt for their records.
Administrator (Kyle Tintle)
Ms. Tintle informed the Boards that the FPPTA conference is going to be held in Orlando on June 24,
2018. She asked that the Trustees notify her as soon as possible if they were interested in attending so
arrangements could be made. Discussion was held in reference to other available conference and
educational opportunities. Mr. Delmer said his firm does an annual conference in conjunction with a
Plan that is willing to host the conference. He offered that his firm is willing to do an educational session
for the Trustees if they are interested. Ms. Tintle made the Trustees aware of the Salem Trust 1"
quarter service report that was included in their packets for review.
There being no further business, the Boards adjourned the open session at 5:27 PM and the Trustees
proceeded to their individual sessions. Ms. Tintle attended the Police and Fire Boards and Ms. McNeill
attend the General Board meeting.
INDIVIDUAL SESSION: POLICE BOARD
Bettye Taylor called the individual meeting of the Police Trustees to order
Bettye Taylor made a motion to approve the February S, 2018 meeting minutes. The motion received
a second by Mr. Holroyd, approved by the Trustees 3-0.
The Plan financial reports were presented and received by the Board. Ms. Tintle gave a brief
explanation of the Administrative Budget which was reviewed by the Board. She then presented the
addendum to the Actuarial Services Agreement for review and approval.
Bettye Taylor made a motion to accept the financial statements as presented. The motion received a
second by Dallon Boyd, approved by the Trustees 3-0.
Bettye Taylor made a motion to approve the Administrative Budget. The motion received a second by
Ryan Holroyd, approved by the Trustees 3-0.
Ryan Holroyd made a motion to approve the Addendum to the Actuarial Services Fee Addendum. The
motion received a second by Dallon Boyd, approved by the Trustees 3-0.
Ms. Tintle gave an update on the review of benefit calculations for previously identified retirees and
DROP members. The adjustments will be made and distributed before the next quarterly meeting. She
Meeting May 7, 2018 Page 3 of 4
continued with a benefit approval for Bettye Taylor to enter the DROP; Bettye Taylor recused herself
from the vote which resulted in too few Trustees for a quorum; the approval will be postponed until the
next quarterly meeting. Two new members joined the Plan: Jessica Francis and Jason Gavern. Their
paperwork was signed and will be filed with the Administrator.
Bettye Taylor made a motion to accept the Audit Representation letter as presented to sign. The
motion received a second by Ryan Holroyd, approved by the Trustees 3-0.
Seeing there was no other business the Police Board adjourned their individual session at 5:50 PM
INDIVIDUAL SESSION: FIREFIGHTERS
Herb Smith called the individual meeting of the Firefighters' Trustees to order
Glen Hodges made a motion to approve the March 19, 2018 special meeting minutes. The motion
received a second by John Koepke, approved by the Trustees 3.0.
Ms. Tintle informed the Board that the impact study that was requested, adding 300 hours of overtime
to the calculation for pension benefits, was in process and would be ready for the next quarterly
meeting. She gave a brief explanation of the Administrative Budget which was reviewed by the Board.
Ms. Tintle reviewed the addendum to the Actuarial Services Agreement, The Plan financial reports were
presented and received by the Board in addition to the Plan's expenses.
Herb Smith made a motion to approve the Administrative Budget. The motion received a second by
Glen Hodges, approved by the Trustees 3-0.
Glen Hodges made a motion to approve the Addendum to the Actuarial Services Fee Addendum. The
motion received a second by John Koepke, approved by the Trustees 3-0.
John Koepke made a motion to accept the Audit Representation letter as presented for the Chairman
to sign. The motion received a second by Glen Hodges, approved by the Trustees 3-0.
John Koepke made a motion to accept the financial statements as presented. The motion received a
second by Glen Hodges, approved by the Trustees 3-0.
Herb Smith made a motion to approve the warrants as presented. The motion received a second from
Glen Hodges, approved by the Trustees 3-0.
Seeing there was no additional business the Firefighters' Board adjourned their individual session at
6:00 PM.
INDIVIDUAL SESSION: GENERAL EMPLOYESS
The meeting began with a discussion of the minutes. It was noted that the City Clerk's office needs a
copy of the special meeting minutes as they are available. Ms. McNeill presented the financial
statements to the Board for review. Discussion followed regarding the financial statements. She asked
the Board to review the warrants included in their meeting packets.
Meeting May 7, 2018 Page 4 of 4
Jackie Dunham made a motion to accept the financial statements as presented. The motion received
a second by Melissa Henry, approved by the Trustees 5-0.
Jackie Dunham made a motion to accept the warrants for March 5, 21, 27, April 26, and May 4, 2018
as presented. The motion received a second by Daryl Roehm, approved by the Trustees 5-0.
The Board discussed the new employee acknowledgements. Ms. McNeill reviewed the addendum to
the Actuarial Services Agreement, the benefit approvals, and the Audit Representation letter for Board
review and approval if accepted.
Melissa Henry made a motion to approve and sign the Actuarial Services Fee Addendum as presented.
The motion received a second by Jackie Dunham, approved by the Trustees 5-0.
Jackie Dunham made a motion to accept the Audit Representation letter as presented for the
Chairman to sign. The motion received a second by Daryl Roehm, approved by the Trustees 5-0.
Daryl Roehm made a motion to approve the refund of contributions. The motion received a second
by Melissa Henry, approved by the Trustees 5-0.
Melissa Henry addressed the current normal retirement age of 65 and asked the Board to consider
lowering the retirement age to 62. Mr. Dehner expressed the Board could look into a cost impact study
of lowering the age to 62, Discussion followed of the benefit for the members to be able to retire or
enter the DROP at 62. Once an impact study is completed the Board would forward the
recommendation to the City. Mr. Delmer explained that they can consider lowering the age to 62 for
the DROP entry only, if desired. He recommended requesting a cost estimate from the Actuary for
Board consideration, then if the Board wants to proceed; have the Attorney draft an ordinance to
present to the City.
Melissa Henry made a motion to have the Actuary do a cost estimate of reducing the retirement age
from 65 to 62 for DROP entry. The cost of the study should not exceed $5,000. The motion received a
second by Jackie Dunham, approved by the Trustees 5-0.
There being no additional business, the General Employees Board adjourned their individual session at