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MINUTES
BOARD OIl? TRUSTEES - PENSION PLAN
JULY 28, 1998 - REGULAR MEETING
I. CALL TO ORDER
The Board of Trustees - Pension Plan Regular Meeting was called to order by Chairman
Jim Ryan, Tuesday, July 28, 1998 at 7:30 p.m. in the Conference Room of the Municipal
Building (City Hall, 1126 East State Road 434, Winter Springs, Florida 32708).
Roll Call
Jim Ryan, Chairman, present
Robert Nippes, Vice Chairman, present
Bill Dickey, absent
Vernon Rozelle, present (7:55 p.m.)
Ron Warble, absent
Also Present
Michael S. Blake, Commissioner
John Drago, Administrative Assistant to the City Manager
Peter Hardy, SunTrust Representative
Philip Senderowitz, SunTrust Representative
Philip Senderowitz, Account Representative with SunTrust introduced himself and said
that he would now be taking care of our account, and would also be attending these
meetings.
There was brief discussion mentioning the newly appointed Board Member Bill Dickey.
Approval of the April 28, 1998 Minutes
Due to a lack of a quorum, this item could not be addressed at the present time.
II. REGULAR AGENDA
A. Review of SunTrust's Financial Statements with an STI
Representative
Mr. Senderowitz briefly explained that this had been a "rougher" quarter than in the past, .
however, one of the bright spots was the high-grade equity fund, which was up 5.73% for
the quarter. He further spoke about how growth funds generally performed better than
value funds for the quarter, and there was also brief discussion about asset allocations and
the total valuation of the portfolio.
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BOARD OF TRUSTEES - PENSION PLAN
JULY 28, 1998 - REGULAR MEETING
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Mr. Peter Hardy, also with SunTrust, subsequently spoke about the value funds, and how
some did do well, and he further ,elaborated about the different funds in our account, and
how each was supported. There was discussion about the status of energy stocks and
their effect on the market.
Vice Chairman Robert Nippes asked the SunTrust Representatives if they felt that there
was any reason to change anything. Mr. Hardy felt that now was not the right time to
make any changes, and that if we did sell - at this stage we most likely would be taking a
risk and could end up selling from the bottom, as opposed to selling from a stronger
vantage point; thus we should just stay with the current allocation. Mr. Senderowitz
added that he had spoken with the manager of the Small-Cap Value Fund, "And he said
he's never been more confident in the performance going forward, because again, the
invested stocks with the dividends, so and so far, they can drop, and the Small Cap
companies are growing at a faster rate, than Larger Cap companies".
Board Member Vernon Rozelle atnved at 7:55 p.m.
Next, there was discussion about the "nifty fifty"; 401k accounts; interest rates; and other
market strategies by those in attendance.
The upcoming Florida Public Pension Trustees Association (FPPT A) meeting scheduled
for early October in Key West, Florida was briefly mentioned. Mr. Hardy asked if we
were members of this professional organization - it was decided that we were not.
III. OTHER DISCUSSION ITEMS
Approval of the April 28, 1998 Minutes
Motion by Vernon Rozelle. Sleconded by Robert Nippes. With consensus of the
Board, it was agreed to approvf: the minutes of April 28, 1998. Motion passed.
Vice Chairman Nippes asked Mr. Drago about the plan. Mr. John Drago, Administrative
Assistant to the City Manager explained that the plan documents have all been
appropriately "signed, sealed and delivered to SunTrust"; the City has deposited
$150,000 toward the buy-down to the past service liability - it's already set up for the
Trust account. Mr. Drago also adlded that in the City Managers' "New budget to the City
Commission, they put in a request for an additional $150,000 payment into the Pension
Plan to accelerate the buydown imd past service liability. If the Commission approves
that, then we'll deposit that money after October I st. Ron's explanation to the
Commission was that the quicker we buy it down, then the quicker the contributions - all
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BOARD OF TRUSTEES - PENSION PLAN
JULY 28, 1998 "REGULAR MEETING
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the contributions go into the Defined Contribution portion of the Pension Plan, because
the Defined Benefit portion woulld have been fully funded".
Mr. Drago also advised the Board about the City's many concentrated efforts to try to
keep the Barnett Bank/NationsBank branch open (that is located in the City Limits).
Brief discussion ensued about this situation.
Board Member Rozelle asked if it was possible to have the STI "Money Purchase Plan -
Investment Performance Report" mailed out to the CitylPension Plan Board Members as
'soon as it is prepared. Mr. Drago said that he would call tomorrow about getting this
report issued sooner, and he suggested that perhaps he could ask that STI forward the
completed report out about two weeks prior to the next Board of Trustees meeting, and
that the report could be mailed out with the upcoming Agenda.
It was mentioned that the next Board Meeting is scheduled for October 27, 1998.
IV. ADJOURNMENT
There was a motion to adjourlll the meeting. Motion by Robert Nippes. Seconded
by Vernon Rozelle. With consensus of the Board, Chairman Ryan adjourned the
meeting at 8:27 p.m. Motion p:assed.
Minutes respectfully submitted by: Andrea Lorenzo-Luaces, Deputy City Clerk
City of Winter Springs, Florida
DOCSlboardsltrusteeslfy9798/minutesl072898.doc