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So now I'm going to move forward to the 457 plan. So if we go to page 37. So the 457 plan and the 401A plan are participant directed. So the board selected the allocation and the investments, but it is a participant that select the put their money in each of the individual investment. So where the dollars fall is not anything the board has to deal with, that's what the participants selected. So page 37 is the pie chart from a broad asset class front of you. Left side is last quarter, right side is a current quarter. And if you look at the bottom of the pie chart, this will tell you how the participants as a group, their assets are falling. So you can see the two largest pieces of the pie are the burgundy or wine colored target date funds at about 41.6%. The participants might have target date funds, which is what we expect. And then equities the next largest list they're at 41%. And then the next page on 38, we also break an active and passive because there are passive options as well as active options for the participants. And here you can see that 78.2% on the right side, 78.2% of participants assets are inactive, which is what we usually see. We do see more participants' Latin active versus passive. 39 just lists all the funds and the market values and percentages. I don't necessarily spend too much time on that page, but you can see how it's broken out. Then we'll look at 401A allocations for the 401A. I forgot to give you a minute. I didn't mention the market values are on the top of the pie chart. So for the 401A, the assets are about 876 million. And I will just let you know for the 457 the assets were 30, a little over 33 million. So my apologize for not playing that. So for the 401A pointing that out earlier. So for the 401A, broken out target date, again, is the biggest slice at 64%. So a little bit more adoption on target date funds here. And then equity at 27.6% is the largest piece there. Second piece. And then next page, passive and active. Again, you'll see the same story. Active about 79% of the purchase of this fund equals an active. So performance is also shown in here. And we show it a few different ways. We do show all the funds and their ranks that's kind of in the back on page 50. But this is this mind boggling number of numbers there. We try to show it a little bit easier on page 44, 45, and 46 where we show the investments. So, page 44 are all the targeted funds. And it's hard to see on this page, so we do have another page where we show a green yellow and red. Green means the fund is meeting the criteria and whether it's outperforming a benchmark or a universe. Yellow means caution, maybe it's underperforming for a certain time period and then means it's underperforming the benchmark for the universe for high-4 quarters or more. So that is on page 44, page 45, the active funds, page 46 on the passive funds. But what we have here on page 48 and 49 is our old format, which was much preferred. So we put it back in here. And so page 48, the top of the page of 48 on the active funds and then the passive funds on the bottom of the 48. So the goal is here is you want to see more green than yellow and red. I will let you know, we will never see all green. And if we do, we should have a very big party because that's every single investment. It's out in out-for-for-the-special work and it's a universe for every time period. So it will be, I don't think we'll ever see all green, but the goal is to see more green, than you know, and all things more yellow than red. So anywhere there's one of the offenders, I'm sorry, are we getting rid of one of the offenders? Yes, so if you look on the top panel, there's a bottom of the top panel, W-A-4 plus bond. So that is the Western asset core plus bond bond. We mentioned this at the last meeting. The Western asset received a well-snoticed and so there is a SEC investigation on one of the senior decision makers at the firm. And so with that notice, there's a process that they have to go through, the SEC can review information. It could take up to a year, maybe even 18 months, we don't know the timeframe. So not knowing what's gonna happen with the results of that investigation, our firm is recommending moving out of that fund, only because we just go feel because of the uncertainty. I can tell you three months later, Western it has been losing assets. Other clients are firing them. Because of this. Yeah, Western has multibillion, but they are losing a lot of assets. So the concern is, you know, do the other lose clients? Are they going to lose assets? Yes, we're seeing that, um, is there going to be an exit as a people? That means then there will be people to, you know, do the research. So that's a concern we have at the end of the day. I mean, it could find out that they could come back and find out, okay, there was no issue be so much uncertainty. We just didn't want to live with that. And we just didn't feel comfortable keeping that fund as an option for participants. So we are recommending removing that. So we made that recommendation and the fund is going to be removed. The record keeper is in the process of doing that. It was a January that they were going to. So the 30th they required notice to participants that that funds being closed and they're going to be remapped to the new one. We go out mid December. I mean, that about under 30 was 20. Six to 30. Yeah. Yeah. You can see the where that was to. So besides, a lot of your bad families, those are the effective bond January 13th is the current schedule. So that fund, so the fund with the most red on that page is going to be removed. And assets will be mapped to the fidelity of the bond index fund. And then the participants, once it's mapped, participants can move their assets if they want. There is an active fixed income fund, so they do want to go to active accounts. And there is options for the participant. Page 49 is the target date funds here. The first one is the permission square, which is an advantage, which is not an option of more open the provisions for yourself supporting that anymore, but we are showing it. But the rest of the target big ones you can see here, which is where the bulk of the assets are 64% of the follow-on cake, 41% of the 42% of the 42% of the UBC here, we've got to be across the board. The second the last from the bottom, the 2065, was an issue, we actually agree. So because there's just not a trap that could, because it's a new file. So, these are what you should see, great problem is there. And just to go back to page 47, just so the new trustees know, one of the questions that were born was, they wanted to see what the changes are from the Red Yellow Green pages from quarter to quarter since we don't show every quarter in this book. So page 47 is a summary of that. So you can see we made the fun changes in the end of 2023. So that's why you don't see any data for 23 and 4Q 23. So starting January 2024 is when the new fun lineup came. And so here I tried to show how many times the manager had a yellow or a red. And you can see what the trend is. So for example, in your Vanguard equity at, in first quarter 2024, there was one time period that it was yellow. It kind of cleared in 2024, so that means the performance was strong enough that it moved it out within a third quarter. We do have one time period rules in yellow again. And the best which we talked about for, you know, the four time periods they were read, then they went to five time periods and then dropped a fourth from this quarter. So hopefully some, you know, there's some really good performance that's starting to offset some of the underperformance. But that's how you read this page. You can see some of the managers have ticked out the sum of the man, ticked down. For example, American funds was read, but now they're all yellow. So, you know, the here's just to kind of keep track of what's going on in our store before. The question, so on the January or December changed over from the mission square funds to like funds, let's say, massive change. Which one is reflecting that, the one you were just talking about, or is it another, or is it tracked anywhere? Are the old funds? Yeah, no, where's the old funds? We moved out of the engines where we moved into similar fonts. And so where they tracked for the year to show kind of how they perform. So what we show in the book is the new fund. It is the new fund. It is the new fund. Yeah, yeah. So if you wanted to see the performance kind of quarter by quarter or year by year, if you go page 50, 51 and 52, there are all the funds for the quarter and the one through 15 year contract with the ranks and the university. So I can go back and Yes, you can go. So we're starting to track the new funds, the complete switch to everybody in the line of the week. And they generally perform well. Yeah, so overall they perform well. Yeah, great. And that's the green. So basically using the unit. Thank you. So are there any questions on the two DC plans? using the data. So are there any questions on the two DC plans? So those are my prepared remarks on the investment reports. In which case Vice Chair, we can move forward to having Mary talk about the patient asset allocation for taxes. Just I, I heard it. Thank you. You're welcome. No, it's a... It's a BBI. It's a BBI. It's a B because it's low value. Okay, so yeah, on the agenda, it's eight AI, which was the International asset allocation review. So, so Marshall, because this is your last meeting, I'm glad I've made the answer to this question for you. So, Marshall had asked a question about, when you look at your investments in the basic employees and even know that he had made the comment that, you know, international in general had been under the U.S. equity and has been under the Department for a while. So should we even consider international equity in the portfolio? As an asset class, I believe it does add value to the portfolio. It adds diversification. But the Marshall's comment, he is correct. International has been performing. As you know, everything goes in cycles, but international has been underperforming US for the one to say it's a lease for three, four years. Prior to that, international had outperformed US equity for about, I think it was 16 months, but this is now under and some months. So, you know, the cycle has definitely been longer than any other cycle. So what I did here is, the trustees that have been on board for a while have done an ASA allocation study. So what I did is a small ASA allocation study and I just pulled the two pages out of the ASA allocation study. And I just pulled the two pages out of the acid allocation study. So if you have the, it says, it's the thin document that I have, and it's called acid allocation analysis. There's only two pages in here, but it's going to have to print it to where they're going. So page one. So when you do an acid allocation study, just so you have an understanding you do an S allocation study, just so you have understanding of what an S allocation study is, kind of a big picture of you on how you want to define what asset classes you want to invest in. So you look at the asset classes, you look at their expected returns, you look at their expected risk, and you do it analysis to see, you know, what asset classes you want to invest in, what asset classes you don't want to invest in, and then also discussion on how much you want the new asset class. So when we created the investment policy statement, we did an asset allocation study to figure out what those asset classes were, and also what those targets were. We will a year from now do a full acid allocation study to relook at that and kind of you put the potentially tweet the up investment policy statement. But because of this request, I thought we'll run it without international and see. So what you're seeing here on this page is what we call the capital market assumptions. So some of the large investment houses, you know, kind of think tanks kind of put and get together once a year and they decide, they look at what are the forward returns, expected returns of major asset classes. So this, what you're seeing here is the expected return of major asset classes for the next 10 to 15 years. So the way to read this chart, the equities on the left side, the first pan-forming left is equity. The middle panel is fixed in common bonds and the right side are what we call alternatives, real estate, kind of equity, etc. So if you look on the far left, the way to read this chart is the far left is US large cap. So if you look at that bar, you'll see the black diamond and it says 8.19 next to that. So that is the expected return for US large cap for the next 10 to 15 years. So this is kind of looking at your crystal ball. This is a criminal, this whole process is. The length of that bar is what we call standard deviation. It's a measure of risk. How volatile do we expect the US large cap space to be? And so within the course of that 10 to 15 years, we could see a return of a negative 7.99 to a positive 24.38. So the length of the bar tells you, it's more volatile, the shorter the bar less volatile. So now you can see how the other asset classes are. So you can see mid cap, a little bit higher return, US mid cap 9.08, but you can see that length of the bar is a longer down to negative 9.05 to positive 27%. So that you can see. And then US small cap even a longer bar roughly the same amount of return in the cap. And then if you look in the middle panel with fixed income, US aggregate bonds, which is kind of the plain vanilla four bonds, expected return for the next to 10 to 15 years, 5.19, but the range is up there for that is basically 0.9 to 9.46. So you're not getting much return, but you're also not taking a lot of risk. So what, when we do a campus-like assumptions and we do an acid allocation study, we take all this data and put it into a computer. The computer has says, okay, I know what these asset classes are. I know what the expected returns on the risk are. So now I ask it, okay, runs some analysis and some model portfolios for it. So if you turn to the next page, page two, on the left, you will see the ASA classes of major ASA classes. The second column is called current mix. That is what your current portfolio was. This was as a junior 30th. So we ran this as a junior 30th. The policy mix is what your investment policy says you should, what you need to create. So those numbers, so for example, 15% for US Agribubon, your policy says you should make 16%. Your actual as a June 30, you know, will go up to 6. So that's basically pertinence. It makes one through five are kind of the sample mixes that I put in. What you can see here in the middle with the rectangle around it for ETHI equity, which is developed markets and emerging market equity, is going to be emerging markets for the mixes. I put that at zero. So what happens to a portfolio with a zero equity, an international equity and an zero emerging market equity? You have to take that allocation. So for your policy, you were supposed to be at 50% and 4%. So I had to take that 19% and reallocate it to the other class classes. So what I did for MIX1 is I took that 19% and I added a little bit to aggregate bonds. So if I increase the number, if the number has increased from the previous color, it's shaded green. If it's decreased from the previous column, it's shaded salmon. And if there's no change, it's great. So what I did is I took that 19% from international. I added a little bit to aggregate bonds, 4% to aggregate bonds. I added a little to large cap, a little to mid cap, a little to small cap. I kept everything else the same. Then on the bottom panel under you will see a single year expectations. So the model calculates an expected return and an expected risk. So if you do that next one, the expected return for that makes a 7.73% with a risk of a 1.97%. If you compare that to your policy and your current mix, your current mix and policy you're getting 8.3 6% and 8.2% roughly 8.3% around it with the standard deviation of risk of 13 to 12.4. So if we took international out, reallocated it to the bonds and US equity, we'd get a little lower return, 7.73 versus the 8.2 and 8.3, and a little lower risk, 11.97. So the mix two, same thing, keeping equities international at zero. I increased US equity, increased bonds and in the world to receive with the expected return at 7.64 and the risk is 10.85. Sharp ratio is a measure of risk and return, higher the sharp ratio would better. So here, so basically if you're looking at that single year expectation you can see from mix 1 to mix 5 the returns basically are going down even if you're keeping that international at zero and the alfayette. The one thing I'll note mix 5 if you look at it you see absolutely nothing in equities, US equities, or international. Mixed five, I just let the computer bottle run. I said, okay, here, no constraints except zero in international. Tell me what you like with the numbers that you've been given. You see the expected returns on these asset classes, you see the risk. The model's like, oh, oh well I think this is what you should do, 67% in models and nothing in the equity at all. But put a little in real estate, a little in private equity and a little in infrastructure and there's your portfolio. So realistically we will never do that but that's what the model says. And model says you need to get to a 6.5% rate of return from an actual coil of heat. Okay, well you need 6.75 or 6.5. You know I enter that in and then the model is like okay well 6.5 return but you also want the lowest risk from this is how you do it. So that makes five obviously is not reality there but that's just what the model is. So mixed one through four are samples of portfolios that you can run. But you can see by basically taking out international, you're getting a low-row return. You're getting a little, little risk, but you're also getting a little, little return. Thanks for your study. Any change would be a logical. I agree with that. OK. OK. Yeah. Look at the building lots of the model with these smart people and giving you a previous pay. I suggest that the smart people have designed a model that's not so neological. If you look at the lab, if you look at the, that, that smart people have built a model that rejects the rate of return for the next 15 years to be higher for an international stock if you look at your... almost 10th ultimate, the second from the left and third from the left for the next 15 years. But US large cap and mid cap have a lower rate of return. That is inconsistent with our experience, but I'll ask five or 10 years. So the smart people have built a model that predicts in the future that international is gonna return more than US stock, but our experience here has been just to the contrary. So one of the reasons, they look at a lot of factors and international stocks from evaluation point of view are much lower than US equity stocks right now. So one thing I think they're looking at is the evaluation of these stocks. And that makes the fact that you're talking this talk, what is evaluation mean? So one thing I think they're looking at is the evaluation of these stocks. And that means when you take a company apart and count the value, and you look at it and compare that to the market. Right. Yeah. So basically international stocks are achieved from a historic point of view. International stocks are achieved right now and US equity stocks are expensive. So that's one of the, they look at many factors for that. I know that's one of the things they're looking at. What I'm really saying is, Marshall, don't believe your line up. I'm telling you that reality is different than what you've experienced for the last decade. That's what they're telling me. Well, US equity has been performing very well for the last decade. That's what they're telling me. Well, US equity has been performing very well for the last decade. Yes. And non-US is not correct. That can't continue. Who's supporting you? According to models and everything else. Well, hopefully everything else. The next plantation is it can't continue. So US equities will, we're trying to everything else. The next temptation is it can't continue. So you must sacrifice will, we're trying to start to come down. I don't think there is about what the change in passing. I suggest that modern reality is different from the past theory. I think I'm way out of my way. But I think America, the exceptional has proved, and if you come out of these different recessions in 2000s, after 2005, that American companies were more creative and have a better ability to innovate over all of us in the world. And I think this edge that we have in the system alt capitalism is going to persist in the future. And in the past decade has demonstrated that fact. But a lot of smart people say, oh it has to rotate. Just logic means that some other sector of the market is going to surpass the performance of America. Well they only have past performance to rely upon. And then they do all their magic as to their expectations. And it depends. Well, if they don't pass performance, I'm sorry. Well, but you only have past performance. So they use that sort of this information. Just these past performance, how do you predict that in the future, the small of the international surpassed American funds, American funds, and beat your pants for the last decade? Well, because of the candidacy. That's the expectation. I know. I know. Is that what, is that Is that what you think? Is that what you think? Is that what you think? Is that what you think? Is that what you think? Is that what you think? Is that what you think? Is that what you think? Is that what you think? Is that what you think? Is that what you think? Is that what you think? Is that what you think? I'm leaving, so you'll have to just... I said, well, their models have you put 20% of our funds in international. I suggest, dialing that back, of course keep an international footprint, but shrink it so, and put the rest of that money into the US want to change our our design. But you're all thinking, I'm sitting up here, you're all the side. So, so very, is it is, some of it kind of come to what my point of saying is, can this be my convict, can it go home, maybe, whoever is doing this map is saying it, that US caps is actually over price. Yeah, yeah, that's one of the things. So just so you know, they've released the capital market assumptions usually well this time of year and I think they just released it. So I don't have this year's numbers yet. So this is all basically everything that they released last year. My understanding is that the expected returns are roughly the same, but the risk is a little higher if I can remember correctly. So when we run next year, the analysis, we'll get more updated numbers. But yeah, one other thought I have is, so our firm uses the JP Morgan Campbell Market Assumptions. There are other firms that also provide Campbell Market Assumptions. We have always picked JP Morgan, probably because they've been in all the road. There are other firms that have been more aggressive and somewhat more conservative with their assumptions. But JP Morgan has been in all the road. And when we do a comparison, they've been doing this for many years now. So, when we do a comparison and look back 10 years ago, what did they say and what did the market actually do? They're pretty close. So, that's what we feel comfortable using their assumptions. We feel that they've done a fair amount of analysis and to get close to what actually has happened. So, that's one of the reasons we use this way. When Mary Gover, thank you for doing this. It's a very helpful view. And so it lays the issue out. Where in the courts are from? Well, it was good exercise because I actually never done it where I've actually taken a major asset class out. So it was interesting to see and do. And I quite honestly do think I thought the returns would actually go up a little bit, but they all went down and the risk is you know a little bit lower but not much lower and I was kind of surprised with that. So it was a nice exercise to go through. So so thank you. I appreciate it. I'm talking to Mary. Her recommendation is to change at this point. You do have, as she indicated, the full asset allocation coming up next November. We have your work plan shortly. So, if we want to stay the course, you can do that to then. And in that case, once the full analysis is done, you may want to shift asset breakout, less than a natural more than that. That then rolls into your investment policy statements, right, because we'll have to be updated to reflect anything that you change out of that. Or you could decide that you wanna do something now. So the recommendation is nothing, but you could choose to do that. So there is a draft motion. If you wanted to do something. Do something you're gonna do. Right, Mary, I'm gonna be introducing more analysis. You can't just change the case of the simple. So I guess the question is, I guess the question, you know, you were just saying that, you know, you were a little surprised by the result. And so I'm wondering, is it possible to look at somebody besides the JP Morgan to kind of get a second penny? Let's call it. I don't know. And then I'll have to see. I'll have to talk to him. Or is that okay? Because JP Morgan is what we've always used. No, I understand. So I'd have to see if we can get the raw data from someone else to use it. Okay. So I'd have to follow up with that. Yeah, I don't want to make it messy, but I'm just curious. No, just talking to the second painting guy that's taking them out. Yeah, you can't be more than their assumptions are well known. And I'm I There are a lot of other things. Yeah, yeah, I mean I was kind of curious as Marshall was about That the results were made about what you expected when you did the ball. Well, when we do the full S-Valocation study, um, next year, when we want me to do it, I mean, one of the mixes, you know, mix one through four, you know, we can change that. So, you know, maybe one of the mixes will have no international and another one can very low international and it might have more than what you'd have. So, we can kind of see, you know, the different mixes and what does international do, or maybe add more to some of the other asset classes. Right now, you don't have any private equity. And we talked about that. You're very well-funded. Private equity does give you good returns, but it also adds a little other equity to the, ill-equity to the portfolio. And also, private equity has what we call a J curve. So negative return and the beginning and it locks up the money. So it's not something that we consider if we'll just find part of it because you're so well funded. And you don't really need to take on a lot more risk and to make a return, whereas because you've got good managers in the asset classes you have. But you can certainly look at all our asset classes and see what those mixes are. So that can be what we would do. In just what other observations, when you run a different model, you might be able to set a table and take that out of international put it into another equity bucket It's gonna take money out of there and put it into a bond bucket. It's gonna serve me very different term Yeah, you have an issue with the world XUS But it's supposed to equity I do I mean world X so that's I mean, that's, that's non-US. Over the amount of money. Over the amount of money. Under the model, most of this went into aggregate bonds, short duration of model that when you ran, when you ran these models and about understood correctly, you We can use zero-bow, eA equity in emerging markets. Most of the increase, on much of the increase, went to US government, went to US agribabond, which are bond bonds, which are always going to have lower rates, are not always, often have lower rates when we turn the networks. You were looking at mixed form? Yeah. Yeah. But like, mix one, most of it went into the US equity, only 4% went to bonds. But I added most of that to the US equity. So yeah, I was trying to do a little bit of everything here to put more inequity, put more bonds, see what happens. And the other questions on this. Any questions? Director, I'd like to ask a question. Director, would you like to ask a question? Director, would you like to ask a question? What do you want to consider to alternate tonight? the next application. We will have it at the next step. We will have it at the next step. We will have it at the next step. We will have it at the next step. We will have it at the next step. We will have it at the next step. We will have it at the next step. I'm going to say something. Since then of course. I'm standing. We know what the answer is. Stay the course. I believe it all is so. Stay the course for now and and we'll revisit the Marshall Blitz. Marshall Blitz. Thanks so much for having me. Stay the course for now. Peter? This Connie's not here. The problem is they'll find it the next meeting. There's no motion. The problem is they'll find it the next meeting. So there's no motion? No motion. All right. So that then perhaps that item 8, a mayor who report? So quick break. Yes. Yes, not a 30. We started in the last. Okay, so we're. Yes, started. No, no, no. Thanks. Oh, we have a set. If what. Oh, open the. The camera back on. I could recording the video. I'm going to put it in the audio. I mean, we're going to put it in the highest. I always, always mind it. Open the audio. Let's see. I mean, we're going to be nice. I know I always find it that. For heaven and all, we're going to be in this path. Well, let me get our agenda back up. So you're back. Let's move. Here. Smooth. I don't think you all want to look at me. That's perfect. I'm not going to share it right now. I'm just going to keep talking for a moment. So this is agenda item 9 for the open and open and social decollucy update. And that's the item that we were talking about. The single went through the valuation where we changed being able to use the implicit subsidy and cashed equal ABC. If you all have approved it, then these go to council to be approved. And they've had a really busy agenda, but right now, I'm now scheduled for December 9th. So before we close out the year, Council will adopt that. So I just want to add that update. Agenda 10 is the legal services of RFP update. And they have a Connie. I will do that update. We have progressed to the discussion on hospital proposal and getting the best and final you We will have it right now. We kind of joking about about this but Mr. Hall has been invited to be the Council's appointment committee November 13th and I'm quite sure that the impossible outcome is recommendation from that English Council would then adopt the make the appointment at number 25. So I have a golden. So the legal services are if you contract will be executed so that's the update on that. It's going very well. It's just an important detail for the on the agenda while we shift to the next item. I don't move. Not my lemon tree. So. Yes. International Foundation of Employee Bucket Plans. Herb, Nate, and Methane will be attending in person in San Diego. And Cindy will be attending in person in San Diego and sending will be attending currently. The conference runs from November 10th to 13th. And yes, you guys have a good time. conference. So, but the purpose of both of you will be there for the level one. That would be a really good information from. And I'm going to channel the chair at the moment. What I And I'm going to channel the chair at the moment. No, I think I think so. And if I could channel the chair for a moment to let the attendees know that she always asks you at the next meeting with February. I'm prepared with you, uh-huh, important tips that you want me to share. My throat hurts right. Because the plans are paying for you to go. You can bring it back into there. And actually a lot of the stuff can be done with things. So just to heads up, you know, you asked me to report it. I don't know. All right, so item 12 is actually pretty go from the conference because this is an outcome. Oh, not this one. I'll say that for a moment. Okay. This is the annual administrative fee recommendation that we bring to the retirement board, which is consistent with your investment policy statement, IPS. So the city is obviously serving as a fiscal agent and administrative agent. And so on behalf of the city, I am recommending that you authorize a reimbursement to the city in the amount of 4242,6550. That is about 4% of the true cost of what staff time is to do the work on the strength plan. It is a 4% increase from last year and is because of the increase in salary. So, a little detail behind that, I just want to say what the ask is. So, this current fiscal year is 41,000. We're asking for it to go to 42, 650. We do ask for the retirement for to consider adopting it now, because the city is currently developing the FY26 budget. Part of the lead does we are probably into the first four years. And then it will be for the budget will be finalized and decided to be accountable just after your February meeting. So it is much more helpful to know from Karen or CFPO, how much sitting could put in. That said, if you all wanted to lay to February, it is within the timeframe in the months. I did include the background, one in the way to talk to men and women, we have new trustees. But the city has always been reimbursed, has always reimbursed some of the administrative costs. For 16 years, it was $20,000 until I got involved and I'm like, people with CPI, we need to be tough for that. So you can see the district, you get there. So we did a desk body, which I'll come to in a minute because that's the souring piece. It kind of looked at more what the actuals are and I concluded in the memo your IPF policy that authorized you and we look at this and I kept Marshall's research that we had done. We went to as hard as we need it's two years ago. What we tried to do is some comparison on the plan. So Michael Dixon calls, I did a few other emails and the charges are here. It was near on impossible to get apples and oranges because work too small, we can store them off or too big and they have a full staff. But it is therefore some comparisons of the differences in nuances. So it was pretty. So the way this rolls out right now is we look at seven full-time positions that support the plan and they calculate their hours and then roll it up into that, which is about a .57 FTE. Last year was half a FTE. Last year was half FTE and issues were on work. And it's a little more mostly because we brought more of the work in house for children, in black box and in turn key. Now we're working directly with CIVA on annual benefits. We're working with US banks on custody of investments and the benefit plans and then staff. We're actually doing more of the capitalations because we created one of the spreadsheets. This worked. But it is more in-house or in-house. I did a lot of flag that, oh, I did also a to flag you to know your last meeting. We looked at all the aspects and how much of our plan, how you was going to piece to minister the program. And it was .69 based on marriage report and adding this increase from $44,000 to $42,000 that we've been holding for a decade over. So it's still very competitive and under one basis point. For all these actual financial services and staff. What we don't include is any staff training hours. So like, if Chris wanted to the training, we're going to pay him to work. We don't charge that against his M and P rent utilities. All of the IT equipment that the staff used to administer is not forgot a comment, sorry, I think they, so they didn't stay job because they get charged against this and the City of the Anateur. Also, the school's operating officer would be a person sitting to my right and their side of the shop is supports. And of course, these employers pay the agency that's a separate cost. So all of this to say is we are very conservative on what we charge against the plan for two reasons. One, it keeps it affordable and it's a cost share to the benefit of the participants. Also, unless we do a much more intensive guest product and cost benefit analysis, would you have to do if we're gonna raise this much higher than 50% I think. We've got to make sure we're not charging sub-work functions to the plan, future things that the employer wants changed and administered versus Australian administration. So we touched on that a little bit at the producer. I'm not having an actual event to get this into there. The planning benefits can only take the things in the administration. Not things that the employer wants to change. So all of that background said, in the attachments, is the cost by all the staff. So we've written our tasks and the seventh staff is $105,000 in its total. We are all now asking the retired portfolio first, according to thousands, which are 50% of us. 40%. You know, when I found interesting when I read this was the percentage of time we use that, which is... There it is. I would probably have to swear you spend more than that. Well, I just think I talked about this. We've updated it is. It's extremely conservative. And I've never sat and taken a full walk down this. Well, I was just surprised to see that. I was like, that's well very low. But it's intentional and well. And probably after going off as a carrying this vision to this bank, that's a couple of good people there. But hopefully on the average. But, um, yeah, I apologize. But we intentionally state conservatively. Some of the exorities have definitely taken more notice. So, that's, uh, all the background is there. Glad to answer any questions. The request for the retirement board is to authorize $42,650, which would be for FY26. So during the course of that year, then we'll transfer the money from the plans to the city of Greenford. I think the numbers are very conservative and it looks good. In terms of, I wasn't here when we changed from security into US bank and then I know HR probably has some more things they have to do like generate these annual statements or projections for people that want to look at their retirement. So I'm just wondering I'm not saying to change any of this but I'm just saying I think my understanding this, but I'm just saying, I think my understanding is that maybe there's more work for HR now due to that change that US bank is doing less for us than to carry it used to, at least in terms of kind of helping employees looking at their retirement and running projections, statements. Yeah. So I'm just, you know, I'm just kind of mentioning that, making a note of that is something that's changed and increased our obligation in HR to now staff that. And I know, you know, so I just mentioned that. And I don't know if there's any thoughts on that. I'm not asking you to say we've added Chris and DeKir for some of the support to the board and all to create a Megan right now. I'm over stoked recruiting. So a couple things. We put out an RAP and for our member trustees and student trustees, for a full service, for benefits and the record keeping and the investment. None of the firms now, we can put away the industry's changing bit on full service, and in fact, we didn't get anybody that was going to do the record keeping of active participants. So, US Bank is doing almost all of the, well, they're doing all of the investments that they can. There are some like our real estate that you keep put into custody. That has saved time. That timing is probably on my time versus the HR staff. Then, US Bank is doing a much better job for all the benefits in this piece. But what did change is that we enter the data into US bank. Now that's making a press. And then I have a segregation of duty, I reviewed and improved it. That is ensuring accuracy and transparency, which we never had before, during this black box. So just take time, but I feel strongly that it was a benefit outcome. Everything I'm saying with Megan and Chris, I should also acknowledge that the data and Amy are helping on the school side. They do their part, it does. The calculation piece, we were still doing some projections in-house here. Not a full robust spreadsheet. We now have single prepared spreadsheets that we can do some a little initial estimating and giving people some projections. If I want to retire on this day, I'm going to be. So we were doing that before, so that part is the same. But now we take that data and get it to say go for the formal. So there's not really a lot of work load change there. I think the biggest change, I think the benefit of your question and comment is that none of these vendors are doing the active tracking participants. So Seval has census data for evaluation, but they're not tracking when we hire and promote and change employees. So what we need to work on is on my work plan as a database to track that, which I'm actually hoping it would be Tyler and aka being this pension market there. But what we don't have right now is an online system where you go in and say I'm going to retire on this day and I want this much with my continuity but be able to go to security and do that. Well they only had it at the end. I'm just talking about experience because I'm on a retirement horizon. And so you know about experience because I'm on a retirement horizon. And so, you know, the last year they were on, they came up with a nice website, but for three years, I couldn't get a projection on them through HR, I dried and dried and, you know, it was on there. And so also they were doing great. And then, you know, of course, we switched to US bank for other reasons. But that was a nice system there to do that as well. I will say having worked to get all the data, there was a lot of inaccurate data there we've created. That's the one piece that we still want to figure out. Anyway, I just want to point out that just from my experience that it seems like there is more, I mean, there's obviously much more efficiencies and you had all your reasons to pick your S-Bank and I'm sure it's a fine choice, but there is some impact on staff that, you know, we're probably not reflecting this time around, but maybe next year, if you feel like it really involved a lot more work because, you know, they're not whole service and we had whole service before which is it or yeah. And there but we have brought on additional resources as I said you know US bankers do in the check part piece so that was kind of a wash. So he goes now doing the benefit calculations that's not quite a wash was a quality of service is better. So we lost security but we do have some fees. It don't let it go to your hand. Hopefully, the quality of work. But I think to also historic play, there's been some concerns on former trustees of how much this money is going for the city to provide, to be reimbursed for providing the service. What's the part that HR should normally do for employees is a benefit for the person how much should the city cover us doing the pension ministry. So I will acknowledge being able to serve it up to what I want to work. I just wanted to acknowledge there was a financial impact on the city with the change. And it sounds like it was, you know, a good choice, but at the same time, that's why I'm not going to hold up. I'm going to put it in the more abstract. That's a very good test to refresh us all on that. All right. There's another question. Any other questions? I'm going to the the F-2026 and demonstrate allocation fee in about 42,600. So, Gary? Yes. Perfect. Yes. One of them? Yes. The final? Yes. Matt? Yes. Thank you all. Thank you. All yes, the fan yes, Matt and me yes The same protection I am very sorry Also Gary was elected as our Basic plan route. We're really called October. Gary's been here for over 30 years as our deputy planning director. We just want to welcome him. Here tonight officially. Yeah, because October was just training and we wanted it in the record. And we've touched on the second part of this but obviously Mr. Paul has applied to be considered to join the board and we hope I know what your 25th year We trust he will be on board and will actually officially let partial retire And not until the people are. Yeah. Sorry. We may have an extra trustee. Part of the Marshall, when he was at the meeting yesterday, I'm sure he's going to encourage me to keep him. Yeah, of course. And of course in the packet, you have the updated roster that Chris updated for Gary's name and the staff and we hope he will soon be updating it. It's true. And I will note that I'm filling the inspired term of choice. Yeah. How much time is right on that? Just until the spring then I would have to you know want to get approached employees. I have to make it to leave. And I've been checking and unfortunately it's not been able to join us this week. I'm going to send a new report and so we can go. Okay. Back to you by here. So moving to item 14. Yeah, this is a quick one to know that this is an attending item and we have put it on the 2025 work plans. It's one that requires a follow-up work to single and with all of the calculations, annual statements and evaluations. It's working. So people do it in the beginning of next year and you should see it at your February music. Questioning mode of 15. Work with our plan. Work with. So, this is for 2025. So in the administrators report, which we'll have on consent in a minute, is an update to the 2024 with status updates. So this will be our fresh start for next year. For new trustees, it's set up in your work for the meetings. You don't could work against October intentionally because that's for your training. First column will always be the annual things that we need to do and we'll try to spread the workout over a year. And then special projects that is between the disability benefits in February, where it's in for which one we just mentioned. And there may be that we've recorded out in May and then nearly time to think about it so we could do action at the next meeting. In the, this is just lightning right now because it's hard to teach. In May, we will do the economic valuation assumptions but based on the earlier consensus book before the chair, I will say we will take out the article here, experience study and evaluation assumptions. So the motion is made if you would move it as amended without the experience study. That's up Marshall. Because emotion says as presented, but now we can take it out of the experience studies. That's up Marshall. Because emotion says as presented, but now we take it out of the experience study. And then it will include the asset allocation that we talked about earlier by Mary. So we will do that in the next year and then based on that discussion, decided that the 12-month or the 24 month during COVID we were doing it more frequently than we went to 24 months. So with that, I don't know, member at the little stage. So I think you've got a step number and you remember, do I have that long? If you're a training recommendation match? Oh, I have that in every month actually. And what that is is from previous fiduciary trainings, there's always recommendations in best practices. So just kind of keep trying to focus on that. Now in September, though, you will approve the topic and keep the touch that train that far into it. That's a good question because it could be confusing. But that's just from these training, there's always been good recommendations. I'm trying to, That is a focus. So is that glad to answer any questions or welcome to being. I talked to you with the movement of moving experience. Right. Thanks. I'm through the 2025 work plan adoption as presented with one change and that would be the deletion of the experience studied. So I can... Here's... Gary? Yes. Um, yes. Marshall? Yes. With now? Yes. No, please. And me? Yes. Oh, damn. Yes. 16 proposal meetings. Let me change this. There is in this six year. Here's. So. As today we don't know we change the means of power clock. I would like to ask is there interest in before we had the means of five o'clock? Yes. Interesting. It's one of the five o'clock. Five o'clock? Yeah. Five o'clock. What was the reason for today? Was there any particular time? Codby had a meeting on the step. Does it work for our own things? Yes. I'm going to say it in a very broad way. It used to be folks who are working that work, sitting in poison, you can get home and get here or have dinner time, about to change trustees. Although it's been six, since before I started being the plan administrator, which was something. I have something to say about this. Well, I think it's okay to change it, but keep being mindful o'clock. And I was working, it was hard for me to get here from downtown DC at six o'clock. So I guess now everyone, are you still working? Yeah, you're okay. Okay. I'm so sorry. I'm sorry. Yeah. I'm sorry. I'm sorry. I'm sorry. With your setting is for a year in advance that some of the appointees, the City Council employees, could be an issue to get here for five o'clock meeting. But having said that, I can't. That's my bad ask us on the table. Can I well know these are the standard meeting dates for our meeting. So it goes back to November being the second Thursday. We meet at this time because well, even for training, it won't be coming back. No, I'm coming back. Come on, man. We're going to do a three hour do this. Please. So it had to do that question. So what about having flexibility of five o'clock. You know, we can work that into the minimal flexibility. That's possible. What would be possible as you set it for five o'clock, then we publicly notice it for five o'clock when we get to that meeting, once it's released three days before, we can change. You can always make it later. You can't make it earlier. So even before the meeting, we can make it later. So if you want to go five o'clock, I'd say five o'clock, but then you could adjust it. Change. Before that next. I have a note on here just to make sure that they see that very can come on the 13th, which can't stay with us the whole time. Well, I think it's okay. Can I just do a virtual? It's legally possible. I know the chair would like to. So I just wanted to know that Mary has a bit of a time. Yes, that's a very good idea. That's very good. Okay. So there's also a number of birthdays. Two, and after that. Oh, the pandemic rail line. Yes, thank you. What are the stars? Yeah. Otherwise, we'd have to, I think he said February 6th. Yeah, the week before was the option I offered. But it's a 13 because I looked at flights and it's tough to get a flight out at the time I need. So it is possible that I could do it virtual. I could do it virtual from the location. I can do that. And that's really up to the majority of the trustees. Mary's always been here in person. I think I do have a few actual times. I actually wanted to ask him for months. That's okay. You know, he's a preferred person, but he didn't. So I think if you're all comfortable with virtual, we keep February 13th and then if you it. Try the five o'clock. Let's just be consistent with the poster. But then it becomes a contour. Okay, so motion with that's very far. Five. Okay. I'm going to approval of the 2025 retirement board meeting scheduled as presented with one amendment starting time for meetings will be 5 p.m. instead of 6 p. So, go. Chris. Gary. Yes. Sir. Yes. Marshall. Yes. I found. Yes. Now. Yes. And, like this, yes. A panel. Yes. Yes. And me. Yes. And if I could share this also, we'll like to apply that the next foundation, international foundation conference with the expense and going out of the continent of the U.S. So we have not gone to fit in his health in a way. I have learned with a new association that does training just focused on public science. So I'm going to explore that as an alternative. I do like the foundation to just get their risks and the private practice practices, but they're all supposed to value to public finance which we are. So I just wanted to apply that. If you all have any concerns that you would want to go to Hawaii or you can career this not through the end of the why that always gives you some direction as we plan for their annual park. In the beginning, I'll ask them. I don't think there's ever been a little more. So maybe you know, just needs to, we need to stay within the contiguous United States. That's in the past, yeah, the direction I had from the trustees. We've done a formal decision. I'll bring the links to it to try to bring it back by February, but it's helpful to know that it doesn't sound like there's a, it was artists that trusted us. So the other is the conference that everybody's going to now. That wouldn't would not be, and we'd have to look for some alternative trade. Or decide to do it virtual because the training is really good. There is a lot of benefit for a patient person that we could do virtual, but I would make for some alternative training. We're not required under your Dr. training plan to use the International Foundation. In fact, kind of usually uses another training that's for localism and San home. So I'll look to find another alternative. This sounds like a support direction. How much does that in person? I think you survived during COVID-19. You've don't get to work with your peer, ask questions as much. So I've always felt going to use once every three years for a person who's re-tape has been. They'd have done it both ways in person as far as security to give much, much more out of it. OK, so I think you have a motion and a motion is possible for a question. Two, how many of them are there and here it's different. Two or nine these year training on what I printed says day time. You've had daytime for my time. Oh, that's right. I've always done it during the normal meeting time, but this year, we've been asked to do it earlier, so we've come into 30. So, we could keep it in 5 o'clock or if you wanted to have it, instead of just be decided now or possibly excited. Is it already decided with the passing of the week? But there are 5, but you want to read business, the training, I forgot to like that. I'll bring you that next year. That's my last bad ritual. You can attend it virtually, you want to be right? Yes, as long as we have a physical form. You're going back to Paris and I'm talking to her? Okay. Well, it's not that I continue as you last week to go to Paris for the training. I do the war with the wife. All right, it would be more than a wife. A wife probably would be expensive. A couple of the values in? I don't know, but I probably would be extensive. Policy development. All right. So this was the item I was going to segue from the training and the benefit of things we learned and bring back. One of the things I gained from maybe two conferences back is the importance of administrative policies for what we are doing to administer the programs. So we have the investment policy and we have the plans, but over time we've been building policies. So you have your ethics conflict. The interest policy, you have your training policy, we have the contract purchasing policy, the course share and investment policies. And so this one that I'm and on the work plan, there's a policy, each time where I've been trying to bring back policy. So this one is to document, which I think is kind of important because you guys have been paying and just approved paying the Ministry of the State for the City of Serving Asian, the Ministry of Justice, the latest, and we actually never had a policy. So this is creating the policy to document that process. So the purpose is for the administration and execution and it's a venture plans of the NDC because DC is now under the retirement floor. This would be pursuant to the cities code because the retirement board is authorized to oversee the administration on the plans. It would be, then, documents that the city council and the city manager designated me as the plan administrator, so I would be ensuring compliance with this policy. And then the specific piece dealing with the administration is to document operating personnel and physical issues. Obviously, we're using the city's ERP system for all of the vendor checks, the consultant checks, the money in and out. We pay the employer share, and overseed the accounting for the US bank honey and so forth. So that's the fiscal agent piece. The personnel, all of our employees that are supporting you around the city's personnel policy, which are referred to administrative regulations, and then we just have the general IT operations and so forth. So what I tried to capture that, although it's not all inclusive, that the general government has been a function as the operating personnel and physical agent. And I've listed the policies that we call under. The financial policies also do have application to the schools The financial accounting the ARP system is also used by the schools Consistent 19 stuff we do naps of the policies the most of the staff that you're charging the acting people our general government side That's why this is it a city covers the insurance for the pension plan and you all. And then we all run under the recordry attention. So I tried to capture the large areas of things that direct how we administer support plans. And it's under the curview of the retirement board. And anyway, we view it every year. And one of the things that we gained from the conference and so I'm updating all policies going forward is to put a note on there. This policy does not supersede the plan. So it's very clear that there's no head trust, attention, plans, plans. It's not so you see the plan, plans policies. Yes, so this policy is subservient to the bottom. So it's intended to be an overview of relic kind of documenting that, preserving as the administration agent. You might have done any questions, just recommend that that is. You can do it with your question. I already reviewed this. Correct me? I already reviewed this. Correct. I didn't receive any comments proper, and review this correct me. Connolly review is correct. Then it received any comments proper, but it did been a three-fold. And this goes through the city of attorney. Is this one okay? So, we I'm wondering on the last time, instead of just not supersede the plans, let's not supersede the planned documents. Good work. Got this thing. I will note that we are currently in the process of updating all our personnel policies. And so this reference will be to the admin raise, but they will be updated with this sort of responsibility of the government to make sure that the client, and we're actually working out the pension plan. There's a personnel policy, and they are unpedged. on pension. Nobody says anything and only refers to the basis of this plan. I'm not going to let us just represent. Okay. I'm going to move on to administrative policy for operational personal. Personnel and fiscal agent functions as presented in the following amendment. The last word in the document plans plan will be made possessing plans in the word document will be added. So come. Terry. Yes. Yes. Yes. Yes. Okay. It is striking at the top. Yeah, that will be renewed. Before we had the DC plans, I just said basic pension and I've trust it. I've got to delete that amp. I'm going to make that administrative power to be emotional. So glad you all read this down. We're talking about an annual report to Council. This is just a we always have to have a lot of valuation piece on how well funded we are since we've discussed that. Now we'll plan further than the date would be January 13th. We will invite you to work for the February meeting. One part of the Davis, you have it, and of course, I'll remind you, if you're all welcome to come. If you so choose, you're welcome to watch it virtually. I went in Perch of Month House, kind of interesting. Watch Kona, she has to do some tap I'm very happy to have a great job with the rest of the members. You see always these questions on the water cell processes. And is there a round of valuations or differences between ADA and MBA? And what's our interest? Yes, it does a great job. And makes it understandable for those in complex stuff in terms. So, how about 19% agenda summarized and except in block? So, are we all on? So, you can just do that and then I will do and just highlight a couple things in the administrative report and then let the answer any questions and a lot of questions. You have to come up and set the complete. It will stand for the 24 work plans updates for your last meeting or in the packet as I said. I have the administrators play report of the, of course, documented everything we've done. And it's always a good thing, I was going to say a quarter, but it was actually two months between October and June, September. So yes, to Mary's point in that they answer our visit, she will not. Yes, to Ferries Point and Beth Ann's, we are visiting a lot. And we also are still continuing to track to bend your questions in judiciary, that's practices where that's in the work plan that's usually right duck network, or working on the training. And then part of that has always been, what are we doing on cybersecurity, physical security because obviously we hold a lot of records here. And I just have to hear. It has still been busy. The theory's point about the HR function, because this is where we're doing a lot with the schools and general government on retirements and objections. But it was a little slower. Thank heavens. Of course, it was only too much again, but it was a little slower. Thank heavens, of course, it was only too much again, but it went down to 18, but in New Seas, it's generally very busy time. We're sort of tied into the valuation conversations we were having from there. The last thing I wanted to fly to you all is the financial piece. I'm working with finance to try to do a better reporting to you all on where we are on liquidating funds to make the payments where we're paying the fees to the investments and advance the city pays when we reimburse the city. The last report that we were doing were on the retirement for its meeting schedule. So they sort of reportedly, but they didn't have to our fiscal year quarter, so it was We're on the retirement pool with meetings scheduled. So they sort of were quarterly, but they didn't have to our fiscal year quarter. So it was really hard to pull it out of our financing system because we pull out a quarter of the total of our meeting in October. So on November, I need to get October data. So what I did this time is just to straight excerpt from our system with our deputy finance director and we'll work to refine this and get a little bit more layman's terms. But for example, we've very much got to be held accountable so we know invoices that we're paying now in money that the city needs to be reimbursed. You'll see benefits. This is what we're paying out of benefits for retirees and that ties to the liquidation of funding because we can't pay it unless we liquidate. So this is for your information so you can see where the money is going but it is a very formal accounting document. Give me more beautiful. Okay, check something here. Okay, so that's basically what I want to highlight in the Ministry of Truth work. This is something that also came out of the training because you all have the responsibility of overseeing what the pension plan the administrators doing, but until a time maybe we're up to two years now. There wasn't a plan of administrative report. I wasn't reporting to you all what I was doing, so how would you oversee? Hence the report. I'd entertain any questions or get voted on. Any questions? I'm not sure if we are in motion to accept the consent agenda. I'm in the approval the consent agenda as presented. So we can carry it. Yes. Yes. Marshall? Yes. The panel? Yes. Yes. Yes. The committee? Yes. Well, 20. the other business. Not aware of any of this. And I just checked and tried to have up against joy. I will note I have a typo for the next meeting because you're not coming here. 24 last February, it'll be 25. And we'll update it to the slides. So are we, are we saying goodbye to Marshall almost? No, we're just going to legal our pizza. I'm so sorry. But I enjoy very much serving. It's been, it's been great fun. It's also very interesting. And you have to use your brain. It's obvious. So you want to have a motion to adjourn? I hereby move that we adjourn at 90806. So again. You call it low. Yes. Yes. For... yes. Marshall? Hell yes. No, it's... It's a central... Yes, like we're going to be able to say yes to my family. Yeah. That's the point here. We're adjourned. Yes. Thank you. Congratulations, Marshall. Thank you. Thank you. Here we go. I'll move my camera suit. Thank you. Thank you. Thank you. Thank you. Thank you. Here we go. Hello. Thank you very much. you