WAYNE COUNTY EMPLOYEES RETIREMENT COMMISSION REGULAR MEETING. July 23, :15 am

Transcription

1 WAYNE COUNTY EMPLOYEES RETIREMENT COMMISSION REGULAR MEETING 9:15 am 28 WEST ADAMS, 18 TH FLOOR CONFERENCE ROOM GRAND PARK CENTRE DETROIT, MICHIGAN Commissioners Present: Frank Simone Henry Wilson Tom Yee Elizabeth Misuraca Hugh Macdonald Richard Kaufman Office of the Wayne County Executive ELECTED MEMBERS TO THE BOARD EX-OFFICIO MEMBER Absent: Gary Woronchak, Chairman Wayne County Commission EX-OFFICIO MEMBER Others Present: Robert Grden, Gerard Grysko, Anwar Hussein, Tina Turner, Terrilla Gee, Felicia Hollis, Kevin Kavanagh, Robert Abb, Joshua Schwartz, Zach Karas, Paul Murray, Steve Gordon, Brian Green, Kevin VandenHaute, Sherry Schaffert, Mark Mueller, Charlie Harrison and Kathleen Colin. 1

2 1. Call to Order at 9:17 am. 2. Roll Call; Present: Frank Simone, Henry Wilson, Tom Yee, Elizabeth Misuraca, Hugh Macdonald and Richard Kaufman. Absent: Gary Woronchak. Mr. Robert Abb from VanOverbeke, Michaud & Timmony, P.C. entered the meeting and moved to the table at 9:17 am. 3a. Approval of minutes of the meeting of June 25, RESOLVED, by the Wayne County Employees Retirement Commission, to Waive the reading of the minutes and Approve the minutes of June 25, b. Applications for retirement. Mr. Wilson moved for the adoption of the following resolution: RESOLVED, by the Wayne County Employees Retirement Commission, to Approve the applications for retirement. APPLICATIONS Dept. Retirement Date Robin Harris WCS 8/1/2018 Marsha Roberson DHVCW 8/1/2018 Charles Paddock WCS 7/1/2018 Neil Mackinnon WCAA 8/1/2018 Kevin Reed WCS 8/1/2018 David Praedel WCS 9/1/2018 Ralph Sikora DPS 8/7/2018 Mark Hasselbach DPS 9/1/2018 Nancy Ann Neff Pros Atty 9/1/2018 Robert A. Daiuto, Jr. DOE 9/1/2018 Connie Coe ( Alt Payee) n/a 8/1/2018 Cynthia Dooley CFS/JDF 10/1/2018 2

3 DISABILITY APPLICATIONS Dept. Application Date Venus Amos Co clk 6/20/2018 3c. Removals from pension payroll because of death. RESOLVED, by the Wayne County Employees Retirement Commission, that the listed retirees be removed from the pension payroll because of their deaths on the indicated dates; and further RESOLVED, that any monies due to the deceased be paid to the named beneficiaries, subject to the receipt of a death certificate in each case. DEATHS John Collins Carl Vogt Terry Grasty Eva Lane Walda Forter Gloria Plotkowski Emma Miller Marietta Shoulders Leonard Zaorksi Marian Robinson Carolyn Mackey-Gautz Rose Perkins Gregory Roberts Patricia Cleaver Lucille Watts Myrtle Hawkins Janet Ihle Richard Chelekis Mary Wiegand Carroll Godley Ricardo Armstrong 3d. Retirement Allowances. RESOLVED, by the Wayne County Employees Retirement Commission, to Approve the final retirement allowances. NEW RETIREES Dept. Dept. Denene Ketelhut (McGuire) WCAA Kevin Reed WCSD Denise Jackson WCSD Ralph Sikora DPS Richard Koscho WCAA Connie Coe - Alt Payee n/a Charles Paddock WCSD Marsha Roberson DHVCW Dennis Watson DPS 3

4 3e. Adjustment of pensions for retirees because of additional earnings, annual leave payments, overpayments, etc. RESOLVED, by the Wayne County Employees Retirement Commission, to Approve the adjustment of pensions for retirees because of additional earnings, annual leave payments, overpayments, etc. UPDATES FROM PREVIOUS AGENDA (NEW RETIREES) (None) ADJUSTMENTS Effective Date Adjustment Date Gerald Coe 8/1/2018 Kenneth Paolucci 8/1/2018 ADJUSTMENTS TO CONTRIBUTIONS ONLY (None) Adjustment Date 3f. Re-calculations and/or Pop-ups due to death of spouse, and attainment of age 60 under Disability Retirement as well as additional contributions. RESOLVED, by the Wayne County Employees Retirement Commission, to Approve the Re-calculations and/or Pop-ups due to death of spouse, and attainment of age 60 under Disability Retirement as well as additional contributions. RE-CALCULATIONS (None) Conversion Date POP-UPS Pop-Up Date Grant Laskaska 7/1/2018 4

5 3g. July stipends of $149, for pre-medicare eligible members pursuant to Wayne County Ordinance RESOLVED, by the Wayne County Employees Retirement Commission, to Approve the July stipends of $149, for pre-medicare eligible members pursuant to Wayne County Ordinance h. Correspondence. RESOLVED, by the Wayne County Employees Retirement Commission, to Accept the correspondence. 4. Consideration of meeting minutes for the closed session(s) of June 25, Mr. Macdonald moved the adoption of the following resolution: RESOLVED, by the Wayne County Employees Retirement Commission, to Waive the reading of the minutes and Approve the closed session(s) of June 25, The motion was supported by Mr. Wilson and carried unanimously 6-0. Mr. Joshua Schwartz and Mr. Zach Karas of Retirement Plan Advisors entered the meeting and moved to the table at 9:18 am. 5. Consideration of a presentation from Joshua Schwartz and Zach Karas of Retirement Plan Advisors for the Investment Consultant of the 401(a) and 457(b) plans. Mr. Kaufman exited the meeting for the day at 10:14 am. Mr. Joshua Schwartz and Mr. Zach Karas exited the meeting at 10:25 am. Chairman Simone called for a recess at 10:25 am. The Retirement Commission returned to session at 10:38 am with the following Commissioners present: Frank Simone, Henry Wilson, Tom Yee, Elizabeth Misuraca and Hugh Macdonald. 5

6 Mr. Macdonald moved the adoption of the following resolution: RESOLVED, by the Wayne County Employees Retirement Commission, to Receive and File the presentation from Joshua Schwartz and Zach Karas of Retirement Plan Advisors for the Investment Consultant of the 401(a) and 457(b) plans. The motion was supported by Mr. Wilson and carried unanimously 5-0. Mr. Paul Murray, Mr. Steve Gordon and Mr. Brian Green of AndCo Consulting entered the meeting and moved to the table at 10:38 am. 6. Consideration of a presentation from Paul Murray, Steve Gordon and Brian Green of AndCo Consulting for the Investment Consultant of the 401(a) and 457(b) plans. Mr. Macdonald moved the adoption of the following resolution: RESOLVED, by the Wayne County Employees Retirement Commission, to Receive and File the presentation from Paul Murray, Steve Gordon and Brian Green of AndCo Consulting for the Investment Consultant of the 401(a) and 457(b) plans The motion was supported by Mr. Wilson and carried unanimously 5-0. Mr. Murray, Mr. Gordon and Mr. Green exited the meeting at 11: 44 am. Chairman Simone called for a recess at 11:44 am. The Retirement Commission returned to session at 11:58 am with the following Commissioners present: Frank Simone, Henry Wilson, Tom Yee, Elizabeth Misuraca and Hugh Macdonald. Mr. Kevin VandenHaute, Ms. Sherry Schaffert and Mr. Mark Mueller of Sigma Planning Corporation entered the meeting and moved to the table at 11:58 am. 7. Consideration of a presentation from Kevin VandenHaute, Sherry Schaffert and Mark Mueller of Sigma Planning Corporation for the Investment Consultant of the 401(a) and 457(b) plans. Mr. Macdonald moved the adoption of the following resolution: RESOLVED, by the Wayne County Employees Retirement Commission, to Receive and File the presentation from Kevin VandenHaute, Sherry Schaffert and Mark Mueller of Sigma Planning Corporation for the Investment Consultant of the 401(a) and 457(b) plans. The motion was supported by Mr. Wilson and carried unanimously 5-0. Mr. VandenHaute, Ms. Schaffert and Mr. Mueller exited the meeting at 1:06 pm. 6

7 Chairman Simone called for a recess at 1:06 am. The Retirement Commission returned to session at 1:31 pm with the following Commissioners present: Frank Simone, Henry Wilson, Tom Yee, Elizabeth Misuraca and Hugh Macdonald. 8. Consideration of selecting and approving the Investment Consultant of the 401(a) and 457(b) plans. RESOLVED, by the Wayne County Employees Retirement Commission, to Eliminate AndCo Consulting from further consideration for the Investment Consultant of the 401(a) and 457(b) plans. The motion was supported by Mr. Yee and carried unanimously 5-0. WHEREAS, the Retirement Commission of the Wayne County Employees Retirement System (the Retirement Commission ) is vested with the fiduciary responsibility for the proper administration, management and operation of the Retirement System, and for making effective the Retirement System provisions, and WHEREAS, pursuant to its Service Provider Review Policy, the Retirement Commission periodically reviews the performance, cost, and services offered by its Professional Service Providers, and WHEREAS, the Retirement Commission conducts due diligence on its Professional Service Providers by, among other processes, analyzing and comparing both existing and prospective Professional Service Providers by methods including, but not limited to, comparing formal proposals, and WHEREAS, on January 8, 2018, the Retirement Commission issued a Request for Proposals for a Defined Contribution Investment Consultant ( DC RFP ) and designated the Audit Committee, with the assistance of its Legal Counsel, the VanOverbeke, Michaud & Timmony, P.C., law firm ( VMT ), to review the responses to the DC RFP and make a recommendation to the Retirement Commission, and WHEREAS, after reviewing the responses to the DC RFP at its February 8, 2018, meeting, the Audit Committee recommended that the Retirement Commission receive and file the responses to the DC RFP and continue its due diligence by issuing two new RFPs: 1. A Request for Proposals for an Investment Consultant to advise on all investment related issues related to the Defined Contribution Plan and the Deferred Compensation Plan(s); and 7

8 2. A Request for Proposal for an investment professional/firm to assist the Retirement Commission with establishing, designing, implementing and administering a comprehensive Financial Wellness Program, and offer investment advice and education to all Members, Participants, Retirees and Beneficiaries of the Retirement System, and WHEREAS, further, at its February 26, 2018, meeting, the Retirement Commission instructed the Audit Committee, with the assistance of its Legal Counsel, VMT, to prepare and issue an RFP for: (1) an Investment Consultant to advise on all investment related issues related to the Defined Contribution Plan and the Deferred Compensation Plans; and (2) an investment professionals to assist the Retirement Commission with establishing, designing, implementing and administering a comprehensive Financial Wellness Program, and offer investment advice and education to all Members, Participants, Retirees and Beneficiaries of the Retirement System, and WHEREAS, at the Audit Committee s March 15, 2018, meeting, the Committee accepted the RFP for an Investment Consultant to advise on all investment related issues related to the Defined Contribution Plan and the Deferred Compensation Plan(s) prepared by VMT and directed staff to issue the RFP on March 19, 2018, with responses due April 20, 2018, and WHEREAS, at its regular meeting held on April 26, 2018, the Audit Committee received a report from staff that a total of nine (9) firms submitted timely responses to the RFP, and WHEREAS, at its May 24, 2018, May 30, 2018, and June 21, 2018, the Audit Committee reviewed and evaluated the RFP responses with the assistance of staff and VMT using the evaluation criteria identified in section IX of the RFP, including but not limited to the firm s: Responses to the specific points outlined in the RFP; Experience in providing similar Deferred Compensation and Defined Contribution consulting services to similar clients; References; and Fee proposal, and WHEREAS, pursuant to the direction from the Retirement Commission at its February 26, 2018, meeting, at its June 21, 2018, meeting, the Audit Committee selected and recommended three firms as finalists to be considered by the Retirement Commission: AndCo Consulting, Retirement Plan Advisors, and Sigma Planning Corporation; and WHEREAS, that the Retirement Commission accepted the three finalists selected by the Audit Committee; and 8

9 WHEREAS, that the Retirement Commission invited the three finalists recommended by the Audit Committee to interview and make a presentation to the Retirement Commission at the Retirement Commission s, regular meeting, and WHEREAS, that each finalist was allotted 45 minutes to make a presentation to the Retirement Commission and an additional 15 minutes to answer questions, and WHEREAS, the Retirement Commission has thoroughly reviewed and discussed Sigma Planning Corporation and Kevin VandenHaute s investment consulting services, and WHEREAS, the Retirement Commission has determined that the retention of Sigma Planning Corporation and Kevin VandenHaute is in the best interest of the Retirement System and will further promote the independence and objectivity of the management of plan assets, and facilitate the continuity of investment objectives, and WHEREAS, Sigma Planning Corporation and Kevin VandenHaute have agreed to act as fiduciaries to the Retirement Commission and to provide the investment consulting services outlined in the RFP, therefore be it RESOLVED, by the Wayne County Employees Retirement Commission, that in accordance with the provisions of the Plan and pursuant to the terms and conditions outlined in the Agreement, the Retirement Commission hereby appoints Sigma Planning Corporation and Kevin VandenHaute as Investment Consultants to provide investment consulting services for its Defined Contribution Plan and Deferred Compensation Plan, and, and further RESOLVED, the Wayne County Employees Retirement Commission authorizes the Executive Director and VMT to negotiate the terms of an agreement with Sigma Planning Corporation and Kevin VandenHaute to provide investment consulting services, and further RESOLVED, that Kevin VandenHaute and Sigma Planning Corporation are empowered and authorized to accept such appointment and render the services contained in the Agreement, and further RESOLVED, that the Chair or Vice-Chair of the Wayne County Employees Retirement Commission is authorized to execute the agreement retaining the services of Kevin VandenHaute and Sigma Planning Corporation, and further RESOLVED, that a copy of this resolution shall be forwarded to Kevin VandenHaute, Sigma Planning Corporation and all other appropriate parties. The motion was supported by Mr. Macdonald and carried unanimously Such other Matters. Mr. Grden informed the Commissioners that Retirement staff employee Sharron Sanders has resigned from the County. 9

10 Mr. Grden informed the Commissioners that the New Retirement Commissioner Orientation for Richard Kaufman is scheduled for July 27, Reconsiderations. There were no reconsiderations. 11. Public Comment. 12. Adjournment. There was no public comment. Mr. Macdonald moved to adjourn the meeting. The motion was supported by Mr. Wilson and carried unanimously 5-0. There being no further business to come before the Retirement Commission the meeting was adjourned at 1:48 pm subject to the call of the Chair. VOUCHERS RETIREMENT EXPENSE FUND 28 Associates, LLC Lease for August , Associates, LLC Electric billing period: 7/10/18 reading Absopure Water AndCo Consulting, LLC Performance evaluation and consulting services 4/1/2018-6/30/ , Direct TV Charges for service period: 07/18/18-08/17/ Earnest Partners, LLC Management fee quarter ending 6/30/18 76, Gabriel, Roeder, Smith & Co Actuarial services for June , Gabriel, Roeder, Smith & Co GASB Statements 67/68 reporting as of Sep. 30, , Gerard J Grysko Consulting LLC Consulting services for the month of June, , Grysko, Gerard Refreshments committee meeting 6/21/18 and full board meeting 6/25/ Haugh, Matthew Mileage reimbursement Premier Pension Consulting, LLC Consulting services for the month of May, , Premier Pension Consulting, LLC Consulting services for the month of June, , Providence Occupational Health Partners Medical Director(Dr.Vosburgh) exam fees Quill Corporation Office supplies The Northern Trust Company Management/Custodian fee quarter ending 6/30/18 33, The Northern Trust Company Management fee quarter ending 6/30/18, Russell 3000 index The Northern Trust Company Management fee quarter ending 6/30/18, ACWI EX-US index 2, The Northern Trust Company Management fee quarter ending 6/30/18, Bond index United States Post Office Postage monies 2, VanOverbeke Michaud & Timmony, P. C. Legal fees 5/1/2015 through 3/31/ VanOverbeke Michaud & Timmony, P. C. Legal fees 5/1/2018 through 6/30/ , Verizon Wireless Billing period May 11 - Jun 10, Total $310,

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