Police & Fire Pension

POLICE & FIRE PENSION BOARD MEETING DATE: September 16, 2019 CITY HALL, ROOM 302A TIME: 10:02 A.M. Present: Doug Bagwell, Stan Chubinski, Tammy Giannunzio, Ed Guzzo and Jake Martin. Absent: none Also Present: Dori Drayton of Plante Moran Financial Advisors (PMFA); and Kourtney Matuschka, Finance Officer/Police & Fire Retirement System Administrator. Chair Chubinski asked for approval of the agenda. Motion Bagwell, seconded Martin to approve the agenda. On a voice vote, motion carried. Presented minutes of the regular meeting on August 19, 2019. Motion Bagwell, seconded Guzzo to approve the minutes as presented. On a voice vote, motion carried. Bank Summary of Assets & Expense Report: As of 8/31/2019, the market value of the portfolio was $149,526,858, a loss of $996,450 since 7/31/2019. As of 9/12/2019, the portfolio market value was $150,625,976, which is a gain of $1,099,118 since 8/31/2019. For the month of August, the following invoices were reviewed by PMFA, authorized by Giannunzio and paid from the appropriate Asset Manager Accounts: Investment Management Fees Amount Loomis Sayles & Co 26,374.03 Harding Loevner International 17,926.00 Richmond Capital Management 2,325.00 Robeco Boston Partners SCV 14,279.26 Westfield Capital Management 15,756.81 Lazard Intl Equity 13,861.29 Robeco Boston Partners LCV 14,481.84 Earnest Partners Intermediate 15,299.64 The Boston Company Large Cap Growth 14,981.64 Motion Guzzo, seconded Bagwell to accept the financial report and quarterly bank summary as submitted. On a voice vote, motion carried. Board Reports Bagwell – none. Chubinski – none. Giannunzio – none. Guzzo – none. Martin – OSP members want to know how GRS interprets additional pay, sick payout, vacation and longevity. Are they included in their FAC payout? September 16, 2019 Page 2 of 3 - Official Matuschka  Terminations: Martin Erskine, Battalion Chief entered DROP, effective 9/11/19; Matthew Robinson, Lieutenant entered DROP, effective 8/22/19.  New Hires: Clay Hoggard, Police Officer; re-hired as of 9/8/19.  Martin Erskine, Battalion Chief and Timothy Gieske, Firefighter purchased 12 months of military time approved at 9/3/19 Commission Meeting.  The following resolution needs approved by the board: WHEREAS, the Board of Trustees is in receipt of an application for retirement from James J. Tuyls requesting an effective retirement date of 7/2/19, and WHEREAS, James J. Tuyls is eligible for retirement based on his service credit plus 12 months of military purchase pursuant to Act 345 of the Public Acts of 1937, as amended, and retirement provisions of the union contract, and WHEREAS, the final actuarial calculation was received and, WHEREAS, James J. Tuyls elected straight life with 60% surviving spouse benefit, therefore be it RESOLVED, that the application of James J. Tuyls for retirement is approved, and RESOLVED, the retirement benefit for James J. Tuyls shall commence as of 7/2/19, and RESOLVED, the gross monthly benefit is $4,107.25 subject to tax withholdings and any other elective deductions, and RESOLVED, the gross retroactive payment of $3,974.76 for 30 days in July was paid on 8/1/19 and the regular gross monthly benefit shall begin 9/1/19. Motion Bagwell, seconded Martin to approve the Service Retirement Resolution for James J. Tuyls. On a voice vote, motion carried. New Business Disability Retirement Policy & Medical Form Revisions: Matuschka presented updates to Disability Policy and Medical Form Questionnaire. Motion Guzzo, seconded Bagwell to accept the changes made to the Disability Retirement Policy and Medical Form as mentioned. On a voice vote, motion carried. PMFA – Asset Manager Portfolio Update: Drayton presented an overview of the portfolio and an economic update through early September.  Employment numbers: new hires vs job openings have shifted where openings are less than people looking, could be an indication that employment is slowing.  Robeco LCV and Boston LCV both underperforming through 8/31/19, PMFA will review.  No need to raise cash and no rebalancing required.  Calendar Year to Date return for total portfolio through 8/31/19 was 12.21% vs. blended benchmark of 12.60%. September 16, 2019 Page 3 of 3 - Official  Time weighted returns as follows: o Calendar year to date through 9/4/19: 12.59% in comparison to benchmark of 12.97%. o Fiscal year to date through 9/4/19: .45% in comparison to benchmark of .63%.  Cyber security email from MAPERS – if PMFA receives an email to wire funds from Administrator they will call and confirm that the Administrator sent the request. PMFA will confirm the signatures match with the signatures on file. Emailed requests will now require two (2) signatures from board members to transfer money.  Guzzo asked if the Board has an internal policy to determine processes for cash management. Matuschka will look into prior Administrator’s notes. Public Comment – Matuschka shared a message from Revenue Services Director, Linda Morrison. All actuarial data for fiscal year ending 6/30/2019 has been submitted to GRS in order to prepare the annual valuation report. The city’s auditors will be on site during the month of October. Next regular meeting: Monday, November 18, 2019 at 10:00 a.m. Meeting adjourned at 11:04 a.m. Respectfully submitted, Kourtney Matuschka, Recording Secretary __________________________________ __________________________________ Board Member signature Board Member signature