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Home My WebLink About2004-06-14 RMLD Pension Trust Subcommittee MinutesMinutes of Pension Trust Subcommittee Meeting RMLD Board of Commissioners Date June 14, 2004 Time: 6:30 p.m. , Place: Cafeteria C_... r~ Attendees: Messrs. Fournier and Pacino Ms. Kearns G Mr. Fournier started by saying the reason for the meeting was to determine what the 2004 Pension Trust contribution amount should be. Ms. Kearns referred to the December 10, 2003 Stone Consulting report and wed clarification on page 1. Then she referred to the last page, which pertained to retired members as of January 1, 2003 and asked what the $1,055,597 represented. Mr. Pacino responded it was the total benefit. Ms. Kearns was instructed by Messrs. Fournier and Pacino relative to the RMLD Trust. Ms. Kearns was concerned about the Town's liability, its funding mechanisms and so on. Messrs. Fournier and Pacino responded that it was not the concern of the RMLD. Discussion ensued as to how the investment returns were doing. Ms. Kearns wanted to know if Ms. Klepeis had a background in investments and if Stone recommended investment strategies. Mr. Fournier brought back from his office State Street's April 04 statements and the December 31, 2003 investment schedule. Mr. Fournier then went over the 4 options as he saw it. 1) Do nothing, which was the least favorable. 2) Use the 2004-budgeted amount of $175,000, which was arrived at in September 2003, before Stone's December Actuarial report was discussed. This option was not recommended. 3) As has been the practice in the off year of the Actuarial valuation, use the % (in 2004, it is 11.94%) to determine the contribution based on pensionable wages which would be $605,852 for 2004. This was recommended. 4) Because Ms. Kearns thought that $600,000 was a significant amount and it could hurt the bottom line (Mr. Fournier stated that the RMLD is in good strong financial position and could take this hit) she recommended that by spending approx $5,000 for another full Actuarial Valuation, RMLD could reduce its expense. Mr. Pacino agreed that $600,000 was a significant amount. Mr. Fournier showed them a schedule of prior years' contribution amounts. Mr. Pacino asked Mr. Fournier for his recommendation to which he responded option 4. The Subcommittee asked Mr. Fournier to get a cost from Stone for an Actuarial Valuation, which would determine the 2004 pension trust contribution. Meeting adjourned at 7:05 P.M.