2003-11-19 Retirement Board Minutes

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.,,t The Reading Retirement Board held a meeting on November 19, 2003, in the Accounting and Finance Department Office, Town Hall, Reading, Massachusetts. The meeting was called to order at 6:05 P.M. Minutes from the September 24, 2003 meeting were signed by all board members, except Henry Boissoneau, who was not present at tonight's meeting. Minutes from the October 29, 2003 meeting were read and accepted by all board members, except Henry Boissoneau, who was not present at tonight's meeting. Approved new members: Aprile Boos Police- dispatcher 10/31/03 Matthew Vatcher Police- dispatcher 11/05/03 Approved retirement application Stephen Ballou Fire- captain 01/28/04 (Superannuation) Reviewed and approved the following vouchers: 2003 Voucher # 67 Town of Reading Treasurer 68 Town of Reading Treasurer 69 MACRS 9%+2% 9%+2% 32 years, 6 months Option A $442,793.49 Nov retiree payroll $ 2,866.05 Nov admin. Salary $ 200.00 Admin exp (2004 annual dues) The board voted to accept the funding schedule in the actuarial valuation report dated July 1, 2003 that was presented to the board last month by Kathy Riley from the Segal Company. The board also reviewed the 2005 budget. An active member who is having makeup payments of $27.00 deducted from her bi- weekly pay has asked the board if she can either stop the deductions for now or reduce her payments to $5.00 per paycheck and resume the $27.00 deduction at a later date. The board voted to allow the member to suspend her bi- weekly payment of $27.00. She cannot reduce the deduction to $5.00 because the Reading Retirement Board's policy requires a minimum deduction of $25.00 per paycheck. If and when she starts deductions again, the board will decide at that time if her balance should be recalculated for additional interest. Second notices for affidavits were mailed with the October checks. There are 8 affidavits still due. A final notice will be sent out by certified mail, return- receipt requested. William Hitchcock, who worked for the DPW department and retired on 8/12/94 on an accidental disability, passed away on 11/2/03. His spouse, Lillian Hitchcock has applied for an accidental death benefit and also for a survivor benefit while waiting to see if she is eligible for the accidental death benefit. If she is not eligible for this benefit she is eligible to receive a Section 101 allowance of $6,000 per year because William retired prior to 11/7196 and was only allowed to choose Option A or B. William chose Option B at his retirement and there are annuity funds remaining of $8,712.59. The board voted to send Lillian's application to PERAC to get their opinion on an accidental death benefit. They also voted to send Lillian a check this month for the remaining balance in the annuity fund. All board members, except Joseph Veno who abstained from voting and Henry Boissoneau who was not present, approved the location, date and time of the election which will be held on March 23, 2004, from 7:00 AM to 5:00 PM, in the Town Hall conference room The board voted to pay the December retirement checks on December 18, 2003. Memos received: PERAC - Memo #38/2003, dated October 31, 2003 — Due diligence and oversight should be used when selecting and monitoring investment managers. PRIT — Letter dated October 30, 2003 — The PRIM Board voted unanimously to terminate Putnam Investment Management as manager in both the International Equity and Domestic Equity portfolios. Attached is the PRIM Staff recommendation letter to the PRIM Board that clearly outlines the reasons and rationale behind the termination. Also included is some manager performance data as well as a letter in which Wilshire Associates concurs with the staff recommendation.