General Employees Retirement Board

AGENDA QUARTERLY MEETING – GENERAL EMPLOYEES’ RETIREMENT SYSTEM April 15, 2021 at 1:30PM Zoom With Executive Order 2020-4, Governor Whitmer declared a statewide state of emergency due to the spread of the novel coronavirus (COVID-19). This is a new strain of coronavirus that had not been previously identified in humans, can easily spread from person to person, and can result in serious illness or death. To mitigate the spread of COVID-19 and to provide essential protections to vulnerable Michiganders and this state’s health care system and other critical infrastructure, it is crucial that all Michiganders take steps to limit in-person contact, particularly in the context of large groups. Therefore, this meeting will be conducted via conference call. In order to join the Zoom meeting, any mobile or stationary computer system with a camera and internet access will work. To accomplish accessing the call, use the meeting number and wait for the prompt to dial in the passcode, both listed directly below. Topic: SH GERS Regular Meeting April 15, 2021 at 1:30 pm https://zoom.us/j/95220288497?pwd=blNIMlY0K2hxNzUzbnlzU0tSdEowdz09 Meeting ID: 952 2028 8497 Passcode: 840743 +13126266799,,95220288497#,,,,*840743# US (Chicago) CALL TO ORDER ROLL CALL APPROVAL OF AGENDA APPROVAL OF MINUTES - Quarterly Meeting of March 18, 2021 COMMUNICATION FROM CITIZENS To communicate your concerns or comments on the meeting, please speak when this line item is reviewed or during general discussion as thoughts and feedback arise. The City of Sterling Heights will provide necessary reasonable auxiliary aids and services to individuals with disabilities at the meeting upon 7 days’ notice to the Community Relations Department at 446-CITY. T:\PENSION\GERS\GERS Meeting Files\Agendas\2021 1Fiscal\21.04\21.04 Agenda.docx REPORT FROM LEGAL COUNSEL CONSENT AGENDA - Consent Items I.A through I.D2 I. RECEIVE AND FILE: A. Benefit Register listing for March 2021 from Comerica Bank B. Cash and Assets Statement for month ending March 2021 from Comerica Bank and Morgan Stanley C. Correspondence items listed here: Item Date Communication Cont'd 1 Mar 24, 2021 e-MS | Confluence Advisory Account Change Confirmation 2 Mar 24, 2021 e-MS | Hancock Advisory Account Change Confirmation 3 Mar 25, 2021 e-MS | Trade Confirmations 4 Mar 29, 2021 e-MS | Cash Outgoing Wire Transfer Letter 5 Mar 30, 2021 e-MS | Boyd Check Disbursement Confirmation 6 Apr 01, 2021 e-MS | Trade Confirmations 7 Apr 09, 2021 e-MS | Trade Confirmations 8 Apr 13, 2021 e-MS | WCM Intl Outgoing Wire Transfer Letter D. Approval items 1 Payable from City Assets for the service period: None Comerica - Bank fees GRS - Actuarial fees VMT - Legal service fees | Advisory + Casework 2 Payable from Fund Assets for the service period: $ 19,129.95 MS Consolidated – monthly mgr fees $19,129.95 MS Consolidated – quarterly advisory fees Boyd Watterson – quarterly mgr fees WCM – quarterly mgr fees REGULAR AGENDA II. OLD BUSINESS - NONE T:\PENSION\GERS\GERS Meeting Files\Agendas\2021 2Fiscal\21.04\21.04 Agenda.docx  III. NEW BUSINESS A. Application for Retirement - Melissa McMurtry B. Retiree Status Change - Anita Crites (Deceased) C. Retiree Status Change - Charles Leveque (Deceased) D. Pension Administrator Comments E. Trustee Comments ADJOURN T:\PENSION\GERS\GERS Meeting Files\Agendas\2021 3Fiscal\21.04\21.04 Agenda.docx  April 15, 2021 CONSENT AGENDA Suggested motion: to receive and file the Consent Agenda Items I.A through I.D2  Consent Agenda Item I-A April 15, 2021 RECEIVE AND FILE A. Benefit Register Listing for April 1, 2021 from Comerica Bank with 361 active retirees with a payout for the benefit month of $944,022.48 and a year-to-date of $3,785,825.38. Benefit Active Listing Retirees Current YTD 1/1/2020 364 $936,540.09 $936,540.09 2/1/2020 362 $933,492.15 $1,870,032.24 3/1/2020 364 $968,365.99 $2,838,398.23 4/1/2020 363 $947,321.25 $3,785,719.48 5/1/2020 362 $946,979.48 $4,732,698.96 6/1/2020 362 $948,234.32 $5,680,933.28 7/1/2020 363 $948,234.32 $6,629,167.60 8/1/2020 363 $945,502.99 $7,574,670.59 9/1/2020 362 $943,699.42 $8,518,370.01 10/1/2020 362 $946,549.86 $9,464,919.87 11/1/2020 362 $949,630.08 $10,414,549.95 12/1/2020 360 $946,183.76 $11,360,733.71 1/1/2021 363 $950,635.54 $950,635.54 2/1/2021 361 $947,603.65 $1,898,239.19 3/1/2021 361 $943,563.71 $2,841,802.90 4/1/2021 361 $944,022.48 $3,785,825.38 5/1/2021 6/1/2021 Posted Transaction Details 1055006409 - STERHGTBASKET PENSION BENEFITS PAID TO VARIOUS PARTICIPANTS 361 PAYMENTS MADE Transaction Number 1 Transaction Type DISBURSEMENT Transaction PENSION BENEFITS PAID TO VARIOUS CUSIP Description PARTICIPANTS 361 PAYMENTS MADE Acquisition Date Posting Date 03/26/2021 Trade Date 03/26/2021 Principal Cash -$944,022.48 Income Cash $0.00 Cost Basis $0.00 Settlement Date 03/26/2021 Income Investment Change Shares/Par Change 0.0000 Income Shares/Par Change Vault Number 0 Check Number Tax Code 907 - PENSION PAYMENT Income Code - Disbursement Code 609 - PENSION BENEFITS PAID TO Broker Code - Funds Code 0 - GOOD FUNDS Market Value $0.00 Book Value $0.00 Gain Loss Amount $0.00 Yield To Maturity Fed Tax Cost $0.00 Trade Services Fees $0.00 Accrued Interest $0.00 Broker Commission $0.00 Moody's Standard & Poor's Settlement Amount 944,022.48-  Consent Agenda Item I-B April 15, 2021 I RECEIVE AND FILE B. Cash and Asset Statements for March 31, 2021 month end from Comerica Bank and Morgan Stanley showing a total market value outlined below: Desired Percent Asset Class Manager / Fund $ Balance Allocation 2.43% 2.73% LARGE CAP GROWTH Clearbridge - Large Cap Growth Equity 3,391,600 2.43% 2.18% LARGE CAP GROWTH Vanguard Russell 1000 Growth ETF - Large Cap Growth 2,708,108 Equity 2.43% 2.63% LARGE CAP GROWTH Janus Capital - Large Cap Growth Equity 3,274,655 2.43% 3.36% LARGE CAP VALUE Confluence - Large Cap Value Equity 4,186,272 2.43% 3.38% LARGE CAP VALUE Vanguard Russell 1000 Value ETF - Large Cap Value Equity 4,205,772 2.43% 3.50% LARGE CAP VALUE MFS - Large Cap Value Equity 4,360,085 3.65% 3.54% LARGE CAP CORE John Hancock - Large Cap Core Equity 4,405,436 3.65% 4.49% LARGE CAP CORE iShares S&P 500 ETF - Large Cap Core Equity 5,590,167 5.00% 4.79% SMID CAP VALUE Edge - SMID Cap Value Equity 5,966,292 5.00% 7.14% SMID CORE Earnest Partners - SMID Core Equity 8,884,092 5.50% 10.29% INTERNATIONAL Aristotle - International Equity 12,799,098 5.50% 9.04% INTERNATIONAL WCM - International Equity 11,246,336 5.50% 6.44% INTERNATIONAL Harding Loevner - International Equity 8,009,242 5.50% 2.95% INTERNATIONAL Victory - International Small Cap Equity 3,671,963 2.50% 2.95% EMERGING Harding Loevner HLEMX - Emerging Markets 3,509,261 2.50% 2.82% EMERGING Martin Currie - Emerging Markets 1,445,258 4.00% 1.16% REITS Principal - REITS 3,371,178 16.00% 2.71% FIXED INCOME Western Asset Management - Fixed Income 12,549,736 16.00% 10.08% FIXED INCOME Boyd Watterson - Fixed Income 10,985,569 5.00% 8.83% MLPS Energy Income Partners - MLPs 4,283,971 0.00% 4.50% CASH Cash 5,597,144 99.90% 99.51% $ 124,441,236  Consent Agenda Item I-C April 15, 2021 I RECEIVE AND FILE C. Communication items listed below: Item Date Communication Cont'd 1 Mar 24, 2021 e-MS | Confluence Advisory Account Change Confirmation 2 Mar 24, 2021 e-MS | Hancock Advisory Account Change Confirmation 3 Mar 25, 2021 e-MS | Trade Confirmations 4 Mar 29, 2021 e-MS | Cash Outgoing Wire Transfer Letter 5 Mar 30, 2021 e-MS | Boyd Check Disbursement Confirmation 6 Apr 01, 2021 e-MS | Trade Confirmations 7 Apr 09, 2021 e-MS | Trade Confirmations 8 Apr 13, 2021 e-MS | WCM Intl Outgoing Wire Transfer Letter  Consent Agenda Item I-D April 15, 2021 I RECEIVE AND FILE D. Approval items 1 Payable from City Assets for the service period: None Comerica - Bank fees GRS - Actuarial fees VMT - Legal service fees | Advisory + Casework 2 Payable from Fund Assets for the service period: $ 19,129.95 MS Consolidated – monthly mgr fees $19,129.95 MS Consolidated – quarterly advisory fees Boyd Watterson – quarterly mgr fees WCM – quarterly mgr fees City of Sterling Heights General Employees Retirement System Account Bill Date Bill From Bill To Days in Month Days in Year Blended Rate(%) Billable Mkt Val Client Fee 333-142187 03/05/2021 02/01/2021 02/28/2021 28 365 0.35 $8,013,043.02 $2,151.45 333-129757 03/05/2021 02/01/2021 02/28/2021 28 365 0.28 $3,258,071.71 $699.82 333-129756 03/05/2021 02/01/2021 02/28/2021 28 365 0.15 $5,952,190.76 $702.29 333-129759 03/05/2021 02/01/2021 02/28/2021 28 365 0.18 $8,229,852.48 $1,106.92 333-074783 03/05/2021 02/01/2021 02/28/2021 28 365 0.40 $3,942,676.70 $1,209.81 333-129761 03/05/2021 02/01/2021 02/28/2021 28 365 0.13 $9,827,288.68 $954.97 333-129762 03/05/2021 02/01/2021 02/28/2021 28 365 0.30 $8,566,475.76 $1,971.46 333-129765 03/05/2021 02/01/2021 02/28/2021 28 365 0.36 $3,216,827.12 $888.37 333-129763 03/05/2021 02/01/2021 02/28/2021 28 365 0.30 $12,668,554.48 $2,915.50 333-129766 03/05/2021 02/01/2021 02/28/2021 28 365 0.32 $12,738,175.88 $3,126.96 333-129760 03/05/2021 02/01/2021 02/28/2021 28 365 0.28 $4,087,805.40 $878.04 333-141909 03/05/2021 02/01/2021 02/28/2021 28 365 0.26 $5,042,178.53 $992.57 333-143991 03/05/2021 02/01/2021 02/28/2021 28 365 0.35 $5,705,122.84 $1,531.79 Source: Consulting Group Portal Fee Track The information and data contained therein are from sources considered reliable, but their accuracy and completeness is not guaranteed; that the report has been prepared for illustrative purposes only and is not intended to be used as a substitute for account statements provided on a regular basis from Morgan Stanley Smith Barney LLC; that data in this report should be compared carefully with account statements to verify its accuracy; and that the Firm strongly encourages clients to consult with their own accountants or other advisors with respect to any tax questions. This report is being provided as a courtesy. By providing this report, we do not represent or agree that we will monitor the investments in your account(s) or deliver future reports.  April 15, 2021 REGULAR AGENDA  Regular Agenda Item III-A #VALUE! III. NEW BUSINESS A. Application for Service Retirement for Melissa McMurtry, Payroll Accountant, MAPE Professional & Technical, electing Straight Life benefit option with an effective date of May 01, 2021 Suggested Motion: to approve Application for Service Retirement for Melissa McMurtry, Payroll Accountant, MAPE Professional & Technical, electing Straight Life benefit option with an effective date of May 01, 2021 for processing and that the final calculation request be sent to actuary upon departure once leave banks payout and FAC can be calculated  Regular Agenda Item III-B April 15, 2021 III. NEW BUSINESS B. Retiree Status Change - Anite Crites (Deceased) Suggested Motion: to approve cessation of Option A 100% survivor benefit in the amount of $2,234.07 for Anite Crites due to death on April 04, 2021. Anita Crites 1931 - 2021 BORN September 16, 1931 DIED April 4, 2021 RECORDS View more records for Crites on Ancestry.com® Sponsored Send Flowers A nita Crites's passing has been publicly announced by Gramer Funeral Home in Shelby Township, MI. Legacy invites you to offer condolences and share memories of Anita in the Guest Book below. The most recent obituary and service information is available at the Gramer Funeral Home website. Send sympathy owers to the funeral home, or plant memorial trees in a national forest. Published by Legacy from Apr. 6 to Apr. 7, 2021. Home Welcome RYAN CLARK | Help | Log Out SSN Search Account Payment Work Queues Reports Tax Forms The payment was successfully submitted. Edit View Payment History Request Off-Cycle Payment Account Number 009298 Account Name CITY OF STERLING HTS GENERAL EMPLOYEES Account Status OPEN Group No/Name 400 - EOM/FOM CLIENT MAINTAINED ACCOUNTS RETIREMENT SYSTEM Next Issue Date 05/01/2021 Record Status PROCESSED Last Changed By CLARK, RYAN Last Change Date 04/08/2021 Payment ID 5905 External ID XXXXX0054098 View Payment Information Demographic & Misc Details SSN: XXX-XX-0054 SSN is TIN Gender: Payment Type: RECURRING Payee Status: DECEASED Retire Opt: SURVSP US Citizen/Resident Alien? Payee Name: CRITES, ANITA Retire Date: Tax Reporting: Country: US - United States Birth Date: Tax Form: 1099-R Home/Tax Address Date of Death: Payment Date: 05/01/2021 Line 1: 67051 CAMPGROUND ROAD Location 1: Tax Year: 2021 Line 2: WASHINGTON, MI 48095 Location 2: Exclude From Payment Generation? Line 3: Email: Line 4: * For proper mailing, country name must be included in the address except for USA and CANADA Miscellaneous Details First Payment Date: 08/01/2012 Pull Code: N/A Check Months: 1 User Defined Field: Last Payment Date: TEFRA: Process Print Confirm Notice? Pay Frequency: MONTHLY 1099-R Tax Form Details Distribution Code: 4 Taxable Amount Not Determined? Total Distribution? 1st year of desig. Roth Contrib.: Capital Gains: Employee Contribution/Desig Roth/Ins Premium: Net Unrealized Appreciation: Percentage of Total Distribution: Total Employee Contribution: Amount Allocable to IRR: Realized Loss: IRA/SEP/Simple? Tax Filing and Withholding Details Federal Taxing Method: Use filing status - Pension Federal Filing Status: Single Additional/Fixed Tax Withheld: Federal WH Allowance: 00 Tax State: MI State Taxing Method: No withholding Additional/Fixed State Tax Withheld: Funds & Deductions Details  Regular Agenda Item III-C April 15, 2021 III. NEW BUSINESS C. Retiree Status Change - Charles Leveque (Deceased) Suggested Motion: to approve cessation of Option A 100% survivor benefit in the amount of $2,051.16 for Charles Leveque due to death on March 15, 2021. Charles Leveque 1948 - 2021 BORN July 31, 1948 DIED March 15, 2021 RECORDS View more records for Leveque on Ancestry.com® Sponsored Send Flowers C harles Leveque's passing has been publicly announced by Gendernalik Funeral Home, Inc. in New Baltimore, MI . Legacy invites you to offer condolences and share memories of Charles in the Guest Book below. The most recent obituary and service information is available at the Gendernalik Funeral Home, Inc. website. Send sympathy owers to the funeral home, or plant memorial trees in a national forest. Published by Legacy on Mar. 16, 2021. Home Welcome RYAN CLARK | Help | Log Out SSN Search Account Payment Work Queues Reports Tax Forms Edit View Payment History Request Off-Cycle Payment Account Number 009298 Account Name CITY OF STERLING HTS GENERAL EMPLOYEES Account Status OPEN Group No/Name 400 - EOM/FOM CLIENT MAINTAINED ACCOUNTS RETIREMENT SYSTEM Next Issue Date 05/01/2021 Record Status PROCESSED Last Changed By CLARK, RYAN Last Change Date 03/31/2021 Payment ID 15070 External ID XXXXX9645098 View Payment Information Demographic & Misc Details SSN: XXX-XX-8544 SSN is TIN Gender: Payment Type: RECURRING Payee Status: DECEASED Retire Opt: US Citizen/Resident Alien? Payee Name: LEVEQUE, CHARLES Retire Date: Tax Reporting: Country: US - United States Birth Date: 04/16/1952 Tax Form: 1099-R Home/Tax Address Date of Death: Payment Date: 05/01/2021 Line 1: 7788 HAMLIN BEACH DR Location 1: Tax Year: 2021 Line 2: FAIR HAVEN, MI 48023 Location 2: Exclude From Payment Generation? Line 3: Email: Line 4: * For proper mailing, country name must be included in the address except for USA and CANADA Miscellaneous Details First Payment Date: 12/15/2002 Pull Code: N/A Check Months: 1 User Defined Field: Last Payment Date: TEFRA: Process Print Confirm Notice? Pay Frequency: MONTHLY 1099-R Tax Form Details Distribution Code: 7 Taxable Amount Not Determined? Total Distribution? 1st year of desig. Roth Contrib.: Capital Gains: Employee Contribution/Desig Roth/Ins Premium: 14.96 Net Unrealized Appreciation: Percentage of Total Distribution: Total Employee Contribution: Amount Allocable to IRR: Realized Loss: IRA/SEP/Simple? Tax Filing and Withholding Details Federal Taxing Method: Fixed withholding Additional/Fixed Tax Withheld: 150.00 Tax State: MI State Taxing Method: Fixed withholding Additional/Fixed State Tax Withheld: 75.00 Funds & Deductions Details Funds Amount Limit Amt Inception to Date Remaining Balance Future Date Future Amount MTLY BEN 2,051.16 DISBPENT RETRO AM LUMPSUM