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Minutes 08-03-2020 DRAFT v1CITY OF OKEECHOBEE GENERAL EMPLOYEES/POLICE/FIRE PENSION BOARDS REGULAR MEETING MINUTES, August 3, 2020 CITY HALL, 55 SE THIRD AVENUE OKEECHOBEE, FL 34974 ELECTRONIC MEETING 1. CALL TO ORDER Nathan Pippin called the meeting of the Board of Trustees for the City of Okeechobee General Employees, Police, and Firefighter 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 & Scott Baur, Resource Centers Nathan Pippin, Chair Scott Christiansen, Attorney, Christiansen & Dehner Melissa Henry, Secretary John McCann, AndCo Donna Howard India Reidel, Finance Director, City of Okeechobee Willie Hall TRUSTEES TRUSTEES POLICE FIREFIGHTERS Bettye Taylor, Chair Herb Smith, Chair James Pickering, Secretary Adam Crum, Secretary Ray Worley Josh Sanders Cody Daigneault Glenn Hodges Ryan Holroyd 2. Investment Report (John McCann) Mr. McCann began with an overview of the markets. The domestic markets rebounded sharply as the government put in place several programs to offset the negative effects of COVID-19 on the economy. As states began to reopen businesses their economies began to improve. The international and fixed income returns benefited from the declining interest rates globally. Mr. McCann reviewed the quarterly reports sequentially beginning with the Okeechobee General Employees (GE) Retirement System; followed by the Okeechobee Police Officers' (PD) Retirement System; and ending with the Okeechobee Firefighters' (FF) Retirement System. It was a very good quarter for all the Plans. Mr. McCann provided the quarterly investment reports for each Board's review for the period ending June 30, 2020. He continued reviewing the performance of the portfolios. The market value for this quarter for the General Plan was $5,225,694 versus the previous quarter at $4,473,850 a difference of $751,844; the Police Plan ended the quarter with $10,019,036 in assets versus last quarter's balance of $8,621,527 in assets a difference of $1,397,509; the Fire Plan ended the quarter with assets of $4,533,721 versus the previous quarter's ending balance of $3,909,733 a difference of $623,988. Mr. McCann reviewed the asset allocations for each Plan. He continued with the numbers for the quarter: General Employees' 16.55% versus the policy of 13.61% a difference of 2.94%; Police 16.51% versus the policy of 13.33% a difference of 3.18%; and Fire 16.21% versus the policy of 13.33%, a difference of 2.88%. Mr. McCann reviewed the fiscal year to date numbers for each of the Plans. For the General Employees the fiscal years to date numbers are: 5.64% against the benchmark of 5.49%, a difference of 0.15%, Police 5.68% against the benchmark of 5.07%, a difference of 0.61%; Firefighters' 5.59% against the benchmark of 5.07%, a difference of 0.523%. He is pleased with the returns since Meeting August 3, 2020 Page 2 of 4 March 2020 and is hopeful the assumptions will achieve the 7% returns for the fiscal year end by September 30, 2020. Currently the returns are at: GE 6.6%, PD 6.5%, and FF at 6.5%. 3. Attorney Report (Scott Christiansen) Mr. Christiansen reviewed the terms of the Trustees and officers for each Board. The Firefighters' will need to hold election of officers at their next meeting on November 2, 2020. Josh Sanders will need to be elected as the 5th Trustee of the Firefighters' Board by the other Trustees. Police Officer Bettye Taylor and Ray Worley's terms expire on September 30, 2020; an election will need to be held. Ray Worley is willing to continue to serve. Mr. Christiansen was pleased when he verified all the Trustees completed and submitted their Form 1 financial disclosure forms to the Supervisor of Elections to their place of residence before July 1, 2020. The Administrative Budgets were approved and submitted for all 3 Boards. There has been no notification of the State money for the Police and Firefighter Plans. Mr. Christiansen said he will provide updated administrative forms to include the newly authorized remote notary information. He reviewed the remote notarization process and notaries will need additional training and insurance. The process will need video capturing to verify the identity of the person signing the forms before a document can be notarized. 4. Administrative Report (Scott Baur) Mr. Baur reviewed how the Resource Centers is operating and maintaining standards while working remotely. He asked if the Boards had any unfinished or new business to be addressed. There was none. The boards were addressed sequentially to review, discuss, and vote on items. Willie Hall entered the meeting at 5:24 PM. The General Employees' Trustees were asked if they have reviewed the March 30, 2020 and May 4, 2020 meeting minutes. Nathan Pippin made a motion to accept the Quarterly Meeting Minutes for the February 3, 2020. The motion received a second from Willie Hall, approved by the Trustees 3-0. Nathan Pippin made a motion to accept the Quarterly Meeting Minutes for the May 4, 2020. The motion received a second from Willie Hall, approved by the Trustees 3-0. The financial statements for June 2020 were presented to the Board for review. The financial statements were received and filed. The quarterly expenses were reviewed by the Trustees. Nathan Pippin made a motion to approve the Warrants presented for August 3, 2020. The motion received a second from Willie Hall approved by the Trustees 3-0. PUBLIC COMMENT There were no public comments at this time. There being no further business, the Board was adjourned at 5:27 PM. Chair Secretary Meeting August 3, 2020 Page 3 of 4 Glenn Hodges entered the meeting at 5:28 PM Bettye Taylor called the individual meeting of the City of Okeechobee Police Officers' Retirement System to order at 5:28 PM. The Police Officer Trustees were asked if they have reviewed the March 30, 2020 and the May 4, 2020 meeting minutes. Ryan Holroyd made a motion to accept the Quarterly Meeting Minutes for the March 30, 2020. The motion received a second from Cody Daigneault, approved by the Trustees 5-0. Ryan Holroyd made a motion to accept the Quarterly Meeting Minutes for the May 4, 2020. The motion received a second from Cody Daigneault, approved by the Trustees 5-0. The financial statements for June 2020 were presented to the Board for review. The financial statements were received and filed. The quarterly expenses for August 3, 2020 were reviewed by the Trustees. Cody Daigneault made a motion to approve the Warrants presented for August 3, 2020. The motion received a second from Ray Worley approved by the Trustees 5-0. The Board was presented with the New Member Acknowledgement for Brad Adkins. The new employee acknowledgement was accepted by consensus. Other Business There was no old or new business to discuss. PUBLIC COMMENT There were no public comments at this time. There being no further business, the Board was adjourned at 5:32 PM. Chair Secretary Herb Smith called the individual meeting of the City of Okeechobee Firefighters' Retirement System to order at 5:33 PM. The Board reviewed the minutes from the Quarterly Meeting which was held on March 30, 2020 and May 4, 2020. Meeting August 3, 2020 Page 4 of 4 Adam Crum made a motion to approve the Okeechobee Firefighters' Retirement System held on March 30, 2020. The motion received a second by Glenn Hodges approved by the Trustees 5-0. Adam Crum made a motion to approve the Okeechobee Firefighters' Retirement System held on May 4, 2020. The motion received a second by Glenn Hodges approved by the Trustees 5-0. Mr. Baur presented the Board with the Interim Financial Statements. The Trustees received the financials, and they were accepted by consensus and filed. The quarterly expenses for August 3, 2020 were reviewed by the Trustees Adam Crum made a motion to approve the warrant for August 3, 2020. The motion received a second by Glenn Hodges approved by the Trustees 5-0. The Board was presented with the New Member Acknowledgement for Michael R. Gratton. The new employee acknowledgement was accepted by consensus. Herb Smith made a motion to appoint Josh Sanders as the 5th Trustee. The motion received a second by Glenn Hodges approved by the Trustees 4-0. Other Business Mr. Christiansen noted that Ms. India Riedel was attending the meeting via Ring -Central for those who joined the meeting late and were accessing the meeting by phone. He informed the Boards that Ms. Riedel had email him questions pertaining to the Firefighters' being affected if the City moved to hire the Okeechobee County Firefighters. Mr. Christiansen said that FRS 121 Chapter rules would govern the merger. The City is trying to figure out what they want to, and cane do in relation to the employees. Ms. Reidel's microphone was not working so she typed the following: "The Counsel is in charge and has requested an inter -local agreement from the County. They have asked both the County Attorney and the City Attorney things out to deliver it to the Counsel." A discussion was held on the fall out of a merger or a consolidation; would there be a transfer of service; the possibility of transferring funds to FRS. Everything is speculation until the City decides and presents the information to the Firefighters for consideration. There being no further business, the Board was adjourned at 5:52 PM. Chair Secretary