PENSION BOARD OF TRUSTEES - POLICE/FIRE

MINUTES 06-05

September 18, 2006 10:00 A.M.

PRESENT ABSENT

Eugene Terkoski, Chairman Capt. Jimmy Haggas, Fire Dept. Member

Sgt. Mike Casey, V. Chairman, Police Dept. Gerald Kowalski, Member

Sgt. Scott Elliott, Secretary, Police Dept.

Capt. Dennis Greehy, Fire Dept.

Bonni S Jensen, Esq., Attorney

Scott Glover, Financial Adviser

Julie Anne Holmgren, Recording Secretary

I. CALL TO ORDER AT 10:00 A.M.

Chairman Terkoski called the meeting to order at 10:00 a.m.

II. INVESTMENT OF STATE FUNDS

A. Police: $63,480.86

B. Fire: $39,531.59

Scott Glover prepared and distributed an Adjusted Asset Allocation reflecting the new money coming in order to decide where to invest it. Sgt. Casey requested that copies of the paperwork reflecting money from the State be attached to future Minutes. Sgt. Casey moved to approve Mr. Glover to invest the money pursuant to the policy of the Board. Sgt. Elliott seconded. Motion passed unanimously.

Mr. Glover commented on the Portfolio Performance Report which was provided by AG Edwards. Mr. Glover’s quarterly review for the Town is sufficient for what the State requires as far as monitoring the portfolio. The State does not allow the investment manager to monitor themselves. Mr. Glover stated that he is the performance monitor, not the investment manager; the manager is Franklin Funds, American Funds, etc. Mr. Glover stated that the report shows that we are doing exceptionally well; however, it is incorrect and is using the wrong policy index for our account. He suggested not sending the report to the State because it is wrong and this is what he is doing on a quarterly basis. Ms. Jensen suggested that the State be put on notice that the Town has someone that is filling that independent consultant role and that they should be copying you as the Board of Trustees with the information. Mr. Glover stated that his quarterly report is sufficient for the Town’s three (3) year review. Mr. Glover stated that we could send the State a copy of one of our quarterly reports or he would be pleased to prepare a letter to the State indicating that he has reviewed the portfolio and found it to be performing sufficiently. Chairman Terkoski suggested contacting the Town Clerk to find out how much the AG Edwards review costs and who paid for it.

Chairman Terkoski welcomed a motion to request from the Town a quarterly report describing the activities of the Police/Fire Pension Trust Funds. Sgt. Elliott moved to approve. Sgt. Casey seconded. Motion carried unanimously.

III. DETERMINATION OF PENSION BENEFITS

Chairman Terkoski acknowledged a letter from Foster & Foster, Inc., dated 1996 describing Mr. Myers return of benefits. Sgt. Casey questioned Mr. Myers’ status while employed by the Town. Ms. Jensen stated that Mr. Myers is not eligible to receive a pension until 2010 according to the statement from Foster & Foster, Inc. However, Ms. Jensen stated that the question is whether he is eligible for a benefit at all depending upon what the definition of “employee” was back in 1992. Sgt. Casey moved to authorize Ms. Jensen to do this research. Sgt. Elliott seconded. Motion carried unanimously.

Sgt. Elliott asked that Mr. Myers’ request be tabled to the next meeting. Ms. Jensen stated that Mr. Myers is asking for a copy of his statement of determination of pension benefits information, and that we should advise Mr. Myers that we are looking into this matter and that this is a public record. Chairman Terkoski moved for a motion to authorized Ms. Holmgren to obtain copies of Mr. Myers’ personnel records, payment records as well as Pension Ordinance 89-15 and 91-5 and forward to Ms. Jensen. Sgt. Casey moved to authorize Ms. Jensen to do this research. Sgt. Elliott seconded. Motion carried unanimously.

IV. OTHER

Chairman Terkoski noted pension contribution refund requests from former employees Mr. Amerson for $8,706.85 and Mr. Canela for $11,898.03, totaling $20,604.88. Ms. Jensen agreed to forward the “Special Tax Notice Regarding Plans Payments” form to the Town who in turn should forward to the participants. Sgt. Casey moved to make the forms available and after the proper paperwork has been issued to approve the reimbursement of their contributions. Sgt. Elliott seconded. Motion carried unanimously.

Chairman Terkoski asked for a motion approving the attorneys’ invoice of $883.75. Sgt. Elliott motioned to approve the bill. Sgt. Casey seconded. Motion carried unanimously.

Chairman Terkoski noted that the Town Manager had a meeting with the Town Attorney within the last few days regarding the Drop Plan and that this matter is still open.

V. ADJOURNMENT

The meeting was adjourned at 10:50 a.m.

______________________________

Eugene Terkoski, Chairman

Julie Anne Holmgren, Secretary