Minutes of the Regular Meeting of the
Board of Trustees of the Monroe County
Employees Retirement System
Regular meeting of the Board of Trustees of the Monroe County Employees
Retirement System held on June 26, 2006 at 5:00 P.M. in the Board of Commissioner’s
Meeting Room at 125 E. Second St., Monroe, Michigan.
PRESENT:
Clayton Charron, Nancy Colpaert, Jim Davies, George Jondro,
Pamela Jones, Jim Morgan, Jerry Oley and David Thompson.
ABSENT:
none
ALSO PRESENT:
Debra Elmore, Retirement Specialist; Charles Londo,
Secretary; Sam Galanis, Michael Cho, Consultants and
Thomas Michaud, Legal Counsel.
With a quorum being present, Chairman Thompson called the meeting to order at
5:00 P.M. Mr. Thompson asked for a moment of silence for Trustee Tom Mell who
passed away on June 11, 2006.
Motion by Jim Morgan, supported by George Jondro to approve minutes of the
May 15, 2006 meeting as submitted. All in favor, motion carried.
Motion by Jerry Oley, supported by Pamela Jones to approve agenda as
submitted. All in favor, motion carried.
Citizens Time – none
Presentations:
Cathy Nagy from Gabriel, Roeder, Smith & Co. brought back the alternate
amortization schedule that the Board asked her to do from the May 15 meeting. Ms.
Nagy stated that GRS won’t have to revise the actuarial report, they can just work from
the schedule that was submitted. Motion by Jim Morgan, supported by Pam Jones to
adopt the actuarial assumptions policy resolution to provide that a twenty (20) year
rolling amortization period shall be used for all underfunded divisions. All in favor,
motion carried.
Heather Waddle from Templeton Portfolio Advisors presented an update for the
Board. The report shows that Templeton lagged behind the EAFE index for YTD for
period ending March 31, 2006 but is gaining and the preliminary figures show Templeton
Minutes Monroe County
Employees Retirement System
Board of Trustees
June 26, 2006 – Page 2
with a small edge 6.0 to EAFE 5.2. Ms. Waddle feels the Retirement System’s portfolio
is well positioned for the long term.
Mr. Oley would like Mr. Galanis to review the report that was submitted and
report back to the board.
Motion by Jim Davies, supported by Nancy Colpaert to approve consent agenda
as submitted below:
A.
Retirements – Constance Harvell, County Health
June 1
Patricia Strickland, Environmental Health June 30
B.
Financial Reports – On File with Retirement Specialist
1.
Comerica Bank Consolidated Statement, Cash Account Statement,
Alliance Capital Management, Anchor Capital Advisors, Boyd Watterson
Asset Management, Brandywine Asset Management Global, Brandywine
Asset Management Large Cap, NWQ Investment Management and
International Value Equity, Pacific Income Advisors, Templeton Portfolio
Advisors for period 05/01/06 through 05/31/06 and Securities Lending
Statement for April 2006.
2.
Boyd Watterson Asset Management, LLC portfolio appraisal for period
ending April 30 and May 31, 2006.
3.
Brandywine Asset Management Global Fixed Income Portfolio and
Traditional Large Cap Value Portfolio for May 2006.
4.
Morgan Stanley Vision Account for AllianceBerstein Regent, Anchor
Capital Advisors, Brandywine Global Fixed, NWQ LCV, NWQ
International and Templeton Private Client Group for period ending May
31, 2006.
5.
Pacific Income Advisors fixed income quarterly report for period ending
May 31, 2006.
6.
Tradewinds NWQ Global Investors investment portfolio for period ending
March 31, 2006.
Minutes Monroe County
Employees Retirement System
Board of Trustees
June 26, 2006 – Page 3
C.
Communication
1.
GRS News Scan and Research Memo for May 2006.
2.
Tradewinds NWQ Global Investors, LLC Update.
All in favor, motion carried.
Invoices
Motion by Pam Jones, supported by George Jondro to approve for payment the
following invoices, subject to house audit:
1.
Invoice dated April 1, 2006 in the amount of $14,410.79 from Anchor Capital
Advisors, Inc. for investment management services for 1st Quarter, 2006.
2. Invoice #19855 dated June 13, 2006 in the amount of $38,180.00 from Boyd
Watterson Asset Management for investment management services for 2nd
Quarter, 2006.
3. Invoice dated May 31, 2006 in the amount of $15,672.31 from Comerica
Commercial Card Service for hotel rooms for 2006 NCPERS Conference and
MAPERS 2006 Spring Conference.
4. Invoices dated May, 2006 in the amount of $4,400.00 from Steven Dovtiz,
M.D. for independent medical evaluation of disability retirees Suzanne
Alexander, Ronald Bitz, Ronald Blouch, Scott Ferguson, Theresa Haynes,
Barbara Marsh, Margaret Mathews and Denise Smith.
5. Invoice #97809 dated May 31, 2006 in the amount of $13,500.00 from
Gabriel, Roeder, Smith & Co. for regular actuarial services from April 1
through May 31, 2006.
6. Invoice #022860-0002 dated April 5, 2006 in the amount of $28,546.67 from
Tradewinds NWQ Global Investors, Inc. for investment management services
for 1st Quarter, 2006.
7. Invoice dated June 30, 2006 in the amount of $700.00 from North Alabama
Bone & Joint Clinic for pre-payment of disability retiree re-examination of
Mark Winter.
Minutes Monroe County
Employees Retirement System
Board of Trustees
June 26, 2006 – Page 4
8. Reimbursement in the amount of $239.19 to Nancy Colpaert for expenses at
the NCPERS Conference, Hollywood, Florida, April 28 – May 4, 2006.
9. Reimbursement in the amount of $260.19 to James Davies for expenses at the
NCPERS Conference, Hollywood, Florida, April 28 – May 4, 2006.
10. Reimbursement in the amount of $231.49 to Jerry Oley for expenses at the
NCPERS Conference, Hollywood, Florida, April 28 – May 4, 2006.
11. Reimbursement in the amount of $156.64 to Clayton Charron for expenses at
the MAPERS 2006 Spring Conference, Mt. Pleasant, MI, May 21 & 22, 2006.
12. Reimbursement in the amount of $165.75 to George Jondro for expenses at
the MAPERS 2006 Spring Conference, Mt. Pleasant, MI, May 21 & 22, 2006.
13. Reimbursement in the amount of $177.62 to Pamela Jones for expenses at the
MAPERS 2006 Spring Conference, Mt. Pleasant, MI, May 21 & 22, 2006.
14. Reimbursement in the amount of $157.98 to James Morgan for expenses at
the MAPERS 2006 Spring Conference, Mt. Pleasant, MI, May 21 & 22, 2006.
All in favor, motion carried.
Refunds
Motion by Jim Morgan, supported by Clayton Charron to pay the following
refunds:
1.
2.
Constance Harvell, County Health
Thrivent Investment Mgmt, FBO Constance Harvell
$2,529.54
$7,301.03
All in favor, motion carried.
Retirement Payments
Motion by Jim Morgan, supported by Clayton Charron to pay the following
retirement payments:
1.
Constance Harvell, County Health
$2,292.77
Minutes Monroe County
Employees Retirement System
Board of Trustees
June 26, 2006 – Page 5
Communications
1.
Medical report dated May 17, 2006 from Steven Dovitz, M.D. regarding
disability retiree re-examination of Suzanne Alexander.
Motion by Pam Jones, supported by Jim Morgan to accept and place on file and
follow recommendation of doctor. All in favor, motion carried.
2.
Medical report dated May 10, 2006 from Steven Dovitz, M.D. regarding
disability retiree re-examination of Ronald Bitz.
3.
Medical report dated May 30, 2006 from Steven Dovtiz, M.D. regarding
disability retiree re-examination of Ronald Blouch.
4.
Medical report dated May 11, 2006 from Steven Dovitz, M.D. regarding
disability retiree re-examination of Scott Ferguson.
5.
Medical report dated May 31, 2006 from Steven Dovitz, M.D. regarding
disability retiree re-examination of Theresa Haynes.
6.
Medical report dated May 26, 2006 from Steven Dovitz, M.D. regarding
disability retiree re-examination of Barbara Marsh.
7.
Medical report dated May 30, 2006 from Steven Dovitz, M.D. regarding
disability retiree re-examination of Margaret Mathews.
8.
Medical report dated May 18, 2006 from Steven Dovitz, M.D. regarding
disability retiree re-examination of Denise Smith.
Motion by Jim Davies, support by George Jondro to accept, place on file and
follow recommendation of medical advisor. All in favor, motion carried.
9.
MAPERS one day seminar on Wednesday, July 12, 2006 at the Michigan
State University Management Education Center, Troy, Michigan.
Motion by Jerry Oley, supported by Jim Davies to authorize any Trustee,
Secretary and Retirement Specialist to attend. All in favor, motion carried.
10.
Letter dated June 5, 2006 from Mark Mignano, Friend of the Court
employee concerning part time service credit.
Minutes Monroe County
Employees Retirement System
Board of Trustees
June 26, 2006 – Page 6
Motion by Jim Davies, support by Clayton Charron to accept, place on file and
refer to legal counsel. All in favor, motion carried.
11.
Application from Thomas Morris, Probate Juvenile employee requesting
purchase of one year of military service time.
Motion by Jerry Oley, supported by George Jondro to accept, place on file and
grant the request. All in favor, motion carried.
12.
Letter from Commissioner William Sisk concerning interest paid on
employee contributions.
Motion by Jim Davies, supported by Clayton Charron to accept and place on file.
Dave Thompson told Mr. Sisk that the Administrative Committee has met to
review how the interest is being paid. Mr. Michaud stated that how the interest is paid is
consistent with other retirement systems. Historically the interest is paid once a year but
many employees would like to see it paid monthly. The Administrative Committee will
bring back their recommendation to the full board for approval. Mr. Sisk would like to
be kept appraised of the recommendation. All in favor, motion carried.
13.
MAPERS 2006 Fall Conference, Sept. 17-19, 2006 at the Grand Hotel,
Mackinac Island, Michigan.
Motion by Jim Davies, supported by George Jondro to authorize any Trustee,
Secretary and Retirement Specialist to attend. All in favor, motion carried.
Proposed Resolutions
Motion by Jim Morgan, supported by Nancy Colpaert to accept and place on file
the following resolutions:
1.
2.
3.
4.
5.
6.
7.
8.
9.
Constance Harvell, County Health – Service Retirement
Darwin Paz, Sheriff’s Office – Application for Service Retirement
Patricia Strickland, Enviro.Health – Application for Service Retirement
Patricia Gregor, Road Comm – Application for Deferred Retirement
Suzanne Alexander – Disability Retirant Re-exam
Ronald Bitz – Disability Retirant Re-exam
Ronald Blouch – Disability Retirant Re-exam
Scott Ferguson – Disability Retirant Re-exam
Theresa Haynes – Disability Retirant Re-exam
Minutes Monroe County
Employees Retirement System
Board of Trustees
June 26, 2006 – Page 7
Barbara Marsh – Disability Retirant Re-exam
Margaret Mathews – Disability Retirant Re-exam
Denise Smith – Disability Retirant Re-exam
Thomas Morris, Probate Juvenile – Purchase of Military Service Credit
10.
11.
12.
13.
All in favor, motion carried.
Attorney Report

Trustee and Member handbook
Administrative Committee has met for the trustee handbook. Hope to have
something to present at July 24 meeting. Will work on member handbook after trustee
handbook is complete.
Consultant’s Report
Mr. Galanis reviewed the evaluation update for the period ending May 31, 2006.
The Retirement System is down $3,186,274.14 from previous month. Mr. Galanis
believes the risk is rising for a recession.
Old Business


Payment of Interest on Employee Contributions. Administrative Committee
had their first meeting. Will present recommendation when done.
Disability Retiree Re-examinations
 Suzanne Alexander – report on agenda
 Ronald Bitz – report on agenda
 Ronald Blouch – report on agenda
 Darlene Diekman – per legal, will not be subject to re-examination
 Scott Ferguson – report on agenda
 Theresa Haynes – report on agenda
 Rosemary Larner – appointment has not been made
 Barbara Marsh – report on agenda
 Margaret Mathews – report on agenda
 Denise Smith – report on agenda
 David Webb – setting up appointment
 Ronald Whited – waiting for doctor’s report
 Mark Winter – waiting for pre-payment before setting up appointment
Minutes Monroe County
Employees Retirement System
Board of Trustees
June 26, 2006 – Page 8
New Business

Setting of interest rate for employee contributions.
Motion by Jim Davies, supported by George Jondro to set the interest rate at 5%
on employee contributions. All in favor, motion carried.
Trustee Comments


Nancy Colpaert has been re-appointed to the Retirement Board by the Library Board.
Jim Morgan has an e-mail address at the Road Commission now.
Motion by Jim Davies, supported by George Jondro to adjourn. All in favor,
motion carried. Meeting adjourned at 6:45 P.M.
Respectfully Submitted,
David Thompson, Chairman
Monroe County Employees Retirement
System Board of Trustees