HomeMy WebLinkAbout2009-03-17 NEERB MINUTESNONEMERGENCY EMPLOYEES RETIREMENT BOARD SPECIAL MEETING
MARCH 17, 2009
Chairpe rson Williams called the regular meeting of the Englewood NonEmergency Employees Retirement Plan
Board to order at 3:35 p.m. in the Public Works Conference Room of the Civic Center, 1000 Englewood Parkway,
Englewood, Colorado.
Members Present:
Members Absent:
Others Present:
A quorum was present.
Innovest Portfolio Solutions, LLC
Brandon Williams, Chairperson, Council Appointee
Gary Bowman, Council Appointee
Frank Gryglewicz, Director of Finance and Administrative Services
Bradley Hagan, Secretary, Employee Representative
John Moore, Council Member (by phone)
Mahendra Patel, Employee Representative
Vacancy
Wendy Dominguez, Innovest Portfolio Solutions
* * * * *
Ms. Dominguez presented two high yield funds for consideration, Black Rock High Yield Bond Fund and Harbor
High Yield Bond Fund. She explained the process that Innovest follows when considering a fund to add to the
Plan's investment pottfolio.
Discussion ensued regarding pros and cons of each fund, the investment holdings and the possible impacts if there
are personnel changes at the funds.
Innovest's recommendation would be Harbor High Yield Bond Fund . The Harbor Fund is a bit more conservative
than Black Rock and would be more in-line with the Board's past decisions on investments. Ms Dominguez stated
that either fund would be a good choice . The asset allocation to be targeted for high yie ld bond funds is six percent.
MR. GRYGLEWICZ MOVED TO ADD HARBOR HIGH YIELD BOND FUND TO THE INVESTMENTS . MR.
MOORE SECONDED.
Ayes:
Nays:
Absent:
The motion carried.
Bowman, Gryglewicz, Hagan, Moore, Patel, Williams
None
None
Ms. Dominguez will prepare a revised investment policy for the Board 's review prior to the next re g ular meeting.
Ms. Dominguez left at 4: I 0 p.m.
Additional Discussion Items
Ms. Wescoat notified the Board of an unusual situation. A retiree who speaks very little English was visiting
Guatemala and became seriously ill. It is yet to be determined ifthe retiree's health will permit her to return to the
United States. With the help of a Spanish speaking employee and an Englis h speaking family member Ms. Wescoat
has been able to determine that Maria de! Carmen Illescas is sti ll alive and there does not appear to be any indication
of fraudulent activity . Ms. Wescoat has discussed this situation with Mr. Brotzman and he is comfortable with
continuing payments until there is some indication that the benefit should be suspended. Ms. Wescoat will contact
the Board ifthere is need to suspend benefit payments.
M s. Wescoat explained that on occasion employees receive retroactive pay that covers the previous 12 to I 5 month
period. Ifthe retroactive pay is paid during the beginning of the 36 month period that is included in the
compensation calculation, the benefit would be overstated. Mr. Brotzman refened Ms. Wescoat to Mary Brauer for
consultation regardin g this matter. Ms . Brauer determined the Plan document does not permit the inclusion of the
retroactive pay for periods outside of the 36 month compensation period. Ms. Brauer suggested adopting a policy
excluding the ineligible compensation from the benefit calculation .
MR. GRYGLEWICZ MOVED TO STATE THE POLICY FOR BENEFIT CALCULAT ION WIL NOT INCLUDE
RETROACTIVE PAY THAT MAY BE PAID DURING THE 36 MONTH PERIOD USED FOR CALCULATING
THE FINAL A VERA GE COMPENSATION BUT IS COMPENSATION FOR ANY PERIOD OUTSIDE THE 36
MONTH PERIOD. MR. PA TEL SECONDED.
Discussion followed regardin g clarification of the possibility of penalizing the employee or enhancing the
benefit. The Board agreed allowing the retroactive pay to be included could potentially increase the benefit
and overstate the actual amount due the employee during retirement. The intent is to prevent an employee
from unduly benefiting from his or her manager's evaluation delay .
Ayes:
Nays:
Bowman, Gryglewicz, Hagan , Moore, Patel, Williams
None
Absent: None
The motion canied.
The Board discussed the need to have a paper copy of the Roster of the Boards, Commissions, Authorities and
Committees. Chairperson Williams and Board Member Patel requested paper copies all other members will receive an
electronic file copy. Discussion ensued regarding the need to shred the paper copies for privacy reasons. The Board
agreed the paper copies should be shredded when no longer needed.
The Board will be notified ifthere is a service for Leroy Davault.
Discussion ensued regarding the City Council's appointment of a replacement for the Board vacancy.
The next regular Board meeting is scheduled for May 12, 2009.
The Board adjourned at 4:25 p.m.
~~tVun:~
Carol Wescoat
Recording Secretary
NonEmergency Employee Retirement Board Mee tin g
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