Fort Walton Beach Council agenda — 06-26-2007 regular agenda — reading text

Commitment the narrative and supportive materials, show how the t Citizen Relations lor or council member displayed outstanding: Initiative Involvement with His or Her Respective Professional Association Integrity Vision Innovation City Citizen of the Year Leadership Commitment This award will be given to a citizen in recognition of his or her outstanding contributions directly to the city ( town or village) government during the past year. City Emplovee of the Year The narrative and supportive materials should stress how the individual' s volunteer efforts benefited the qualify of life This award is given to a cily employee for his or her within the cily, and describe how the nominee displayed exemplary efforts on behalf of the cily during the past year. Nominations for Cily Employee of the Year must be made exemplary: Commitment by a majorily vote of the nominee' s cify council/commis- sion. Any cily employee is eligible for this award - regard- Support Skills less of title or full- or part-time status. In the narrative and supportive materials, show how the Leadership Outreach to Other Citizens employee has displayed excellence in these areas: t in, the City Desire to Make a Positive Impa<: Work Performance/ Productivity Include specific projects or committees ~ ii which the vol~ Ju'dgment unteer was involved, such as an advisory board, recreation Initiative Integrity proiect, sister-cily program, or strategic planning activities. Please note that this award is not intended for volunteer Dependability efforts for " community" charities and organizations, but for Cooperation direct, involvement with your city government and its unpaid Citizen Relations programs. 1.'-..' . . .... v j!~ l!~;  CITY COUNCIL MEETING June 26, 2007 Regular Agenda Consideration of a request to authorize a change in investment manager for the General Employees Pension Fund Finance Director) Council Action 1st 2nd Vote: 19 Agenda Item Number:  CITY OF FORT WALTON BEACH MEMORANDUM To: Honorable Mayor and Oty Council Members From: Lisa Absher, Finance Director ~ X- Plan Administrator for the GE Pension Plan OV - Date: June 21, 2007 Subject: Consideration of an Investment Management Agreement "With Aletheia Research and Management, Inc. for the GE Pension Plan. Background: The Oty of Fort Walton Beach has established the General Employees' ( GE) Pension Plan as a defined- benefit plan for its' Oty employees. All Gty employees participate in the GE Plan- Police and Firefighters have their own, separate Pension Plan. Funds invested in the GE Pension Plan are managed by professional Investment Managers. The GE Plan currently uses Alliance Bernstein and Davis Hamilton Jackson & Associates DHJ& A) as its two ( 2) primary fund managers. Investment returns and investment activities are supervised by the Fund' s Financial Advisor, Larry Cole with Merrill Lynch. Investment perfonnance is reported on a quarterly basis to the GE Pension Plan Advisory Committee and the City Council as the GE Plan Board of Trustees. Discussion: Over the past few years, the GE Pension Advisory Committee has observed that the investment performance of the Equities ( Stocks) Portfolio invested with DHJ&A has not been performing as well as expected. At its 1/23/ 07 Committee Meeting, the Advisory Committee reviewed and discussed DHJ&A's performance in-detail, and ultimately decided that a new Equities investment manager should be selected to replace DHJ&A's Equity Portfolio. On 3/ 29/ 07 the Advisory Committee reviewed proposals from seven ( 7) investment firms, and selected three ( 3) finalists for on-site interviews. On 5/ 03/ 07 the Advisory Committee interviewed the three ( 3) finalists. On 5/ 15/ 07 the Advisory Committee selected Aletheia Research and Management, Inc. for the new fund manager, and authorized Lisa Absher, as the Plan Administrator, to prepare this item for Oty Council approvaL The Oty's Pension Attorney, Jim Linn "With Lewis Longman & Walker, is currently negotiating an Investment Management Agreement "With Aletheia. We expect this Agreement to be completed shortly. This item is being placed on the Oty Council Agenda for 6/ 26/ 07, due to the absence of meetings in July, and the need for timeliness in transferring the Pension investments to a new firm. Approximately $ 7,090, 836 in GE Pension funds will be transferred in-kind from A to DI-fj"& Aletheia once the Agreement is authorized by Oty Council. Recommendation: 1. Oty Council should approve the Investment Management Agreement with Aletheia Research and Management, Inc. (copy to be provided). or- Oty Council should authorize the Mayor and the Oty's Pension Attorney to execute an 2. Investment Management Agreement with Aletheia Research and Management, Inc. Submitted By: b /;} I / 0-= 1- irector nce ~ Date Reviewed and Concur: b/~ l/ o?- Lisa~ ector Date Reviewed and Concur: O~~~ 2-"'/ 0]- A= h ahan, Oiy Manager Date J0 Attachments: 1. Investment Management Agreement (Draft) 2. Minutes of the AdvisotyConunittee from 5/ 03/ 07 and 5/ 15/ 07 3. Absher-Linn email correspondence dated 6/ 21/ 07 4. Spencer email correspondence date 6/ 20/ 07 Uho~: ~~ p~ 0 ~ \ -: 4 L va QQ. ~ ~ -+ h~ h^~~~ b..~~~~~~' 2  Joyce Shanahan om: Toni L Craig [toni@tlcpa. gccoxmail.com] I ent: Thursday, June 21, 2007 2: 46 PM To: Lisa Absher; 'Jim Linn' Cc: Joyce Shanahan; Michael Beedie; Tony Anderson; Mark Wiltsie; Helen Spencer; Brandy Wunker - DPT005D Subject: RE: Pension - Aletheia contact info Joyce I cannot advise that it is proper for Council to approve a contract that is not finalized. This agenda item should be for Council to " authorize negotiation of contract with Aletheia," The final version of the contract should then come back to Council. . Toni L.Craig Attorney at Law Fla Bar No 115444 Original Message----- From: Lisa Absher [mailto: labsher@fwb. org] Sent: Thursday, June 21, 2007 2: 16 PM To: Jim Linn Cc: Joyce Shanahan; Michael Beedie; Tony Anderson; Mark Wiltsie; Helen Spencer; Brandy Wunker - DPT005D; toni@tlcpa. gccoxmail. com Subject: RE: Pension - Aletheia contact info ear Mr. Linn, hank you for the update! We are going to go ahead and save a space on the 6/ 26/ 07 City Council Agenda, just in- case the Agreement is finalized. Thank you! Lisa Absher Finance Director City of Fort Walton Beach, Florida Office ( 850) 833- 9513 Original Message----- From: Jim Linn [ mailto: jlinn@lIw- law.com] Sent: Thursday, June 21, 2007 1 : 50 PM To: