HomeMy WebLinkAbout1991 04 29 City Commission Workshop Minutes
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WORKSHOP MEETING
CITY COMMISSION
CITY OF WINTER SPRINGS
APRIL 29, 1991
The Workshop Meeting of the City Commission of the City of Winter Springs, Florida,
was called to order by Mayor Philip A. Kulbes at 7:00 p. m.
Present:
Mayor Philip A. Kulbes
Deputy Mayor Paul P. Partyka
City Manager Richard Rozansky
City Attorney Frank Kruppenbacher
Commissioners:
Cindy Kaehler
Don Jonas
John Langellotti
Terri Donnelly
The Workshop Meeting was called to discuss the Pension Plan for the Employees of the
City of Winter Springs, Florida.
Manager Rozansky said he invited Mr. Jim Parr of Merrill Lynch who is a qualified
performance evaluation specialist, and also Attorney Robert Meade who is our Pension
Plan Attorney.
Manager Rozansky explained our Pension Plan is set up with the Florida League of
Cities as the Plan Administrator. Tri-State Pension Services is the professional
administrator. Atlanta Capital Management is the investment manager and Citizens
and Southern Trust Company is the custodian. Shearson Lehman Brothers is the
performance evaluation company.
In 1986 the Commission authorized by Resolution 549 to participate in the Florida
Municipal Pension Trust Fund with their trustees who are five elected officials from
members of Funds throughout the State of Florida. The City's Board of Trustees
generally meet once a year to look over the annual financial reports, discuss the
plan and see if there are any recommendations to be made to the Commission.
There was discussion of the present City Board of Trustees.
Bill Jacobs, S. Edgemon Avenue, explained the City of Winter Springs was the first
City to be a member of the Florida Municipal Pension Trust Fund. He was Chairman
of that Fund. Manager Rozansky explained the City's Board of Trustees adopted the
Florida League of Cities policies and procedures for investments.
Mr. Jim Parr made a brief presentation to the Commission on the performance report
dated 12/31/90. He explained the City's money is in with a lot of other cities.
The Florida League of Cities has selected Atlanta Capital Counseling of Atlanta to
make decisions of what stocks, bonds and cash to buy and sell. He showed the
breakdown of the funds and explained the fund has averaged 12.7% rate of return.
He explained the fees the City is paying to the Florida League of Cities as their
pro rata share is between 1% and 1.3%, which pays for the money manager, performance
reports which are done by Shearson, the C&S Custodianship and also for administration
of the plans. Mr. Parr said it is a very reasonable fee and an efficient plan.
Mayor Kulbes recessed the Workshop Meeting at 7:30 p.m. in order to call the Special
Meeting to order.
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Workshop Meeting, City Commission, April 29, 1991
Page 2
Mayor Kulbes called the Workshop Meeting back to order at 8:10 p.m.
Attorney Meade explained he prepared our Plan. The City contributes 4% of annual
compensation.
Commissioner Langellotti asked what the administrative expenses are. Harry
Martin, Finance Director, said it runs around $1,700 to $1,800 a quarter for
Atlanta Capital and C&S and we also pay approximately $5,500 to the League for
their work.
Commissioner Kaehler asked what kind of a report is given to each of the employees.
Attorney Meade explained its a summary annual report that describes their account
balance, what the vested interest is and what their share of the earnings in the
plan has been during the past year, and their share of the City's contribution.
City Manager Rozansky explained that after four years an employee is 40% vested.
If the employee leaves before 4 years they do not receive any money. After 4 years
an employee is 40% vested, after 5 years an employee is 50% vested up to 100%.
When an employee has been here 10 years he gets everything the City has put in the
Plan.
Mayor Kulbes asked under this Plan can an employee contribute and Attorney Meade
answered no.
Attorney Meade suggested it might be a good idea to get the people who are actually
administering this Plan here to talk to the Commission and answer questions.
Commissioner Partyka asked who the City's Board of Trustees are. At present they
are Mayor Leanne Grove, City Manager Richard Rozansky, Bill Jacobs, Art Harris and
Mike Jones, whose term expired and he wishes to be replaced. At the next meeting
Resolution No. 661 will be on the Agenda replacing Mayor Leanne Grove with Mayor
Philip A. Kulbes and an appointee to replace Attorney Mike Jones.
Meeting was adjourned 8:45 p. m.
Respectfully submitted,
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Mary T. Norton,
City Clerk