Police & Fire Retirement Board

REGULAR MEETING MINUTES OF THE STERLING HEIGHTS POLICE AND FIRE RETIREMENT SYSTEM, ACT 345 NOVEMBER 15, 2012 FIRE DEPARTMENT CONFERENCE ROOM 41625 RYAN ROAD STERLING HEIGHTS, MI 48313 Secretary Wellhausen requested a moment of silence in honor of retired Police Sergeant James Porter who passed away on October 13, 2012. 1. The regular meeting of the Police and Fire Retirement System was called to order by Acting Chairman James Nash at 4:04 p.m. 2. Board Members present: Wellhausen, Nash, Lamerato, Varney. Absent: Solak (excused). Also present: Brian Brice, representing Merrill Lynch Private Client Group; Tom Michaud, Legal Counsel; and Nancy Duyck, Pension Technician. 3. APPROVAL OF CONSENT AND REGULAR AGENDAS Motion by Lamerato, supported by Wellhausen, to approve the consent agenda as presented. Ayes: Lamerato, Wellhausen, Nash, Varney. Absent: Solak. The motion carried. Motion by Nash, supported by Lamerato, to approve the regular agenda as presented. Ayes: Nash, Lamerato, Wellhausen, Varney. Absent: Solak. The motion carried. 4. APPROVAL OF MINUTES No corrections were made to the draft minutes of the regular meeting of October 18, 2012. Motion by Varney, supported by Lamerato, to approve the minutes as presented. Ayes: Varney, Lamerato, Nash, Wellhausen. Absent: Solak. The motion carried; the minutes of the regular meeting of October 18, 2012 are hereby approved as presented. 5. CITIZEN PARTICIPATION There was no Citizen participation. 6. REPORT FROM LEGAL COUNSEL No formal legal report was presented. Mr. Michaud commented on items of old business as they were considered. CONSENT AGENDA 7. CORRESPONDENCE a. Intercontinental third quarter report for US REIF Fund b. Intercontinental third quarter report for Fund III c. Correspondence from Intercontinental dated November 1, 2012 re: distribution from Fund III. d. Other correspondence received from: 1. Asset Strategies Portfolio Services, Inc. 2. Merrill Lynch – market value updates 3. Pomerantz, Grossman, Hufford, Dahlstrom & Gross LLP  4. Robbins Geller Rudman & Dowd LLP e. Magazines received: 1. Pensions & Investments for October 29 and November 12, 2012. 2. Institutional Investor for November 2012 3. Plan Sponsor for November 2012 8. BILLS AND EXPENDITURES c. Checking Account Summary Beginning Balance $7,012.81 10/01/12 CONSENT AGENDA 8. BILLS AND EXPENDITURES c. Checking Account Summary – cont. Subtractions (5) $2,215.12 1. 10/25 Check 1889 225.00 NCPERS 2013 dues 2. 10/25 Check 1890 37.45 AT & T phone bill – 10/16/12 3. 10/12 Check 5224 938.03 Contract Payment Nancy Duyck 4. 10/15 Check 5225 76.62 Contract fee – Gurin & Gurin 5. 10/26 Check 5226 938.02 Contract Payment Nancy Duyck Electronic withdrawals (5) $1,615.21 1. 10/03 348.96 IRS Fed. tax w/h 2. 10/12 106.80 Michigan St. tax w/h 3. 10/15 461.54 IRA contribution 4. 10/17 348.95 IRS Fed. tax w/h 5. 10/31 348.96 IRS Fed. tax w/h Ending Balance $3,182.48 10/31/12  d. Transmittal of Checks 1. $255.16 Check received from Cecelia French for an EDRO actuarial calculation deposit. 9. FUNDS MANAGEMENT a. The current value of funds as of October 31, 2012 is detailed below: Clearing account $5,130,182.59 Intercontinental $8,648,401.11 McDonnell $16,099,450.27 Pimco $16,355,004.28 Wamco $16,446,669.33 Winslow $17,409,601.98 Janus $18,380,951.33 Eagle $18,413,692.11 Herndon $18,633,908.40 Earnest Partners $9,851,662.47 NFJ/Allianz $14,419,059.86 AIM/Invesco $13,829,572.40 Checking account $3,182.48 TOTAL FUNDS $173,621,338.61 CONSENT AGENDA 9. FUNDS MANAGEMENT – cont. b. The Board received a copy of the Summary of Employer Contributions to the Police and Fire Retirement System for the 2012 tax year as of 10/26/12. The System has received $8,076,984.97 of the 2012/13 budget of $8,815,031.00, leaving a $738,046.03 balance. c. Benefit Register Listing as of November 1, 2012 from Comerica Bank showing 292 retirees/beneficiaries with a payout for November of $1,155,257.51 and a year-to- date of $15,097,611.21. d. The current Merrill Lynch Bond index for October 2012 is 1.59%. 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 1. Abel/Noser Reports for September 2012 Abel/Noser has supplied the September 2012 report. REGULAR AGENDA 8. BILLS AND EXPENDITURES a. Disbursements other than retiree benefit payments (bills) 1. Disbursement to Comerica Bank in the total amount of $3,109.09 for services rendered to the Clearing, Intercontinental, MD Sass and McDonnell accounts for the quarter ended 9/30/12. 2. Disbursement to the City of Sterling Heights in the total amount of $242.08 for EDRO preliminary calculation for Michael Bauss. 3. Disbursement to McDonnell Investment Management in the amount of $7,971.78 for investment management fees for the quarter ended 9/30/12. 4. Disbursement to Eagle Capital Management in the amount of $19,226.53 for investment management fees for the quarter ended 9/30/12. 5. Disbursement to Merrill Lynch in the amount of $35,296.03 for quarterly UMA fee for the Herndon account for the quarter ended 12/31/12. 6. Disbursement to Merrill Lynch in the amount of $17,213.30 for the quarterly Earnest Partners account UMA fee for the quarter ended 12/31/12. REGULAR AGENDA 8. BILLS AND EXPENDITURES a. Disbursements other than retiree benefit payments (bills) 7. Disbursement to Merrill Lynch in the amount of $26,967.34 for the quarterly NFJ/Allianz account UMA fee for the quarter ended 12/31/12. 8. Disbursement to Merrill Lynch in the amount of $30,248.85 for the quarterly Winslow account UMA fee for the quarter ended 12/31/12. 9. Disbursement to Merrill Lynch in the amount of $29,477.77 for the quarterly Pimco account UMA fee for the quarter ended 12/31/12. 10. Disbursement to Merrill Lynch in the amount of $29,757.71 for the quarterly WAMCO account UMA fee for the quarter ended 12/31/12. 11. Disbursement to VanOverbeke, Michaud & Timmony, PC in the total amount of $6,238.65 for legal services rendered for the period of 1/1/12 through 9/30/12. Motion by Wellhausen, supported by Lamerato, to approve the bills as presented. Ayes: Wellhausen, Lamerato, Nash, Varney. Absent: Solak. The motion carried. b. Disbursement to retirees/members other than monthly benefit payments 1. Annual Benefit Allowances Disbursements to the following retirees for annual benefit allowance payable January 1, 2013 will be considered per applicable collective bargaining contracts, as detailed below: COA (22) - $800.00 Frank Bayones George Belkowski Gerald Brzeg Douglas Cedras James Coffin Robert Cory David Grabb Philip Hay Ronald Kokesh Eugene Lane Leroy Lang Ronald May Adrien Meerhaeghe John Meister James Morgan Wayne Orlando Walter Reghi Thomas Rossman Alan Savela Frederick Schoenrock Richard Stokes Norman Thomas REGULAR AGENDA 8. BILLS AND EXPENDITURES b. Disbursement to retirees/members other than monthly benefit payments 1. Annual Benefit Allowances – cont. FFA (24) - $800.00 Ronald Atkinson Paul Backus Chester Beasley Robert Beels Douglas Cashman Larry Crawford Irvin Droste Kenneth Durham Arthur Fernandez Lary Gregory Thomas Jones Sandy Korich William Lopez William Miller Joseph Myny Merle Newberry Frederick Pawlowski Charles Pereny Stanley Poterek Donald Sitko William Webster Ronald Wiegand Thomas Wisniewski Gerald Zupan MAP (5) - $500.00 Gene Blanchard Terence Burns Bobby Collins Claude Girardi Ralph Goode Motion by Wellhausen, supported by Lamerato, to approve the bills as presented. Ayes: Wellhausen, Lamerato, Nash, Varney. Absent: Solak. The motion carried. 9. FUNDS MANAGEMENT e. Quarterly Performance Report 1. Merrill Lynch Brian Brice reviewed the summary report of manager performance. Enclosed in this report was the Board’s summary of investment policies and objectives, third quarter 2012 AIM Market Focus report. Also included was an executive summary of the Composite, Allianz, Invesco, Janus, Winslow, Earnest, Intercontinental, Herndon, Eagle, McDonnell, Pimco, and Wamco reports. The following manager specific comments were discussed: REGULAR AGENDA 9. FUNDS MANAGEMENT e. Quarterly Performance Report 1. Merrill Lynch – cont. McDonnell Investments a. The total portfolio return in the third quarter was 1.7%, ranking in the 62nd percentile of the BofAML Domestic Fixed Income Sample. It exceeded the Custom Index (1.6%), and the Barclays Capital Aggregate Bond Index (1.6%). b. Their total portfolio return was 6.5% since inception (12/31/08). This exceeded the Custom (6.1%), and equaled the Barclays Capital Aggregate Bond Index (6.5%). c. Cash on hand at third quarter ending was within guidelines. Pimco a. The total portfolio return in the third quarter was 2.1%, ranking in the 48th percentile of the BofAML Domestic Fixed Income Sample. It exceeded the Custom Index (1.5%), and the BofAML Broad Market Bond index (1.6%). b. Their total portfolio return was 6.8% since inception (6/30/11). This trailed the Custom (6.9%), and the BofAML Broad Market Bond index (7.4%). c. Cash on hand at third quarter ending was above guidelines. Western Asset Management a. The total portfolio return in the third quarter was 2.9%, ranking in the 26th percentile of the BofAML Domestic Fixed Income Sample. It exceeded the Custom Index (1.6%), and equaled the BofAML Broad Market Bond index (1.6%). b. Their total portfolio return was 7.9% since inception (6/30/11). This exceeded the Custom (6.6%), and trailed the BofAML Broad Market Bond index (7.4%). c. Cash on hand at third quarter ending was within guidelines. Winslow Investment Counsel a. The total portfolio return in the third quarter was 6.2%, ranking in the 42nd percentile of the BofAML Domestic Large Cap Growth Equity Sample. It exceeded the Custom Index (6.0%), and the Russell 1000 Growth Index (6.1%). b. Their total portfolio return was -1.6% since inception (3/31/12). This trailed the Custom (1.8%), and the Russell 1000 Growth Index (1.9%). c. Cash on hand at third quarter ending was within guidelines. REGULAR AGENDA 9. FUNDS MANAGEMENT e. Quarterly Performance Report 1. Merrill Lynch – cont. Janus Investment Counsel a. The total portfolio return in the third quarter was 7.5%, ranking in the 17th percentile of the BofAML Domestic Large Cap Growth Equity Sample. It exceeded the Custom Index (5.9%), and the Russell 1000 Growth Index (6.1%). b. Their total portfolio return was 11.9% since inception (12/31/09). This trailed the Custom (12.5%), and the Russell 1000 Growth Index (13.0%). c. Cash on hand at third quarter ending was within guidelines. Earnest Partners a. The total portfolio return in the third quarter was 6.6%, ranking in the 31st percentile of the BofAML Domestic Small Cap Equity Sample. It exceeded the Custom Index (5.5%), and the Russell 2000 Index (5.2%). b. Their total portfolio return was 5.9% since inception (9/30/06). This exceeded the Custom (4.7%), and the Russell 2000 Index (3.8%). c. Cash on hand at third quarter ending was within guidelines. AIM/INVESCO Capital Management a. The total portfolio return in the third quarter was 6.1%, ranking in the 81st percentile of the BofAML International Equity Sample. It exceeded the Custom Index (5.9%), and trailed the MSCI EAFE Growth Index (6.4%). b. Their total portfolio return was 1.9% since inception (12/31/10). This exceeded the Custom (-1.3%), and the MSCI EAFE Growth Index (-1.3%). c. Cash on hand at third quarter ending was above guidelines. NFJ/Allianz Global Investors a. The total portfolio return in the third quarter was 7.7%, ranking in the 41st percentile of the BofAML International Equity Sample. It exceeded the Custom Index (7.1%), and the MSCI All Country World ex US-net (7.4%). b. Their total portfolio return was 1.7% since inception (12/31/10). This exceeded the Custom (-2.7%), and the MSCI All Country World ex US-net (-2.7%). c. Cash on hand at third quarter ending was within guidelines. REGULAR AGENDA 9. FUNDS MANAGEMENT e. Quarterly Performance Report 1. Merrill Lynch – cont. The following table details the Investment Performance Review for the third quarter ending September 30, 2012. Market value of the funds under management as of September 30, 2012 was $176,502,991. The total fund return for the third quarter was 5.4%, ranking in the 12th percentile, as summarized below: 6/12 9/11 9/09 9/07 9/02 to 9/12 to 9/12 to 9/12 to 9/12 to 9/12 Total fund* 5.4/12 19.7/16 8.5/56 1.3/95 5.9/91 *Ranked against the BofAML Domestic Balanced Sample - Total Total Portfolio Returns - Equity Sample Domestic# 7.8/16 29.2/36 9.6/72 0.0/61 7.8/74 #Ranked against the BofAML Domestic Equity Sample - Common Stock Total Portfolio Returns - Fixed Income Sample F.I.# 2.3/42 8.1/39 6.8/41 2.1/99 3.3/99 #Ranked against the BofAML Domestic Fixed Income Sample - Fixed Income Real Estate -0.3 0.0 8.5 0.9 N/A The following manager specific return information is detailed separately from the other long-term data: 6/12 9/11 9/09 12/08 McDonnell to 9/12 to 9/12 to 9/12 to 9/12 Total Fund* 1.7/62 5.8/61 6.6/46 6.5/63 *Ranked against the BofAML Domestic Fixed Income Sample - Total  6/12 9/11 6/11 Pimco to 9/12 to 9/12 to 9/12 Total Fund* 2.1/48 8.8/32 6.8/52 *Ranked against the BofAML Domestic Fixed Income Sample - Total 6/12 9/11 6/11 Wamco to 9/12 to 9/12 to 9/12 Total Fund* 2.9/26 9.1/27 7.9/36 *Ranked against the BofAML Domestic Fixed Income Sample – Total REGULAR AGENDA 9. FUNDS MANAGEMENT e. Quarterly Performance Report 1. Merrill Lynch – cont. 6/12 3/12 Winslow to 9/12 to 9/12 Total Fund* 6.2/42 -1.6/85 *Ranked against the BofAML Domestic Large Cap Growth Equity Sample - Total 6/12 9/11 12/09 Janus to 9/12 to 9/12 to 9/12 Total Fund* 7.5/17 35.5/2 11.9/43 *Ranked against the BofAML Domestic Large Cap Growth Equity Sample - Total 6/12 9/11 9/09 9/07 9/06 Earnest to 9/12 to 9/12 to 9/12 to 9/12 to 9/12 Total Fund* 6.6/31 34.4/22 16.0/27 4.8/26 5.9/43 *Ranked against the BofAML Domestic Small Cap Equity Sample – Total 6/12 9/11 12/10 Invesco to 9/12 to 9/12 to 9/12 Total Fund* 6.1/81 20.7/21 1.9/25 *Ranked against the BofAML International Equity Sample - Total 6/12 9/11 12/10 Allianz to 9/12 to 9/12 to 9/12 Total Fund* 7.7/41 22.0/15 1.7/27 *Ranked against the BofAML International Equity Sample - Total 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 2. James Porter – survivor benefit resolution - discussion Retired Police Sergeant James Porter passed away on October 13, 2012. At retirement, Sergeant Porter chose a Regular retirement with the automatic 60% to his wife, Lois. An application for survivor benefits has been received as well as a copy of Mr. Porter’s death certificate. After discussion, the following resolution was considered: REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 2. James Porter – survivor benefit resolution – discussion – cont. L 12-11-15-1 RE: JAMES PORTER – SURVIVOR PENSION RESOLUTION WHEREAS, the Board of Trustees is vested with the authority and fiduciary responsibility for the administration, management and operation of the Retirement System, and WHEREAS, the Board of Trustees has been advised that JAMES PORTER passed away on October 13, 2012, and WHEREAS, upon his retirement on June 30, 1990, JAMES PORTER selected a regular retirement pension benefit with an automatic sixty percent surviving spouse benefit, and WHEREAS, Section 6(1)(h) of Public Act 345 of 1937, as amended, provides in pertinent part that upon the death of a retirant who is receiving a regular retirement pension, his or her spouse, if living, shall receive a pension equal to 60% of the regular retirement pension the deceased was receiving, and WHEREAS, JAMES PORTER is survived by his wife, LOIS PORTER, therefore be it RESOLVED, that the Board of Trustees wishes to express its condolences to the family and friends of JAMES PORTER, and further RESOLVED, that the Board of Trustees hereby directs that pension benefits be made payable to LOIS PORTER in the amount of $1,782.23 consistent with Retirement System provisions, and further RESOLVED, that the Board of Trustees has received a certified copy of JAMES PORTER’s death certificate for its files, and further RESOLVED, that a copy of this resolution be forwarded to LOIS PORTER. Motion by Nash, supported by Wellhausen, to adopt the resolution as presented. Ayes: Nash, Wellhausen, Lamerato, Varney. Absent: Solak. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 2. James Porter – survivor benefit resolution – discussion – cont. The motion carried, the resolution is hereby adopted. 3. Cecelia French – EDRO benefit resolution - discussion Cecelia French, Alternate Payee of Glenn French, has supplied the necessary paperwork to start receiving her monthly benefit and annuity withdrawal as stipulated in the EDRO as of November 1, 2012. All required paperwork is on file in the Pension Office. After discussion, the following resolution was considered: L 12-11-15-2 Re: CECELIA FRENCH EDRO BENEFIT RESOLUTION WHEREAS, the City of Sterling Heights Police and Fire Retirement System consists of a defined benefit plan and defined contribution plan which are qualified plans under applicable provisions of the Internal Revenue Code, and WHEREAS, the Retirement System is generally subject to Public Act 46 of 1991 of the State of Michigan statutes (MCLA 38.1701, et seq.), and WHEREAS, the Board of Trustees previously received an Eligible Domestic Relations Order, dated August 21, 1996, purporting to grant CECELIA FRENCH with certain rights and claims regarding Retirement System benefits normally payable to GLENN FRENCH, who elected a DROP retirement as of June 18, 2011, and WHEREAS, the Board, at its meeting of September 25, 1996, approved the Eligible Domestic Relations Order, dated August 21, 1996 wherein CECELIA FRENCH, the former spouse of the member, was granted certain rights to the Defined Benefit Plan and the Defined Contribution Plan benefit of the aforesaid member, and WHEREAS, the benefits payable from the Defined Benefit Plan are subject to the terms of the August 21, 1996 EDRO, and accordingly, the former spouse, CECELIA FRENCH, shall receive fifty (50%) per cent portion of the member’s Defined Benefit Plan benefits which has accrued from the date of marriage to August 21, 1996, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 3. Cecelia French – EDRO benefit resolution – discussion – cont. WHEREAS, the defined contribution plan division of benefits and said annuity withdrawal are subject to the terms of the August 21, 1996 EDRO and accordingly, the former spouse, CECELIA FRENCH, shall receive fifty (50%) per cent portion of the member’s Defined Contribution Plan (annuity withdrawal account) which has accrued from the date of marriage to August 21, 1996, and WHEREAS, CECELIA FRENCH has elected to receive her actuarial reduced benefit over her lifetime, and THEREFORE, BE IT RESOLVED, that the Board hereby acknowledges receipt of the Eligible Domestic Relations Order, dated August 21, 1996, and shall pay pension benefits consistent with said Court Order, and further RESOLVED, that in accordance with the EDRO, CECELIA FRENCH shall be paid an annuity withdrawal (total lump sum distribution from the defined contribution plan) of $8,440.74 and a yearly regular retirement pay in the amount of $1,629.00 or monthly benefits of $135.75. That the Treasurer shall immediately calculate and pay CECELIA FRENCH the appropriate amount effective November 1, 2012, and further RESOLVED, that pension benefits, consistent with the elections herein and in accordance with the provisions of the August 21, 1996 EDRO, be paid to the former spouse, CECELIA FRENCH. Motion by Wellhausen, supported by Varney, to adopt the resolution as presented. Ayes: Wellhausen, Varney, Nash, Lamerato. Absent: Solak. The motion carried; the resolution is hereby adopted. 4. Mark Ostin – partial DROP distribution – discussion Sergeant Mark Ostin of the Police Department terminated his DROP retirement as of June 23, 2010. He requested a partial DROP distribution from his DROP account. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 4. Mark Ostin – partial DROP distribution – discussion – cont. Motion by Wellhausen, supported by Varney, to approve the partial DROP distribution as presented. Ayes: Wellhausen, Varney, Nash, Lamerato. Absent: Solak. The motion carried. 5. Kevin Conlan – partial DROP distribution - discussion Battalion Chief Kevin Conlan of the Fire Department terminated his DROP retirement as of September 7, 2011. He requested a partial DROP distribution from his DROP account. Motion by Wellhausen, supported by Nash, to approve the partial DROP distribution as presented. Ayes: Wellhausen, Nash, Lamerato, Varney. Absent: Solak. The motion carried. 6. Heart Act Amendments resolution - discussion Legal Counsel has supplied a draft resolution for the Board’s consideration regarding the HEART Act Amendments – Internal Revenue Code Compliance. After discussion, the following resolution was considered: RESOLUTION 72 L 12-11-15-3 ADOPTED: November 15, 2012 RE: HEART ACT – Internal Revenue Code Compliance WHEREAS, the Board of Trustees is vested with the fiduciary responsibility for the administration, management and operation of the Retirement System and has the authority to make rules and regulations necessary for the proper conduct of the Plan, and REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 6. Heart Act Amendments resolution – discussion – cont. WHEREAS, the Retirement System is a governmental pension plan as defined in Internal Revenue Code (“IRC”) Section 414(d), and is a qualified plan and trust pursuant to IRC Sections 401(a) and 501(a), and WHEREAS, the Heroes Earnings Assistance and Relief Tax Act of 2008, amended Sections 401(a) and 414(u) of the IRC with regard to benefits payable to qualified Retirement System members entering active military service, and WHEREAS, the Board of Trustees has a fiduciary duty to administer the Retirement System consistent with plan provisions and applicable law, including applicable provisions of the IRC and related authority to maintain the qualified status of the Plan, therefore be it RESOLVED, that the Retirement System shall continue to be administered in accordance with Sections 401(a) and 414(u) of the IRC, as amended, and is hereby amended to incorporate the death benefits required by Section 104(a) of the HEART Act as follows: Death benefits. In the case of a death occurring on or after January 1, 2007, if a Member dies while performing qualified military service (as defined in Code § 414(u)), the survivors of the Member are entitled to any additional benefits (other than benefit accruals relating to the period of qualified military service) provided under the Plan as if the Member had resumed and then terminated employment on account of death. For these purposes, the Member shall be entitled to service credit under the Plan for the period of qualifying military service. and further RESOLVED, that a copy of this Resolution shall be provided to all appropriate parties. Motion by Lamerato, supported by Varney, to adopt the resolution as presented. Ayes: Lamerato, Varney, Nash, Wellhausen. Absent: Solak. REGULAR AGENDA 10. BENEFITS & PLAN ADMINISTRATION a. Old Business 6. Heart Act Amendments resolution – discussion – cont. The motion carried, the resolution is hereby adopted. 7. Acquisition of McDonnell Investment Management - discussion The Board has received correspondence from McDonnell Investment Management regarding their being acquired by Natixis Global Asset Management (NGAM) and request for confirmation. Motion by Lamerato, supported by Varney, to confirm the acquisition of McDonnell Investment Management by Natixis Global Asset Management. Ayes: Lamerato, Varney, Nash, Wellhausen. Absent: Solak. The motion carried. 11. Trustee Comments: None 12. ADJOURNMENT Motion by Lamerato, supported by Wellhausen, to adjourn at 4:45 p.m. Ayes: Lamerato, Wellhausen, Nash, Varney. Absent: Solak.  The motion carried; the meeting is hereby adjourned. Mark Wellhausen Secretary