Book 1 Page 52 02/13/17 8:30 A.M. MINUTES OF THE CITY OF SARASOTA GENERAL EMPLOYEES PENSION PLAN BOARD OF TRUSTEES REGULAR MEETING OF FEBRUARY 13, 2017 Present: Chair Barry Keeler, Vice Chair Ryan Chapdelain, Treasurer Kelly Strickland, Trustees Gretchen Schneider, Kari McVaugh (arrived at 8:53 a.m.), and Bonnie Wagner Others: Attorney Scott Christiansen, Pension Plans Administrator Harry Ramphal, Senior Pension Analyst Tony Colby, and Pension Specialist Lois Belle Absent: Secretary Pamela Nadalini 1. CALL MEETING TO ORDER: Chair Keeler called the meeting to order at 8:31 a.m. 2. PLEDGE OF CIVILITY: Chair Keeler read into the record a memorandum from Mayor Willie Charles Shaw, dated February 13, 2015, entitled "City Commission and Advisory Boards Meeting Protocols and Pledge of Civility." 3. ROLL CALL: Pension Plans Administrator Ramphal called the roll and a quorum of the Trustees in attendance was noted. 4. PUBLIC INPUT: None 5. APPROVAL OF THE MINUTES: 5.1. Approval Re: Minutes of General Employees' Pension Plan Board of Trustees Regular Meeting of January 23, 2017 A motion was made by Trustee Schneider, seconded by' Vice Chair Chapdelain to approve the minutes of the General Employees' Pension Plan Board of Trustees Regular Meeting of January 23, 2017. Motion carried unanimously (5-0). 6. APPROVAL OF RETIREMENT REQUESTIS): None 7. INVESTMENT PERFORMANCE REVIEW: None 8. UNFINISHED BUSINESS: 8.2. Presentation and Discussion Re: Operating Rules and Procedures Presenter(s): Attorney Scott Christiansen, Christiansen and Dehner Attorney Scott Christiansen presented the Operating Rules and Procedures; he stated that he had made a number of the requested changes provided by Secretary Nadalini; that he would like to further discuss Rule 5 prior to removing section as requested by Secretary Nadalini. Attorney Christiansen stated the General Employees' Pension Plan Board of Trustees is one of thei few Boards that have an internal Pension department that is responsible for many of the items noted in Rule 5; that each year Board approves budget; that this Board does not review all bills prior to payment rather that bill are paid by the Pension Department in accordance with the budget approved by the Board; that if the Board is comfortable with current process then Rule 5 can be removed with the exception of Rule 5.5 and 5.6 which pertains to the Rollovers to and from the Plan and DROP rules and procedures. Attorney Christiansen stated that Secretary Nadalini mentioned the Pension department has an Internal Operating Manual; that the Operating Rules and Procedures will provide a good overview to new Trustees as they join. In response to a question from Chair Keeler asking if 5.3A.1. should remain as well, Attorney Christiansen stated the Operating Rules and Procedures contain standard language but that the Internal Operating Manual covers the day to day operations. Chair Keeler stated that he would like to see the Internal Operating Manual. Plan. Administrator Ramphal stated the Internal Operating Manual stipulates day to day operations that iti is a guide of what steps to cover. In response to a question from Trustee Wagner asking if this document coincides with Rule 5, Plan Administrator Ramphal stated that other City Boards receive summaries after the fact. In response to a question from Treasurer Strickland asking if there are any conflicts between the Operating Rules and Procedures document and the internal Plan Administration document, Pension Plans Administrator Ramphal stated that the only discrepancy is bringing payment requests prior to payment. Attorney Christiansen stated that it is acceptable to bring contractual expenses paid to the board after the fact. Treasurer Strickland stated that she liked the transparency of authorizing transactions and would be in favor of leaving Rule 5 in the Operating Rules and Procedures. Trustee Schneider agreed with Treasurer Strickland. Chair Keeler recommended tabling discussion to a future meeting when Secretary Nadalini would be in attendance. Attorney Christiansen asked if there were any other items to bring up before tabling. In response to a question from Vice Chair Chapdelain asking if language in Section 1.7 for Seat 3 should be expanded, Attorney Christiansen stated that the language provided is based on the City Ordinance; that any change would need to start with a change to the Ordinance. Discussion ensued about revisiting the Ordinance based on the fact that the Plan is a closed Plan which narrows the pool of eligible candidates. In response to a question from Vice Chair Chapdelain asking for clarity between the first and last paragraphs of Section 1.7, Attorney Christiansen stated that he will review and remove any redundancy. Trustee McVaugh arrived at 8:53 a.m. The Board discussed the current travel procedures in section 1.10 adding section about payments, dues and memberships to the process for completing paperwork. In response to a question from Vice Chair Chapdelain asking if there should be a more defined timeline for material to be presented to the Board of at least three business days, Attorney Christiansen stated that he would add timing to Section 2.2. In response to a question from Vice Chair Chapdelain asking if Section 7.3 accurately reflects Finance's title, Treasurer Strickland stated that it would be Finance Administration Department. Attorney Christiansen requested Board members send any additional comments to either himself or Pension Plans Administrator Ramphal. Book 1 Page 53 02/13/17 8:30 A.M. Book 1 Page 54 02/13/17 8:30 A.M Chair Keeler noted Board consensus to continue discussion at the March meeting. 9 NEW BUSINESS: 9.1 Approval Re: UBS Request to Provide Annual Investment Performance Reviews Presenter(s): Pension Plans Administrator Ramphal Pension Plans Administrator Ramphal discussed UBS' request to provide the Board an Annual Performance Review each December; that given the nature of the portfolio, the portfolio is not volatile enough to require quarterly Performance Reviews. Chair Keeler noted Board consensus to grant UBS' request for Annual Performance Reviews with the caveat that the Board may request UBS come before the Board if questions arise prior to December meeting. 10 ATTORNEY MATTERS: Attorney Christiansen confirmed and stated that he has taken out clarification language on Ordinance and shared the Revised Ordinance that will be presented to the City Commission in March. In response to a question from Attorney Christiansen asking if the approved revised investment policy statement has been signed and sent to the State, Pension Plans Administrator Ramphal stated that the material was sent and Attorney Christiansen asked for a copy. In response to a question from Attorney Christiansen asking if the expected rate of return has been sent to the State, Pension Plans Administrator Ramphal stated that the approved rate of return was sent. Attorney Christiansen briefly discussed some pending legislation regarding voting conflicts to restrict voting from special employment gain to any gain, and stated that he will keep an eye on Senate Bill 306; and its companion House Bill 603. 11. OTHER MATTERS: Trustee Wagner stated she will not be attending the General Employees' Pension Plan Board of Trustee meeting on March 20, 2017; that she will follow up with an email to Staff. 12. ADJOURN. Chair Keeler adjourned the General Employees' Pension Plan Board of Trustees Regular meeting at 9:27 a.m. BeNlee C.P.PT Chair Barry Keeler Vice Chair Ryan Chapdelain )