HomeMy WebLinkAbout2000-12-21 - Agendas - Final (2) POLICE PENSION AND RELIEF FUND BOARD
�A AGENDA
DECEMBER 21 , 2000
A meeting of the Fayetteville Police Pension and Relief Fund Board will be held at 1 :30 p.m. in
Room 326 of the City Administration Building.
I . Approval of the minutes
2. Approval of the pension list
3 . Investment report
4. Other business
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5
MINUTES OF A MEETING
• OF THE
FAYETTEVILLE POLICE PENSION AND RELIEF FUND BOARD
SEPTEMBER 21, 2000
A meeting of the Fayetteville Police Pension and Relief Fund Board was held on September 21 ,
2000 at 1 :30 p.m. in Room 326 of the City Administration Building located at 113 West
Mountain, Fayetteville, Arkansas.
PRESENT: Mayor Hanna, Hollis Spencer, Jerry Friend, Randy Bradley, Eldon Roberts, and City
Clerk Heather Woodruff.
MINUTES
Mr. Spencer moved to approve the minutes. Mr. Friend seconded the motion. Upon roll call the
motion carried unanimously.
PENSION LIST
Mr. Roberts stated Mr. Schuster had been added to the pension list. The gross pay under his
name was not what he will be drawing per month, but this had a fraction of a month added onto
it. He had retired in the middle of a month.
Mr. Roberts moved to approve the pension list. Mr. Bradley seconded the motion. Upon roll
• call the motion carried unanimously.
INVESTMENT REPORT
Ms. Elaine Longer, Longer Investment, stated they had cut off at the quarter for their report.
They had also included an update up to August 31 .
As of June 30, their equity weighting was 42-43% mutual funds and common stock. Total
market value was 11 .28 million dollars. The August 31 , 2000, report for the same portfolio
increased the equity exposure to 49%. The Market value on August 31 was approximately 11 .62
million dollars. The realized gains year to day were approximately $ 145,000. Net income was
approximately $ 156,000. Summary of expenses, the total expense ration in 1997 was 1 .49%, in
1998 was 1 .32%. Since the consolidation of the account the total expense ratio has dropped to
about a 1 . 1%. That included all of their expenses. As the assets went up in size the fee schedule
goes down. The Bond Fund, during March, April, and May they were rolling all of their
maturities forward that they could roll forward so they could capture those higher interest rates.
Now that those rates were going down they did not really have any maturity risk in the portfolio.
They did not have anything maturing until the first quarter of next year. Those maturities only
amounts to about 4% of the total portfolio. They were well structured as far as their corperate
bonds went. Government bonds, most of those maturities went past 2002. Government agencies
were the same way. The first maturity came up in May of next year. Income Yield on book
value of bonds was approximately 6.5%. The income yield on the total portfolio was 4.5%,
including stock. Their target there was to try and keep it at a 4% income yield on book value.
• The weighted average maturity on their bonds was only four years. They had approximately
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•� Police Pension Minutes
September 21 , 2000
Page 2
6.5% yield in the four-year maturity. That compared to the ten-year yield which was at 5.9%.
The thirty-year yield was approximately 5.85%. They had a good strong yield, without a lot of
risk of a lengthy maturity structure. The bonds were 55% of portfolio.
Mr. Roberts stated a complete study had been authorized to the distribution of the Insurance
Turnback. It was going to be later in the year before they received their check. They did not
know what to expect yet.
Ms. Longer stated the next report was the summary of preformance. The average annual return
thru August 31 , 2000 was approximately 13.3% on Stock, 6.8% on Bonds and 9% overall. That
is net of all expenses. Thru August 31 , Bonds were 4.6%. This year there was a declining
interest rates they had the income on bonds, plus a little bit of capital appreciation. It was the
opposite of last year. Last year the total return on bonds for the year was only 2.8%. This year
we were starting to see a decline in interest rates. They had the reverse of that happening. They
were earning income plus a little bit of capital appreciation. Their account was up approximately
2%. The market was relatively flat to down thru August 31 . The S&P was up approximately
2%. The NASDQ and the Dow were down approximately 3-4%. Total investment return, was
3.81 %. The portfolio was well balanced. Earning should be up 13- 18% for the year. Their
• technology weighting was approximately 39%. Their financial stock had done well.
OTHER BUSINESS
Mr. Roberts stated the people who were retired received a State supplement. The last legislative
session passed a law to provide that for two-years. They had sent the money for one-year. We
had not received the money for the second year. We did not receive the money in time for one of
the pension checks. The supplement money has now come in and has been put on the next check
for both this month and last month. That was only a two-year supplement. The legislature would
have to rededicate the month in order for them to continue to receive the money. It was only
good for another year. That money came from the State and not our Pension Fund.
Meeting adjourned at 2:05 .
•
POLICE PENSION FUND
* JANUARY, 2001
EMP# NAME GROSS FED. TAX ST. TAX NET
154 ALLEN, CHARLES 21244.53 220.00 66.89 1 ,957.64
152 ARNOLD, WILLADEAN 853.00 853.00
130 BAYLES, DON 11384.31 11384.31
107 BLACK, JOE P 985.99 100.00 20.00 865.99
120 BOWEN, J R 613. 19 10.00 603. 19
147 BRADLEY, GERALD 4, 172.85 840.53 117.32 3,215.00
139 BRADLEY, RANDALL 21482.20 21482.20
101 BROOKS, BILL 1 ,325.79 1 ,325.79
157 CARROLL,RONALD L 3, 132.22 435.00 180.00 2,517.22
151 COLE, RUSTON 20659.53 600.00 200.00 11859.53
109 COOPER, ADRIAN 565.71 565.71
111 DAY, LUCILLE 400.00 400.00
108 DENNIS, WARREN 11202.71 11202.71
125 FLOWERS, HAROLD 759.10 759.10
140 FOSTER, BILLIE D. 2,781 .68 300.00 120.00 2,361 .68
148 FRIEND, JERRY 2,734.53 350.00 150.00 2,234.53
145 HANNA, MARK 21376.11 225.00 75.00 2,076. 11
124 HASKINS, RONALD 689.73 689.73
146 HUTCHENS, BERNICE 889.85 130.00 759.85
143 JOHNSON, CHARLES 21133. 14 42.67 21090.47
103 JOHNSON, WENDELL 690.55 690.55
118 JONES, BOB 2,862.00 2,862.00
144 KILGORE, DONALD 1780.31 19.72 11760.59
• 129 LAWSON, FORREST 1 ,367.48 200.00 11167.48
150 LITTLE, PATSY R 400.00 400.00
153 LORCH , DONNA G 400.00 400.00
156 MARTIN, KENNETH 3200.49 1000.00 140.00 2,060.49
128 MCCAWLEY, LARRY 1 ,476.94 180.00 20.00 1 ,276.94
116 MCCHRISTIAN, MARIE 400.00 400.00
126 MCWHORTER, KAREN 500.02 500.02
136 MITCHELL, MICHAEL 2,003.56 150.00 1 ,853.56
141 MUELLER, ROSEMARY 1 ,795.38 1 ,795.38
158 MUNSON,ANGELA 3,621 .36 500.00 183.00 2,938.36
112 MURPHY, JAKE 400.00 400.00
137 PERDUE, LARRY 2,018.55 200.00 25.00 1 ,793.55
132 PHILLIPS, HOMER GENE 1 ,528.40 300.00 1 ,228.40
105 PRESTON, GEORGE DAVII 1 ,396.37 67.43 196.37 1 ,132.57
135 RICKMAN, LOREN 1 ,939.54 230.00 65.00 1 ,644.54
104 RIGGINS, RAYMOND C 11455.01 125.00 25.00 1 ,305.01
159 SCHUSTER,JOHN H . 2,689.07 340.00 110.00 2,239.07
122 SKELTON, FRANK 728.67 728.67
123 SPENCER, HOLLIS 1 ,201 .65 150.00 36.65 11015.00
155 STOUT, BETTY 430.25 430.25
133 SURLES, JERRY 2,362.50 412.50 50.00 1 ,900.00
142 TAYLOR, DENNIS 1 ,795.38 65.00 65.00 1 ,665.38
106 UPTON, FRANKLIN 926.84 10.00 916.84
110 WATTS, BEULAH 400.00 400.00
149 WILLIAMS, JOYCE 1 ,232.07 217.07 1 ,015.00
• TT, DON 1 ,539.09 64.00 115.00 1 ,360.09
127 WOOD, PAUL J 1 ,378.72 1 ,378.72
$78,306.37 $7,421 .53 $2,022.62 $68,862.22
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