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HomeMy WebLinkAboutRetirement Committee - Minutes - 06/08/2006City of Fort Collins General Employees' Retirement Plan GENERAL EMPLOYEES' RETIREMENT COMMITTEE June 8, 2006 Meeting Minutes APPROVED ON JULY 13, 2006 COMMITTEE MEMBERS PRESENT: Jim O'Neill, Chair, 221-6779 Bill Switzer, Vice -Chair, 221-671 Michele Hays -Johnson, 416-2158 Susan Lehman, 221-6813 Charles Seest, 221-6788 COUNCIL LIAISON ABSENT: Councilman Ben Manvel COMMITTEE MEMBERS ABSENT: Dottie Nazarenus, 204-4429 OTHERS PRESENT: Greg Tempel (City Attorney's Office) Harold Hall & Rochelle Karns (Finance) Debbie Weedman (Human Resources) Pat Kahle (Actuary, Milliman) CALL TO ORDER: Jim O'Neill called meeting to order at 1:20 p.m. PUBLIC PARTICIPATION AND PLAN MEMBER COMMENTS: The Committee reserves this place on the agenda to receive comments from Members of the Plan or the public. Jim shared a letter that was written to the Mayor and City Council Members from Ellen Switzer regarding Council's May 9a' Budget Work Session. Chuck also received an email about the uncertainties of the continuation of GERP. Chuck asked if others are getting similar questions and comments. There is a misconception about what is happening with GERP. We need to keep the members informed. It was suggested to email the members the minutes from each meeting. Susan also thought it would be a good idea to remind the members of the Employee Assistance Program (EAP) that is available. EAP provides a wide variety of financial consulting services at no charge. APPROVAL OF MEETING MINUTES: Rochelle distributed the draft May 11, 2006, minutes for review. Susan Lehman moved to approve the minutes as corrected and Michele Hays -Johnson seconded the motion. The motion carried unanimously 5 to 0. PLAN PHILOSOPHY Chuck distributed the memo that was given to the Council Finance Committee at their last meeting regarding the Actuarial Update on the GERP. Chuck explained to Council that they need to focus on the $6 million dollar unfunded liability, which exists for benefits earned by members prior to 1/l/2006. Council would like to see comparisons of retirement plans from private sectors. Staff is currently looking for this information. It is a difficult process because the private sectors do not share this type of information. Recently the Chamber of Commerce wrote a letter to the Mayor and City Manager declining to provide the pension information of local chamber members. Michele suggested not using the term supplemental. "It sounds as if the GERC was responsible 215 North Mason Street • 2nd Floor • P.O. Box 580 • Fort Collins, CO 80522-0580 • (970) 221-6788 • FAX (970) 221-6782 General Employees' Retirement Committee June 8, 2006, Meeting Minutes Page 2 for creating the shortfall. We are asking that the GERC funding status be returned as a budget line item". (which was the practice prior to 1980) MONTHLY INVESTMENT REPORT Harold Hall distributed the monthly Investment Report for May, 2006. 4.5% yield loss for the month of May but still positive for the year. The total YTD return is 4.76%. OTHER BUSINESS: Committee discussed the renewal of Milliman Contract. Bill Switzer moved to renew the contract and Susan Lehman seconded the motion. The motion carried unanimously 5 to 0. ADJOURNMENT: Michele moved that the meeting be adjourned and Susan seconded the motion. Motion passed unanimously, 5-0, and the meeting adjourned at 2:35 p.m. TOPICS FOR NEXT REGULARLY SCHEDULED MEETING: The next meeting of the Committee will be held on July 13, 2006, beginning at 1:15 p.m. at 215 N. Mason Street, Conference Room 2A on the second floor. The tentative agenda includes: Public Participation & Plan Member Comments Approval of Minutes Plan Philosophy Other Business GENERAL EMPLOYEES' RETIREMENT PLAN WEB PAGE: The Plan's web page can be found at www.fcgov.com/cityclerk/retirement.phhi). The Committee's 2004 Annual Report, 2005 Work Plan, and monthly minutes are available at this site. 2006 MEETING SCHEDULE: The regular meeting time for the Committee is at 1:15 p.m. on the second Thursday of each month. For the remainder of 2006, the Committee's meetings will be on: July 13 August 10 September 14 October 12 November 9 December 14