Oil & Gas Investment Board

OIL AND GAS INVESTMENT BOARD MINUTES OF JANUARY 23, 2017 The City of Manistee Oil and Gas Investment Board held a regular meeting on Monday, January 23, 2017 in the Second Floor Conference Room, City Hall, 70 Maple Street, Manistee, Michigan 49660. Meeting was called to order by Chair Jim Smith at 12:00 p.m. MEMBERS PRESENT: Jim Smith, Lynda Beaton, Steve Brower, Ed Bradford, Thad Taylor MEMBERS ABSENT: Doug Parkes OTHERS PRESENT: City Attorney George Saylor, Roger Zielinski OLD BUSINESS Aztec Well Update – Finance Director Ed Bradford provided an update regarding Aztec’s request to modify their agreement regarding post production costs. Discussion will continue between the City, State of Michigan and Aztec. Price of crude oil has rebounded somewhat and it has been rumored that Aztec may be starting the wells back up in the near future. NEW BUSINESS Minutes - Minutes from the October 14, 2016 meetings were reviewed. MOTION by Ed Bradford, second by Steve Brower to accept the minutes as presented. All in favor - motion carried. Investment Advisor Update and Commentary – Woody Uible and Troy Snider participated via conference call and presented the Investment Update as of December 31, 2016. Information in the report included Bartlett’s Market Assessment as of January 2017, Market Review/History, Asset Allocation, Fixed Income Characteristics, Equity Sector Allocation, and Portfolio Performance. Discussed:  Second longest Bull Market in history.  Sluggish economic recovery.  Stocks hitting all-time highs – above averages.  Diversification of portfolio.  Future impacts on the market in response to Trump’s presidency. OIL AND GAS BOARD MINUTES – JANUARY 23, 2017 PAGE 1 Annual Spending Rule Calculation – Board discussed the spending rule calculation. The spendable amount is down slightly from last year’s amount. MOTION by Lynda Beaton, second by Steve Brower to approve the annual spending rule calculation as of December 31, 2016 for the fiscal year budget 2017-2018; using the 4% spending rule in the amount of $390,928. All in favor – motion carried. Annual Review of Bylaws – MOTION by Ed Bradford, second by Lynda Beaton to accept the bylaws as presented; no changes are required. All voted in favor – motion carried. Annual Review of Member Roster – MOTION by Ed Bradford, second by Lynda Beaton to accept the member roster as presented. All voted in favor – motion carried. PUBLIC COMMENTS None. ADJOURNMENT / NEXT MEETING Next regular meeting is scheduled for Friday, April 21, 2017 at 12 p.m. in the Second Floor Conference Room, City Hall. MOTION to adjourn at the Call of the Chair at 12:35 p.m. Cynthia Lokovich, CAP-OM Recording Secretary c. Manistee City Council Board Members Thad N. Taylor, City Manager George Saylor, City Attorney OIL AND GAS BOARD MINUTES – JANUARY 23, 2017 PAGE 2