HomeMy WebLinkAbout2020-05-07 Retirement Board Minutes r Town of Reading RtGF1VEL)
s Meeting Minutes TOWN CLERK
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HPI No -5 AM 11: 35
Board - Committee - Commission - Council:
Contributory Retirement Board
Date: 2020-05-07 Time: 10:30 AM
Building: Reading Retirement Administration Location: Conference Room
Address: 2 Haven Street Unit 307 Session: Open Session
Purpose: General Business Version: Final
Attendees: Members - Present:
Thomas Clough
Sharon Angstrom
Carol Roberts
David Gentile
Joseph Coughlin
Members - Not Present:
Others Present:
Colleen Loughlin - Board Administrator
Elaine Kelly - Asst Board Administrator
Endri Kume, Town Treasurer
Anne Landry-Select Board Member
Anthony Tranghese-FIA
Minutes Respectfully Submitted By: Elaine Kelly
Topics of Discussion:
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MINUTES OF THE READING RETIREMENT BOARD MEETING
Thursday May 7, 2020
The Reading Retirement Board held a special session meeting on May 7, 2020 remotely in The
Conference Room, at 2 Haven Street, Unit 307, Reading, Massachusetts.
The meeting was called to order at 10:30 A.M. by Chairman Thomas Clough via telephone conference
call with board members Sharon Angstrom, Carol Roberts, David Gentile, Joseph Coughlin, Board
Administrator Colleen Loughlin, Asst Board Administrator Elaine Kelly, Town Treasurer Endri Kume,
Select Board Member Anne Landry and Anthony Tranghese from Fiduciary Investment Advisors.
Anthony Tranghese, the Retirement Board's investment consultant from Fiduciary Investment Advisors
attended the May 7th Board meeting to review 2 topics. The first was to provide an update of the current
economic market in light of the pandemic. He took us through the volatility that has occurred in the
markets over the past 2+ months and the related reasons. He then provided an update from 2 recent
PRIM webinars about the impacts of the pandemic on the PRIT portfolio. Generally speaking, it had
held up fairly well given the volatility, but there remains considerable uncertainty at this time. He will
continue to provide updates to the Board as the impact of the pandemic warrants.
• SHARON ANGSTROM motioned to accept the NIA funding schedule for FY21.
SECONDED BY: CAROL ROBERTS
ROLL CALL VOTE: SHARON ANGSTRO Aye
CAROL ROBERTS Aye
JOSEPH COUGHLIN Aye
DAVID GENTILE Aye
THOMAS CLOUGH Aye
VOTED: (5-0-0) UNANIMOUS
This was revisited per the Town Manager's request. The COVID 19 pandemic is likely to impact the
projected revenues for FY21 in the form of reduced state aid and other local receipts. The Town
Manager had to cut $2.3 million from the general fund budget based on the projected revenue
reductions. The funds from reducing the assessment for FY21 will provide funding for COVID expenses
in the FY21 budget.
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A known issue related to the 1099R filings with the IRS back in 2015 is triggering recent audit notices.
This 1099R file was submitted incorrectly to the IRS by the Town of Reading Treasurer's Department.
It contained the wrong information and miscategorized retirement income as royalty and rent. In 2017,
the Treasurer's Department resubmitted a corrected 1099R file for 2015.
The Town of Reading's Treasurer received a request from a retiree requesting the Treasurer's Office to
draft a letter to send to all retirees notifying them that they may receive an audit notice and that they
should disregard it. The letter will instruct the retirees to call the Treasurer's Office for assistance in
resolving this issue for them. The Treasurer would like the Retirement Board to give authorization to
the Treasurer to draft and mail this letter to all retirees explaining the 10998 issue. Although the
Retirement Board agrees that a letter needs to be sent, the Retirement Board feels this was not a
Retirement Board error and therefore the letter should not come from the Retirement Office but that of
the Treasurer's Office. The Town Treasurer and the Town Accountant disagreed.
After further discussion, The Retirement Board agreed to send this letter to the retirees on the
Retirement Board letterhead but noting that Endri Kume, the Town Treasurer, will be the primary
contact for any questions the retirees may have.
OLD & NEW BUSINESS
OPEN SESSION FOR TOPICS NOT REASONABLY ANTICIPATED 48 HRS IN ADVANCE
OF MEETING
ADJOURNMENT
• SHARON ANGSTROM moved to adjourn this open session at 12:22 PM
SECONDED BY: CAROL ROBERTS
ROLL CALL VOTE: SHARON ANGSTROM Aye
CAROL ROBERTS Aye
JOSEPH COUGHLIN Aye
DAVID GENTILE Aye
THOMAS CLOUGH Aye
VOTED: (5-0-0) UNANIMOUS
1782 = �
Chairman Thomas A. Cl igh, 2vd appointed
Sharon A Angstrom, Ex Otricio
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Cha obels'appointed
D vid A. Genii e, 1'elected
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electe