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1991.10.29_BTRB_Minutes_RegularG H q�oh / �, Town of Highland Beach Mayor: Joseph A. Boulay • d, 0, . � 1. " Vice Mayor: Bill Paul �,~•• '=j 3614 SOUTH OCEAN BOULEVARD • HIGHLAND BEACH. FLORIDA 33487 Commissioners: Arthur G. Eypel i �1�*•••' ••'• �� Arlin G. Voress JohnF.Rand f Q�� 407-278-4548 Palm Beach Count Florida Y� FAX 407-265-3582 Town Manager: Mary Ann Mariano October 21, 1991 TRUSTEES OF THE RETIREMENT BOARD OF THE TOWN OF HIGHLAND BEACH A Regular Meeting of the Board of Trustees of the Retirement Board of the Town of Highland Beach has been called for Tuesday, October 29, 1991 at 1:15 P.M. in the Commission Chambers at Town Hall. A G E N D A 1. MINUTES - JUNE 25, 1991 • 2. REVIEW ICMA QUARTERLY STATEMENT 3. DISCUSSION RE VESTING SCHEDULE 4. SCHEDULE NEXT MEETING J NE M. KOWALS TOWN CLERK cc: Mayor Boulay, Chairman Vice Mayor Paul Ethel Lenhardt Town Manager Mariano Finance Department Officer Gure Commissioner Eypel Posted: 10/21/91 AMK Is "Tree City U.S.A." TOWN OF HIGHLAND BEACH, FLORIDA • RETIREMENT BOARD REGULAR MEETING uesday. October 29 1991 1 15 P.M. Chairman/Mayor Joseph A. Boulay called the Regular Meeting of the Board of Trustees of the Retirement Board, Town of Highland Beach, Florida, to order at 1:15 P.M. in the Commission Chambers at Town Hall. Others present were Vice Mayor Bill Paul, Police officer Stephen V. Gure, and Employee Representative Ethel Lenhardt. Com- missioner Arthur Eypel was absent. Also in attendance were Finance Director Michael Seaman, Town Manager Mary Ann Mariano, Town Clerk Anne M. Kowals and members of the general public. The Agenda was accepted as written. The Minutes of the June 25, 1991 Regular Meeting of the Board of Trustees of the Retirement Board were approved as written. Finance Director Michael Seaman explained the ICMA Quarterly Statement ending 6/30/91 and the Performance Summaries dated 9/30/91 (copies of which are attached to and made a part of these S minutes) which were distributed to the Retirement Board Members in advance of this meeting. The Finance Director advised that the annual fee for the 401 Plan can not be changed and remains at $25.00 while the annual fee for the 457 Plan is $18.00. Members discussed the Town Manager's Memorandum of 10/21/91 to the Retirement Board regarding the vesting schedule of the Retirement Plan. It was noted that, after discussion at a Financial Advisory Board Meeting, members submitted a recommendation that the plan be amended to include the following vesting schedule: After 3 years of service . . . . 33-1/30 After 4 years of service . . . . 66-2/30 After 5 years of service . . . . 1000 It was noted that the recommended amendment would not effect present employees; it would apply to new employees only. The intent is to make it more attractive for people to stay in the employ of the Town for an extended period. Employee Representative Ethel Lenhardt stated she spoke with the Town Hall employees and it was their feeling that the vesting schedule should be as follows: • ,t Board of Trustees of the Retirement Board October 29, 1991 Page 2 of 2 After 1 year of service . . . . 20% After 2 years of service . . . . 400 After 3 years of service . . . . 600 After 4 years of service . . . . 80% After 5 years of service . . . .100% Following deliberation of the matter, it was the consensus to follow the recommendation of the Financial Advisory Board. POLICE OFFICER GURE/VICE MAYOR PAUL MOVED to accept the vesting schedule of the Retirement Plan as proposed by the Financial Advisory Board. A roll call vote, resulting in 3 "AYES" and 1 "NAY", was as follows: Officer Gure "AYE" Employee Rep. Lenhardt "NAY" Vice Mayor Paul "AYE" Mayor Boulay "AYE" The next meeting of the Trustees of the Retirement Board of the Town of Highland Beach has been set for Tuesday, February 25, 1992 at 1:15 P.M. There being no further business to come before the Retirement Board at this time, Chairman/Mayor Boulay adjourned the Meeting at 1:30 P.M. �.. APPROVED: eph A Boulay, Chair an/May r Bill Paul, Vice Ma or w (Absent)r Arthy,r�pel,lCommVssioner Sifephen V. Gure, Pplice officer Ethel Lenhardt, Employee 'Rep. TOWN OF HIGHLAND BEACH RETIREMENT PLAN PERFORMANCE SUMMARIES SEPTEMBER 30, 1991 ANNUALIZED RATE FOR THE GUARANTEED PLUS FUND FOR SEPTEMBER FOR THE 457 PLAN IS 8.08% AND 8.12% FOR THE 401 PLAN. VARIABLE FUNDS FUND SEPTEMBER SEPT. RATE 12 MONTHS Y-T-D 1/91 - 9/91 RATE ANNUALIZED 9/90 - 9/91 ---------------- GROWTH STOCK ------------------------ .40 4.80 45.06 32.48 INDEX FUND -1.56 -18.72 30.25 19.77 ASSET ALLOCATION -.28 -3.36 25.18 17.00 BOND FUND 2.11 25.32 15.26 9.44 CASH MANAGEMENT .85 10.20 8.35 5.54 P 0 • ICMA RECEP]ED 06 t 2 1991 RETIREMENT CORPORATION ICMA RETIREMENT CORPORATION 401 QUALIFIED PENSION PLAN Suits ow ►2021962-46W STATEMENT FOR THE QUARTER 777NorthCW WSPOOLNE TolFno ISM 889.7400 ENDING JUNE 30, 1991 W-+'"Yto"• 0C 20002.4240 THE ASSETS REFLECTED IN THIS ACCOUNT ARE HELD IN THE ICMA RETIREMENT TRUST TOTALS FOR TOWN OF HIGHLAND BEACH RETIREM ACCOUNT NUMBER: 8777 3614 SOUTH OCEAN BLVD EMPLOYER: TOWN OF HIGHLAND BEACH RETIREM HIGHLAND BEACH FL 33487 SUMMARY OF ACTIVITY FOR 2ND QUARTER ASSET CASH GROWTH GUARANTEED ALLOCATION BOND MANAGEMENT STOCK GUARANTEED PLUS TOTAL FUND FUND FUND FUND FUND FUND (S) (S) (S) (S) (S) lS! fS) BALANCE ON 04/01/91 235,938.881/ 296.26 430.91 145.50 8,304.98 214,449.61 12,311.62 EMPLOYER 149,397.33 0.00 0.00 0.00 128.24 139,915.87 9,353.22 EMPLOYEE 73,324.50 296.26 430.91 145.50 8.176.74 61,316.69 2,958.40 ROLLOVER/ 13.217.05 0.00 0.00 0.00 0.00 13,217.05 0.00 PORTABLE CONTRIBUTIONS 14,615.42`/ 54.46 62.02 71.68 1,169.43 0.00 13.257.83 EMPLOYER 10,439.68 0.00 0.00 0.00 446.95 0.00 9,992.73 EMPLOYEE 4,175.74 54.46 62.02 71.68 722.48 0.00 3,265.10 ADJUSTMENTS 25.00 i 0.00 0.00 0.00 0.00 25.00 0.00 DISBURSEMENTS 5,732.96--' 0.00 0.00 0.00 0.00 5,451.76- 281.20- EMPLOYER 3,341.66- 0.00 0.00 0.00 0.00 3,185.40- 156.26- EMPLOYEE 2,391.30- 0.00 0.00 0.00 0.00 2,266.36- 124.94- EARNINGS 4,116.49 2.60- 5.96 2.54 459.41- 4,187.83 382.17 MAINT FEE 56.25- 0.00 0.00 0.00 0.00 0.00 56.25- BALANCE ON 06/30/91 248.906.58 348.12 498.89 219.72 9,015.00 213,210.68 25,614.17 EMPLOYER 159,477.32 0.00 0.00 0.00 558.00 139,480.08 19,439.24 EMPLOYEE 75,937.53 348.12 498.89 219.72 8,457.00 60,238.87 6,174.93 ROLLOVER/ 13,491.73 0.00 0.00 0.00 0.00 13,491.73 0.00 PORTABLE *** PLEASE NOTIFY RC WITHIN 90 DAYS OF ANY QUESTIONS REGARDING YOUR ACCOUNT *** *** SEE RC HIGHLIGHTS FOR IMPORTANT NEWS ON MATURING FUNDS *** TOWN OF HIGHLAND BEACH RETIREH 8777 GUARANTEED FUND AS OF JUNE 30, 1991 BALANCE ANNUAL BALANCE ANNUAL ($) RETURN ($) RETURN 88,953.24 AT 8.35.4 3,050.81 AT 7.45% 9,425.44 AT 8.20% 2,995.25 AT 8.05% 8.704.12 AT 8.00% 10,854.48 AT 7.65% 10,459.47 AT 8.25% 12,326.03 AT 8.15% BALANCE ANNUAL ($) RETURN 5,076.70 AT 7.20% 6,179.95 AT 8.70% 11,006.92 AT 7.61% BALANCE ANNUAL ($) RETURN 9,209.65 AT 8.11% 22,905.29 AT 8.60% 12,063.43 AT 9.15% 0 :LIN457 DEFERRED COMPENSATION PLAN STATEMENT FOR THE QUARTER ENDING 6/30/91 ICAMA `) JOWUMIENT ORATION ACCOUNT NUMBER: 1959 TAX ID # : 590951822 KEa�JGq- � 199; e ead uarters 777 North Capitol Street, NE, Suite 600 Washington, DC 20002-4240 (202) 962-4600 Toll -Free (800) 669-7400 TOWN OF HIGHLAND BEACH 3614 SOUTH OCEAN BLVD HIGHLAND BEACH, FL 33487 Summary of Activity for 2nd Quarter (in $) for 457 Deferred Compensation Plan Balance on 06/30/91 2 0 8 , 412 . 7 5 % mary Detail for 2nd Quarter (in $) TOWN OF HIGHLAND BEACH ACCT.#1959 TAX ID#: 590951822 FUNQ FUND FUND ::FUND 3alance or} 04i0 t91 14,696.94 9,048.90 10,750.53 ... .. 161,447.58 CQntrtbutions 916.01 637.83 8,800.90 Acct MaintFee 13 . 50- Fund Transfers ........:....................................: Adjustments 3,848.77 3,847.04 Disbursernents ' 2 3. 6 4— 576.36 04/30 is 461. 62— 15.00 109.73 1,049.07 0531 606.80 263.09 129.05 1,090.03 06/30 933 . 89— 346 . 77— 144.66 1,060.68 3alance on t36i3a19t 14,824.24 9,618.05 23, 746. 50 160, 223. 96 Note. on Fund .............................................. .................................................. ............................................... Performance ...... _._ _.... ...................................................... ....................................................... ...................................................... ..................................................... ....................................................... ...................................................... ...................................................... ....................................................... ...................................................... ....................................................... ...................................................... ...................................................... ...................................................... ....................................................... ...................................................... ....................................................... ...................................................... =ar. the quarter)y der 'ormance of all funds Tease see then Per:. .................................................. `ormance Surnmaries ................................................. ................................................ ..................................................... ...................................................... .............................................. inclosed : with this statement: If you find discrepancies in your account, please call our toll -free number, (800) 669-7400, within 90 days. 0026791 To change your personal information, fill out the form on the back of this statement. Rev. 7/9' Please verify the personal account information printed on the front of this statement. If any information is incorrect or has changed, please, type or print the correct information below. Be sure to sign and date the form. Tear at the perforation and mail to: The /CMA Retirement Corporation, Dept. J., 777 North Capitol Street, NE, Suite 600, Washington, D. C., 20002-4240 ` - Last Name First Name Middle Address City State ❑❑ ❑❑ ❑❑ Date of Birth: Month Day Year Signature: Zip Social Security Number Date: Apartment or Unit Number 1959 RC Account Number 40 uaranteed Fund as of 06/30/91 * BALANCE ANNUAL BALANCE ANNUAL BALANCE ANNUAL BALANCE ANNUAL ($) RETURN ($) RETURN ($) RETURN ($) RETURN 5,454.79 11.75% 3,766.05 11.50% 8,249.57 10.50% 6,895.07 10.00= 830.81 7.25% 1,877.55 7.35% 1,131.73 7.28% 1,932.84 7.30== 2,698.16 6.80% 3,845.62 7.80% 7,745.65 8.10% 9,928.39 8.10=_ 8,721.68 7.20% 5,390.95 8.11% 5,814.82 8.20% 1,660.26 8.05-= 5,956.19 8.70% 8,474.66 8.60% 5,451.52 8.00% 8,510.64 7.65�: 10,926.84 7.61% 9,411.94 8.15% 6,868.10 8.25% 28,680.13 8.15-_ • The Guaranteed Fund is closed to new contributions. * For Guaranteed Fund deposit period history, please see the Performance Summaries enclosed with this statement. State statutes or Employer regulations may limit investments into several of RC's variable funds. For more information, please check with your employer. The assets reflected in this account are held in the ICMA Retirement Trust • Corporate Headquarters 777 North Capitol Street, NE, Suite 600 Washington, DC 20002-4240 ICMA REMEM P, (202) 962-4600 Toll -Free (800) 669-7400 CORPORAF' MEMORANDUM 0 TO: RETIREMENT BOARD FROM: MARY ANN MARIANO, TOWN MANAGER DATE: OCTOBER 21, 1991 SUBJECT: VESTING SCHEDULE OF RETIREMENT PLAN The Financial Advisory Board has met and discussed the vesting schedule of the Town's retirement plan as adopted in 1988. The Town Commission, on l/l/88 (amended 11/8/90), entered into a Retirement Plan through the I.C.M.A. Retirement Corporation (copy attached). This plan, as adopted, incorporates the following vesting schedule for all eligible employees: After 1 year of service . . . . 50% After 2 years of service . . . . 75% After 3 years of service . . . . 100% Under federal laws, a retirement plan must fully vest its partici- pants in a time frame of no more than five years. Discussion took place regarding the intent of a retirement plan. It was the unanimous consensus that a retirement plan should provide both an incentive to prospective employees when soliciting for vacant positions, as well as encourage longevity. When these aspects are considered, the present plan is very enticing to new employees, however, may not meet the longevity intent. In order to better meet the intent of the plan, the Financial Advisory Board has recommended that the plan be amended to include the following vesting schedule: After 3 years of service . . . . 33-1/3% After 4 years of service . . . . 66-2/3% After 5 years of service . . . . 100% This recommendation would only affect any employees hired after 10/1/91, and would not affect any present employee. (See attached memo.) I concur in this recommendation and request that the Retirement Board consider same with a view toward making its recommendation for transmittal to the Town Commission. This matter will be an agenda item for your meeting of October 29, 1991. . Mar nn Mariano, Town Manager MAM/amk is 0 MEMORANDUM TO: FROM: DATE: SUBJECT: TOWN COMMISSION S. MYRON BROWNER, CHAIRMAN FINANCIAL ADVISORY BOARD OCTOBER 3, 1991 FAB RECOMMENDATIONS At its Regular Meeting on October 1, the Financial Advisory Board made the following recommendations: THE FAB RECOMMENDS TO THE TOWN COMMISSION THAT THE TOWN CHARTER BE AMENDED (SECTION 3.02, PARAGRAPH 2) TO READ THAT ALL PUBLIC MONIES SHALL BE DEPOSITED IN THE NAME OF THE TOWN OF HIGHLAND BEACH IN FULL ACCORDANCE WITH FLORIDA STATE STATUTE 166.261. (UNANIMOUS VOTE). THE FAB RECOMMENDS THAT THE TOWN OF HIGHLAND BEACH CONTINUE TO PARTICIPATE IN THE STATE POOLED INVESTMENT FUND AND THAT THE BOARD MONITOR THE INVESTMENTS AND RATE OF RETURN ON A QUARTERLY BASIS. (3 TO 2 VOTE). THE FAB RECOMMENDS THAT ALL EMPLOYEES EMPLOYED FROM 10/1/91 BE VESTED IN A 5-YEAR SCHEDULE ACCORDING TO THE FOLLOWING: END OF FIRST YEAR OF SERVICE ......... N/A END OF SECOND YEAR OF SERVICE ........ N/A END OF THIRD YEAR OF SERVICE ......... 33-1/3% END OF FOURTH YEAR OF SERVICE ........ 66-2/3% END.OF FIFTH YEAR OF SERVICE ......... 100% (UNANIMOUS VOTE) a' i.�` C'• t — 01,11C 1 - S. Myron Browner /dmt