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HomeMy WebLinkAboutRetirement Committee - Minutes - 10/12/2006City of Fort Collins General Employees' Retirement Plan GENERAL EMPLOYEES RETIREMENT COMMITTEE Meeting Minutes October 12, 2006 COUNCIL LIAISON: COMMITTEE MEMBERS PRESENT: COMMITTEE MEMBERS ABSENT: TO BE APPROVED ON NOVEMBER 9, 2006 Councilman Ben Manvel Susan Lehman, 221-6813 Jim O'Neill, Chair, 221-6779 Michele Hays -Johnson, 416-2287 Charles Seest, 221-6788 Dottie Nazarenus, 204-4429 Bill Switzer, Vice Chair, 221-6713 OTHERS PRESENT: Harold Hall (Finance) Debbie Weedman (HR) Joel Stewart (Actuary, Milliman) Greg Tempel (Legal) Heather Shepherd (Finance) CALL TO ORDER: Jim O'Neill called meeting to order at 1:15 p.m. CITIZEN PARTICIPATION AND PLAN MEMBER COMMENTS None. APPROVAL OF MEETING MINUTES: Minutes from September 7, 2006 were approved. DISCUSSION OF PLAN PHILOSOPHY Harold Hall reviewed the Plan Investments for the Quarter. He stated that the year-to-date return is now 6.83 percent after having a good quarter. The plan has stayed within the asset allocation targets and short term rates have remained steady at 5.25 percent. The fixed income portfolio has a year-to-date return of 5..05 percent. 215 North Mason Street • 2nd Floor • P.O. Box 580 • Fort Collins, CO 80522-0580 • (970) 221-6788 • FAX (970) 221-6782 A 2 million dollar agency investment was purchased. It has a 7 year final maturity with a 1 time call and 1 year call protection. The cash position has decreased to 6.2 percent of total assets from the previous quarters 11.5 percent. As a result of the security purchase, the percentage of investments maturing over 5 years has increased to 16.9 percent from 12 percent the previous quarter. The Dreyfus Emerging Leaders fund has been downgraded by Morningstar recently, so we will monitoring that one in the near future. GERC COMMITTEE OPENING: The position is still open. Jim encourages anyone who knows someone eligible to apply. Chuck asked if a citizen could serve on the board. Greg Tempel read the rules that stated "a taxpaying elector" can serve on the board. Chuck suggested emailing all active members with the announcement of the Committee vacancy. OTHER BUSINESS: Greg Tempel spoke with an attorney who helped draft the plan document and he stated there may be a few changes that need to be made to the plan by the end of this year. He will send Greg the information and Greg will report back to the group. There are 14 Library employees who are currently GERP members. In the event that the Library District passes, they will be terminated from the Plan, and Chuck will be meeting with them to advise them of the situation. Some employees asked if they could start drawing money from the GERP once terminated from the plan. Some employees may lobby to stay in GERP. In that scenario the Plan would have to be formally amended. Jim O'Neill asked whether it is permissible for the Committee to know the names of the employees in GERP. Greg Tempel stated there should be no problem. Deb Weedman. will send out a list of all the active members. Jim O'Neill made a motion to adjourn, and Susan Lehman seconded the motion. Meeting adjourned at 1:45 pm.