HomeMy WebLinkAboutRetirement Committee - Minutes - 07/10/1988~
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Start of Item B.
Message.
Subjects BERG Draft #3
Sender: Wanda KRAJICEK / CFC/01
TO: Rita KNOLL / CFC/01
Part 1.
TO: Jackie DARNER / CFC/01
Molly DAVIS / CFC/01
Rita KNOLL / CFC/01
Diane RUNDELL / CFC/01
Karla SMITH / CFC/01
Part 2^
FYI."^"..........,,,
Part 3.
Dated: 07/19/89 at 0752.
Contents: 3.
GENERAL EMPLOYEE RETIREMENT COMMITTEE MEETING MINUTES
JULY 10, 19R9
MEMBERS PRESENT: MEMBERS A8SEN0
Jerry Brown Angelina Powell. Mollie Mercer
Alan Krcmarik Dennis Sumner
Sue Wilcox, Secretary
CALL TO ORDER:
The meeting was called to order at 1:25 p.m" by Angelina Powell, Chairperson,
APPROVAL OF MINUTES:
Minutes of the May 30, 1989 meeting were approved as written.
ITEMS OF NOTE:
Chairperson Powell noted that Deb MrClurkin Mickelson had completed two terms
with the committee. At an informal luncheon prior to the meeting, she had
thanks Deb for her contributions and participation in the BERG.
Angelina then introduced Jerry Brown, the new member of the BERG and welcomed
him to the group"
QUARTERLY INVESTMENT REPORT
MAIN POINTS: The Quarterly Investment Report by Gwyn Strand showed an
increase of over $750,000 since the last report, which brings the earnings
rate to over 9.05% There was some discussion of the report and
explanations of the City ordinances and resolutions covering investments.
Alan explained that he and Gwyn are currently re -writing the investment
policies and a draft of that document will be circulated to members. Alan
explained that when a City treasurer is hired, he or she will be investing
the funds,
DECISIONS/CgNCLUSIONS: Accepted by BERG as presented.
NEXT STEPS: l. Draft of revised investment policies will be circulated to
members by Alan when it is completed.
2. Alan suooested that he could arranoe for aclass for �
Committee members and WOW- oensior, grouos �o exsnain t4e
stment market. The groo voreo the idea.
3. Third quarter report will be made in mid -November,,
1989 WORK PLAN
MAIN POINTS: Angie briefly explained each of the items in the 1989/90 work
plan.
A. Allowing the death benefit to be paid to an estate. This could affect
the financial status of the fund and requires more study.
B. A cost -of -living raise to current retirees has not been given since
Nov. 1, 1983. This could be done with the current level of funding for
the plan.
C. Analysis by actuary of 5-year vesting. This could be done at very
little cost to the fund.
D. Possibility of beneficiary changing the benefit after death of
retirees. It is felt this could be done without impact to the fund"
Administration and Council seem receptive and supportive, although
there would be less benefit to the City than to the retiree.
E. Conversion of qFR plan to money -purchase plan is being explored. Based
on the experiences of the Police and Fire Pensions, this may be a
fairly complex and drawn -out evaluation"
DECISIONS/CONCLUSIONS:
I. A cost -of -living adjustment should be considered by the committee every
1-3 years.
2. Item to be discussed in more detail at the next RERC MFETING,
NEXT STEPS: pERC will need to decide their priorities and make a work plan
to address these items.
CHAIRPERSON & VICE CHAIRPERSON -
MAIN POINTS: Angie announced that her term as chairperson expires with
this meetinq. Nominations and selection of chairperson and
vice -chairperson were made.
DECISIONS/CONCLUSIONS: Dennis Sumner was selected Chairperson and Jerry
Brown was selected as Vice Chairperson.,
NEXT STEPS: Dennis and Jerry will assume their new positions at the
conclusion of this meeting"
PENSION VOTES
MAIN POINTS: Judge Tobin's choice for a pension payment plan was discussed
DECISIONS/CONCLUSIONS: By earlier electronic vote and Jerry Brown's vote,
Judge Tobin's selection was unanimously approved by the GERC.
EDWINA ECHEVARRIA'3 RETIREMENT:
MAIN POINTS: Edwina had selected
her ex-husband
as beneficiary of her
retirement
benefits. This
choice
does not appear
to be an option under
retirement
plan guidelines.
There
was a question
concerning the City
Attorney's
interpretation
of this
issue. Edwina
will be leaving the
country soon
and a timely
resolution
of this beneficiary
questions is
desired.
it was egreed that
if the
ootior
oX
ex-husband was
le y permitted,
the GERC
wn
approve
this. Mollie
would he asked
to ain this
clarificatio
-e
any action
is taken.
NEXT 3IEPS: Mollie Mercer will provide further clarification on this item
at the next GERC meeting.
MEDICAL BENEFITS FOR RETIREES
MAJOR POINTS: Dennis reported that an ad -hoc group is beginning to look at
the issue of medical benefits for retirees/disabled employees. This task
force was called for by Rich Shannon and Jaime Mares. Their current plans
are to develop a mission statement and a task force to study this issue,
Don Botteron, a former GERC member and member of the ad -hoc group, will he
proposing that a member from the GERC participate in the task force when it
is create;" The task force is an open group and GERC members are welcome
to attend the next meeting on Thursday, July 13th at 10:00 a.m, in the
Employee Development Conference Ronm.,
DECISIONS/CONCLUSIONS: No action to be taken by the GERC.
NEXT STEPS: The GERC will wait for the ad -hoc group to develop its mission
statement and task force make-up before taking any action.
AGENDA AND SCHEDULING FOR THE NEXT MEETING
The next meeting of the GERC will be on Thursday, July 27, 1989 at 1:00 p.m. in
the Finance Conference Room"
The agenda will include:
1" Edwina Erhevarria's beneficiary request and related questions.
2. Charges from Mercer Meidinger Hansen for services provided to
retirement program.
3" Guidelines for making lump sum payments to retirees.
4. Status of medical benefits for retirees/disabled employees ad -hoc group
by Alan Krcmarik.
5. 1989-90 Work Plan.
6, GERC procedural suggestions (agenda, minutes, and notebooks).
MEETING REVIEW.
This activity was not conducted at this meeting, but it is anticipated that it
will be used at future meetings.
MEETING ADJOURNED AT APPROXIMATELY 2:25 P.M.
End of Item 8.