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HomeMy WebLinkAbout1997-10-30 Minutes• • MINUTES OF A MEETING OF THE FIRE PENSION BOARD A meeting of the Fayetteville Firemen's Pension and Relief Board was held on Thursday, October 30, 1997, at 11:00 a.m., in room 326, of the City Administration Building, 113 W. Mountain, Fayetteville, Arkansas. PRESENT: Mayor Fred Hanna, Pete Reagan, Marion Doss, Ron Wood, Darrell Judy, Bill Morris and City Clerk/Treasurer Traci Paul CALL TO ORDER Mayor Hanna called the meeting to order. MINUTES Reagan, seconded by Doss, moved to approve the minutes of the September 25, 1.997 meeting. The motion passed unanimously. PENSION LIST Paul reported there were no changes in the pension list. Reagan, seconded by Doss, made a motion to approve the pension list for November, 1997. The motion passed unanimously. INVESTMENT REPORT Richard Yada, Merrill Lynch, distributed and reviewed the Portfolio Performance Report dated December 31, 1996 through October 28, 1997. Yada explained there is a hickup in the plans to change from Keystone Management to Merrill Lynch Asset Management Group. Curtis Williams stated Merrill Lynch is looking at Act 6 and the various amendments there to. Merrill is concerned that the term "discretionary management" is not in the Act. Men -ill Lynch wants to be sure that they have the authority to manage the funds on a discretionary basis. Yada explained that the wording in the statute says the financial advisor has the authority to sell, buy, sign, and trade securities in an account. Yada stated this means they have discretion on it but the Legal Division of Merrill Lynch Asset Management wants all those terms to be one word, discretionary. The Legal Division of Merrill Lynch says it is o.k. 1 • • October 30, 1997 Williams stated we are waiting for the opinion from the Legal Division of Merril Lynch Asset Management on whether or not they think they can legitimately manage the account. Williams stated if MLAM decides they cannot manage the account legitimately, suitable alternatives are being researched. In answer to a question from Mayor Hanna, Yada explained the Keystone is still managing the funds. In response to a question from Doss, Yada and Williams discussed Japan's performance. OLD BUSINESS State Insurance Tumback Funds Mayor Hanna stated there was some discussion at the last meeting about the Turnback Funds and the amount available to invest. Reagan stated he received a call from Ben Mayes who explained they were going to keep $14,000 in the checking account for pay -outs. Reagan stated $140,000 was wired to Merrill Lynch on November 3. NEW BUSINESS Reschedule November & December Meetings Paul stated the Fire Pension meeting for November is scheduled for Thanksgiving and the Fire Pension meeting for December is scheduled for Christmas. The Board decided to hold a combined meeting for November and December on December 11, 1997. There being no further business, the meeting adjourned at 11:20 a.m. 2