HomeMy WebLinkAbout1989-05-03 Minutes•
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MINUTES OF A MEETING OF THE POLICE PENSION BOARD
A regular meeting of the Fayetteville Police Pension and Relief
Fund Board of Trustees was held on Wednesday, May 3, 1989 in Room
313 of City Hall, at 113 West Mountain Street.
PRESENT: Treasurer Scott Linebaugh, Secretary Eldon Roberts,
Rick Hoyt, Jr., Jerry Friend, Dr. James Mashburn,
and Hollis Spencer.
Also present were City Clerk Suzanne McWethy and
Mike Kirkland of Shearson -Lehman Brothers
ABSENT: Chairman James Pennington
CALL TO ORDER
The meeting was called to order by Linebaugh at about 2:25 p.m.
MINUTES
It was moved by Hoyt, seconded by Roberts and unanimous to approve
the minutes of the last meeting held on January 19, 1989.
OLD BUSINESS
TRANSFER OF ASSETS
Dr. Mashburn asked about information that Board members were still
receiving from Merrill Lynch. Linebaugh explained certain funds
which were supposed to have been transferred from Merrill Lynch to
A. G. Edwards were not transferred. He said after several months,
this was discussed with Richard Yada of Merrill Lynch who said the
funds would be transferred right away. Linebaugh said hopefully
the transfer has now been made.
Dr. Mashburn made a motion that the minutes should reflect the
Board feels this is an outstanding item and something should be
done to straighten it out. The motion was seconded by Friend and
unanimous. Board members requested that Linebaugh notify them of
the status of this item before the next quarterly meeting.
CONTRIBUTION INCREASE
Roberts asked for an update on the proposal Linebaugh and
Pennington made to increase the City's contribution to the pension
plan. Linebaugh said this had not been done yet but would be done.
Hoyt remarked that funds were budgeted for the entire year, but
commented that he was not sure the law had changed yet.
Police Pension Board
Minutes
May 3, 1989
Page 2
RETIREMENT LIST
Mashburn asked if the Board could receive, about
list of retirees and the amount of benefits they
said he had such a list and would provide it.
NEW BUSINESS
ELECTIONS
once a year, a
draw. Roberts
Roberts noted that in May of this year terms would expire for
himself, Rick Hoyt and Dr. Mashburn.
It was noted that Dr. Mashburn had submitted the only application
for appointment to his position. It was moved by Hoyt, seconded by
Roberts and unanimous to accept Dr. Mashburn to the position.
Suzanne McWethy asked Board members to notify her of the date for
the pension board elections when it has been decided.
SHEARSON LEHMAN REPORT
Mike Kirkland notified the Board that because their assets exceeded
$200,000, they were included on a preferred client list which has
free checking ability, with unlimited checks, at no cost.
Kirkland reported that, as of yesterday, the value of bonds in the
account were close to $888,000, stocks valued $982,000 and cash
$445,000.. He reported total value as of last night was $2,315,000.
He said the March statement showed a balance of $2.264 million.
Linebaugh asked if the Board could receive a scattergram on the
performance of their money manager compared to the other money
managers. Kirkland said he would try to get this information for
the Board.
Kirkland reported $56,000 of the assets was in the money market
account, earning interest around 9%.
Linebaugh reported a treasury bill in the amount of
matured on April 27 and was transferred to Shearson
reported another three treasury bills will need to be
to Shearson when they mature. He told the Board no
were presently invested locally.
Roberts asked if the Board could be given a "bottom line figure"
for the total account every so often. He said he thought it should
$813,088.58
Lehman. He
transferred
other funds
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Police Pension Board
Minutes
May 3, 1989
Page 3
be around $3.5 million. Linebaugh suggested the Board be sent a
financial report with that information. Kirkland said right now
Shearson only has about $2.37 million in-house but, probably next
month, will have 99% of the fund in-house.
FIXED INCOME MANAGERS
Linebaugh, referring to the $813,000 to be invested, said he
thought the Board decided to follow its investment plan, and said
the Board looked at Liberty Capital as a fixed income money
manager. He asked if anyone wanted to review a couple of other
fixed income managers. Kirkland said he would like to introduce
the Board to one or two more fixed income managers. Linebaugh
asked the Board if they wanted to meet next month to review income
managers.
It was decided to schedule a special meeting for June 15, 1989 at
2:00 p.m.
ADJOURNMENT
The meeting adjourned at about 2:55 p.m.