Fort Walton Beach Council minutes — 05-26-09 workshop minutes — reading text

199 MINUTES OF THE COUNCIL WORKSHOP MEETING OF THE CITY OF FORT WALTON BEACH, FLORIDA MAY 26, 2009 INTRODUCTION A workshop meeting of the City Council of Fort Walton Beach, Florida, was held on Tuesday, May 26, 2009 at 5:00 p. m. in the Council Chambers at City Hall, with the following members present: Mayor Mike Anderson Councilmen: Mike Holmes; Virgil Miller; Bill Garvie, Bobby Nabors ( arrived at 5: 11 pm); Bill Patterson ( arrived at 5: 16 pm); and Dick Rynearson Absent: Dennis Reeves Also Present: Robert Mearns, City Manager; Helen Spencer, City Clerk; Toni Craig, City Attorney; and Department Directors. PURPOSE The purpose of this meeting is to familiarize Council with the complexities of the reports for the General Employees' Pension Plan. CALL TO ORDER The Mayor called the meeting to order and welcomed everyone. He requested anyone who wished to address Council to approach the podium after being recognized, and then state his or her name and address for the record. PLEDGE The Mayor led in the Pledge of Allegiance. APPROVAL OF AGENDA Mr. Garvie moved to approve the agenda as presented. Mr. Holmes seconded motion and it carried unanimously with Holmes, Miller, Garvie, and Rynearson in favor (Reeves, Nabors, and Patterson absent). PRESENTATION Brandy Wunker, Finance Director, advised that in June 2008 the City engaged the Bogdahn Group to perform the services of Financial Advisor for the General Employees Pension Plan. As part of the agreement, the Bogdahn group will provide the training to the City Council, which serves as the Board of Trustees, for the Pension Plan. Joe Bogdahn with the Bogdahn Group conducted an in -depth view of the pension trust fund for the first quarter of 2009 and explained issues as the market environment and asset allocation by style and by manager. Discussion ensued regarding when to consider looking to select a new investment firm /manager and Mr. Bogdahn explained that if a firm is underperforming for at least four quarters it might be wise to consider changing managers. 200 Workshop Council meeting 5 -26 -09 PRESENTATION ( CONT) The Mayor asked for public input. Dean Covey, 270 Brooks Street, clarified that the 8% funding requirement has been used since 1993, when he was first on Council. There was no additional public input. Additional discussion included the possibility of a separate pension board to oversee the general employees' pension fund as its sole focus, and that is something that could be discussed at a future workshop meeting if Council wanted to consider the idea. Council thanked Mr. Bogdahn for his presentation and that it was informative and clarified a lot of issues. ADJOURNMENT As there was no further business, the meeting adjourned at 5:42 pm. APPROVED: Q",& rij 101hoo MAYOR: 4z e Atd— t_ ATTE T: CI Y CLERK Ive