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HomeMy WebLinkAboutRetirement Committee - Minutes - 09/07/2006City of Fort Collins General Employees' Retirement Plan GENERAL EMPLOYEES RETIREMENT COMMITTEE Meeting Minutes September 7, 2006 COUNCIL LIAISON: COMMITTEE MEMBERS PRESENT: TO BE APPROVED ON OCTOBER 12, 2006 Councilman Ben Manvel Susan Lehman, 221-6813 t 1 Jim O'Neill, Chair, 221-6779 Michele Hays -Johnson, 416- 7 Charles Seest, 221-6788 Bill Switzer, Vice Chair 221-6713 COMMITTEE MEMBERS ABSENT: Dottie Nazarenus, 204-4429 OTHERS PRESENT: Harold Hall (Finance) Amy Sharkey (HR) Debbie Weedman (HR) Pat Kahle (Actuary, Milliman) Greg Tempel (Legal) CALL TO ORDER: Jim O'Neill called meeting to order at 1:15 p.m. CITIZEN PARTICIPATION AND PLAN MEMBER COMMENTS Some committee members expressed concern about the continued financial health of the plan APPROVAL OF MEETING MINUTES: Minutes from July 13, 2006 were approved with no changes. Motion by Susan Lehman second by Michele Hays -Johnson. The motion carried unanimously. DISCUSSION OF PLAN PHILOSOPHY None. UPDATE ON FINANCE COMMITTEE RECOMMENDATION FOR GERC FUNDING The Council Finance Committee approved additional funding of the GERP with `Approach B'. This approach will continue the supplemental payments of $200,000 in 2007, and then the amount will increase as follows: 215 North Mason Street • 2nd Floor • P.O. Box 580 • Fort Collins, CO 80522-0580 • (970) 221-6788 • FAX (970) 221-6782 $400,000 for 2008 & 2009 $600,000 for fiscal years 2010 & 2011 $700,000 for fiscal years 2012 through 2019 $750,000 for fiscal years 2020 through 2024 (see attachment). It should be noted that these actions will require the support and action of current and future City Councils. UPDATE ON PENSION PROTECTION ACT OF 2006 Pat Kahle stated that the Pension Protection Act of 2006 has a very minimal impact on the Government Sector, adding that it has the largest impact on the Private Sector. At Greg's request, Pat will see if Milliman has any information concerning changes to the non -spouse beneficiary provisions of the Plan brought about by the Act. Councilman Ben Manvel suggested that an update be added to the GERP web page saying that there will be `no discernable impact' to the GERP. MONTHLY INVESTMENT AND OTHER REPORTS Harold Hall reported that the according to the Morning Star rating, the Dreyfus Fund has been underperforming, so he will be monitoring this over then next few months. The overall portfolio yield is 5.64% year-to-date through the end of August. GERC COMMITTEE OPENING Susan Lehman's term will expire at the end of December, 2006. Jim O'Neill encourages applications to the City Clerk. The announcement for the upcoming vacancy can be viewed on the City of Fort Collins web site. OTHER BUSINESS Pat Kahle will be on vacation during the next meeting (October 12, 2006) but her colleague Joel will attend the meeting in her place. ADJOURNMENT: Susan Lehman made the motion that the meeting be adjourned, and Bill Switzer seconded. The motion carried and the meeting was adjourned at 2:15 pm. Next meeting date and time: October 12, 2006 at 1:15p.m.