Agenda 08-11-11
BOYNTON BEACH FIREFIGHTERS' PENSION FUND
QUARTERLY BOARD MEETING
Thursday, August 11,2011 @ 2:00 PM
Renaissance Commons Executive Suites
1500 Gateway Blvd., Suite 220
Boynton Beach, FL 33426
AGENDA
I. CALL TO ORDER - Luke Henderson, Chairman
I. A. Welcome to new Trustee, Helen (Ginger) Bush, appointed by the City Commission
to serve a term period to December 2012.
II. AGENDA APPROVAL -
III. APPROVAL OF MINUTES - Quarterly Meeting 2-10-2011
Quarterly Meeting 5-12-2011
IV. FINANCIAL REPORTS:
A. Bogdahn Consulting - Dave West
1) Investment Performance Review for Quarter ending 6-30-2011
2) Presentations by: A) Abbey Capital ACL Alternative Fund
B) Princeton Futures Fund
B. Gabriel, Roeder, Smith & Co. - Steve Palmquist, ASA
1) October 1,2010 revised Actuarial Valuation Report dated 5-31-2011.
C. Attorney Report - Adam Levinson
1) Amendments and Updated Guidance (SBI128) - Memo of5-18-2011 and
Memo of6-1-2011.
2) Important Amendments to FRS (SB21 00) - Memo dated 6-1-2011
D. Financial Statements - For your review - Oct, Nov & Dec 2010 -
Jan, Feb & Mar 2011 and Apr, May & Jun 2011
V. CORRESPONDENCE-
1) State Report 2010 - Reviewed and Approved 7-21-2011
VI. OLD BUSINESS -
1) Status of Portfolio Monitoring Agreement with BLB & G - Bernstein
Litowitz Berger & Grossman
1
VII. NEW BUSINESS:
A. Invoices for review and approval:
1. STW Fixed Income Mgt - Qtry fee 9-30-2011- $8,610.36
2 Atalanta Sosnoff - Quarterly fee 6-30-2011 - $9,031.00
3. DSM Capital Partners LLC - Qtry fee 9-30-2011 - $13,869.06
4. Bogdahn Group - qtry fee 6-30-2011 - $8,375
5. Tegrit Administration - Qtry fee 6-30-2011 - $500
6. DGHM - Management fee 6-30--2011 - $12,799.7
7. Klausner & Kaufman - Service May/Jun/Jul 2011 - $3,270
9. GRS - Service thru 5-31-2011- $5,437 & $1,328
10. Anchor Capital Advisors - Quarterly fee 6-30-2011 - $10,119.55
II} Intercontinental- Management Quarterly fee 3-31-2011-
$11,948.97withheld from dividend reinvestment plan.
B. Retirement Benefit Verification - Board review and approval -
1) Luis Garcia - Deferred Vested retirement
2) Luke Henderson, Richard Baier, Benjamin Abel, Carlos Reyes and
Eduardo Herrmann - DROP retirements.
C.
VIII.
PENSION ADMINISTRATOR'S REPORT:
1. Benefits as of 08-0 1-20 11
2. Signature Authorization update for Salem Trust Company
3. Update on Alive & Well Statements -
IX.
COMMENTS
X.
ADJOURNMENT
Next Meeting Date - Thursday, November 17,2011 @ 2:00PM-
(Jrd Thursday of month)
Renaissance Commons Executive Suites
If you cannot attend, please call Barbara @ 561/739-7972.
NOTICE
IF A PERSON DECIDES TO APPEAL ANY DECISION MADE BY THE FIREFIGHTERS' PENSiON BOARD WITH RESPECT TO ANY MATTER
CONSIDERED AT THIS MEETING, HE/SHE WILL NEED A RECORD OF THE PROCEEDINGS AND, FOR SUCH PURPOSE, HE/SHE MAY NEED TO
ENSURE THAT A VERBATIM RECORD OF THE PROCEEDfNG is MADE, WHICH RECORD iNCLUDES THE TESTIMONY AND EVIDENCE UPON
WHICH THE APPEAL IS TO BE BASED. (F.S. 286.0] 05)
THE CITY SHALL FURNISH APPROPRIATE AUXILIARY AIDS AND SERVICES WHERE NECESSARY TO AFFORD AN INDIVlDlIAL WITH A
DISABILITY AN EQUAL OPPORTUNITY TO PARTICIPATE IN AND ENJOY THE BENEFITS OF A SERVICE, PROGRAM, OR ACTIVITY CONDUCTED
BY THE CITY. PLEASE CONTACT CITY CLERK'S OFFICE (561) 742-6060 AT LEAST TWENTY-FOUR HOURS PRIOR TO THE PROGRAM OR
ACTIVITY IN ORDER FOR THE CITY TO REASONABL Y ACCOMMODATE YOUR REQUEST.
THE BOARD (COMMITTEE) MAY ONLY CONDUCT PUBLIC BUSINESS AFTER A QUORUM HAS BEEN ESTABLISHED. IF NO QUORUM IS
ESTABLISHED WITHIN TWENTY MINUTES OF THE NOTICED START TIME OF THE MEETING THE CITY CLERK OR DESIGNEE WILL SO NOTE
THE FAILURE TO ESTABLISH A QUORUM AND THE MEETING SHALL BE CONCLUDED. BOARD MEMBERS MAY NOT PARTICIPATE FURTHER
EVEN WHEN PURPORTEDL Y ACTING IN AN INFORMAL CAPACITY.
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2
The City of Boynton Beach
City Clerk's Office
100 E BOYNTON BEACH BLVD
BaYmaN BEACH FL 33435
(561) 742-6060
FAX: (561) 742-6090
e-mail: prainitoj@bbfl.us
www.boynton-beach.org
June 9, 2011
Ms. Helen Bush
915 SW 27th Terrace
Boynton Beach, Florida 33435
Dear Ms. Bush:
We are pleased to advise you that the City Commission appointed you on Tuesday, June 7, 2011, to serve as a
Regular Member of the Municipal Firefighter's Pension Trust Fund, with your tenn ending in December, 2012.
The next meeting of the Board is August 11, 2011 at 2 p.m. in Renaissance Commons Executive Suites, 1500
Gateway Blvd. Ste. 220.
Thank you for offering your services to the City of Boynton Beach as a member of our advisory board. To assist
you as a new board member, enclosed is an infonnation packet you may find useful. It contains:
1. List of current board members;
2. Section of the Code outlining the board's duties and responsibilities;
3. Procedure for board alternates and attendance policy;
4. Minutes from the two previo~s board meetings;
5. Financial Disclosure Fonn #1, together with a "Guide to the Sunshine Amendment and Code of
Ethics." In accordance with Florida Statute 112.3145, this fonn must be filed within 30 days of this
notification, and returned to Susan Bucher, Supervisor of Elections, Palm Beach County, 240 S.
Military Trail, West Palm Beach, FL 33415
Your attendance is important at all upcoming board meetings. However, if you are unable to attend a meeting,
please call the City Clerk's Office at 742-6060 prior to the meeting. This will enable verification of a quorum to be
detennined. When a board member has missed three meetings for any reason, that member will be notified that one
additional absence may cause the board membership to be tenninated, and a replacement to be appointed at the time
of the next absence.
We want to thank you for your willingness and desire to serve the City in this appointed capacity.
Sincerely,
CITY OF BOYNTON BEACH
Janet M. Prainito, MMC
City Clerk
Attachments
xc: City Commission, Board Chairperson, City Representative, Board File, Appointment File
S:\CC\WP\BOARDS\APPMENTS\Appointment Letters 201 I\Bush appointment FFP.doc
America's Gateway to the Gulfstream
5 REGULAR MEMBERS
* Commission Appointed - Two-year Term
**Elected by Firefighters - Two-year Term
+ Board Appointed - Two-year Term
2011
MUNICIPAL FIREFIGHTERS' PENSION TRUST FUND
MEMBER
EXPIRES
PHONE
PROFESSION
**HENDERSON, LUKE, CHAIR
P.O. BOX 310
BOYNTON BEACH 33425-0310
12/11
B-742-6325 Firefighter
HendersonL@bbfl.us
**PETTY, Matthew
PO BOX 310
BOYNTON BEACH 33425-0310
12/12
B-596-5224
PettvM@bbfl.us
Firefighter
*BUSH, Helen.
915 SW 2ih Terrace
BOYNTON BEACH 33435
12/12
Appt'd 6/7/11
737-8194 Therapist!
Qinbush@bellsouth.net Adj. Prof.
+ RAYBUCK, JONATHAN C.
PO BOX 310
BOYNTON BEACH 33425-0310
12/11
Appt'd 8/13/09
262-4815 Firefighter/
RavbuckJ@bbfl.us Paramedic
*TAYLOR, ROBERT B, JR.
4 Via Lago
BOYNTON BEACH 33435
12/12
Appt'd 12/16/08
737-1960 Financial
Consultant
robert. tavlor@bethesdahealthcare.com
Ex-Officio Member-
Fire Chief Bill Bingham
2080 HIGH RIDGE ROAD
BOYNTON BEACH 33426
binghamb@bbfl.us
PENSION ADMINISTRATOR:
LA DUE, Barbara
Updated: 6/9/2011
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CITY Of BOYNTON Bf!ACH
AOVISORY BOARD APPOINTMENT APPL.XCATXON
Thank YOLi for your interest in serving on a Cfty advisory boarCl and for taKing th~ time tv fiU out this form.
Ple~sc. print or typ~ a~1 answers clearly. If interest is expressed in appo!"'ttl"1ent to more than oM
board, selections must be prioritized. If instructions (Ire r.ot followed or the application IS not filled out in Its
entirety, the fOin'1 will be returned for clarification.
N8me.ff~.I1 Yj)1&lri/4- g~~~_TelePhone#,_~b/ -1-5f'~.f(?~
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Education 13./L._>!- .>>15' 0 __ .- ,.--
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Are you" regIstered voter?
Do you reside within the Boynton Beach City limits?
Do you own/mt'lnl;lge II business within the City limits:
If "yer/', name of buslness,_~..,.
Are you currently serving on a Clt,y board?
Hev<;! you served on a City board in the past?
If so, wl1ich ooard(s) and when?
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No
.:.','~No
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~No
.Yes
_.._Yes
Have you ever been cOl'lylcted of a crime? M
It so, when.___.....m- _ tP
Where
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You may serve Or1 only or.e board. Please indicate which advisory bOi.'Jrd(s) you are seeking ~p;)ojntmel'tt AND wheth(~r
as a regulu membe~, alternate. or no prefe;rence. Prioritize up tD three choices witt: nUi'Y'ber 1 be'ng the most desired
and 3 being the least p:-eferable. t'Qf board Iisting, requirements, responsibilities and meet'ng times i;lnd dates see
peges 3 and 4 attac.hed -
: AttScommiSSiOn--'~'
Eluildil'9 60ard of Adjustment.& Appeals
Cemetery Board
Code Compliance Board
: CommunitY Rcllltions Beard
l! Education and Youth Advisory Board
Employees' Pension Board
Fireffghlers' Pension Trust Fund
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Golf Course Advisory Committee
Ubr~ry Board
Planning & Develcpl!ient Boarcl
Police Officers' R.etirement 'rust fund
Recre;,tlon & Parks Board
Senior Advisory Boord
Veterans Advisory Commission
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member type;
3'1:1 choice (optiOl1el)._..__ ._...._..
member type:
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Helen Virginia Busb
RE: Qualifications Relevant to an Appointment to the Firefightersl Pension Trust Fund
1. Prior Board experience and knowledge of fiduciary responsibilities:
American Association of Sexuality Educators, Counselors, and Therapists,
President 2008~2010 President Elect 2006-2008, and Director of Professional Education
1996.2001.
Florida Association of Marriage and Family Therapists, Membership Chair 1990~
1992, Director 1992. Secretary 1993.1995, and Director 1997-2000
2. Founded and managed own business, Helen V, Bush, P.A. since 1977 to present for the
practice Qf psychotherapy
3. Manage own personal investments, member of women's investment group for
approximately 10 years, and while President of AASECT liquidated $162,000 debt and
increased strategic reserves to approximately $200,000 by prioritizing fiscal
responsibility
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MINUTES OF THE BOYNTON BEACH FIREFIGHTERS' PENSION FUND
QUARTERLY BOARD MEETING HELD ON THURSDAY, FEBRUARY 10, 2011, AT
2:00 P.M. AT RENAISSANCE COMMONS EXECUTIVE SUITES
1500 GATEWAY BLVD., SUITE 220, BOYNTON BEACH, FLORIDA
PRESENT:
Luke Henderson, Chair
Matthew Petty
Jonathan Raybuck
Robert Taylor, Jr.
Barbara LaDue, Pension Administrator
Adam Levinson, Board Attorney
I. CALL TO ORDER - Luke Henderson, Chairman
Chair Henderson called the meeting to order at 2:05 p.m. and congratulated Mr.
Raybuck for obtaining his certification, especially in such a timely manner. It was noted
it was not an easy task.
Chair Henderson also congratulated Mr. Taylor for his term and reappointment to the
Board and Matthew Petty on his election to the Board by the membership
Thanks were extended to Bob Rehr and Larry Shone for their service on the Board. It
was hoped the members appreciated their efforts.
II. AGENDA APPROVAL
Ms. LaDue distributed an updated agenda and the following was added:
III. Approval of Minutes: November 18, 2010:
VII. New Business
Item 7) Klausner and Kaufman Invoice for service in January - $690;
Item 10) Fee amount for Anchor Capital Advisors - $9,584.84;
Item E) Performance for the quarter ending 12-31-10 for Intercontinental;
VIII. Pension Administrator's Report
Item 2) There was an inquiry from a DROP participant about hardship
withdrawals and Ms. LaDue wanted Attorney Levinson to address the issue; and
VI. Old Business, Item 3) Letter from Dave Liu.
1
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
Motion
Mr. Taylor moved to approve the agenda as amended. Mr. Raybuck seconded the
motion that unanimously passed
III. APPROVAL OF MINUTES - Quarterly meeting of November 18, 2010
Motion
Mr. Taylor moved to approve the minutes. Mr. Raybuck seconded the motion that
unanimously passed.
IV. Financial Reports:
A. Gabriel, Roeder, Smith & Co. - Steve Palmquist, ASA, MAAA, FCA
1) Actuarial Valuation Report Plan Year Ending September 30,2010
Duane Howison, FSA, EA Consultant with GRS, distributed the above named report for
Mr. Palmquist and reviewed the comparison of required employer contributions. The
funding requirement increased this year in both the dollar amount and percentage of
payroll. The increase was about half a million. About two-thirds of the increase was
because the Trustees updated the assumptions to a lower investment return and they
updated the mortality table. They did a study a year ago using a 7.5 % investment
return and the updated mortality table and phasing in the changes over five years. This
was the first phase over the five years. The other factor for the increase was there was
an actuarial loss, caused by recognition of the asset losses previously incurred. The
value of the assets to fund the plan is the smooth value and not the market value so the
plan was lagging the losses from 2008. The real return on market was 8.5% and they
assumed 8.25%, but when factoring in recognition of the losses and the smooth value of
the assets, the return was only 2.5%, and hence the loss. The total loss was about $3
million. The investment losses were about $2.2 million. Mr. Howison explained nearly
every plan was similar to this plan. Salary increases were less than expected.
The longer-term forecasts were reviewed. The funding requirements, as a percent of
payroll was 32.27%, which was where they expected it to be if all the future
assumptions were met. It was misleading because it did not account for the fact they
only phased in one-fifth of the assumption changes. The market value of assets and the
smoothed actuarial value, even as of 2010, reflected the actuarial value was $6 million
and bigger than the market value. Over the next few years, the plan must recognize that
loss. It works out to just under 4% of payroll.
In terms of what the plan will cost over the long term, if the plan did not have the phase
in and the change in assumptions was made all at once, it would be 41.19% If 4%
were added because of the lagging values, the number rose to 45%.
2
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
Attorney Levinson explained that by lowering the investment assumption to 7.5%, in
future years it would be easier to hit the target, and make it less likely to incur future
actuarial losses because the plan is more conservative in its assumptions.
The provisions to the methods reflect they are incrementally moving to 7.5%. The
GASB statement shows the investment rate of return at 8.1 % because this year the plan
is currently at 8.1% and it will continue to go down incrementally until they hit the 7.5%
The same thing would occur with the changes in the mortality table.
Attorney Levinson commented the Division of Retirement will be quite pleased the
Board is making the plan more conservative. He noted private plans were worse.
Mr. Howison explained the State monies caused some confusion. For the year ending
2009, the fund did not receive a supplemental fire check, which threw the fund off. In
this report, they recognize in 2010 they did receive a supplemental check of about
$12,000 so they are back up to the allowable amount of $589,543. This year, if a
supplemental check is not received, the City will have to fund it.
Attorney Levinson explained in 2006, Ordinance 06-092 was adopted, The Ordinance
was a delayed guaranteed and automatic COLA of 2%, but it was supposed to be paid
for by an increase in member contributions at the time and/or by State money. The
members increased their contribution by 5%. The 5% was an estimate by the actuary
that the cost of the COLA would be 5% of pay. The City added language that in years
when the actuarial valuation determines the cost of the COLA is less than the projected
cost, then the member contributions would be adjusted. Conversely, if the cost of the
COLA was more than the 5% contribution, then the members have to put in more
money or obtain more funding from another source to pay for it.
At a prior Board meeting, the Board decided to dedicate a portion of the State funds
instead of increasing the member contributions. The amount in that pool of funds was
$1.8 million. Some of those funds would cover the actuarial neutrality of the COLA and
they should update the valuation to reflect that they are using some of the 175 monies.
Mr. Howison agreed he could just update the page, but was unsure if they could send a
copy of the letter and point out the figure. Attorney Levinson suggested indicating it was
a draft. It was using the annual state revenue not the reserve. If that would reflect a
lower cost to the City, they have to change. It was suggested GRS do a new report.
The document distributed would be edited and redistributed to the members. It was
only half a percent of payroll, but it should be reflected in the report.
The value on December 31,201 was $52,072,116. Then the DROP monies would be
taken out to get to the net figure.
The Actual compared to expected Decrements Among Active Employees reflected in
2010 were:
3
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
, There were 11 new members added;
, The models would have expected three retirements. The plan had 3 retirements,
, The disability was so low it was rounded to the nearest person, which was zero
It was the same with deaths for active members; and
'j;;- As to terminations, there was one recorded before retirement eligibility, and they
expected four. That was bad for the plan because not many employees retired. It
created a loss.
Discussion about the cost of additional employees, the funded ratio comparisons by
year, and smoothing followed. The deadline to send the report to the State was March
15th.
A. Davidson, Jamieson & Cristini, PL - Richard Cristini, CPA, Auditor
1) Financial Statements PYE 9-30-2010
Richard Cristini, Auditor, distributed the annual report reflecting they issued an
unqualified opinion, which indicated that in all material respects, the assets, liabilities,
revenues, and expenses were fairly stated. There were no material weakness or
material deficiencies found.
The Statement of Financial Assets reflected total receivables were up and broker
dealers were down. The employer contribution, which increased, was paid during the
first 15 days of October. The investments of fair value were a foreteller of good things
and an indicator that the assets increased.
Accounts payable reflects there were no payments to broker dealers as of the end of
the year. This indicates the fund made purchases but the check was not yet issued
The statements are reported on a trade-date basis
The employer and plan member contributions were reviewed. The plan member buy
backs were lower this year and there was a rollover to the DROP. The Excise Tax
rebate increased and a supplement was received. Attorney Levinson explained this
was due in part because of growth within the City, growing payroll and contract area
increases. They maximized the funds they received. The total investment income was
$4 million. The big contributor was the swing in appreciation and depreciation.
Total additions to the plan were positive, There were beneficiary and DROP payments
and there were no refunds. The net increase was $5.4 million. The fund earned and
returned the $5.4 million to the money managers to invest. The plan's net assets at the
end of the year were $49 million
Attorney Levinson explained there were no refunds and no turnover. When there is a
refund of contributions, there is an actuarial gain
4
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
One item going on across the Board was the ability to invest more in foreign securities
and making changes to investment policies. With every type of investment, there is an
element of risk. The foreign tax withholdings were discussed. Many countries have their
own tax collection systems on dividends paid to companies within there jurisdictions.
Those taxes were reflected as a tax refund receivable on the custodial statement. They
are refundable, but the custodian has to file the form to obtain it for the fund. The
custodians are forgetting to file that form so the monies sit there.
Increases and decreases in unrealized appreciation showed, in the prior year, the fund
sold securities and lost money. The current year had sales and the fund made
$693,000. With respect to unrealized appreciation, the change was larger in the prior
year, but in total, the fund was still way ahead of the game.
DROP account designations reflected of the $49 million, $5.1 million was earmarked for
specific individuals. The plan was amended to provide an annual distribution to certain
retirees and the monies would be paid through excess 175 premium tax revenues to
retirees. The plan actuary determined that the use of the fund does not affect the
funding requirements of the plan. As part of that adoption, there was to be an
administrative procedure developed, which was still in process.
The required supplementary information and the Schedule of Funding Progress was
reviewed. Mr. Cristini noted the table was one year behind. The rest of the data was
current and they were instructed to include what the actuary presented.
The on-behalf benefit was the State Excise Tax rebate. When it is received, they have
to record it as revenue and as an expenditure when it is turned over to the plan.
Mr. Cristini commented the assumptions from the schedule of funding progress were
from the actuary report. The breakdown of costs and administrative fees were audited.
They were all down to 1 %. Mr. Cristini commented he audits 30 plans and can review
the total expense ratio for administration and administration versus investments to
determine if they are reasonable and appropriate. Mr. Cristini's experience was 1 % was
appropriate. There were no comments made and he announced the plan had a good
year.
Ms. LaDue was working on lump sum payments with the custodian. In the Receipts and
Disbursements accounts, DROP payments made to specific members are identified.
Ms. LaDue obtains the Board's approval for refund. It is a letter approved and signed
and the custodian identifies it as lump sum.
The FPPT A was exempt by statute and the State acknowledged the organization as a
501 (c)3 organization but the fund continued to pay sales tax. The fund received a
refund of $77,000 last year. It was a refundable item. The fund was also paying sales
tax on office space and the Board can recapture the tax paid to them from the State. It
5
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
was noted the refund would be split between the Fire and Police plans because they
use the same office space. The vehicle to obtain the monies was an affidavit form.
Motion
Mr. Taylor moved to accept the annual report. Mr. Raybuck seconded the motion that
unanimously passed.
Chair Henderson commented he would work with Salem Trust on the lump sum issue.
B. Bogdahn Consulting - Dave West
1) Investment Performance Review Quarter 12-31-2010
Mr. West reported the news was encouraging. The Gross Domestic Product, (GDP)
expanded 3.2% for the fourth quarter. Emerging markets and foreign equity markets
slowed in relation to domestic equity, but all in all, equity performance was very strong
for the quarter. The EAFE Developed Country average stock was up. Emerging markets
continued to out perform. Domestically, the average stock was up 10.8% for the
quarter. There was a rise in interest rates leading to a decline in bond markets and the
net return to the aggregate bond market was -1.3%. Most of the decline came in U.S
government bonds. The decline there was 2.3%. There was a lot of money on the
sidelines that went into fixed income.
Bonds rated less than Triple B were the high yield performers. The higher yield
corporate bonds reflected net Triple A bonds were down 2.4%. The higher the quality,
the less income there was to offset the decline The low quality risk trade was still
ongoing.
The fund opened at $46,153,289. The contributions were $4,254,473. The distributions
were $967,236. The total return on investment reflected the fund earned $2,713,346
and the fund closed with a total market value of $52,072.116. The updated snapshot.
as of February 8, 2011 reflected the fund was at $53,523,000.
The Domestic Equity manager performance for the quarter was disappointing. The total
fund came in 1.1 % under the benchmark. Domestic equity was 9.6%. International
equity trailed 1.48%. Bonds were down in line with the benchmark, just under a percent.
In preparing for the inevitable increase in rates, Mr. West noted the bond portfolio is
structured in the intermediate index. The first step to remove some of that concern had
already been taken.
The manager review showed Anchor All Cap Value had a tough quarter but the one
year number ended December was 18% versus 16% and they were ahead. Dalton All
Cap Value lagged for the quarter. Year over year, they were at 18.35% versus 16% and
were the best performing manager so far. The index fund ranked very high and the
recent correlations dropped down towards the normal 15%.
6
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
Atalanta Sosnoff was funded July 1, 2010 and since inception was at 18% versus 26%.
There was tough timing with the start-up. DSM Large Cap Growth was at 24.28% for
the year, ahead of the benchmark, and since inception was at 17.24% versus 20.6%.
Manning and Napier underperformed slightly, and since inception was at 14.57% versus
12.14%. The timing for the real estate funding may have been a bit early. It was up
4.57% and the funding source was the bond portfolio, which decreased a percent. They
moved 8% to 10% of the assets out of fixed income into real estate.
Intercontinental is a highly leveraged real estate product and they have to mark their
debt to market. The means in a rising rate environment, it adds positive value to the
fund. Of the 4.57% return, 2.5% to 3% was actual real estate appreciation and the rest
was appreciation from the debt market. If interest rates continued to rise, the leverage
would be very important and they will receive higher returns from that product. The fund
was investing with Intercontinental in a collective fund and it was a well-diversified large
institutional arena. Intercontinental's performance was available in Ms. LaDue's office.
There was a big boom in the real estate funds. The net operating income from the
operators has been rock solid and their occupancy rates were down only slightly, so the
over-sold market was catching up. Real estate has always lagged, and this was an
indicator real estate should increase. The investment was made to double the cash
yield over the bond fund and it appeared the fund would realize appreciation.
The TIPS portfolio reflected STW was indexed. TIPS did not add or detract anything for
the quarter. Mr. West commented the Trustees made a good decision on the allocation
to real estate. There was disappointment in domestic equity managers for the quarter.
He noted this is a newer team so they need some time. Bogdahn Consulting had no
issue with the managers and their long-term record was rock solid.
There was discussion of the total fund returns. Hopefully the trend would be reversed.
Mr. West agreed and commented some managers were legacy managers that were let
go. Mr. Taylor thought if the trend were not reversed, they might as well invest in
indices.
There was also discussion that STW was limited to investing in investment grade or
higher bonds and were precluded from investing in lower rated securities.
The peer group rankings were discussed. The policy indicated if managers had funds
that had lagging quarters, they would be terminated. Conversely, if Mr. West was aware
of a manager consistently performing well above his peers, the Trustees should be
alerted. Bogdahn did not have to look to the Board for that initiative. Mr. West explained
every manager who received an assignment from the fund was a manager that had a
1 O-year record of outperformance and the Trustees did bring those managers in. Every
manager has a cycle in performance. It was important; however, to ensure there was
no change in the basic infrastructure of the company.
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Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
2) Bonds - Alternative Investment - PIMCO
Mr. West recommended moving to investments outside the U.S. He explained there are
risks such as sovereign risk, which is when governments may chose to not pay the
bonds and currency risks, such as with international equities and different accounting
standards. The U.S. market is vulnerable. One manager to consider does invest in
high yields and Mr. West suggested it would be appropriate to move a portion of the
assets in that direction. The investments were all bonds and all liquid.
The recommendation was to carve out 5% of total plan assets, about $2.6 million and
take the money from the STW Core Investment-grade bond manager. They could then
allocate the funds between two managers. The biggest concern was what the fund
would earn coming from fixed income into the future. The coupon was a third of what it
was and the bond coupon was the primary source of return. They would increase the
coupon or yield, affording the addition of income. With high yields, it would increase a
lot more and would diversify investments outside the U.S. The result would be as U S
interest rates rise, they were going outside the yield curve. Other economies were in
different phases in their cycles. They were also diversifying the holdings. The average
yield differential was an immediate pick up of about 2% and for the other funds, would
be about 3% to 3.5%. In terms of ratings, the plan would still be acquiring bonds rated
Triple B or better and not bonds issued by countries. It was noted that Moody's and
S&P rated foreign bonds and they were on the verge of downgrading the U.S. GDP
ratio.
Bogdahn went through their manager search process and Mr. West disclosed the firm
receives no compensation from any vendor they recommend. They vetted all the global
bond yield enhancement products and investment strategies that focused on risk
management. Four options were determined and Mr. West suggested two of them.
The first vendor Mr. West recommended was the Templeton Global Bond Fund Plus
This fund's focus was 85% in securities that were sovereign. They were only buying
government bonds - U.S. Treasury equivalents from other countries. That made the
fund a high-grade fund because the focus was on the investment-quality government
debt. The firm has done extraordinarily well in investing in emerging market debt. They
are in fantastic fiscal shape. They have complete balance sheet flexibility, and could do
whatever they wanted with the Federal Reserve Policies. Those economies were
floating along and they received very high ratings from Moody's and the S&P. The fund
was around for over 10 years and can go below investment grade at 25%. The
recommendation was to look for paying bonds to put the fund in the upper tiered, fully
paying sub-investment grade bond arena. This fund was very successful with managing
currency exposure. As an example, they have significant holdings in Japan, but do not
like the yen, so they would swap out the yen with another currency. It was an active
exposure. Additionally, the average maturity and interest rate sensitivity was short. The
investments would acquire a common debt with extraordinarily high returns. He noted
the multi-sector plus portion could buy corporate, collateralized debt. The Global Bond
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Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
Plus was a much higher quality fund, strictly sovereign and the plan would obtain their
return from two sources.
The second vendor Bogdahn recommended was the Pimco Diversified Fund. Mr. West
noted this fund used an interesting strategy. There would be massive diversification.
One third would be in high yield, one-third in sovereign debt with Templeton, and a third
in corporate investment grade. The firm was very successful in determining what areas
to be over and underweight. They were reducing exposure to high yields and currency
is hedged and neutralized. Fees are higher because of the nature of the product.
Franklin Templeton would be 69 basis points and Pimco would be at 79 basis points.
The plan does not qualify to make the minimum for the Institutional Shared Class, but
Salem would be directed to purchase the $2.6 million allocation and do it through the
Bank Omnibus account because they already have holdings. The plan can enter the
fund under the minimum requirement to get the lowest cost share class. The fees
would be higher than its counterpart would. Mr. West's recommendation to address the
domestic bond would be to take 5% of the total plan pulled from STW Core bonds and
allocate 2.5% to Templeton and 2.5% to Pimco.
The current policy would allow this, but there is language that states that bonds shall be
investment grade. Mr. West's recommendation was to make one change to say "Direct
investment in Pimco shall be investment grade." Another section in the policy has a
provision to allow the plan to participate in pooled funds, i.e. mutual funds, and was
recognizing that policy and the investments may not directly comply with the policy but
the suggestion was it was okay as long as it was a pooled fund. A change to add the
word "direct" would be sufficient in the Investment Policy Statement. In the allocation
table, Mr. West could add the range and target.
Mr. West also recommended while amending the policy, that they make an additional
change to the real estate target to use the NACREIT ODCE Index domestic managers.
The return assumption target would need to be modified and changed to reflect the new
assumption fate of 8.1 %. The three changes were the real estate benchmark change,
the direct investment change towards quality, and the return assumption change. The
investment consultant would have to revise the policy. The Trustees cannot implement
changes unless revised and the policy needed to be approved and signed.
Motion
Mr. Taylor moved to change the Investment Policy Statement as recommended by our
investment consultant. Mr. Raybuck seconded the motion that unanimously passed.
Mr. Taylor left the meeting at 3:59 p.m.
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Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
Another motion was needed to take 5% of the total assets pulled from STVV and 2.5% to
the Templeton Global Bond funds and 2.5% to the Pimco Diversified Mutual Fund and
direct Salem to make the purchases on behalf of the plan
There was brief discussion about there was no way to determine if the timing was
correct. It was noted interest rates for bonds were rising. The funds also do not own
any scrutinized companies or investments. The way the policy was written was the
Consultant would ask the managers if they had a scrub fund in the event a scrutinized
company appeared. They filed the documents requesting that. The plan would be
compliant following that procedure
Indirect investments of securitized companies from pooled funds are governed by the
provisions of Section 5.G below and 5.G. Attorney Levinson clarified the plan is allowed
to own scrutinized companies in a comingled vehicle or a mutual fund. Additionally, the
investment consultant, on behalf of the plan, shall send a letter to any pooled funds
referring the investment manager to the provisions of the SBA website and the letter
shall request they not buy scrutinized companies and divest, so they are complying with
the requirements If they do buy a scrutinized bond company, it will be included in the
report.
Motion
Mr. Petty moved to take 5% out of STW Bonds and go with Templeton Global Bond
Plus and Pimco Diversified at 2.5% each and direct Salem Trust to purchase the funds
Mr. Raybuck seconded the motion that unanimously passed.
Mr. West will redraft the policy with the changes accrued for signature and Attorney
Levinson will review it. Ms. LaDue will send the copy, once the Chair signed the revised
Investment Policy to Tallahassee.
Mr. West discussed managed futures investments. Futures are the largest, most liquid
most transparent markets surpassing equities. They are currency markets with items
such as corn, wheat, and oil futures. They were looking at adding managed futures in
lieu of adding commodities because managed futures historically provided positive
return when future markets were up. With managed futures, when the market was
declining, an active manager has the opportunity to make enormous amounts of money,
It was a double-sided trade. The vehicle used would be a fund of fund. They would hire
a consultant to find the best managed future boutiques or Commodities Trader Advisors
(CT A) and select the best fund. Bogdahn researches who puts together the best fund-
to-fund bundle and reviews them. It does not add to the total return, but when equities
are low, and corporate bonds are low, because you can bet in both directions, It
provides another asset to earn positive returns. In declining markets, managed futures
assist and helps diversify and offset losses. Mr. West commented there was no rush to
take action. If the Board moved forward with the suggestion, the source of funds would
be equities.
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Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
c. Attorney Report - Adam Levinson
1) Klausner & Kaufman, PA - 13th Annual Client Conference -
March 20th_ 23rd 2011.
Attorney Levinson first inquired if the City was aware a vacancy exists on the Board so it
could be filled. He noted some Boards experience difficulty obtaining a quorum. He also
reminded all outgoing Trustees to file Financial Form 1 F. He explained for the benefit of
the new Trustee the provisions of the Sunshine Law. Attorney Levinson would forward a
New Trustee Memo, which provided additional details of the Sunshine Law.
Attorney Levinson also reminded the members about the above conference. There is
much pending legislation, and Ms. Shoemaker's conference, in late March, would be a
worthwhile conference to attend. He noted the FPPTA also has a conference at the end
of June, and while Trustees are unpaid to serve on the Board, they are reimbursed for
conference expenses.
It was also noted Robert Rehr was the Secretary of the Board and that position was
now vacant. There was agreement this item would be placed on the agenda for the next
meeting. In the meantime, they could determine who was interested in serving as
Secretary. The position of Chair would come up in December.
2) House Bill 303
This bill was withdrawn. Attorney Levinson spoke about a significant piece of legislation
introduced by Senator Costello that would change all retirement systems in Florida if
adopted. The Board's pension was subject to Chapter 175 but they are subject to the
requirements of Chapter 112. If it amended Chapter 112, they have to follow those
requirements. There are provisions pertaining to changes in FRS. The bill was
withdrawn, but other bills may be introduced. It applies to all classes of plans, i.e.
Police, General Employees and Fire, and it changes the retirement age to at least age
55. He noted fire and police usually retire at a different age. It would limit the maximum
benefit to 1.6% per year. This was a material change if it was adopted. The proposal
would not cut into benefits already earned and would not take away what was accrued;
it would only pertain to future years and mandate they be at the 1.6%. The bill also
proposed to close or end DROP plans commencing in January 2013. There were
different effective dates and because of the collective bargaining agreements, there are
unanswered questions.
Another anticipated bill discussed by the League of Cities pertained to preempting the
175 and 185 funds. Under the proviso of the law, the growth of the State monies over
the 1999 base year had to be used to purchase additional benefits. The level from 1999
gets to be used to offset City costs. The League proposed the City could take credit for
all the money and there would be no base year anymore. The League also expressed
some interest to close plans and make it easier for cities to enter FRS while still
receiving State monies. He anticipated there may be legislation to allow a city to offer a
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Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
Defined Contribution plan or the FRS at the same time and keep the 175 and 18J:::
monies coming in.
The Governor also held a press conference earlier in the week and he is Interested HI
mandating a 5% employee contribution each pay period. FRS is non-contributory by
the employee. He commented he would follow the legislation.
3) Ordinance change for trustee term to 4 years.
Attorney Levinson commented the ordinance amendment changing the terms of the
Trustees to four years was not yet complete. He opined it was only a matter of time
before legislative changes will be made requiring changes to the plan. Additionally, the
Trustees may want to make some tax updates to the plan. He suggested that
incorporating the change in Trustee terms could be made with other changes. He
recommended viewing the Government Oversight Committee website to review some of
the packages coming before the Committee. Attorney Levinson also suggested
reviewing how the Police changed their terms.
4) IRS 2011 Standard Mileage Rates
Attorney Levinson recommended the IRS Standard rate be used. Ms. LaDue read the
rates into the record as follows: "Fifty-one cents per mile for business miles driven."
VIII. Pension Administrator's Report
2.) There was an inquiry from a DROP participant about hardship
withdrawals and Ms. LaDue wanted Attorney Levinson to address
when employees terminate employment and enter the DROP and
are interested in a hardship withdrawal. (Heard out of order.)
Ms. LaDue explained a DROP participant would be terminating employment and exiting
the DROP. He inquired about a hardship withdrawal and she advised she would have
to check with the attorney. The person was in the process of getting a mortgage and
was using his DROP funds for it. The person anticipated a hardship withdrawal would
apply to him.
Attorney Levinson explained the issue was the member was subject to an early
distribution penalty, and the lump sum DROP distributions, if you are not 50 when you
separate from service. If younger than 50, the funds were also subject to the 10%
penalty. The Board does not provide individual tax advice and he recommended they
consult with an individual tax advisor or consultant, ask the questions, and consult with
section 72T of the Tax Code. The operative was age 50 to avoid the penalty and one
should wait until they were 59.5 to avoid the tax. The IRS does not want people to go
through their retirement money, hence the requirement of waiting until 59.5. The caveat
is if a substantial equal distribution is taken, which was annuitizing and taking regular
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Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
distributions according to a payment schedule, then one can avoid the 10% penalty.
That avenue; however, has issues. If one started the equal distribution formula and
decided to take more or less and the IRS objects, one can be charged back taxes. Ms.
LaDue also pointed out they are mandated to take a 20% withholding tax on DROP
monies when they are distributed.
Attorney Levinson commented 457 plans are not subject to the 10% penalty. He
reiterated the member should consult with a tax advisor and refer to the section of the
Code. The IRS does not care for mortgages when it comes to buying a second home.
On a different matter, Mr. Raybuck inquired if the plan benefits by having multiple firms
monitoring securities. Attorney Levinson responded right now the Board is participating
indirectly through a custodian and that was passive participation. As to active
participation and having attorneys filing class action lawsuits, if it were worthwhile to
pursue, they would approach the Board to participate in the recovery. It was a
misnomer that if one were the lead plaintiff, they would receive more money. In class
action suits, all participants receive the same proceeds. The laws changed in the mid
1990's. Institutional investors increased the amount of recovery because the suits are
taken a lot more seriously than in the past when a lawsuit was filed and settled. Attorney
Levinson also commented, there are different cases that can be brought. Some cases
can arise due to mergers, buy-outs not just securities class actions. If the Board wants
to pursue this avenue, Attorney Levinson can direct the Board to legal firms. The
custodian files the claims for the Board. It was also noted in some instances, the filing
fees would be more than the recover amount.
Currently, Attorney Levinson, Bogdahn Consulting the plan consultant, and Salem Trust
all monitor these matters. Attorney Levinson agreed to bring litigation materials to the
next meeting.
V. CORRESPONDENCE-
1) DSM Capital Partners - Annual Client Compliance Notice 1-5-2011
VI. OLD BUSINESS - N/A
1) Credit Card application for Trustees - SunTrust requirements
Ms. LaDue indicated the Board wants to apply for credit cards for Trustees and
SunTrust wants financials from 2008 to 2010. She inquired if 2010 was sufficient.
Attorney Levinson thought that perhaps the custodian could obtain the credit cards. He
suggested inquiring if two years was sufficient and thought when the bank saw it was a
$15 million account, they might be satisfied. Attorney Levinson also commented he was
aware of a Trustee who got into trouble with the credit card and went to jail. He
suggested keeping the cards in a locked draw and taking it out only when needed.
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Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
2\ Ad Hoc Supplemental Benefit - Ordinance No. 10-016 - Discussion
Chair Henderson will talk with other members to develop a subcommittee meeting,
hopefully in early March. They will comply with all the requirements of the meeting,
which are notice and minutes. It was too much to review at the meeting
3) Letter from Dave Liu
Mr. Liu received a reply from Ms. LaDue and felt like he was not getting anywhere after
two or three inquiries. Mr. Smollen explained this pertained to a possible change to a
payout of Mr. Liu's pension funds. According to Mr. Liu's notes, he called in November
and he received a reply, but it was not forwarded to the Board. Eventually, it got to Mr
Smollen.
Mr. Smollen thought the matter was road blocked and suggested when something came
up, it cannot be decided on by one person and it should go before the Board. He
thought a liaison between the Trustees and the retirees was not a bad idea. Chair
Henderson commented when the question came in, it was put on the agenda for the
February 2010 meeting and thought the problem was Mr. Lui did not like the answer,
and he tried to go down the list. Many of these issues do not need to come before the
Board. When someone asks him a simple question and he answers it, it is not his fault
he does not like the response. The Trustees do not ignore retirees and do advocate for
retirees. It is not, however, the Board's responsibility to increase a retiree's benefit by
tweaking the rules. Mr. Smollen did not feel the rules were tweaked.
Attorney Levinson clarified that the December 9 email and response was accurate. The
February 11 meeting had correspondence from David Liu and extended discussion.
Most of the time the attorney is consulted.
VII. NEW BUSINESS:
A. Invoices for review and approval:
1. STW Fixed Income Mgt - Qtry fee 3-31-2011- $10,906.18
2 Atalanta Sosnoff - Quarterly fee 12-31-2010 - $7,913.00
3. DSM Capital Partners LLC - Qtry fee 12-31-2010 - $12,374.70 &
Qtry fee 3-31-2011 - $13,407.48
4. Bogdahn Group - qtry fee 12-31-10 - $8,375
5. Tegrit Administration - Qtry fee 12-31-2010 - $500
6. DGHM - Management fee 12-31-2010 - $12,055.68
7. Klausner & Kaufman - Service Nov/Dec. 2010 - $2,700 and
January - $690;
9. GRS - Service November 2010 - $3,417
10. Anchor Capital Advisors - Quarterly fee - $9,584.84
11 Davidson, Jamieson & Cristini, PL - Progress audit billing PYE g..
2010 - $4,000.
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Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
Ms. LaDue reviewed the invoices were in order.
Motion
Mr. Petty moved to approve. Mr. Raybuck seconded the motion that unanimously
passed.
B. Retirement Benefit Verification - Board review and approval -
1) Michael Fitzpatrick - DROP retirement
It was noted Mr. Fitzpatrick purchased 80 days worth of time. The DROP packet was
reviewed. He took normal retirement because he was over 55.
C. Renewal of Fiduciary Liability - Renewal for Apr 2011/2012 -
authorization
Ms. LaDue had included the premiums for last year's policy. She commented the fees
have increased and were based on the assets of the plan. Ms. LaDue sought
authorization from the Board to proceed with renewal and pay the premium due on April
10th since there would not be a meeting prior to that date. Attorney Levinson
recommended approval be given to avoid a lapse in coverage. The Policy was rated A
Plus.
Motion
Mr. Raybuck moved to pay the liability insurance once the renewal policy is received as
long as it was in line with last year's cost. Mr. Petty seconded the motion that
unanimously passed.
D. Quarterly Board Meeting - Time change for earlier start
Chair Henderson inquired if the Board wanted to meet in the morning or any other time.
Mr. West commented due to travel time, meeting in the afternoons was better.
VIII. PENSION ADMINISTRATOR'S REPORT:
1. Benefits as of 2-01-2011
There were no comments on this item.
2. There was an inquiry from a DROP participant about hardship withdrawals
and Ms. LaDue wanted Attorney Levinson to address when employees
terminate employment and enter the DROP and are interested in a
hardship withdrawal.
This item was discussed earlier in the meeting.
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Firefighters' Pension Board
Boynton Beach, FL
February 10, 2011
IX. COMMENTS
Mr. Petty inquired about the proper way to bring forward a suggestion to the Board. Mr
Petty was told to send it to Ms. LaDue who would distribute it to the Trustees and put It
on the agenda. He thought a quarterly newsletter might be of benefit to the members
Chair Henderson explained this was discussed previously. The endeavor could be as
simple as just reviewing or obtaining the minutes. He was not in favor of paying anyone
to do a newsletter
Mr. Raybuck explained with the mail delivery, departments in administration are on a
four-day workweek. He noted he received his meeting package yesterday. The shift
clerk was willing to come down and pick up the packages. Ms. LaDue agreed to drop
off the packages, which are prepared, seven to eight days ahead of the meeting and
clearly mark the packages were the meeting materials.
IX. ADJOURNMENT
Motion
Mr. Raybuck moved to adjourn. The motion was duly seconded and unanimously
passed. The meting adjourned at 5:05 p.m.
The next meeting date - Thursday, May 12, 2011 @ 2:00PM
Catherine Cherry
Recording Secretary
050211
16
MINUTES OF THE BOYNTON BEACH FIREFIGHTERS' PENSION FUND
QUARTERLY BOARD MEETING HELD ON THURSDAY, MAY 12,2011, AT 2:00 PM
RENAISSANCE COMMONS, CONFERENCE ROOM 1,1500 GATEWAY BLVD.,
SUITE 220, BOYNTON BEACH, FLORIDA
PRESENT:
Luke Henderson, Chair
Matthew Petty
Jonathan Raybuck
Robert Taylor, Jr.
Barbara LaDue, Pension Administrator
Adam Levinson, Board Attorney
I. CALL TO ORDER - Luke Henderson, Chairman
Chair Henderson called the meeting to order at 2:13 p.m.
II. AGENDA APPROVAL.
There was one addition to the agenda to Attorney Report - Information about class
action lawsuit and monitoring.
Motion
Mr. Taylor moved to approve the agenda as amended. The motion was seconded and
duly passed.
III. APPROVAL OF MINUTES-
There were no minutes available to approve.
IV. FINANCIAL REPORTS:
A. GRS - Steve Palmquist -
1) Mortality Table discussion
Steve Palmquist, Plan Actuary, explained the Board had approved a change in the
mortality tables for the plan. The new rates were included in the 2010 report that
needed to be revised. Chair Henderson had the draft distributed at the meeting. He
explained there were three changes which were the lowered assumption rate, the
adopted mortality tabled smoothed in over five years, and according to the valuation
report, there was the net loss in revenue from the investments. Ultimately, the loss
turned into a $500,000 increase in the City's contribution. Chair Henderson inquired how
much of it was tied to the mortality table. Mr. Palmquist explained that changing the
assumptions for the mortality tables and investment return increased the cost 2.33%
percent of payroll. Half of the increase was due to the new mortality rates.
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Firefighters' Pension Board
Boynton Beach, FL
May 12, 2011
Chair Henderson knew it would be an increased cost but it was substantial and he
noted they were lowering it when they were addressing the losses from 2008 and 2009
Attorney Levinson explained it was a matter of time before the State imposed the new
tables. The Trustees were not obligated to change the mortality table and there was
time to revisit it in the future. One new item, if the Governor signed SB 1128, was Mr.
Palmquist would have to do new calculations so there would be an apples to apples
comparison of all the plans, Regardless of the assumption rate the plan has, he will
have to calculate the plan as if it were at the 7.75% rate, Next, all the plans would be
sent to the State with the new information at 7.75% and then the State would prepare
fact sheets for every governmental plan and post it on the State's website. If a city has a
website, each city that sponsors a pension plan will have to link into the fact sheet. The
changes were to address transparency. That was why the Board was ahead of the
cu rve.
Chair Henderson thought the Trustees should adopt the new mortality tables but was
unsure about doing so right now. He thought it may be better to do so after they
addressed the 2008 losses and he wanted the Trustees to discuss the issue. The
longer the Trustees waited to implement the change, the more cost later, but it would
not be a huge change. Mr. Palmquist explained the general employees went through
the same process and voted to change assumptions. When the next annual report was
done, the Trustees backed away from the changes.
Attorney Levinson inquired about moving forward with investment assumptions and
leaving the mortality table alone. Last year, the Finance Director thought the payroll
they were estimating for the next fiscal year was too high and he agreed to provide the
estimated payroll for this year. The GRS report did not take into account the Trustees
were going to use the State money to make up for the COLA, so the report had to be
corrected.
Motion
Mr. Taylor moved to back off on the adoption of the revised mortality tables and
continue with the assumption rate over five years.
Mr. Palmquist explained if the Governor signs the bill, there was a provision that would
tremendously affect the plan. The issue was when the members retired and received
the lump sum payout of leave, that amount was added to the three-year average
compensation. Gabriel Roeder & Smith has a load in their calculations to allow for that.
If the unused leave goes away, it would reduce the cost of the plan by over 4% of
payroll and decrease the unfunded liability by $3 or $4 million dollars.
The way the bill was worded left much to be desired. Mr. Palmquist was supposed to
speak about how it would be implemented with Ms. Shoemaker from the Division of
Retirement. The State still did not know how to implement the changes as there were
different ways to do it. One way to do so was to take a snapshot of the accumulated
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Firefighters' Pension Board
Boynton Beach, FL
May 12,2011
benefit when they retired, and whichever was greater was what they would receive.
There would be some cost pressures relieved sooner or later.
Mr. Raybuck seconded the motion to keep the five-year smoothing, lower the
assumption rate and revisit the mortality table in a year.
Vote
The motion unanimously passed.
Attorney Levinson suggested Mr. Palmquist convey to Ms. Shoemaker that it was
difficult for employees to make informed decisions with the unknowns. His interpretation
was if there were CBAs in effect, the change would not commence until after the
expiration of the contract. Mr. Palmquist agreed there were issues with the wording
having to do with the language "the date entered into". Attorney Levinson explained the
assumption, when interpreting pension legislation if they are interpreted liberally, they
should err on the side of extending the benefit as opposed to taking away a benefit that
was earned. Mr. Palmquist noted the unused leave affected all three of the City's plans.
The big item was the unused leave. A minor item was a plan termination calculation
which was an estimate of the liability if the plan closed down today. It was a
comparison with other plans, and it must be done with the 7.75% FRS rate. It was also
noted the legislation does not distinguish if the plan was frozen or not.
The last amendment to 175/185 pertained to changing joint annuitants up to two times
regardless of whether they were alive. The change added five years to minimize the
unintended impacts, and that would also be reflected in the valuation report. The
unfunded liability would decrease about $4 million and the annual contribution would
decrease about $500,000.
There was brief discussion about the effect of a large exodus of retirees on the plan.
The current year anticipated eight new retirements. If there were more, it would create
a slight actuarial loss. If less, there would be a gain. Whatever was earned in the
pension so far could not be taken away.
2) New Pension Legislation as pertains to our Plan valuation.
This item was discussed earlier in the meeting.
B. Bogdahn Consulting - Dave West
1) Investment Performance Review Quarter 3-31-2011
Dave West, Certified Financial Planner, Bogdahn Consulting, commented it was a good
quarter. The events in Libya put pressure on oil. The issues in Greece and Portugal
and their solvency reappeared, but at home there were good economic numbers. The
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Firefighters' Pension Board
Boynton Beach, FL
May 12, 2011
earthquake tragedy in Japan had an effect. Equities reacted positively. The Morgan
Stanley Capital Index, Europe Australasia and Far East (MSCI EAFE) average
developed country stock was up 3.4%. Over 5.8% of the return was due to currency
translation. Domestic equities did well with the S&P up 5.9%. The bond market did not
fare well. The Barclay's Aggregate barely made the coupon rate. Governments were
much lower yielding and had negative net returns
The portfolio was diversified in two global bond fund strategies. The PIMCO portfolio
was moving away from high-yield areas and was being actively managed. The
Templeton Global Bond fund hit the target for the currency portion. It was a sovereign
debt bond fund purchasing government bonds from foreign countries but they have an
active currency overlay and they captured every currency element during the quarter
and earned nice returns.
The fund opened at $52,072,116. Contributions for the period were $1,090,277
Pension and distributions were $1,015,179. Manager fees were $78,191. Expense
items were $34,193 and the income and appreciation for the period were $2,098,253.
The net amount as of March 31, 2011 was $54,133,083. Fiscal yea r-to-date , investment
earnings were just under $5 million. Investments helped improve the assets
The fund, net of manager fees, came in at 3.89% for the quarter, and fiscal year-to-date,
the fund was at 9.55%, ahead of the actuarial required rate of return. They were trailing
the target policy, fiscal year-to-date, by 1.27%. On a year-over-year basis, the fund was
at 11.5%.
Peer group rankings were reviewed. Fiscal year-to-date, the plan was slightly below the
median rate which was 10.33%, ranking the plan in the 65th percentile and year-over-
year, the median fund return was 12.8%, which dropped the plan into the 70th
percentile. Domestic equity trailed 3.3% for the period.
Manager-employer contributions showed Anchor trailing by 3%. Year-over year, they
were up 18% versus 15%. Since inception on August 1, 2009, they were marginally
behind the benchmark for that period. Dalton was up 7+% for the quarter and 16% on
a fiscal year-to-date basis. Since inception they were at 26% versus 22%, ranking 35th
in their peer group. The index fund had difficulty and ranked 13th. Year-over-year, it
ranked 37%.
The Atalanta large cap growth had some people upset with performance. They had 10
years of stellar performance, but with the timing of the manager, the fund caught three
quarters in a row of underperformance. Consultants put heat on the research group,
but they were still comfortable that, over the long term, they would perform.
DSM lagged, earning 14.6% and trailed the benchmark. Year-aver-year, they were at
20% versus 18% for the benchmark and their performance, as of late, pulled them
below the benchmark.
4
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
May 12, 2011
Manning and Napier, the international manager, earned 5.41 % and fiscal yea r-to-date ,
earned 12.57%. Since inception, they were up just under 16% which was 3% over the
benchmark ranking in the top 32nd percentile.
Real estate was funded from investment-grade fixed income and for the period with
STW, yea r-to-d ate , was down 6.1 %. The Intercontinental real estate portfolio was up
9.2%. This accounted for 10% of the plan's assets, which were shifted. It was a good
tactical move. The Trustees changed to a higher leverage real estate manager so when
interest rates go up, the leverage was exponentially, a good factor resulting in out
performance for the quarter of 4.43% versus 3.36%.
STW was close to the benchmark earning .5% for the quarter and down .5% fiscal-year
to-date. Since inception, they were at 22 basis points above the benchmark. It was
noted STW dealt only with investment grade bonds. The reallocation out of STW into
global bond funds reflected PIMCO was up .5% and the Templeton Global Bond fund
up 1.43%. Mr. West thought it would be wise to consider domestic fixed income at
some point and would monitor the foreign security investment limitations.
April probably earned up to 2.8% for the fund. There was some retracement, and Mr.
West anticipated through yesterday, the fund gained about an additional 2% on top of
the fiscal-year-to-date number.
Mr. Taylor inquired when would the net total fund return exceed the total fund policy.
The fund was lagging for several reporting periods and he hoped they would exceed the
benchmark. Mr. West agreed, but the problem element was domestic equity. Growth
was an issue and the Board was plagued with timing issues. His expectation was over
time, that issue would subside.
Attorney Levinson inquired how many changes were made with managers. Mr. West
responded every legacy manager was replaced with the last one being the international
manager. They added multi managers to provide diversification to the value and growth
arenas and added the global bond fund. From a tactical strategy, they added real
estate and the TIPs portfolio.
Attorney Levinson pointed out as they added new managers, the policy changes and
there is a diversified area they have to hit. It was noted the Investment Policy
Statement was revised on February 10, 2011.
2) Managed Futures - Overview
Managed futures should not be viewed as a hedge. While it was a way to provide
additional returns, it was a total return strategy. The approach should be regarded as a
means of preserving capital when the market declined. The source of funds would be
partially from equities and fixed income. The target allocation was 8%. This would be
an alternative asset class and it would be a stabilizer.
5
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
May 12,2011
Mr. West reviewed the definition of managed futures and explained they are traded daily
and are liquid. They are more liquid than equity and bonds and are a widely-used
security. Futures also encompassed stock indices, interest rates, commodities and
more.
Mr. West explained managed futures had to do with supply and demand. Futures could
be owned in individual securities. The approach suggested by Mr. West was using a
managed futures fund of managers. These managers find fund-to-fund managers with
expertise in identifying future trading operations since the fund could be exposed if they
were on the wrong side of the futures. The beauty of managed futures was the
manager could short the future and they could be used in bull or bear markets.
Managed futures were reviewed during up and down markets and different scenarios as
it pertained to the various indices. Futures have a low correlation to all the other assets
and they preserve assets when equity markets are weak. Mr. West's recommendation
was to move prudently and have an allocation of 5% -10% funded from domestic fixed
income. The down side was every asset class has a weak point and during the three
strongest periods for the S&P 500, managed futures were left behind. That was the
trade off. They have low correlations to other assets the fund had and during periods of
crisis, those correlations move dramatically. When equities decrease, managed futures
increase.
Mr. Taylor noted they currently have 11 asset classes they were working with and the
proposal was to go to 12. He was not opposed to obtaining further diversification, but
they had to achieve the policy benchmark. If Mr. West felt the 5% could incrementally
grow the return on investment, he was willing to support the recommendation. He was
not, however, willing to expand the number of asset classes unless that would happen.
Mr. West responded it would not increase returns but it would help to improve their
position. Monies could be taken from bonds. If there was a crisis, this was a way to
earn big returns in the asset class. If the portfolio had a great year, it would be
appropriate to consider funding the futures from equities and funding additional
allocations to the asset class. It was a good way to make large returns when other
asset classes were suffering.
Bogdahn vetted fund-to-fund managers and was using Abbey Capital and Princeton
Futures. The management fee of 1 % goes to the manager of the fund. Underlying fund
fees may be 1 % and there was a performance fee of 10% from Abbey Capital. There
was no "high-water mark" with these two firms, but there would be a hurdle rate. The
incentive fee, which was similar to a performance fee, was high. The manager
performance versus the benchmark was reviewed and Abbey Capital and Princeton
performed very well.
Attorney Levinson inquired about the range of commodities that could be shorted and
about risk control. If a managed futures manager dramatically shorted the S&P, what
was the comfort level so the manager could not do too much damage at one time. Mr
West responded the risk controls were on different levels. The individual managers are
6
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
May 12,2011
subject to their own Investment Policy Statements. They are set up on a custody
system by an independent third party and then the system feeds the main advisor of the
fund-to-fund. That advisor has the ability, on a minute-by-minute basis, to know and
monitor what the positions are. If a manager violates the rules, it is monitored by a
compliance system and that advisor could pull the plug. If they terminate a manager, in
the case with Princeton, who has 19 different managers, it would be instantaneous to
reverse and close out all of those positions and the managers are finished.
The risk controls are very strict from a compliance standpoint. When they blend
managers, they obtain diversification of markets and approaches. Each manager is
selected based on their blending and strategy type and there is risk control on both the
construction and compliance basis. The investment class would be compliant with the
Investment Policy Statement and would be considered an alternative. It was not a
hedged fund, but it could be argued it falls under a hedge fund alternative.
Mr. West sought to determine the Trustee's interest in moving forward. If they were
amenable to the suggestion, they would interview the two managers, (Princeton and
Abbey) and discuss how they monitor risk and put the program together. The Trustees
could then decide if they were comfortable with the strategy. He commented they
recommended these same managers to four or five other clients and a few university
endowment foundations. They have 200 governmental pension plans in Florida and
only a handful or two are using this strategy.
Mr. West clarified it was a new strategy. By using a fund-to-fund approach, there are
higher fees and they were diversifying the risk. If they hired one of the CT A managers,
they could earn astronomical returns or horrific returns. They were aiming for the higher
return and managing the risk and diversification. In order to implement the strategy,
they need a certain asset threshold; otherwise, they may have too large a concentration
to meet the minimum. Half of their client base was ruled out due to asset size. Bogdahn
tries to use strategies with the most significant positive impact first.
There was agreement the Trustees would review the two managers Mr. West discussed
and make a decision at the next meeting. It was important the funds be protected during
the downsides.
Attorney Levinson inquired if managed futures did well and equities did poorly, if they
would make the call to move money out of managed futures and back into equity to buy
low. Mr. West explained they set up a systematic rebalancing system in the Investment
Policy Guidelines so they would be forced to rebalance. Under a rebalancing scenario if
it exceeded its range, the funds would be moved into equities. He also commented they
would not try to make a subjective timing decision. The Investment Policy Statement
would not need to be changed and they were okay from a compliance standpoint, but
they would need to change the target policy.
Mr. Taylor suggested when the presentations are made, the firms should comment on
the plan's existing asset allocations, how they would dovetail the managed funds into
7
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
May 12, 2011
the portfolio, and if they would reallocate existing dollars. Mr. West agreed to schedule
the two interviews for the August 11th meeting. As to allocation amounts, Princeton can
receive $100,000 through the institutional share class fund. He would double check
with Abbey regarding the minimum
Mr. West reviewed the Pain Ratio, the Broadband Technology Opportunities Program
(BTOP) Index and clarified the BTOP index was not related to Barclay's Bank. The
statistical definitions were included in the handout and were reviewed.
The handout reflected the active value, as of May 10, 2011, was at the equity-
rebalancing threshold. The target was 60 and the fund was at the outer edge. If they
rebalanced, he recommended allocating additional funds to the Templeton Global Bond
and PIMCO funds and start increasing those allocations. An allocation out of equity
would require either a funding to bonds or real estate, and if in real estate, they would
have to get in line for the capital call. It was hoped the assets would continue to grow
and they could allocate additional real estate funds and bring in a new real estate
manager with a different strategy.
Mr. West recommended going with the poliCY discipline. The S&P was up almost 100%
and when they hit the outer bands of the allocation, it triggers a sell high, take profits
and buy low into a new lesser performing asset class methodology. It was a difficult
decision. They were trying to outperform the benchmark and more importantly, close
the actuarial funding gap. Once the allocations reached the outer bands, they should
rebalance back to the target. The most cost effective way to do so without disrupting
the managers was to move funds from the S&P Index Fund at no cost, and use the
proceeds to purchase additional units of the two global bond funds at no cost.
Additionally, the State contribution would be coming in August.
Motion
Mr. Taylor moved to reallocate based on Mr. West's esteemed recommendation in line
with the policy guidelines. It was clarified Bogdahn Consulting would be moving equity
back to the target and using the S&P Index Fund with no transaction costs. The motion
was duly seconded and unanimously passed.
C. Atalanta Sosnoff - Letter of 4-4-2011 with Portfolio Review - for your
review.
There were no comments on this item.
D. STW - Letter of 4-1-2011 with Summary Report - for your review
There were no comments on this item.
E. Attorney Report - Adam Levinson
1) New Pension Legislation -
8
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
May 12, 2011
Attorney Levinson first announced the firm's name was changing to Klausner, Kaufman,
Jensen and Levinson as the two firms merged. He noted Attorney Bonni Jensen serves
as legal counsel to the Municipal Police Officer's Retirement Trust Fund.
The members had previously expressed interest in taking a more active role in class
action suits and recovering proceeds. Information was distributed about these suits
which included Judges' decisions. At some point, the fund may be the lead or co-lead
plaintiff. If pursing a suit, there would be no cost to the Board. Discussion followed the
custodian will monitor and file forms on the plan's behalf to obtain the funds. There was
a time when there were no substantial returns from these suits, but that was no longer
the case. The handout was intended to answer any questions the Trustees may have.
If being the lead or co-lead plaintiff, the law firm handling the suit handles the costs. Mr.
Raybuck had spoken with a firm about this and thought it may be worthwhile to have
them meet with the Trustees. After discussion, there was agreement Mr. Raybuck would
speak with them via telephone. It was a win-win situation without any downside. The
agreement would allow the firm to review the fund holdings.
Motion
Mr. Raybuck moved to authorize the Chairman to sign a portfolio monitoring agreement
with Bernstein Litowitz Berger and Grossman to monitor securities for the Board. Mr.
Taylor seconded the motion that unanimously passed.
Another item of interest was identity theft in South Florida. Individuals obtained social
security numbers and submitted fraudulent tax returns to the IRS. The FBI, Secret
Service, Broward Sheriff and United States Postal Service put together a task force and
hopefully, arrests would be forthcoming. Attorney Levinson cautioned the Trustees and
Ms. LaDue to be very careful with social security numbers. A statement had been made
there may be some responsibility on the part of the administrator because many plans
share administrators. Additionally, one of the pages of the State Report submitted to
the Division of Retirement contains the full social security numbers and the date of birth
for the participants and their spouses. Attorney Levinson was going to recommend to
the State that full social security numbers not be required and it was likely the report
would be changed to delete the requirement. The use of the full social security number
was used to track firefighter movements to different cities or into the FRS system. He
commented the State had not yet tracked the information. He recommended aVOiding
using social security numbers unless absolutely necessary and noted until recently,
Salem Trust used to send out copies of the check register with full information for the
members, such as bank account, address, and social security numbers.
As to pension legislation changes, Senate Bill 1128 was adopted. Attorney Levinson
commented FRS had dramatic changes and the changes in this bill were less dramatic.
The most significant effect this year pertained to accumulating sick and vacation which
were no longer penSionable after the expiration of the contract. The current CBA
extends through 2013. The definition of compensation and salary in 175.032, was
interpreted to specify participants had until the expiration of the contract. It was
9
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
May 12, 2011
Attorney Levinson's position an employee does not have to retire today to preserve their
accumulated sick and vacation. Discussion followed the exception was for individuals
not in the bargaining unit. Attorney Levinson noted it refers to service earned under
CBAs entered into on or after July 1, 2011. The question would be whether those
employees' service would be earned under a CBA when they are not a member of the
CBA because it governed the pension plan. Mr. Palmquist and a member of Klausner
and Kaufman Jensen and Perry will obtain clarification. He opined the operative date is
when the current CBA ends.
Mr. Palmquist commented unofficially on the issue of what to do if individuals are not In
the CBA unit and the State's position which was you cannot treat people in the same
plan differently. It could wreak havoc with an alternative interpretation and it would
discourage promotions. Attorney Levinson agreed with the interpretation. He noted
historically, the Division of Retirement has said there cannot be different treatment for
different people who are covered by the same plan excluding the Fire Chief because it
would create a different benefit structure for individuals hired at the same time
A question was posed if a snapshot would be taken upon the expiration of the contract
and one's sick and vacation included and rolled over. Mr. Palmquist explained there are
different ways to interpret it. Attorney Levinson explained once separating out union
from non-union members with a CBA in effect, all kinds of questions come into play.
Klausner and Kaufman's position is it should last through to the end of the CBA
Attorney Levinson would provide Chair Henderson with the memo and Ms. LaDue will
distribute it.
Other provisions of the legislation included in the memo covered language about
protection against cities not paying the normal cost of the plan. Mr. Palmquist explained
that piece was a very important provision because years ago when the stock market
was good, many plan assets exceeded the pre-liabilities. In that case, there was a
negative unfunded liability - a credit. Many employers paid nothing or next to nothing
because they have negative unfunded liability. That provision would require payment of
at least the normal cost of the plan and the extra funding would help the plan.
The memo also covered the composition of the Board of Trustees. In theory, the City
could change the appointees of the Board, so they would not have to be residents in the
City, but they cannot change the percentage of members in the plan, vis-a-vis the
number of City appointees in the plan. Another change pertained to the member
contributions. Currently, the Division has interpreted 175/185 to say if the City wants to
increase the member contribution, historically; it had a corresponding benefit
enhancement. It now does not have to be linked to a corresponding benefit. This
recently occurred with FRS. Another item had to do with financial ratings. The Division
will report back the information on the fiscal strength of the plans. There would also be
a task force to report back to the legislature in 2012 on disability presumptions.
Attorney Levinson explained the legislation has not been signed. The intent was not to
impair accrued benefits. The plan was being funded treating sick and vacation time as
10
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
May 12, 2011
an accrued benefit. It could be treated as a separate bucket. He suggested the
members wait to see what the State will do.
Dean Kinser, President, IAFF, inquired about additional premium taxes being
retroactive to a certain date relative to the definition of compensation to March 12, 1999.
Mr. Palmquist felt it was added when the act was effective. There was no intention to
change anything, but the current law referenced the effective date of the act. Mr. Kinser
inquired if it was capturing the March 1999 premium tax levels as of today with the
premium tax.
Attorney Levinson agreed with the principal to be careful of every word that changes. It
was more of a clarification than a trojan horse. There are cosmetic changes, which are
meaningless, such as changing shall to must and others. He thought much of it was
irrelevant.
New Trustee, Matthew Petty, submitted his Financial Disclosure Form. Attorney
Levinson reminded the other Trustees to forward their forms to Ms. LaDue and he
agreed to send the link to her to distribute to the members. He reminded the Trustees
that when the State is looking for revenues, if the form was not filed and sent certified
mail, it was an opportunity to be fined.
~ CORRESPONDENCE-
1) Salem Trust, Karen Russo, Sr. VP & Regional Mgr - Annual Relationship
Review - Letter of 4-8-2011.
2) DGHM - Annual Administrative Review - Letter of 2-28-2011 and Personnel
Changes - Letter of 3-30-2011
3) Atalanta Sosnoff - 2010 Proxy Vote Summary dated 2-23-2011.
4) Intercontinental Report for quarter and calendar year end 2010.
There were no questions on these items.
VI. OLD BUSINESS -
1) COLA Funding Level - E-Mail 4-27-2011 by Matthew Petty, Trustee
(GRS letter of 4-5-2010, Ord. NO.10-016 & letter of 3-18-2010)
There were two letters from GRS with the second one dated April 5. Mr. Petty explained
the COLA was established in 2006 with the first payout set to occur five years from that
date. The Trustees would also conduct an actuarial study every three years. Mr.
Howison, GRS Actuary, had previously advised it was short under the assumption rate.
It was also laid out under previous ordinances that the State money would be used to
offset the cost so they increased their credit from about 5.89 to 6.33. At following
meetings, the Trustees approved lowering the assumption rate and Mr. Howison had
provided unofficial scenarios if the assumption rates were different. The assumption rate
was now declining. Mr. Petty felt it was important to revisit the issue before 2012 to
11
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
May 12, 2011
determine the shortage and then have to come up with funds. The worst-case scenario
provided by Mr. Howison indicated that the State allowable funds would have to
increase over a million dollars.
Chair Henderson thought because they implemented an annual decrease in the
assumed rate, they could take that into effect when they looked at the allowable State
monies. Lowering the assumed rate incrementally would result in a rate in the high 7%
in 2012. The annual report reflects what the City has to pay for the following fiscal year.
The 2009 report estimated the payment for the 2010/2011 fiscal year, which was when
the Trustees should use the $633,000 in State monies. The 2010 report estimated the
payment for the 2011/2012 fiscal year and that should increase the State revenue the
City can take credit for based on the 8.1 % assumed rate. Mr. Palmquist agreed they
should take the 8.1 % assumed rate into account, which would raise the $633,000
number higher Then the sick and vacation, and wage freeze may bring the number
back down. There was agreement this should be re-evaluated each year and correlated
to the assumed rate. Mr. Palmquist would ensure they include a discussion of it in the
report.
Chair Henderson also commented with all the pension legislation and most of it on 175
and the accumulated excess, he hoped between now and the next meeting to have a
subcommittee meeting. Additionally, the benefits were put in place to secure some of
the money and maintain current benefits. With the changes in the contribution rate and
sick and vacation, they should take that into effect to see how it effects the assumed
rate and how much they would need. The Ordinance says to payout, but the Trustees
now have clearer direction on what they have to look at in the future.
2) Trustee term - Extending term limit from two years to four years
A vote had been taken to change the terms, but the change was not incorporated in the
Ordinance. The City can tweak their language about sick and vacation and the seats on
the Board. Attorney Levinson suggested the next time they change the Ordinance,
several changes would be incorporated. The way the terms would be extended was
when the existing two-year term expired, that seat would then have a four-year term.
VII. NEW BUSINESS:
A. Invoices for review and approval:
1. STW Fixed Income Mgt - Qtry fee 6-30-2011- $8,518.47
2 Atalanta Sosnott - Quarterly fee 3-31-2011 - $8,684.00
3. DSM Capital Partners LLC - Qtry fee 6-30-2011 - $13,760.64
4. Bogdahn Group - Qtry fee 3-31-2011 - $8,375
5. Tegrit Administration - Qtry fee 3-31-2011 - $500
6. DGHM - Management fee 3-31-2011 - $12,917.12
7 Klausner & Kaufman - Service Feb/Mar/Apr 2011 - $4,170
9. GRS - Service Jan 2011 - $3,079, Feb 2011 - $5,553 & Mar 2011 -
$2,047
12
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
May 12, 2011
10. Anchor Capital Advisors - Quarterly fee 3-31-2011 - $10,013.81
11. Davidson, Jamieson & Cristini, PL - Final audit billing PYE 9-2010 -
$5,200
12. Intercontinental - Management fee withheld $12,103.26 4th Quarter
2010.
Motion
Mr. Taylor moved to approve all the bills and pay items 1-11. Mr. Raybuck seconded
the motion that unanimously passed.
B. Retirement Benefit Verification - Board review and approval -
1) Allen Newman - DROP retirement
2) Elizabeth Rehr - DROP retirement
3) Michael Temperilli - DROP retirement
There were no comments on these items.
C. Conferences/Seminars - Division of Retirement - 32"d Annual Police
& Fire Trustee School May 16-18, 2011 and FPPTA-Summer
Conference - Orlando June 26-June 29, 2011
Chair Henderson hoped the above would provide insight on the new changes. Attorney
Levinson commented unless the Board was sure they could not attend, they note Trish
Shoemaker used to hold two conferences, but now only holds one.
D. Appointment for position of Secretary for the Fire Pension Board.
Motion
Mr. Raybuck nominated himself. Mr. Taylor seconded the motion that unanimously
passed.
It was noted there was still a vacant Trustee position on the Board.
VIII. PENSION ADMINISTRATOR'S REPORT:
1. Benefits as of 5-01-2011
There were no comments on this item.
IX. COMMENTS
None.
X. ADJOURNMENT
13
Meeting Minutes
Firefighters' Pension Board
Boynton Beach, FL
May 12, 2011
The next meeting was scheduled for August 11, 2011
Motion
Mr. Taylor moved to adjourn. The motion was duly seconded and unanimously passed
The meeting adjourned at 4:35 p.m
0frt)u)jj0--( CJwu~
Catherine Cherry 6
Recording Secretary
052611
14
GRS
Gabriel Roeder Smith & Company
Consultants &: Actuaries
CITY OF BOYNTON BEACH MUNICIPAL FIREFIGHTERS' PENSION TRUST FUND
REVISED ACTUARIAL VALUATION REPORT AS OF OCTOBER 1, 2010
ANNUAL EMPLOYER CONTRIBUTION IS DETERMINED BY THIS VALUATION FOR THE
FISCAL YEAR ENDING SEPTEMBER 30,2012
GRS
Gabriel Roeder Smith & Company
Consultants & Actuaries
One East Broward Blvd.
Suite 50S
h. Lauderdale, FL 33301-UQ7
';)54.527.1616 phone
,;)~4.525.0083 fax
W IVw.ga brie I roeder.com
May 31,2011
Board of Trustees
City of Boynton Beach Municipal
Firefighters Pension Fund
Boynton Beach, Florida
Dear Board Members:
Weare pleased to present our revised October 1, 2010 Actuarial Valuation Report for the Plan. The
purpose of the Report is to set forth required contribution levels, to disclose plan assets and actuarial
liabilities, to comment on funding progress and to provide supporting information regarding the operation of
the Plan. This Report is also designed to comply with requirements of the State.
The valuation was performed on the basis of employee, retiree and [mancial information supplied by the
Plan's Administrator. Although we did not audit this information, it was reviewed for reasonableness and
comparability to prior years.
The benefits valued are outlined at the end of the Report. Actuarial assumptions and the actuarial cost
method are also described herein. Any changes in benefits, assumptions or methods are described in the
first section.
As indicated below, the undersigned is a Member of the American Academy of Actuaries (MAAA) and
meets the Qualification Standards of the Academy of Actuaries to render the actuarial opinion herein.
This actuarial valuation and/or cost determination was prepared and completed by me or under my direct
supervision, and I acknowledge responsibility for the results. To the best of my knowledge, the results are
complete and accurate. In my opinion, the techniques and assumptions used are reasonable, meet the
requirements and intent of Part VII, Chapter 112, Florida Statutes, and are based on generally accepted
actuarial principles and practices. There is no benefit or expense to be provided by the plan and/or paid
from the plan's assets for which liabilities or current costs have not been established or otherwise taken into
account in the valuation. All known events or trends which may require a material increase in plan costs or
required contribution rates have been taken into account in the valuation.
We will be pleased to answer any questions pertaining to the valuation and to meet with you to review this
Report.
Respectfully submitted,
GABRIEL, ROEDER, SMITH AND CaMP ANY
J. tephen Palmquist, ASA,
Enrolled Actuary No. 11-1560
T ABLE OF CONTENTS
Section
Title
Pag:e
A
Discussion of Valuation Results
1. Comparison of Required Employer Contributions
2. Chapter Revenue
1
4
B
Valuation Results
1. Participant Data
2. Annual Required Contribution (ARC)
3. Actuarial Value of Benefits and Assets
4. Calculation of Employer Normal Cost
5. Liquidation of the Unfunded Actuarial
Accrued Liability
6. Actuarial Gains and Losses
7. Actual Compared to Expected Decrements
8. Cumulative Actuarial Gains (Losses)
9. Recent History of Valuation Results
10. Recent History of Required and
Actual Contributions
11. Actuarial Assumptions and Cost Method
12. Glossary of Terms
5
6
7
8
9
10
15
16
17
20
21
26
C
Pension Fund Information
1. Summary of Assets
2. Pension Fund Income and Disbursements
3. Actuarial Value of Assets
4. Reconciliation of DROP Accounts
5. Investment Rate ofRetum
29
30
31
32
33
D
Financial Accounting Information
1. FASB No. 35
2. GASB No. 25
3. GASB No. 27
34
35
38
E
Miscellaneous Information
1. Reconciliation of Membership Data
2. Age/Service/Salary Distributions
40
41
F
Summary of Plan Provisions
43
GRS
SECTION A
DISCUSSION OF VALUATION RESULTS
GRS
1
DISCUSSION OF VALUATION RESULTS
Comparison of Required Emplover Contributions
The following is a comparison of required contributions developed in this year's and last year's
actuarial valuations:
For FYE 9/30/12 For FYE 9/30/11
Based on Based on
10/1/2010 10/1/2009 Increase
Valuation Valuation (Decrease)
Required Employer/State
Contribution $ 3,923,783 $ 3,606,278 $ 317,505
As % of Covered Payroll 36.58 % 34.04 % 2.54 %
Estimated State
Contribution $ 652,830 $ 633,115 $ 19,715
As % of Covered Payroll 6.09 % 5.98 % 0.11 %
Required Employer
Contribution $ 3,270,953 $ 2,973,163 $ 297,790
As % of Covered Payroll 30.49 % 28.06 % 2.43 %
The required employer contribution has been computed under the assumption that the amount to be
received from the State this year will be at least $652,830. If the State revenue is less than this amount, the City
would have to make up the difference.
The employer contribution listed above is for the City's fiscal year ending September 30,2012 and has
been calculated as though payments are made biweekly. Alternatively, if the employer contribution is paid in a
single lump sum on October 1,2011, the required payment is $3,118,636, or 29.07% of payroll. The actual
employer contribution for the fiscal year ending September 30, 2010 was $3,098,347.
Required Contributions in Later Years
The current calculated City contribution requirement is 30.49% of payroll starting October 1, 2011.
For long-term planning purposes, the City contribution rate would be expected to remain near this level if the
GRS
CUITent actuarial assumptions are realized aher September ~(I. 20 I (i
It is important to keep in mind that under the asset smoothing method, gains and losses are recognuecJ
over five years. As of September 30. 20 10. the actuanal value of assets exceeded the market value by
$6,335,751. Once all the losses through September 30, 20 10 are fully recognized in the actuarial assel
values, the contribution rate will increase by roughly 3.5% of payroll unless there are offsetting gains.
Relationship to Market Value
If Market Value had been the basis for the valuation, the City contribution rate would have been
33.96% and the funded ratio would have been 54.1 %. In the absence of other gains and losses, the CIty
contribution rate should increase to that level over the next several years.
Revisions in Benefits
There have been no revisions in benefits since the last valuation.
Revisions in Actuarial Assumptions or Methods
The investment return assumption was lowered from 8.25% last year to 8.1 % this year. rhis
assumption will be reduced by 0.15% each year until the Board's goal of 7.5% is attained as of October L
2014. It was also detennined that the cost of living increase would require additional funds to remain a cost
neutral benefit to the Plan. The Board elected to increase the amount of allowable State Money to offset the
rising cost of the COLA. These changes have caused the required contribution to increase by 1.08% of covered
payroll.
Actuarial Experience
There was a net actuarial loss of $2,256,012 for the year which means that actual experience was less
favorable than expected. The loss is due to investment earnings below the assumed rate of 8.25%. This loss
was partial offset by salary increases that were below expectations.
The net actuarial loss for the year translates into an increase in annual employer contributions of 1.25%)
of covered payroll.
13th Check Provision
The Plan provides for a 13th check if there is a net actuarial gain for the previous year. The Plan
GRS
3
experienced a loss during the plan year, therefore no 13th check is payable in 2011.
Funded Ratio
The funded ratio was 62.2% this year compared to 64.3% last year. The funded ratio is equal to the
actuarial value of assets divided by the actuarial accrued liability.
Analvsis of Chanee in Emplover Contribution
The components of change in the required employer contribution are as follows:
Contribution rate last year
Revision in Benefits
Experience (Gains) or Losses
Revision in Assumptions/Methods
Amortization Payment on VAAL
Normal Cost Rate
Administrative Expense
State Contribution
Contribution rate this year
28.06 %
0.00
1.25
1.08
0.09
(0.10)
0.06
0.05
30.49
The remainder of this Report includes detailed actuarial valuation results, financial information,
miscellaneous information and statistics, and a summary of plan provisions.
GRS
CHAPTER REVENlJE
Increments Il1 Chapter revenue over that received I1J 1998 must first be used to fund the cost ul
compliance with minimum benefits. Once minimums are met, any subsequent additional Chapter revenue
must be used to provide extra benefits.
As of the valuation date, all minimum Chapter requirements have been met.
Actuarial Confirmation of the Use of State Chapter Money
1. Base Amount Previous Plan Year $ 589.543
2. Amount Received for Previous Plan Year 990,759
3. Adjustment to Base Amount due to reevaluation of COLA cost 43,572
4. Excess Funds for Previous Plan Year 357.644
5. Accumulated Excess at Beginning of Previous Year l.551.341
6. Prior Excess Used in Previous Plan Year ()
7. Accumulated Excess as of Valuation Date
(A vailable for Benefit Improvements) 1,908,985
8. Base Amount This Plan Year A33.115
GRS
SECTION B
VALVA TION RESULTS
GRS
5
PARTICIPANT DATA
October 1,2010 October 1, 2009
ACTIVE MEMBERS
Number 125 118
Covered Annual Payroll $ 10,506,008 $ 10,350,054
Average Annual Payroll $ 84,048 $ 87,712
Average Age 36.8 37.0
Average Past Service 9.1 9.1
Average Age at Hire 27.7 27.9
RETIREES & BENEFICIARIES & DROP
Number 83 81
Annual Benefits $ 3,908,935 $ 3,651,517
Average Annual Benefit $ 47,096 $ 45,080
Average Age 59.6 59.3
DISABILITY RETIREES
Number 1 1
Annual Benefits $ 39,373 $ 39,373
Average Annual Benefit $ 39,373 $ 39,373
Average Age 45.3 44.3
TERMINATED VESTED MEMBERS
Number 0 0
Annual Benefits $ 0 $ 0
Average Annual Benefit $ 0 $ 0
Average Age 0.0 0.0
GRS
I ANNUAL REQUIRED CONTRIBUTION (ARC) :1
:1
A. Valuation Date October 1 . 20 I () October! , 2010 October L 20] 0 Octoner I. 20()9 II
I 'j' 1(1"" Jnh'r('sl Rllt! \ ! I} " ., 11l{('rc,", Raft j1r!Ol" .1s,'"l-tmptioll'. I :i
! I :
I
I I
! ! ,
, I
I 1 I
B. ARC to Be Paid During 'I 4
Fisca] Year Ending I 9/30/2012 9/30/2012 I 9130/2012 l) J0120] I
I I
c. Assumed Date of Employer Contrib. I 10/1/2011 Biweekly ! Biweek]y Rlweekly
I I
I
D. Annual Payment to Amortize I
Unfunded Actuarial Liability $ 1,862,230 $ 1,862,230 1$ 1,817,246 $ 1,062.071
E. Employer Normal Cost 1,831,347 1.831.347 I ],746,116 1.724.525
I I
I
I \ I
F. ARC if Paid on the Valuation ~
Date: , I
D+E I 3,693,577 3,693,577 3.563,362 3.386.596
I
I I
G. ARC Adjusted for Frequency of I I I
Payments 3.693,577 \843,093 ! 3,710.173 I 3.523.526
i . I
I I
H. ARC as % of Covered Payroll 35.16 % 36.58 %1 J531 o I 34'(l4 0"0
I /0
I I I
I
I. Assumed Rate of Increase in Covered I ~ I
,
Payroll to Contribution Year I N/A% N/A % N/A % NI A 0'0
i
J. Covered Payroll for Contribution Year I 10,726,580 * 10,726,580 * 10,726,580 * 10.5<14,235 *
I ~
K. ARC for Contribution Year: H x J I 3,77] ,466 3.923.783 I 3,787.555 3.606.27X
I
I I
L. Estimate of State Revenue in I
Contribution Year I 652,830 652,830 i 633.115 hU.115
I I
I
M. Required Employer Contribution (REC) !
I
in Contribution Year 3,118,636 3,270,953 i 3,154,440 2.973,163
I
!
REC as % of Covered Payroll in f I
N. ! ,
Contribution Year: Me- J 29.07 0/0 30.49 0/0 29.41 %, 28.06 o':ojl
I II
*Estimated payroll from Finance Department
GRS
7
I ACTUARIAL VALUE OF BENEFITS AND ASSETS I
A. Valuation Date October 1,2010 October 1,2010 October 1, 2009
8.10% Interest Rate Prior Assumptions
B. Actuarial Present Value of All Projected
Benefits for
1. Active Members
a. Service Retirement Benefits $ 52,943,815 $ 51,542,401 $ 49,898,920
b. Vesting Benefits 4,000,017 3,874,324 3,724,113
c. Disability Benefits 2,509,927 2,450,990 2,445,370
d. Preretirement Death Benefits 698,907 679,918 656,064
e. Return of Member Contributions 457,375 455,878 440,877
f. Total 60,610,041 59,003,511 57,165,344
2. Inactive Members
a. Service Retirees & Beneficiaries 42,065,990 41,526,287 38,574,484
b. Disability Retirees 602,046 590,726 583,628
c. Terminated Vested Members - - -
d. Total 42,668,036 42,117,013 39,158,112
3. Total for All Members 103,278,077 101,120,524 96,323,456
C. Actuarial Accrued (Past Service)
Liability per GASB No. 25 78,046,241 76,797,198 72,211,379
D. Actuarial Value of Accumulated Plan
Benefits per F ASB No. 35 71,187,400 70,051,904 64,832,282
E. Plan Assets
1. Market Value 42,186,213 42,186,213 37,695,701
2. Actuarial Value 48,521,964 48,521,964 46,448,767
F. Unfunded Actuarial Accrued Liability:
C-E2 29,524,277 28,275,234 25,762,612
G. Actuarial Present Value of Projected
Covered Payroll 89,375,005 88,701,388 87,699,195
H. Actuarial Present Value of Projected
Member Contributions 10,725,000 10,644,166 10,523,903
GRS
ENTRY AGE NORMAL METHOD
CALCUl,A TION OF EMPLOYER NORMAL COST
A. Valuation Date ()ctober: , 2011.1 October I. 20 I 0 ! October I. 2()()9 I,
\ ill"" In/cresT Ro/I' Prior ..Js'ump/lOi1' I ;!
i ;1
:j
i l'
B. Normal Cost for ! ;;
I i
i :I
1. Service Retirement Benefits :$ 2,353,594 $ 2,281,819 $ 2.255,361 I'
il
2. Vesting Benefits 276,691 268,118 I 263,231 II
3. Disability Benefits 214,288 210,144 211,779 fl
II
I,
4. Preretirement Death Benefits 40,232 39,124 37.741, 'I
5. Return of Member Contributions 91,205 91,574 90,050 II
.---~-'---- . .. -..-..----- II
6. Total for Future Benefits 2.976,0]0 2,890,779 2,858,164 'I
I
7. Assumed Amount for Administrative Ii
I i
Expenses ---.--- 116,058 .----. 116,058 '. 1 08,3.~7 I
I
8. Total Normal Cost 3,092,068 3,006,837 2.966,531 I
I
~ ;1
,
I
C. Expected Member Contribution 1.260,721 1,260,721 I 1.242,006 I
I ,I
i II
i
D. Employer Normal Cost: B8-C ] ,831,347 1.746,116 I ] .724,525
I
I "
! il
E. Employer Normal Cost as a % of 'I
Covered Payroll 17.43% 16.62% 16.660" II
II
GRS
9
LIQUIDATION OF THE UNFUNDED ACTUARIAL ACCRUED LIABILITY
I A. UAAL Amortization Period and Payments I
Original UAAL Current UAAL
Amortization
Date Period Years
Established (Years) Amount Remaining Amount Payment
10/1/1992 30 $ 415,550 12 $ 318,824 $ 32,574
10/1/1992 30 795,483 12 609,737 62,296
10/1/1996 26 807,234 12 706,757 72,208
10/1/1997 30 1,201,102 17 1,219,315 95,994
10/1/1999 30 613,865 19 667,338 48,644
10/1 /2000 30 (1,240,378) 20 (1,319,809) (92,954)
10/1/2001 30 857,564 21 926,577 63,204
10/1/2003 30 4,337,161 23 4,788,210 308,298
10/1/2004 30 4,373,725 24 4,808,587 301,629
10/1/2005 30 (1,004,416) 25 (1,098,620) (67,246)
10/1/2005 30 3,040,117 25 3,325,250 203,536
10/1/2006 30 2,426,747 26 2,621,635 156,817
10/112006 30 1,889,229 26 2,040,950 122,083
10/1/2007 30 (12,675) 27 (13,425) (786)
10/1/2007 30 (1,424,046) 27 (1,510,808) (88,436)
10/1 /2008 30 4,046,900 28 4,214,131 241,695
10/1/2009 30 3,681,910 29 3,758,145 211,435
10/1/2010 30 1,249,043 30 1,249,043 69,007
10/1/2010 30 2,256,012 30 2,256,012 124,639
10/1/2010 30 (43,572) 30 (43,572) (2,407)
$ 28,266,555 $ 29,524,277 $ 1,862,230
B. Amortization Schedule
The VAAL is being amortized as a level percent of payroll over the number of years remaining in the
amortization period. The expected amortization schedule is as follows:
Amortization Schedule
Year Expected UAAL
2010 $ 29,524,277
2011 29,902,693
2012 30,231,218
2013 30,502,608
2014 30,708,889
2015 30,841,299
2020 30,025,061
2025 26,437,575
2030 18,931,721
2035 6,629,836
GRS
ACTlJARIAL GAINS AND LOSSES
The assumptions used to anticipate mortality. employment turnover, investment income, expensc~
salary increases, and other factors have been based on long range trends and expectations. Actual expenence
can vary from these expectations. The variance is measured by the gain and loss for the period mvolved If
significant long term experience reveals consistent deviation from what has been expected and that deVIation
is expected to continue, the assumptions should be modified. The net actuarial gain (loss) for the past vear IS
computed as follows:
I A. Derivation of the Current VAAL I
1. Last Year's VAAL $ 25,762,612
2. Last Year's Employer Normal Cost 1,724,525
3. Last Year's Contributions 3,688.496
4. Interest at the Assumed Rate on:
a. 1 and 2 for one year 2,267,689
b. 3 from dates paid 3,536
c a-b 2,264,153
5. This Year's Expected VAAL:
I + 2 - 3 + 4c 26,062,794
6. This Year's Actual VAAL (Before any
changes in benefits and/or assumptions) 28,318,806
7. Net Actuarial Gain (Loss): (5) - (6) (2,256,012)
8. Gain (Loss) due to investments (3,042,968)
9. Gain (Loss) due to other sources 786,956
GRS
11
Net actuarial gains in previous years have been as follows:
Change In EDlployer
Year Ended Cost Rate Gain (Loss)
12/31/83 0.77 % $ (111,129)
12/31/84 0.13 (20,619)
12/31/85 1.27 (227,011)
12/31/86 0.50 (99,006)
12/31/87 (1.18) 279,837
12/31/88 0.52 (128,401)
12/31/89 0.41 (106,588)
9/30/90 (1.42) 371,790
9/30/91 2.09 (638,650)
9/30/92 1.61 (476,505)
9/30/93 (1.07) 483,965
9/30/94 1.76 (800,443)
9/30/95 0.56 (270,698)
9/30/96 (1.95) 895,789
9/30/97 (3.08) 1,049,747
9/30/98 (2.78) 1,020,121
9/30/99 (1.89) 722,161
9/30100 (2.21) 891,463
9/30/01 4.44 (1,682,484)
9/30/02 9.11 (3,495,525)
9/30/03 11.31 (5,238,993)
9/30/04 4.88 (4,373,725)
9/30/05 3.04 (3,040,117)
9/30/06 1.44 (1,889,229)
9/30/07 (0.01) 12,675
9/30/08 2.33 (4,056,993)
9/30/09 2.16 (3,681,910)
9/30/10 1.25 (2,256,012)
GRS
$8
$6
S4
S2
SO
-$2
-$4
-$6
~ -$8
~ -$10
S -$12
~ -$14
-$16
-$18
-$20
-$22
-$24
-$26
-$28
-$30
Actuarial Gain (+) or Loss (-)
$8 ~
\$10 0
~ ~ -$12 ;=
f~14 ~
E -..16
~ -$ 18
\ .,
~. ti~
',fl i.';.~
$28
------.- ------.--...-----------.-.-- S 3 0
%'" %\). %" 10 %" %% fbo, RI " :'v :? \). ~ 10 0- fb ~ RI " :'v :? \). ~ 10 0- fb ~ \:'
,",,' ,,'"'5 ,'"'5 "v,\'"'5,'"'5 ,,'"'5 o,fi o,fi o,fi o,fi o,fi o,fi o,fi o,fi o,fi o,fi o,'fl o,\\::J o,~ o,\\::J o,'fl o,~ o,'fl o,~ o,~ o,'fl",'
Plan Year End
- Gain or Loss - Cumulative
:5 ~;
:5 Ii
S4
So
$0
$,
- L
-$4
'1;6
40%
35%
30%
25%
20%
15%
10%
5%
0%
-5%
-10%
-15%
-20%
-25%
-30%
-35%
-40%
Change in Employer Cost Rate
~ \). ~ 10 " % ~ \::J " :'v :? \). ~ 10 0- % ~ RI " :'v :? \). ~ 10 0- ~% RIO, ~
~~~~~~~~~~~~~~~~~~~~~~~~~~~~
, " , " " " ,
Plan Year End
- Nannal Cost Rate
--+-- Cumulative
40%
35%
30%
25%
20%
15%
100/0
5'l'0
0%
_50/n
-I ()O,,,
-150."
-20%
-250,,,
-30~."
-3 5{~'t]
_4()0."
GRS
13
The fund earnings and salary increase assumptions have considerable impact on the cost of the Plan so
it is important that they are in line with the actual experience. The following table shows the actual fund
earnings and salary increase rates compared to the assumed rates for the last few years:
Investment Return Salary Increases
Year Ending Actual Assumed Actual Assumed
12/31/1977 7.6 % 7.0 % 10.3 %
12/31/1978 7.0 7.0 21.3 % (2 years)
12/31/1979 7.5 7.0 10.3
12/31/1980 7.9 7.0 19.0 (2 years)
12/31/1981 9.0 7.0 30.5 7.0
12/31/1982 11.9 7.0 11.0 7.0
12/31/1983 13.9 7.0 6.4 7.0
12/31/1984 11.1 10.0 8.8 10.0
12/31/1985 18.7 10.0 14.5 10.0
12/31/1986 13.4 10.0 11.4 10.0
12/31/1987 10.3 10.0 19.7 10.0
12/31/1988 9.8 10.0 6.1 10.0
12/31/1989 14.8 10.0 12.8 10.0
9/30/1990 (9 mos.) 1.4 7.5 6.7 7.5
9/30/1991 13.1 10.0 8.0 10.0
9/30/1992 11.2 10.0 4.9 10.0
9/30/1993 9.7 8.0 4.0 6.5
9/30/1994 3.1 8.0 2.0 6.5
9/30/1995 9.3 8.0 10.3 6.5
9/30/1996 9.8 8.0 (0.2) 6.5
9/30/1997 12.6 8.0 5.9 6.5
9/30/1998 12.4 8.0 6.1 6.5
9/30/1999 14.1 8.0 13.3 6.5
9/30/2000 13.3 8.5 10.3 6.5
9/30/2001 8.0 8.5 4.8 6.5
9/30/2002 2.3 8.5 12.1 6.5
9/30/2003 3.5 8.5 10.0 6.5
9/30/2004 2.2 8.5 11.0 6.5
9/30/2005 2.5 8.5 11.7 6.5
9/30/2006 5.3 8.5 13.3 9.2
9/30/2007 9.3 8.50 9.2 8.9
9/30/2008 3.0 8.25 13.6 8.9
9/30/2009 0.9 8.25 7.6 8.9
9/30/2010 2.5 8.25 1.8 8.9
Averages 8.6 % --- 9.5 % ---
The actual investment return rates shown above are based on the actuarial value of assets. The actual
salary increase rates shown above are the increases received by those active members who were included in
the actuarial valuations both at the beginning and the end of each year.
GRS
History of Investment Return Based on Actuarial Value of Assets
,
15%
~
,
~.
,.../~
.. .
"
I ~ I
,,'\)~~~~~t,~t,~t,~t,~~~~~~~~'b~\~~\~~\~~\~~~~\~~\~~~~\~~~~\~~\~~\~~\~~\~~\~~\~~\~}~~\~~\","
Plan Year End
10%
1 2 (jU
i
I
t [ 5",,,
t
r
100"
+ 5%
00,,,
"-.
~~~~~~~~~~~~~~~~o/~~~~~~~~~~~~~~~
'\)VVV~~~~VVV~~~~~~~~~~~~~~~~~~~~~
" " " " " " " " " " "
Plan YearEnd Compared to Previous Year
5%
.-
\ ~ ....J'
Ir'.__
35~/o
30~,.o
25~/o
20%
15%
10%
50/',
0%
-5(~/n
GRS
III
0%
,
I I I I I I I I I I I I I
I I I I I I I I I I I I I I
I I I
--tI- Actual -- Assumed I
History of Salary Increases
35%
30% ~
25%
20% "
/
15% ,
10%
5%
0%
-5%
!~
,-11-,,,. Actual -- Assumed
15
Actual (A) Compared to Expected (E) Decrements
Among Active Employees
Number
Added Service & Active
During DROP Disability Terminations Members
Year Year Retirement Retirement Death Vested Other Totals End of
Ended A E A E A E A E A A A E Year
9/30/2002 1 10 6 5 0 0 0 0 1 3 4 3 83
9/30/2003 15 1 1 5 0 0 0 0 0 0 0 3 97
9/30/2004 22 14 13 4 0 0 0 0 0 1 1 3 105
9/30/2005 1 4 2 1 0 0 0 0 0 2 2 4 102
9/30/2006 19 3 0 2 0 0 0 0 1 2 3 4 118
9/30/2007 5 4 1 3 0 0 0 0 0 3 3 4 119
9/30/2008 5 1 0 5 1 0 0 0 0 0 0 4 123
9/30/2009 1 6 5 6 0 0 0 0 0 1 1 4 118
9/30/2010 11 4 3 3 0 0 0 0 0 1 1 4 125
9/30/2011 8 0 0 4
9 Yr Totals * 80 47 31 34 1 1 0 0 2 13 15 33
* Totals are through current Plan Year only.
GRS
13th Check Provision
The Plan provides for a 13th check if there is a net actuarial gain for the previous year. Since there
were losses during the prior plan year, no 13th check is payable in 2010. Additionally, there is a limitation nn
13th checks tied to actuarial gains provided in Chapter 112.61, Florida Statutes. The cumulative amount used
to pay for 13th checks may not exceed the cumulative amount of actuarial gains.
I Cumulative Actuarial Gains (Losses) I
Balance at
Year Ending Beginning Gain (Loss) Balance at
9/30 of Year Interest for Year 13th Check End of Year
2001 0 0 (1,682,484) 0 ( 1 ,682,484)
2002 (1,682,484) (143,011) (3,495,525) () (5,321.020)
2003 (5,321,020) (452,287) (5,238,993) () (11,012,300)
2004 (11,012,300) (936,045) (4,373,725) 0 ( 16,322,070)
2005 (16,322,070) (1,387,376) (3,040,117) 0 (20,749,563 )
2006 (20,749,563) ( 1.763,713) (1,889,229) () (24,402,505 )
2007 (24,402,505 ) (2,074,213) 12,675 () (26,464,043 )
2008 (26,464,043 ) (2,183,284 ) (4,056,993 ) (I (32,704.3] 9)
2009 (32,704,319) (2,698,106) (3,681,910) \l (39,084,336)
2010 (39,084,336) (3,224,458) (2,256,012) 0 (44,564,805 )
GRS
~
fJ)
RECENT HISTORY OF V ALVA TION RESVL TS
Number of Employer Normal Cost
Active Inactive Covered Annual Actuarial Value of
Valuation Date Members Members Pavroll Assets VFAAL Amount % of Payroll
1/1/77 40 4 $ 569,276 $ 453,327 $ 216,698 $ 38,850 6.82 %
1/1/79 43 4 711,116 687,519 350,639 56,199 7.90
1/1/81 47 6 862,654 1,022,445 920,457 94,745 10.98
1/1/83 54 7 1,400,191 1,638,814 1,053,103 210,886 15.06
1/1/84 62 8 1,667,768 2,207,842 463,082 228,317 13.69
1/1/85 63 8 1,841,133 2,793,520 456,451 246,268 13.38
1/1/86 63 13 2,001,348 3,661,149 448,266 271,307 13.56
1/1/87 65 14 2,253,477 4,494,218 438,782 302,582 13.43
1/1/88 70 14 2,795,441 5,353,939 428,769 400,069 14.31
1/1/89 72 16 2,945,471 6,325,345 415,253 423,954 14.39
1/1/90 72 16 3,325,018 7,738,044 404,111 473,586 14.24
10/1/90 72 16 3,547,242 8,374,465 392,363 554,936 15.64
10/1/91 87 14 4,140,245 10,146,641 363,586 524,296 12.66
10/1/92 85 15 4,161,027 11,900,656 1,550,310 455,150 10.94
10/1/93 89 15 4,423,684 13,756,391 1,516,993 437,594 9.89
10/1/94 89 16 4,481,528 14,804,836 1,479,202 539,543 12.04
10/1/95 89 19 4,839,178 16,884,081 1,437,900 604,768 12.50
10/1/96 90 22 4,695,354 19,269,217 2,132,465 527,257 11.23
1011/97 88 39 4,238,988 22,220,848 3,356,939 361,957 8.54
10/1/98 90 39 4,543,670 24,978,058 3,291,703 258,961 5.70
10/1/99 92 40 5,083,063 28,290,983 3,839,164 217,814 4.29
10/1/00 90 46 5,305,002 31,629,211 2,713,654 72,822 1.37
10/1/01 92 53 5,201,958 33,397,848 3,508,699 475,187 9.13
10/1/02 83 60 5,143,446 33,877,028 3,493,416 956,733 18.60
10/1/03 97 60 6,079,095 34,694,072 7,737,645 979,363 16.11
10/1/04 105 73 6,135,813 35,118,847 12,121,482 995,918 16.23
10/1/05 102 75 6,763,318 35,386,328 14,233,929 1,186,288 17.54
10/1/06 118 75 8,152,400 36,863,141 18,702,041 1,256,931 15.42
10/1/07 119 76 8,806,744 43,503,237 17,551,261 1,490,649 16.93
10/1/08 123 77 10,130,185 45,330,615 21,811,283 1,711,705 16.90
1 0/1/09 118 82 10,350,054 46,448,767 25,762,612 1,724,525 16.66
10/1/10 125 84 10,506,008 48,521,964 29,524,277 1,831,347 17.43
>-'
-.J
Recent History of N umber of Members
220
200
ISO
160
140
120
100
80
60
40
20
o
~,,~,,~,+>~~~,+>~,+>~,+>~,+>~,+>~~~o,~ft~o,~ft~o,~o,~ft~o,~ft~ft~ft~~~~~~~~~~~~~~~~~~~~~\'~
~ ~ ~~ ~~~~ ~ ~ ~ -.; -.;-.;-.;-.;~~-.;~~~~~~-.; -.;~~~~~
Actuarial Valuation Date
II Active Members
II Inactive Members I
Recent History of Covered Annual Payroll
$12.0 r
1
~
~
j
$10.0
$8.0
'"
;::
~ $6.0
~
$4.0
$2.0
$0.0
~"~"~~~~~'+>~~~~~'+>~~~~~"'~ft~ft~ft~ft~ft~ft~ft~ft~ft~ft~~~~~~~~~~~~~~~~~~~~~~~
~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~~
Actuarial Valuation Date
GRS
Recent History of Employer Normal Cost
$2,000..--..----.----.----------
$1,900
$1,800
$1,700
$1,600
$1,500
$1,400
$1,300
In $1,200
-g $1,100
:Jl $1,000
::s $900
,g $800
I- $700
$600
$500
$400
$300
$200
$100
$0
.. \~~~\ ~\ \'b\~~ \'b~ ~~ \,'o\\'b'll.. \"0\ \~\f1\\~\f1\\~\\~t).~f1\\~~f1~\~'b~\~\\~\\~\\~\\~\\~t).~\~\\~~\~~\~\\~\\'~
~~~ ~~~~~ ~~~~~~~ ~~~~~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~ ~
Actuarial Valuation Date
- Employer NC Amount
-+- NC as % of Payroll
19
40%
38%
36%
34%
32%
30%
28%
26% _
24% (5
22% ~
20% III
18% ~
16% 0
14% rfl.
12%
10%
8%
6%
4%
2%
0%
GRS
~
C/'"J
RECENT HISTORY OF REQUIRED AND ACTUAL CONTRIBUTIONS
..
End of Required Contributions
Year To '-""-'-'-'-
Employer & State Estimated State Net Employer Actual Contributions
Valuation Which _'nn' ._"._,-_., .. ,=,..~"" ~m::r:T rot~ ..-
Valuation %of %of %of
Applies Amount Payroll Amount Payroll Amount Payroll
=,."..n....~-,;;;.n_n --"""'-"^~ .. ..",--~ n .,-- nn n""=' ::-===nn'.=;=' =-= .':::
1/ 1/84 12/31/85 $ 301,281 18.06 % $ 62,940 3.77 "/0 $ 238,341 14.29 % $ 231,135 $ 70.146 " ~n i .2x
1/1/85 12/31/86 320,720 17.42 70,146 3.81 250,574 13.61 240,613 80.107 )2(1.7 2(,
1/1/86 12/31/87 356,059 17.79 80,107 4.00 275,952 13.79 257,525 98,534 15o,05ci
1/1/87 12/31/88 381,677 16.94 98,534 4.37 283,143 12.56 260,389 121,288 ~S 1.1) T
1/1/88 12/31/89 488,343 17.47 121,288 4.34 367,055 13.13 354,558 134.089 ~XX.{'4
1/1/89 12/31/90 513,690 17.44 134,089 4.55 379,601 12.89 371,664 142,026 '11.;,hl}!
1/1/90 12/31/91 567,669 17.07 142,026 4.27 425,643 12.80 417,706 153A79 ~;" 1 X,
1 0/1/90 9/30/91 671,784 18.94 153,479 4.33 518,305 14.61 518,305 158.161 -I, ,-+6('
1 0/ 1/91 9/30/92 634,614 15.33 158,161 3.82 476,453 11.51 467.841 ; 66. ~73 \,u n
10/1/92 9/30/93 647,325 15.56 166.773 4.01 480,552 11.55 489,303 : 'i8.o2.' ' ..:..~ ..
10/1/93 9/30/94 626,697 14.17 158,022 3.57 468,675 10.59 ~23,653 .'03,044 n t". "'i")
1 0/1 /94 9/30/95 737,247 16.45 195,089 4.35 542,158 12.10 518.847 ;'18AO! rr i
10/1/95 9/30/96 807,150 16.68 218,401 4.51 588,749 12.17 <;21,707 )85 44 ~ v!, ; ~. I
"Ill
10/1 /96 9/30/97 776,723 16.54 285,443 6.08 491,280 10.46 422,898 ~53.826 r, .,
10/1 /97 9/30/98 710,387 16.76 349,086 8.24 361,301 8.52 149.375 ;61.012 " ,,~.
10/1/98 9/30/99 597,198 13.14 351,241 7.73 245,957 5.41 .'45,95~ ;61.01' It ~ ih
10/1/99 9/30/00 512,235 10.08 351,241 6.91 160,994 3.17 SO.559 \65.Y34 ~4A --Ie! II
10/1/00 9/3010 1 292,146 5.51 365,934 6.90 0 0.00 0 165,715 ih) ,
10/1/01 9/30/02 825,167 15.86 384,640 7.39 440,527 8.47 361.877 463,290 -<25.. i h
10/1/02 9/30/03 1,359,690 26.44 463,290 9.01 896,400 17.43 922.724 1-99.52(' .,'''' -{o.
10/1/03 9/30/04 1,655,219 27.23 499,520 8.22 !,155,699 19.01 1,155,699 549,804 " .. .. . I'
.1
10/1/04 9/30/05 1,988,852 32.41 549,804 8.96 1.439,048 23.45 i ,439,048 '/IY.'i4 ~ I {i=:X -)t.} II
10/1/05 9/30/06 2,339,568 34.59 589,543 8.72 1.750,025 25.87 ; 7';0,02<; 'i89.'A" ; "
i II
10/1/06 9/30/07 2,664,373 32.68 589,543 ~ " 2,074,830 Z5,45 ' .074,830 "8t) ";4 ' ;.h..+ "
. .~..~ i Ii
1011 /07 9/30/08 2,845,292 32.31 589.543 6.70 2.255,749 ::5.61 1.255.749 "89 'i4' ,"-,4 ., II
10/1 /08 9/30/09 3,380.771 33.37 579,772 5.73 2,SOO,384 27.64 2,800,384 ,70 77 I II
I .\\ i!
1011 /09 9/30/1 0 3,678,119 35.54 589,543 5.60 3,088,576 29.94 3,098,347 h iJ 11 ~ '". , ~6. II
10/1/09 9/30/1 I ~.606.278 34,04 1133.115 ".98 ':,973.163 2S06 N'A :\' I II
' I
JO.I,10 93012 '\,923,7113 ~6.58 A52.S30 h.09 \,:::7(),95~ \().49 :\A "j '.
"i, ,\
.-. - .,- , , , ..... n cc~!i
21
ACTUARIAL ASSUMPTIONS AND COST METHOD
Actuarial Cost Method - Normal cost and the allocation of benefit values between service rendered
before and after the valuation date were determined using an Individual Entry-Age Actuarial Cost
Method having the following characteristics:
(i) the annual normal cost for each individual active member, payable from the date of
employment to the date of retirement, is sufficient to accumulate the value of the member's
benefit at the time of retirement;
(ii) each annual normal cost is a constant percentage of the member's year by year projected
covered pay.
Actuarial gains/(losses), as they occur, reduce (increase) the Unfunded Actuarial Accrued Liability.
Financing of Unfunded Actuarial Accrued Liabilities - Unfunded Actuarial Accrued Liabilities (full
funding credit if assets exceed liabilities) were amortized by level (principal & interest combined)
percent-of-payroll contributions over a reasonable period of future years.
Actuarial Value of Assets - The Actuarial Value of Assets phases in the difference between the actual
and expected investment earnings over a period of 5 years. The Actuarial Value of Assets will be further
adjusted to the extent necessary to fall within the corridor whose lower limit is 80% of the Market Value
of plan assets and whose upper limit is 120% of the Market Value of plan assets. During periods when
investment performance exceeds the assumed rate, Actuarial Value of Assets will tend to be less than
Market Value. During periods when investment performance is less than assumed rate, Actuarial Value
of Assets will tend to be greater than Market Value.
Valuation Assumptions
The actuarial assumptions used in the valuation are shown in this Section.
Economic Assumptions
The investment return rate assumed in the valuation is 8.10% per year, compounded annually (net after
investment expenses). This rate is being reduced by 0.15% each year until 7.50% is attained.
The Wage Inflation Rate assumed in this valuation was 4% per year. The Wage Inflation Rate is
defined to be the portion of total pay increases for an individual that are due to macro economic forces
including productivity, price inflation, and labor market conditions. The wage inflation rate does not
include pay changes related to individual merit and seniority effects.
The assumed real rate of return over wage inflation is defined to be the portion of total investment
return that is more than the assumed wage inflation rate. Considering other economic assumptions, the
8.1 % investment return rate translates to an assumed real rate of return over wage inflation of 4.1 %.
The active member population is assumed to remain constant. For purposes of financing the unfunded
liabilities, total payroll is assumed to grow at 4% per year. The average increase over the most recent ten
years is 7.09%
Pay increase assumptions for individual active members are shown below. Part of the assumption for
each age is for merit and/or seniority increase, and the other 4% recognizes wage inflation, including
price inflation, productivity increases, and other macro economic forces.
GRS
The rates of salary increase used for LI1dividual members arc 111 accordance with the tol iowll1g tai1!L
This assumption is used to project a member's cun"ent salary t\l the salaries upon WhlCh benefits w1l
based
% Increase in Salary
Years of Merit and Base Total
Service Seniority (Economic) Increase
10.701, 4.0%) 14.7%
.2 . lO 4.()Oin 9.2%
=' .... '(,
J IU 700 4.()O'J 14.70/0
4 520/0 4.0~/(J 9.2%)
5 1070 fj 4.00'0 14.7%
6 'i '"'10: 4.00'(J 92%
., ...... /0
7 'i lO, 4.000 l).2O:0
.~...:.. 0
8 5.20/0 400'0 q ')0/
.~ 0
9 'i )0. 4.(Y% 9.2%
_._ 0
10 14.4% 4.0% 18.4%
11 5.2% 4.0% 9.2%
12+ 0.0% 4.00'(J 4.0%
Demographic Assumptions
The mortality table was the 1983 Group Annuity Mortality.
Sample
Attained
Ages
50
55
60
65
70
75
80
Probability of
Dying Next Year
Men Women
0.39 % 0.16 %
(J.6! 1I.2~
0.92 0.42
15 Ii n.n
~.75 j .24
4.46 .~.4()
74! 4..'0
Future Life
Expectancy (years)
Men Women
29.23 34.96
24.87 30.28
20.68 25.71
16.73 21.33
13.22 171'7
10.20 13.42
7.68 10.24
This assumption is used to measure the probabilities of each benefit payment being made after
retirement. For active members, the probabilities of dying before retirement were based upon the same
mortality table as members dying after retirement.
For disabled retirees, the regular mortality tables are set forward 5 years in ages to reflect impaired
longevity.
The rates of retirement used to measure the probability of eligible members retiring during the next year
were as follows:
GRS
Number of Years
After First Eligibility
for Normal Retirement
o
1
2
3
4
5
23
Probability of
Normal Retirement
80 %
40
40
40
40
100
The rate of retirement is 5% for each year of eligibility for early retirement.
Rates of separation from active membership were as shown below (rates do not apply to members
eligible to retire and do not include separation on account of death or disability). This assumption
measures the probabilities of members remaining in employment.
Sample
Ages
20
25
30
35
40
45
50
55
% of Active Members
Separating Within Next Year
6.0 %
5.7
5.0
3.8
2.6
1.6
0.8
0.3
Rates of disability among active members (75% of disabilities are assumed to be service-connected).
Sample
Ages
20
25
30
35
40
45
50
55
% Becoming Disabled
within Next Year
0.14 %
0.15
0.18
0.23
0.30
0.51
1.00
1.55
GRS
Administrative & Investment
Expenses
Benefit Service
Cost of Living Increases
Decrement Operation
Decrement Timing
Eligibility Testing
Forfeitures
Incidence of Contributions
Liability Load
Marriage Assumption
Normal Form of Benefit
Miscellaneous and Technical Assumptions
The investment retum assumption IS intended to be the retum net ;1j
investment expenses. Annual administrative expenses are assumed III
be equal to the average of the prior two years' expenses. Assumed
administrative expenses are added to the Normal Cost
Exact fractional servIce is used to determine the amount of benefit
payable
Benefits are increased by 2% per year beginning five years atter
benefit commencement.
Disability and mortality decrements operate during retirement
eligibility.
Decrements of all types are assumed to occur at the beginning ot' the
year.
Eligibility for benefits is determined based upon the age nearest
birthday and service nearest whole year on the date the decrement is
assumed to occur.
For vested separations from service, it is assumed that 0% of members
separating will withdraw their contributions and forfeit an employer
financed benefit. It was further assumed that the liability at
termination is the greater of the vested deferred benefit (if any) or the
member's accumulated contributions.
Employer contributions are assumed to be made biweekly effective
October 1,2010. Member contributions are assumed to be received
continuously throughout the year based upon the computed percent of
payroll shown in this report, and the actual payroll payable at the time
contributions are made.
Projected benefits are loaded by 11.1 % to recognize the effect of
unused leave pay on final average earnings.
100% of males and 100% of females are assumed to be married for
purposes of death-in-service benefits. Male spouses are assumed to be
three years older than female spouses for active member valuation
purposes.
A ten year certain and life thereafter annuity is the Normal Form of
Benefit
GRS
25
Pay Increase Timing
Beginning of fiscal year. This is equivalent to assuming that reported
pays represent amounts paid to members during the year ended on the
valuation date.
Service Credit Accruals
It is assumed that members accrue one year of service credit per year.
GRS
Actuarial Accrued Liability
(AAL)
Actuarial Assumptions
Actuarial Cost Method
Actuarial Equivalent
Actuarial Present Value
(APJI)
Actuarial Present Value of
Future Benefits (APVFB)
Actuarial Valuation
Actuarial Value of Assets
(a 'oSSAR'
The difference between the Actuarial Present Value of Future Benefll:i.
and the Actuarial Present Value of Future Nonnal Costs
Assumptions about tuture plan experience that affect costs or liabilities,
such as: mortality, withdrawal, disablement, and retirement; future
increases in salary; future rates of investment earnings: future investment
and administrative expenses: characteristics of members not specified 111
the data, such as marital status; characteristics of future members; future
elections made by members: and other items.
A procedure tor allocating the Actuarial Present Value of Future Benefits
between the Actuarial Present Value of Future Normal Costs and the
Actuarial Accrued Liability.
Of equal Actuarial Present Value, detennined as of a given date and based
on a given set of Actuarial Assumptions.
The amount of funds required to provide a payment or series of payments
in the future. It is determined by discounting the future payments with an
assumed interest rate and with the assumed probability each payment will
be made.
The Actuarial Present Value of amounts which are expected to be paid at
various future times to active members, retired members, beneficiaries
receiving benefits, and inactive, nonretired members entitled to either a
refund or a future retirement benefit. Expressed another way, it is the
value that would have to be invested on the valuation date so that the
amount invested plus investment earnings would provide sufficient assets
to pay all projected benefits and expenses when due.
The determination, as of a valuation date, of the Normal Cost, Actuarial
Accrued Liability, Actuarial Value of Assets, and related Actuarial
Present Values for a plan. An Actuarial Valuation for a governmental
retirement system typically also includes calculations of items needed for
compliance with GASB No. 25, such as the Funded Ratio and the Annual
Required Contribution (ARC).
The value of the assets as of a given date, used by the actuary for
valuation purposes. This may be the market or fair value of plan assets
or a smoothed value in order to reduce the year-to-year volatility of
calculated results, such as the funded ratio and the actuarially required
contribution (ARC).
GRS
Amortization Method
Amortization Payment
Amortization Period
Annual Required
Contribution (ARC)
Closed Amortization Period
Employer Normal Cost
Equivalent Single
Amortization Period
Experience Gain/Loss
27
A method for determining the Amortization Payment. The most common
methods used are level dollar and level percentage of payroll. Under the
Level Dollar method, the Amortization Payment is one of a stream of
payments, all equal, whose Actuarial Present Value is equal to the UAAL.
Under the Level Percentage of Pay method, the Amortization Payment is
one of a stream of increasing payments, whose Actuarial Present Value is
equal to the VAAL. Under the Level Percentage of Pay method, the
stream of payments increases at the rate at which total covered payroll of
all active members is assumed to increase.
That portion of the plan contribution or ARC which is designed to pay
interest on and to amortize the Unfunded Actuarial Accrued Liability.
The period used in calculating the Amortization Payment.
The employer's periodic required contributions, expressed as a dollar
amount or a percentage of covered plan compensation, determined
under GASB No. 25. The ARC consists of the Employer Normal Cost
and Amortization Payment.
A specific number of years that is reduced by one each year, and declines
to zero with the passage of time. For example if the amortization period is
initially set at 30 years, it is 29 years at the end of one year, 28 years at the
end of two years, etc.
The portion of the Normal Cost to be paid by the employer. This is
equal to the Normal Cost less expected member contributions.
For plans that do not establish separate amortization bases (separate
components of the UAAL), this is the same as the Amortization Period.
For plans that do establish separate amortization bases, this is the period
over which the UAAL would be amortized if all amortization bases were
combined upon the current U AAL payment.
A measure of the difference between actual experience and that expected
based upon a set of Actuarial Assumptions, during the period between two
actuarial valuations. To the extent that actual experience differs from that
assumed, Unfunded Actuarial Accrued Liabilities emerge which may be
larger or smaller than projected. Gains are due to favorable experience,
e.g., the assets earn more than projected, salaries do not increase as fast as
assumed, members retire later than assumed, etc. Favorable experience
means actual results produce actuarial liabilities not as large as projected
by the actuarial assumptions. On the other hand, losses are the result of
unfavorable experience, i.e., actual results that produce Unfunded
Actuarial Accrued Liabilities which are larger than projected.
GRS
Funded Ratio
GASB
GASB No. 25 and
GASB No.2 7
Normal Cost
Open Amortization Period
Unfunded Actuarial Accrued
Liability
Valuation Date
rhe ratIO of the Actuanal Value of t\ssets 10 tfw\ctuanal AC('IU',~"l
l.labilit\
Governmental Accounting Standards Board.
These are the governmental accounting standards that set the accountmg.
rules for public retirement systems and the employers that sponsor \'Ir
contribute to them. Statement No. 27 sets the accounting rules for the
employers that sponsor or contribute to public retirement systems, while
Statement No. 25 sets the rules for the systems themselves.
The annual cost assigned, under the Actuarial Cost Method, to the current
plan year
An open amortization period is one which is used to determine the
Amortization Payment but which does not change over time. In other
words, if the initial period is set as 30 years, the same 30-year period is
used in determining the Amortization Period each year. In theory, if an
Open Amortization Period is used to amortize the Unfunded Actuarial
Accrued Liability, the VAAL will never completely disappear, but will
become smaller each year, either as a dollar amount or in relation to
covered payroll.
The difference between the Actuarial Accrued Liability and Actuarial
Value of Assets.
The date as of which the Actuarial Present Value of Future Benefits are
determined. The benefits expected to be paid in the future are discounted
to this date.
GRS
SECTION C
PENSION FUND INFORMATION
GRS
29
SUMMARY OF ASSETS
September 30
Item 2010 2009
A. Cash and Cash Equivalents (Operating Cash) $ 16,840 $ 7,890
B. Receivables:
1. Member Contributions $ $
2. Employer Contributions 3,098,347 2,800,384
3. State Contributions 12,304
4. Investment Income and Other Receivables 280,466 412,155
5. Prepaid Expenses 4,676 4,475
6. Total Receivables $ 3,395,793 $ 3,217,014
C. Investments
1. Short Term Investments $ 2,285,00 I $ 2,935,048
2. Domestic Equities 23,027,939 19,992,861
3. International Equities 4,113,161 4,011,880
4. Domestic Fixed Income 13,479,627 13,861,304
5. International Fixed Income
6. Real Estate 2,974,735
7. Private Equity
8. Total Investments $ 45,880,463 $ 40,801,093
D. Liabilities
1. Benefits Payable $ $
2. Accrued Expenses and Other Payables (45,903) (260,667)
3. Total Liabilities $ (45,903) $ (260,667)
E. Total Market Value of Assets Available for Benefits $ 49,247,193 $ 43,765,330
F. Reserves
1. State Contribution Reserve $ (1,908,985) $ (1,551,341)
2. DROP Accounts (5,151,995) (4,518,288)
3. Total Reserves $ (7,060,980) $ (6,069,629)
G. Market Value Net of Reserves $ 42,186,213 $ 37,695,701
F. Allocation of Investments
1. Short Term Investments 4.99% 7.20%
2. Domestic Equities 50.19% 49.00%
3. International Equities 8.96% 9.83%
4. Domestic Fixed Income 29.38% 33.97%
5. International Fixed Income 0.00% 0.00%
6. Real Estate 6.48% 0.00%
7. Private Equity 0.00% 0.00%
8. Total Investments 100.00% 100.00%
GRS
PENSION FUND INCOME & DISBURSEMI:<~NTS
September 30
Item 2010 2009
A. Market Value of Assets at Beginning of Year 'i- 43,765.330 ~ 42,3507x
B. Revenues and Expenditures
1. Contributions
a. Employee Contributions S 1,275,667 $ 1,250.431
b. Employer Contributions 3,098,953 2,800,384
c. State Contributions 990,759 930.274
d. Service Purchase 20,720 125.444
e. Rollover to DROP 148,037
r Total ~ 5,534,136 ~ 5,106.53~
2. Investment Income
a. Interest, Dividends, and Other Income S 1,084,250 S 1,010,188
b. Net Realized Gains/(Losses) 693,694 (4,863.75/))
c. Net Unrealized Gains/(Losses) 2,255,822 3,954.431
d. Investment Expenses (256,343) (181,050)
e, Net Investment Income ~ 3,777,423 '!; (80,187)
3. Benefits and Refunds
a. Refunds $ i, (19.365)
b. Regular Monthly Benefits (3,382,009) (3,201,206)
c. DROP Distributions (316,100) (290,639 )
d. Total $ (3,698,109) $ (3,511,270)
4. Administrative and Miscellaneous Expenses 1\ (131,587) S OOO.52R)
5. Transfers 'I; ~
C. Market Value of Assets at End of Year $ 49,247,193 S 43,765.33u
D. Reserves
1. State Contribution Reserve $ (l ,908,985) S (l ,55 LJ41 )
2. DROP Accounts 1\ (5,151,995) $ (4,518,2X8)
3. Total Reserves
E Market Value Net of Reserves S 42,186,213 1\ 37,695.701
GRS
~ ACTUARIAL VALUE OF ASSETS
Valuation Date - September 30 2008 2009 2010 2011 2012
A. Actuarial Value of Assets Beginning of Year $ 48,004,065 $ 50,570,969 $ 52,518,396 $ - $
B. Market Value End of Year 42,350,782 43,765,330 49,247,193
C. Market Value Beginning of Year 49,909,054 42,350,782 43,765,330
D. Non-Investment/Administrative Net Cash Flow 1,092,785 1,494,735 1,704,440
E. Investment Income
El. Actual Market Total: B-C-D (8,651,057) (80,187) 3,777,423
E2. Asswned Rate of Return 8.25% 8.25% 8.25% 8.1 0% 7.95%
E3. Assumed Amount of Return 4,005,413 4,233,763 4,403,076
E4. Amount Subject to Phase-In: EI-E3 (12,656,470) (4,313,950) (625,653)
F. Phase-In Recognition of Investment Income
Fl. Current Year: 0.2 x E4 (2,531,294) (862,790) (125,131)
F2. First Prior Year (2,531,294) (862,790) (125,131)
F3. Second Prior Year (2,531,294) (862,790) (125,131)
F4. Third Prior Year (2,531,294) (862,790)
F5. FourthPriorYear (2,531,294)
F6. Division of Retirement Compliance Adjustment* 476,247 476,247 476,247
F7. Total Phase-Ins (2,531,294) (3,394,084) (3,042,968) (3,042,968) (3,042,968)
G. Actuarial Value of Assets End of Year
G 1. Preliminary Actuarial Value of Assets End of Year: $ 50,570,969 $ 52,905,383 $ 55,582,944
G2. Upper Corridor Limit: 120%*B 50,820,938 52,518,396 59,096,632
G2. Lower Corridor Limit: 80%*B 33,880,626 35,012,264 39,397,754
G4. Funding Value End of Year 50,570,969 52,518,396 55,582,944
G5. Less: State Contribution Reserve (1,200,839) (1,551,341) (1,908,985)
G6. Less: DROP Account Balance (4,039,515) (4,518,288) (5,151,995)
G7. Final Funding Value End of Year 45,330,615 46,448,767 48,521,964
G8. Final Market Value End of Year 37,110,428 37,695,701 42,186,213
H. Difference between Market & Actuarial Value of Assets (8,220,187) (8,753,066) (6,335,751)
I. Actuarial Rate of Return 3.04% 0.88% 2.55% 0.00% 0.00%
J. Market Value Rate of Return -17.15% -0.19% 8.47% 0.00% 0.00%
K. Ratio of Actuarial Value of Assets to Market Value 119.41% 120.00% 112.87% 0.00% 0.00%
*Per the Division of Retirement, a one-time adjustment of$1 ,904,988 is required on a prospective basis.
w
......
RECONCILlA nON OF DROP ACCOUNTS II
II
I 11
Value at beginning of year .;; 4,518.288 I
II
Payments credited to accounts 615.975
II
Investment Earnings credited 333,832
II
Withdrawals from accounts 316,100 II
II
.1
Value at end of year 5,151,995 I
I I
f:R,
33
INVESTMENT RATE OF RETURN
The investment rate of return has been calculated on the following bases:
Basis 1 -
Interest, dividends, realized gains (losses) and unrealized appreciation
(depreciation) divided by the weighted average of the market value of the
fund during the year. This figure is normally called the Total Rate of
Return.
Basis 2 -
Investment earnings recognized in the Actuarial Value of Assets divided
by the weighted average of the Actuarial Value of Assets during the year.
Investment Rate of Return
Year Ended Basis 1 Basis 2
12/31/1982 NA % 11.9 %
12/31/1983 15.2 13.9
12/31/1984 11.7 11.1
12/31/1985 23.1 18.7
12/31/1986 11.8 13.4
12/31/1987 5.3 10.3
12/31/1988 10.9 9.8
12/31/1989 15.9 14.8
9/30/1990 (9 mos.) ( 1.6) 1.4
9/30/1991 19.6 13.1
9/30/1992 12.7 11.2
9/30/1993 13.1 9.7
9/30/1994 0.2 3.1
9/30/1995 18.8 9.3
9/30/1996 13.1 9.8
9/30/1997 24.5 12.6
9/30/1998 11.4 12.4
9/30/1999 11.8 14.1
9/30/2000 9.4 13.3
9/30/2001 (7.7) 8.0
9/30/2002 (5.6) 2.3
9/30/2003 15.3 3.5
9/30/2004 6.4 2.2
9/30/2005 7.9 2.5
9/30/2006 5.2 5.3
9/30/2007 12.3 9.3
9/30/2008 (17.1) 3.0
9/30/2009 (0.2) 0.9
9/30/2010 8.5 2.5
Average Compounded
Rate of Return for Number
of Years Shown 8.7 % 8.7 %
Average Compounded
Rate of Return for Last 5
Years 1.2 % 4.2 %
GRS
SECTION D
FINANCIAL ACCOUNTING INFORMATION
GRS
34
I FASB NO. 35 INFORMATION I
A. Valuation Date October 1, 2010 October 1, 2009
B. Actuarial Present Value of Accumulated
Plan Benefits
1. Vested Benefits
a. Members Currently Receiving Payments $ 42,668,036 $ 39,158,112
b. Terminated Vested Members 0 0
c. Other Members 25,392,517 23,099,334
d. Total 68,060,553 62,257,446
2. Non-Vested Benefits 3,126,847 2,574,836
3. Total Actuarial Present Value of Accumulated
Plan Benefits: 1 d + 2 71,187,400 64,832,282
4. Accumulated Contributions of Active Members 6,590,977 5,722,788
C. Changes in the Actuarial Present Value of
Accumulated Plan Benefits
1. Total Value at Beginning of Year 64,832,282 60,471,719
2. Increase (Decrease) During the Period
Attributable to:
a. Plan Amendment 0 0
b. Change in Actuarial Assumptions 1,135,496 0
c. Latest Member Data, Benefits Accumulated
and Decrease in the Discount Period 8,917,731 7,871,833
d. Benefits Paid (3,698,109) (3,511,270)
e. Net Increase 6,355,118 4,360,563
3. Total Value at End of Period 71,187,400 64,832,282
D. Market Value of Assets 42,186,213 37,695,701
E. Actuarial Assumptions - See page entitled
Actuarial Assumptions and Methods
GRS
~
C/"'J
SCHEDULE OF FUNDING PROGRESS
(GASB Statement No. 25)
. - - - ..:: . - ::=
Actuarial Accrued LAAL As % of
Actuarial Actuarial Value of Liability (AAL) - Entry Unfunded AAL Covered
Valuation Assets Age (VAAL) Funded Ratio Covered Payroll Payroll
Date (a) (b) (b) - (a) (a) / (b) (c) (b -- a) ! t
--- --
10/1/1991 $ 10,146,641 $ 11,062,660 $ 916,019 91.7 % $ 4,140,245 22.1 ,; "
10/1/1992 11,900,656 13,491,]02 1,590,446 88.2 4,161,027 ~8.2
10/1/1993 13,756,391 14,807,586 1,051,195 92.9 4,423,684 23.8
10/1/1994 14,804,836 16,168,850 1,364,014 91.6 4,481,528 ~() .4
10/1/1995 16,884,081 18,482,980 1,598,899 91.3 4,839,1 78 -nO
10/1 /1996 19,269,217 20,604,396 1,335,179 93.5 4,695,354 ,~~A
10/1 /1997 22,220,848 23,723,850 1,503,002 93.7 4,238,988 "\5.5
10/1/1998 24,978,058 25,301,177 323,119 98.7 4,543,670 7 1
10/1/1999 28,290,983 28,286,754 ( 4,229) 100.0 5,083,063 iO.l i
10/1 /2000 31,629,211 29,402,853 (2,226,358) 107.6 5,305,002 H2.0)
10/1/2001 33,397,848 34,916,820 1,518,972 95.6 5,201,958 29.2
10/1/2002 33,877,028 39,432,154 5,555,126 85.9 5,143,446 108.0
10/1 /2003 34,694,072 42,431,717 7,737,645 81.8 6,079,095 127.3
10/1 /2004 35,118,847 47,240,329 12,121,482 74.3 6,135,813 97_6
10/1/2005 35,386,328 49,620,257 14,233,929 71.3 6,763,318 ' I (I. ~
10/1 /2006 36,863,141 55,565,182 1 g,702,041 66.3 g,152.400 22li4
10/1 /2007 43,503,237 61,054,498 17,551,261 71.3 g,806,744 ! 99 :<
10/1/2008 45,330,615 67,141,898 21,811,283 67.5 10,130,185 215,3
10/1 /2009 46,448.767 72,211.379 25,762,612 64.3 : 0,350,054 '4x ()
10/11201() 48,521.964 78,046.241 2lJ,524,277 ()2.2 ! \ J,506,UOI-i :0 i "
36
Schedule of Funding of Progress
GASB Statement No. 25
$ 8 5 .._.m.____m___......m_m.___..___..___m______.___.__m__...._m__.________._.____.___..__________
$75
$65
$55
'"
.~ $45
~ $35
$25
$15
$5
-$5
~~~$##$##########~##
~ ~ ~ ~ ~ , , ~ ~ ~ ~ ~ , ~ ~ , , ~ ~ ~
140%
120%
100%
80%
60%
40%
20%
0%
Actuarial Valuation Date
- Value of Assets
- (AAL) EntI)' Age
--*- Funded Ratio
Schedule of Funding of Progress
GASB Statement No. 25
---,-----.----.~-----~--._--.-,-,-..._.-----,~--,-.,--
$36
$33
$30
$27
$24
'" $21
s::
~ $18
~ $15
$12
$9
$6
$3
$0
-$3
$##$$#$~$~~##~####~~
, , , , , ~ , , , , , , ~ , ~ ~ ~ ~ ~ ~
Actuarial Valuation Date
350%
300%
250%
200%
150% ::c
'"
....
100% cS"
50%
0%
-50%
-100%
- Unfunded AAL
- Covered Payroll
-.- VAAL as % of Payroll
GRS
SCHEDULE OF CONTRIBUTIONS FROM EMPLOYER
~ND THE ST ATE OF FI~ORIDA
(GASH Statement No. 25)
Year Ended Annual Required ~ctual Percentage
September 30 Contribution Contribution Contributed
1991 $ 1171.784 $ fi76.466 100.7 %
1992 1)."4,614 634,614 100.U
1993 1'147,325 1147.325 10n.n
1994 fl26,697 626,697 100.n
1995 rn,247 n7,248 100 ()
1996 807,150 807,1S0 100.0
1997 776,723 776,724 100.0
1998 71 0,387 71 0,387 ] oO.n
1999 "97,198 597,198 100.0
2000 ,,] 2.235 I 446.493 87 '
2001 292,146 36S,715 125.2
2002 IQ5,167 82S.167 100.0
2003 1.3S9,690 ] ,422,244 ]04.6
2004 1.655,219 1.70S,S03 103.0
200S 1,988,852 2,028,59 ] 102.0
2006 2,339,S68 2,339,S68 [00.0
2007 2,664,373 2,664,373 100.0
2008 2,845.292 2,845,292 I 00 .0
2009 3,380,156 3,380,IS6 100.0
2010 3,678,119 3,688,496 100.3
GRS
38
ANNUAL PENSION COST AND NET PENSION OBLIGATION
(GASB STATEMENT NO. 27)
Employer FYE September 30 2011 2010 2009
Annual Required Contribution (ARC)* $ 3,606,278 $ 3,678,119 $ 3,380,156
Interest on Net Pension Obligation (NPO) (12,343) (11,910) (12,312)
Adjustment to ARC (17,656) (17,037) (17,185)
Annual Pension Cost (APC) 3,611,591 3,683,246 3,385,029
Contributions made ** 3,688,496 3,380,156
Increase (decrease) in NPO ** (5,250) 4,873
NPO at beginning of year (149,608) (144,358) (149,231)
NPO at end of year ** (149,608) (144,358)
* Includes expected State contribution.
** To be determined.
THREE YEAR TREND INFORMATION
Fiscal Annual Pension Actual Percentage of Net Pension
Year Ending Cost (APC) Contribution APC Contributed Obligation
9/30/2008 $ 2,849,553 $ 2,845,292 99.9 % $ (149,231)
9/30/2009 3,385,029 3,380,156 99.9 (144,358)
9/30/2010 3,683,246 3,688,496 100.1 (149,608)
GRS
REQUIRED SUPPLEMENTARY INF'ORMATION
GASH Statement No. 25 and No. 27
The information presented in the required supplementary schedules was determined as part of the actuarial
valuations at the dates indicated. Additional information as of the latest actuarial valuation:
Valuation date:
October ] " 20] 0
Contribution Rates:
Employer (and State)
Plan members
36.58%
12.00%
Actuarial Cost Method
Entry Age Normal
Amortization Method
Level percent, Closed
Remaining Amortization Period
30 years
Asset Valuation Method
5-yr smoothed market
Actuarial Assumptions:
Investment rate of return
8.10%
Projected salary increases
See Table in Actuarial
Assumptions Section
Includes inflation and other general increases at
Cost of Living adjustments
4.0%
2.0% starting 5 years
after retirement.
GRS
SECTION E
MISCELLANEOUS INFORMATION
GRS
40
RECONCILIATION OF MEMBERSHIP DATA
From 10/1/09 From 10/1/08
To 10/1/10 To 10/1/09
IA. Active Members I
1. Number Included in Last Valuation 118 123
2. New Members Included in Current Valuation 11 1
3. Non-Vested Employment Terminations (1) (1)
4. Vested Employment Terminations 0 0
5. DROP Participation (3) (2)
6. Service Retirements 0 (3)
7. Disability Retirements 0 0
8. Deaths 0 0
9. Number Included in This Valuation 125 118
lB. Terminated Vested Members I
1. Number Included in Last Valuation 0 0
2. Additions from Active Members 0 0
3. Lump Sum Payments/Refund of Contributions 0 0
4. Payments Commenced 0 0
5. Deaths 0 0
6. Other 0 0
7. Number Included in This Valuation 0 0
C. DROP Plan Members
1. Number Included in Last Valuation 6 5
2. Additions from Active Members 3 2
3. Retirements (1) (1)
4. Deaths Resulting in No Further Payments 0 0
5. Other 0 0
6. Number Included in This Valuation 8 6
D. Service Retirees, Disability Retirees and Beneficiaries
1. Number Included in Last Valuation 76 72
2. Additions from Active Members 0 3
3. Additions from Terminated Vested Members 0 0
4. Additions from DROP Plan 1 1
5. Deaths Resulting in No Further Payments (1) 0
6. Deaths Resulting in New Survivor Benefits 0 0
7. End of Certain Period - No Further Payments 0 0
8. Other -- Lump Sum Distributions 0 0
9. Number Included in This Valuation 76 76
GRS
ACTIVE PARTICIPANT DISTRIBUTION
I Years of Service to Valuation Date I
Age GrouD 0-1 1-2 2-3 3-4 4-5 5-9 10-14 15-19 20-24 25+ Totals
20-24 NO. n I II II , II "
-
TOT PAY 38.382 Il Ii II M,044 {j Ii II fl i12.426
AVGPAY 38.382 (I (l (I 64,044 i! Ii !I ,) ! ,213
25-29 NO. ..) 0 , ~ (I fl \! fl 20
'+
TOT PAY 160,215 0 200,926 61,693 453,862 2<;5,521 II II , 0 , ] 72.217
AVGPAY 40,054 0 50,232 61,693 M,8i' "7 \880 q II ! 0 ';;X.61 1
30-34 NO. ..) 0 , ) ! ~ II 0 11 0 2X
TOT PAY 157,106 0 111,561 12],987 467,398 1,034,278 0 Ii 0 1.:-0:92.330
AVGPAY 39,277 0 55,781 60,994 66,771 79,560 () (! !) 1>7583
35-39 NO. I 0 () I i) 16 12 1 II () , I
TOT PAY 40,447 0 0 63,499 0 1,278,552 1,146,688 116,543 () 2.M5,72<;
AVG PAY 40,447 0 0 63,499 () 79,910 95,557 ] 16,543 n () ~ ~,346
40-44 NO. () 0 0 : i '. l) () () 25
TOT PAY 0 0 0 56,972 53,396 579,848 839,462 626,757 109,873 0 2.266,308
AVGPAY () 0 0 56,972 53,396 82,835 lJ3274 104,460 !O9,873 0 \)(),652
45-49 NO. 0 0 0 (! !J , 6 ..) l 0 14
TOT PAY 0 0 () II II 92,055 596,904 406,708 372,028 0 1,467,695
AVG PAY () () II II () 92,055 99.484 101,677 124,009 0 : 114,835
50-54 NO. 0 0 0 () () 0 I I (I () ,
-
TOT PAY 0 0 0 () 0 0 102,325 118,440 I' 0 220,765
AVGPAY 0 () 0 0 0 () 102,325 118,440 () ilU83
55-59 NO. () 0 () (l II (l 0 i 0 1 ,
-
TOT PAY 0 () 0 (l (l () 0 109,901 () ')9,783 209,684
AVGPAY () () (l 0 II II 0 109,901 Ii 99.783 104,842
60-64 NO. 0 () 0 () II I 0 II 'I () I
TOT PAY 0 0 0 () () 122,740 0 0 {i 0 22,740
AVGPAY 0 0 0 II 0 ]22,740 0 Ii q () i 22,740
- - _u -- -- ------.. ~~-- ~._.__.__._. --~"_.._._--- --"---
TOT NO. 10 0 6 ~ 16 42 28 13 , I 125
..
TOT AMT 396,150 () 3 J 2,487 304,151 1,038,700 3,402,994 2,685,379 1,378,349 481,901 99,783 10,099,894
AVGAMT 39,615 0 52,081 60,830 64,919 81,024 95,906 106,027 120,475 99,783 80,799
GRS
42
INACTIVE P ARTICIP ANT DISTRIBUTION
Deceased with
Terminated Vested Disabled Retired Beneficiary
Total Total Total Total
Age Number Benefits Number Benefits Number Benefits Number Benefits
Under 20
20-24
25-29
30-34
35-39
40-44 1 99,293
45-49 39,373 9 579,407 1 29,935
50-54 19 882,604 1 57,724
55-59 21 990,196
60-64 12 668,270
65-69 6 278,429 1 15,695
70-74 4 119,038 1 14,517
75-79 1 43,884
80-84 4 116,257 6,496
85-89 7,190
90-94
95-99
100 & Over
Total 39,373 77 3,777,378 6 131,557
Average Age 45 58 68
Liability 658,226 45,060,796 1,111,434
GRS
SECTION F
SUMMARY OF PLAN PROVISIONS
GRS
43
SUMMARY OF PLAN PROVISIONS
A. Ordinances
Plan established under the Code of Ordinances for the City of Boynton Beach, Florida, Chapter 18,
Article N, and was most recently amended under Ordinance No. 10-016 passed and adopted on its
second reading on August 3, 2010. The Plan is also governed by certain provisions of Chapter 175,
Florida Statutes, Part Vll, Chapter 112, Florida Statutes and the Internal Revenue Code.
B. Effective Date
Date was not provided.
C. Plan Year
October 1 through September 30
D. Type of Plan
Qualified, governmental defined benefit retirement plan; for GASB purposes it is a single employer
plan.
E. Eligibility Requirements
All full-time firefighters are eligible to participate.
F. Credited Service
Service is measured as the total length of employment for which the firefighter received
Compensation from the City and made Member Contributions to the plan. No service is credited for
any periods of employment for which the member received a refund of their contributions.
G. Compensation
Cash compensation exclusive of bonuses and incentive pay, but including lump sum payment of
unused leave.
H. Final Average Compensation (FAC)
The average of Compensation over the highest 3 years during the last 10 years of Credited Service.
I. Normal Retirement
Eligibility:
A member may retire on the first day of the month coincident with or next
following the earlier of:
(1) age 55 and 10 years of Credited Service, or
(2) 20 years of Credited Service regardless of age.
GRS
Benefit
Nom1al Fom1
of Benefit:
COLA:
J. Early Retirement
Eligibility:
Benefit:
Normal Form
of Benefit:
COLA:
HlO% of FAC multiplied hy years ,,1' Credited Servll.:t'
] 0 Years Certain and Li fe thereafter; other options are also available.
Each retiree, beneficiary and disability retiree who retires or enters the DROP OIl or
after December 1, 2006 will receive a 2.0% increase in benefits on October 1 1'1
each year beginning 5 years after retirement.
A member may elect to retire earlier than the Normal Retirement Eligibility upon
attainment of age 50 and ] 0 years of Credited Service.
The Normal Retirement Benefit is reduced by 3.0% for each year by which the
Early Retirement date precedes the Normal Retirement date.
10 Years Certain and Life thereafter; other options are also available.
Each retiree, beneficiary and disability retiree who retires or enters the DROP on or
after December 1, 2006 will receive a 2.0% increase in benefits on October 1 ,I of
each year beginning 5 years after retirement.
K. Delayed Retirement
Same as Normal Retirement taking into account compensation earned and service credited until the
date of actual retirement.
L. Service Connected Disability
Eligibility:
Benefit:
Normal Form
of Benefit:
COLA:
Any member who becomes totally and permanently disabled as a result of an act
occurring in the performance of service for the City is immediately eligible for a
disability benefit.
662/3% of Compensation in effect on the date of disability, reduced by amounts
payable under Social Security PIA with a minimum benefit equal to 42% of F AC
Payable until death or recovery from disability; other options are also available
Each disability retiree who retires on or after December 1, 2006 will receive a 2.0%
increase in benefits on October 1 sl of each year beginning 5 years after retirement.
M. Non-Service Connected Disability
Eligibility:
Benefit:
Any member with 10 years of Credited Service who becomes totally and
permanently disabled is immediately eligible for a disability benefit.
2.5% of F AC multiplied by years of Credited Service with a minimum benefit equal
to 25% ofFAC.
r:R,
Normal Form
of Benefit:
COLA:
45
Payable until death or recovery from disability; other options are also available.
Each disability retiree who retires on or after December 1, 2006 will receive a 2.0%
increase in benefits on October I st of each year beginning 5 years after retirement.
N. Death in the Line of Duty
Eligibility:
Benefit:
Normal Form
of Benefit:
COLA:
Members are eligible for survivor benefits after the completion of 10 or more years
of Credited Service.
Spouse will receive 2.5% of the member's FAC multiplied by years of Credited
Service.
Paid until death or remarriage of spouse.
Each surviving spouse whose benefits began on or after December I, 2006 will
receive a 2.0% increase in benefits on October I st of each year beginning 5 years
after benefits began.
The beneficiary of a plan member with less than 10 years of Credited Service at the time of death
will receive a refund of the member's accumulated contributions.
O. Other Pre-Retirement Death
Eligibility:
Benefit:
Normal Form
of Benefit:
COLA:
Members are eligible for survivor benefits after the completion of 10 or more years
of Credited Service.
Spouse will receive 2.5% of the member's FAC multiplied by years of Credited
Service.
Paid until death or remarriage of spouse.
Each surviving spouse whose benefits began on or after December I, 2006 will
receive a 2.0% increase in benefits on October 1 st of each year beginning 5 years
after benefits began.
The beneficiary of a plan member with less than 10 years of Credited Service at the time of death
will receive a refund ofthe member's accumulated contributions.
P. Post Retirement Death
Benefit determined by the form of benefit elected upon retirement.
Q. Optional Forms
In lieu of electing the Normal Form of benefit, the optional forms of benefits available to all retirees
are a Single Life Annuity or the 50%, 66 2/3%, 75% and 100% Joint and Survivor options. A Social
Security option is also available for members retiring prior to the time they are eligible for Social
Security retirement benefits.
GRS
R. Vested Termination
Eligibility
Benefit:
Normal Form
of Benefit:
COLA:
A member has eamed a non-forfeitable right to Plan benefits after the completJ\\)! ,'I
10 years of Credited Service
The benefit is the member's accrued Normal Retirement Benefit as of the date () I
tennination. Benefit begins on the date that would have been the member's Nonnal
Retirement date had they continued employment. Altematively, members can elect Cl
reduced Early Retirement benefit any time after age 50.
10 Years Certain and Life thereafter; other options are also available.
Each member who retires on or after December L 2006 will receive a 2.()~o
increase in benefits on October 1 st of each year begimung 5 years after retirement
Members tenninating employment with less than 10 years of Credited Service will receive a refund
of their own accumulated contributions.
S. Refunds
Eligibility:
Benefit:
All members tenninating employment with less than 10 years of Credited Service
are eligible. Optionally, vested members (those with 10 or more years of Credited
Service) may elect a refund in lieu of the vested benefits otherwise due.
Refund of the member's contributions.
T. Member Contributions
12% of compensation
u. Employer Contributions
Chapter 175 Premium Tax Refunds and any additional amount detennined by the actuary needed to
fund the plan properly according to State laws.
V. Cost of Living Increases
Each retiree, beneficiary and disability retiree who retires or enters the DROP on or after December
1, 2006 will receive a 2.0% increase in benefits on October 1 st of each year beginning 5 years after
retirement.
w. Changes from Previous Valuation
Members may now purchase pennissive service credits which allow for a multiplier enhancement
of 3.0% for each year purchased.
x. 13th Check
In years in which a cumulative net actuarial gain has been detennined, there shall be payable an ad-
hoc thirteenth check paid in December.
r:R~
47
Y. Deferred Retirement Option Plan
Eligibility:
Plan members who have less than 30 years of Credited Service but have met one of
the following criteria are eligible for the DROP:
(1) age 55 with 10 years of Credited Service, or
(2) 20 years of Credited Service regardless of age.
Members who meet eligibility must submit a written election to participate in the
DROP.
Benefit:
The member's Credited Service and F AC are frozen upon entry into the DROP.
The monthly retirement benefit as described under Normal Retirement is calculated
based upon the frozen Credited Service and F AC.
Maximum
DROP Period: The earlier of 5 years of participation in the DROP or 30 years of employment.
Interest
Credited:
The member's DROP account is credited at an interest rate based upon the option
chosen by the member. Members must elect from 1 of the 3 following options:
1. Gain or loss at the same rate earned by the Plan, or
2. Guaranteed rate of 7%, or
3. The rate earned by a self-directed account utilizing mutual funds selected by
the Board.
Normal Form
of Benefit:
Options include a lump sum or equal periodic payments.
COLA:
Each member who enters the DROP on or after December 1, 2006 will receive a
2.0% increase in benefits on October 1 st of each year beginning 5 years after
retirement.
Z. Other Ancillary Benefits
There are no ancillary retirement type benefits not required by statutes but which might be deemed
a City of Boynton Beach Municipal Firefighters' Pension Trust Fund liability if continued beyond
the availability of funding by the current funding source.
GRS
~--~~- -~-----~~~~._--~-~-_._-_.._-
City of Boynton Beach
Firefighters'
Retirement System
2nd Quarter 2011
\\ \\. \\. IH)(, D J\ I f N <; R (l U 1'. (l ) M
z~
::c::J
~~
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N
The Market Environment
Major Market Index Performance
Period Ended: June 30, 2011
· The second quarter was once again fraught with a long list of
macro issues for investors to digest. Although none of these
issues were necessarily new, there were certainly new elements
to drive market volatility. Domestically, investors anticipated the
ramifications of the end of the Fed's $600 billion Treasury
purchase program (QEII) on June 30, 2011. In addition, the
politicization of the looming deadline to raise the U.S. debt
ceiling increased investor uncertainty regarding the "financial
bedrock" of the world's risk-free asset and the possibility of a
U.S. default. Outside of the U.S., many Euro-based countries
continued to wrestle with the potential of punitive capital market
rates versus the adoption of tough austerity measures tied to any
potential aid package.
· Domestically, large cap stocks, as measured by the S&P 500,
managed to generate a return of 0.1 % for the quarter despite a
pullback of roughly 7% intra-quarter. While the Russell MidCap
index posted a slightly higher return of 0.4% over the period, the
Russell 2000 index (small cap) returned a disappointing -1.6%.
This quarter's performance represents the first time that the
results of small cap issues have trailed their large cap
counterparts since the 4th quarter of 2009.
· Broad market international equity results were also positive for
the quarter with the MSCI-ACWxUS index returning 0.6% in U.S.
Dollars (USD). The emerging market component of the broad
international index was a drag on the quarter's results with the
MSCI-EM index posting a return of -1.0% for the quarter. The
USD's continued weakness boosted un-hedged U.S. investor
international equity returns by roughly 200 basis points (bps) for
the quarter.
· Despite concerns over inflation and the timing of the removal of
accommodative Fed policies, each of the fixed income indices
experienced positive performance for the quarter with the broad
market Barclays US Aggregate index returning 2.3%.
Quarter Performance
MSCI ACWxUS
MSCI EAFE
MSCI Emerg Mkts -1.0%
S&P 500
Russell 3000
Russell 1000
Russell MidCap -1.6%
Russell 2000
Barclays US Agg
Barclays US Govt
Barclays US TIPS
Barclays MBS
Barclays Corp IG
3-Month T-Bill
MSCI ACWxUS
MSCI EAFE
MSCI Emerg Mkts
S&P 500
Russell 3000
Russell 1000
Russell MidCap
Russell 2000
Barclays US Agg
Barclays US Govt
Barclays US TIPS
Barclays MBS
Barclays Corp IG
-2.0%
1.8%
-~--
2.3%
2.2%
3.7%
2.3%
2.3%
0.0%
-1.0%
0.0%
1.0%
2.0%
30%
4.0%
1- Year Performance
3-Month T-BiII 0.1%
2
0.0%
38.5%
37.4%
10.0%
20.0%
30.0%
40.0% 50.0%
~ THE
It .. BOGDAHN
The Market Environment
Major Market Index Performance
Period Ended: June 30,2011
· The second quarter was once again fraught with a long list of
macro issues for investors to digest. Although none of these
issues were necessarily new, there were certainly new elements
to drive market volatility. Domestically, investors anticipated the
ramifications of the end of the Fed's $600 billion Treasury
purchase program (QEII) on June 30, 2011. In addition, the
politicization of the looming deadline to raise the U.S. debt
ceiling increased investor uncertainty regarding the "financial
bedrock" of the world's risk-free asset and the possibility of a
U.S. default. Outside of the U.S., many Euro-based countries
continued to wrestle with the potential of punitive capital market
rates versus the adoption of tough austerity measures tied to any
potential aid package.
· Domestically, large cap stocks, as measured by the S&P 500,
managed to generate a return of 0.1 % for the quarter despite a
pullback of roughly 7% intra~quarter. While the Russell MidCap
index posted a slightly higher return of 0.4% over the period, the
Russell 2000 index (small cap) returned a disappointing -1.6%.
This quarter's performance represents the first time that the
results of small cap issues have trailed their large cap
counterparts since the 4th quarter of 2009.
· Broad market international equity results were also positive for
the quarter with the MSCI-ACWxUS index returning 0.6% in U.S.
Dollars (USD). The emerging market component of the broad
international index was a drag on the quarter's results with the
MSCI-EM index posting a return of -1.0% for the quarter. The
USD's continued weakness boosted un-hedged U.S. investor
international equity returns by roughly 200 basis points (bps) for
the quarter.
· Despite concerns over inflation and the timing of the removal of
accommodative Fed policies, each of the fixed income indices
p.xQp.rip.nC;flfLOOlilliyl'l tillrtQ[m<i.nj:;~fQ[-1~ q uart~r'{lfith.thEl_ prOqs:!
Quarter Performance
MSCI ACWxUS
MSCIEAFE
MSCI Emerg Mkts -1.0%
S&P 500
Russell 3000
Russell 1000
Russell MidCap -1.6%
Russell 2000
Barclays US Agg
Barclays US Govt
Barclays US TIPS
Barclays MBS
Barclays Corp IG
3-Month T-Bill
MSCI ACWxUS
MSCI EAFE
MSCI Emerg Mkts
S&P 500
Russell 3000
Russell 1000
Russell MidCap
Russell 2000
Barclays US Agg
Barclays US Govt
Barclays US TIPS
Barclays MBS
Barclays Corp IG
-2.0%
2.3%
2.2%
3.7%
2.3%
2.3%
0.0%
-1.0%
0.0%
1.0%
2.0%
3.0%
4.0%
1-Year Performance
3-Month T-Bill 0.1%
0.0%
38.5%
37.4%
10.0%
30.0%
20.0%
40.0%
50.0%
The Market Environment
GICS Sector Performance & (Sector Weight)
Period Ended: June 30, 2011
· Reviewing the Global Industry Classification Standard (GICS)
sectors of the Russell 1000 large cap stock index, performance
varied by 1,200 bps from best to worst. Within the ten economic
sectors, five were positive and five were negative. In stark
contrast to last quarter, led by a selloff in oil, the energy sector
posted one of the weakest results during the 2nd quarter with a
return of -5.0%. Only the financial sector posted a weaker result
with a return of -5.3%. While the health care sector's return of
7.2% was the strongest sector result for the quarter, the
consumer staples' sector return of 5.6% represented a strong
turnaround after posting the weakest large cap sector
performance during the 1 st quarter.
· GICS sector results in the Russell 2000 small cap index were
also mixed during the quarter with the same five sectors posting
negative and positive results, respectively. However, small cap
sector performance was spread over a wider 2,260 bps. Much
like the large cap benchmark, the energy sector posted weak
sector performance for the quarter with a return of -7.0%. The
more mild positive performance posted by the small cap GICS
sectors for the quarter resulted in overall negative performance
for the growth, value and core benchmarks.
· All ten sectors of both the Russell 1000 and Russell 2000
benchmarks posted strong positive results over the one-year
period. Energy, materials and consumer discretionary issues
dominated large cap results with sector performance in excess of
40% for the year. The one-year sector results for small cap
issues favored energy, materials, information technology and
telecommunication services with each sector returning in excess
of 49%.
Energy (12.3%)
Materials (4.1 % )
Industrials (11.4%)
Consumer Disc (11.3%)
Consumer Staples (9.8%)
Health Care (11.5%)
Financials (15.4%)
Info Technology (17.8%)
Telecom Services (2.9%)
Utilities (3.5%)
Energy (6.8%)
Materials (5.7%)
Industrials (15.1%)
Consumer Disc (13.1 %)
Consumer Staples (3.1%)
Health Care (13.0%)
Financials (20.4%)
Info Technology (18.9%)
Telecom Services (0.9%)
Utilities (3.1%)
Russell 1000
'_Quarter D1-Yearl
-5.0%
52.80
46.1%
38.9%
42.3%
28.2%
29.6%
-5.3%
14.5%
27.3%
37.2%
25.0%
-20.0% -10.0% 0.0%
10.0% 20.0% 30.0% 40.0% 50.0% 60.0%
Russell 2000
I_Quarter D1-Yearl.
-7.0%
66.3%
53.7%
37.0%
36.1%
32.2%
36.7%
20.5%
49.1%
15.6%
49.3%
29.0%
-20.0%
0.0%
20.0%
40.0%
60.0%
80.0%
?\
THE
Rr\r:'.nA U1'I.T
r
I
The Market Environment
Top 10 Index Weights & Quarterly Performance for the Russell 1000 & 2000
Period Ended: June 30, 2011
Top 10 Weighted Stocks
Russell 1000 Symbol Weight Return Sector
Exxon Mobil Corp XOM 3.08% -2.7% Energy
Apple Inc AAPL 2.26% -3.7% Information Technology
IBM IBM 1.54% 5.7% Information Technology
Chevron Corp CVX 1.53% -3.5% Energy
General Electric Company GE 1.53% -5.2% Industrials
Microsoft Corp MSFT 1.40% 3.2% Information Technology
Procter & Gamble Co PG 1.36% 4.0% Consumer Staples
At&T Inc T 1.34% 4.1% Telecomm Service
Johnson & Johnson JNJ 1.31% 13.2% Health Care
JPMorgan Chase & Co JPM 1.27% -10.7% Financials
Top 10 Performing Stocks
Russell 1000 Symbol WeIght Return Sector
National Semiconductor Corp NSM 0.04% 71.6% Information Technology
Level 3 Communications Inc LVLT 0.02% 66.0% Telecomm Service
Biogen Idec Inc BIIB 0.16% 45.7% Health Care
Herbalife Ltd HLF 0.04% 42.2% Consumer Staples
Southem Union Co SUG 0.03% 40.9% Energy
Green Mountain Coffee Roasters GMCR 0.06% 38.2% Consumer Staples
Carpenter Technology Corp CRS 0.02% 35.5% Materials
Hansen Natural Corp HANS 0.03% 34.4% Consumer Staples
Tempur Pedic International Inc TPX 0.03% 33.9% Consumer Discretionary
Sirius XM Radio Inc SIRI 0.06% 31.9% Consumer Discretionary
8olloFll to P0rlorrntllg Slo{ k~.
Russell 10011 Symhol Welgll' Hplllrll S('( 101
Frontline Ltd FRO 0.01% -39.5% Energy
Community Health Systems Inc CYH 0.02% -35.4% Health Care
Lender Processing Services Inc LPS 0.02% -34.8% Information Technology
Micron Technology Inc MU 0.06% -34.7% Information Technology
Memc Electronic Materials Inc WFR 0.02% -34.2% Information Technology
Clearwire Corp CLWR 0.01% -32.4% Telecomm Service
Aeropostale Inc ARO 0.01% -29.5% Consumer Discretionary
Forest Oil Corp FST 0.03% -29.4% Energy
Ciena Corp CIEN 0.02% -29.2% Information Technology
Skyworks Solutions Inc SWKS 0.04% -29.1% Information Technology
Source: Thompson Financial
l..
Top 10 Weighted Stocks
Russell 2000 Symbol WeIght Return Sector
Riverbed Technology Inc RVBD 0.35% -7.4% Information Technology
Tibco Software Inc TIBX 0.35% -3.4% Information Technology
Verifone Systems Inc PAY 0.31% -24.9% Information Technology
Rackspace Hosting Inc RAX 0.31% -5.5% Information Technology
American Capital Agency Corp AGNC 0.28% 3.4% Financials
Nordson Corp NDSN 0.27% -10.6% Industrials
Brigham Exploration Co BEXP 0.27% -27.7% Energy
Acme Packet Inc APKT 0.26% -8.2% Information Technology
Amerigroup Corp AGP 0.26% 0.1% Health Care
Deckers Outdoor Corp DeCK 0.26% -3.6% Consumer Discretionary
Top 10 Performing Stocks
Russell 2000 Symbol WeIght Return Sector
Global Crossing Ltd GLBC 0.07% 175.7% Telecomm Service
Nature's Sunshine Products Inc NATR 0.01% 117.4% Consumer Staples
Conn's Inc CONN 0.01% 93.1% Consumer Discretionary
Orthovita Inc VITA 0.02% 82.6% Health Care
Bames And Noble Inc BKS 0.04% 80.4% Consumer Discretionary
Doral Financial Corp DRL 0.00% 78.2% Financials
Pharmacyclics Inc PCYC 0.03% 77.2% Health Care
Empire Resorts Inc NYNY 0.00% 71.0% Utilities
Complete Genomics Inc GNOM 0.01% 69.2% Health Care
Ems Technologies Inc ELMG 0.03% 67.7% Information Technology
Bottom 10 Pcdorrlllllg Slo{ ks
Russell 2000 Symhol Weight Return Sf'clor
Lee Enterprises Inc LEE 0.01% -69.7% Consumer Discretionary
Evergreen Solar Inc ESLR 0.00% -63.7% Information Technology
American Superconductor Corp AMSC 0.05% -63.7% Industrials
Ener1 Inc HEV 0.01% -62.8% Industrials
Biomimetic Therapeutics Inc BMTI 0.01% -60.9% Health Care
Compucredit Holdings Corp CCRT 0.00% -60.4% Financials
Pmi Group Inc PMI 0.02% -60.4% Financials
Pain Therapeutics Inc PTlE 0.03% -59.5% Health Care
Lecg Corporation XPRT 0.00% -57.3% Industrials
Smith Micro Software Inc SMSI 0.02% -55.0% Information Technology
5
If" ~ BOGDAHN
,--' GROUP
The Market Environment
International and Regional Market Index Performance (# Countries)
Period Ended: June 30, 2011
· Although the broad market international index posted positive
performance for the quarter in U.S. Dollars (USD), emerging
markets were negative during the period. The MSCI-ACWxUS
index returned a mild 0.6% for the quarter while the Emerging
Markets index posted a weaker -1.0%. The MSCI-EAFE index,
which excludes the emerging market countries, returned a
stronger 1.8% for the quarter. Japan, which was a large drag on
international market results during the 1 st quarter, managed to
post a positive USD return of 0.2% for the 2nd quarter.
· Much like domestic equity markets, the performance of the
MSCI-ACWxUS index was held back by weak results in the
energy (-5.3%) and financial (-0.9%) sectors.
· The impact of currency movements on returns for the quarter
was significant. While the USD returns for many of the
international equity indices were positive, the local currency
returns were unilaterally lower, which reflected further
depreciation of the USD relative to other currencies.
· Over the one-year period, the performance of developed and
emerging markets were similar with the MSCI-EAFE index
returning 30.9% and the MSCI-EM index returning 28.2%.
Europe represented the dominant regional performance for both
developed (36.8%) and emerging (41.1 %) markets over the one-
year period. Each of the broad and regional benchmark indices
clearly illustrate the substantial depreciation of the USD relative
to other currencies over the trailing one-year period.
Source: MSCI
AC World x US (44)
WORLD x US (23)
EAFE (22)
Europe (16)
Pacific (5)
Emerging Mkt (21)
EM Europe (5)
EM Asia (8)
EM Latin Amer (5)
AC World x US (44)
WORLD x US (23)
EAFE (22)
Europe (16)
Pacific (5)
Emerging Mkt (21)
EM Europe (5)
EM Asia (8)
EM Latin Amer (5)
6
QuarterPerlormance
-2.6%
-3.1%
-4.1%
-5.7%
-8.0%
-6.0%
-4.0%
1- Year Perlormance
I . USD 0 Local Currency I
-2.6%
1.8%
2.9%
4.0%
21.0%
7.0%
28.2%
17.1%
41.1%
26.9%
26.1%
18.0%
26.3%
11.1%
10.0% 20.0% 30.0% 40.0% 50.0%
0.0%
1.1%
0.1%
-1.1%
-2.5%
-2.0%
0.0%
2.0%
I - USD 0 Local Currency I
30.3%
30.9%
30.9%
36.8%
?"
~
THE
BOGDAHN
GROUP.
The Market Environment
u.s. Dollar International Index Attribution & Country Detail
Period Ended: June 30, 2011
MSCI- EAFE Sector Weight Quarter Return 1-Year Return
Energy 8.1% -2.9% 45.6%
Materials 11.3% 1.1% 45.0%
Industrials 12.9% -0.2% 34.9%
Consumer Discretionary 10.5% 6.8% 37.5%
Consumer Staples 10.2% 7.6% 28.5%
Health Care 8.7% 8.9% 27.0%
Financials 23.5% -0.5% 24.5%
Information Technology 4.7% -0.9% 18.0%
Telecommunication Services 5.5% 0.6% 34.5%
Utilities 4.7% -0.4% 13.6%
Total 100.0% 1.8% 30.9%
MSCI- ACWlxUS Sector Weight Quarter Return 1-Year Return
Energy 11.2% -5.3% 37.5%
Materials 12.9% -1.3% 40.1%
Industrials 11.0% 0.1% 34.8%
Consumer Discretionary 9.3% 6.9% 38.8%
Consumer Staples 8.8% 7.4% 29.6%
Health Care 6.3% 8.6% 27.6%
Financials 24.5% -0.9% 24.9%
Information Technology 6.2% -3.0% 19.2%
Telecommunication Services 5.7% 1.5% 30.4%
Utilities 4.1% 0.3% 14.6%
Total 100.0% 0.6% 30.3%
Source: MSCI
.
. . . . . -. -
United Kinadam 21.3% 14.5% 1.7% 34.1%
Jaoan 20.0% 13.7% 0.2% 13.2%
France 10.5% 7.1% 5.3% 43.4%
Germany 9.0% 6.2% 7.0% 47.0%
Australia 8.6% 5.9% -0.6% 41.1%
Switzerland 8.4% 5.7% 7.3% 33.2%
Spain 3.6% 2.5% 2.1% 35.8%
Sweden 3.1% 2.1% 0.8% 42.5%
Italy 2.8% 1.9% -1.8% 31.0%
Hong Kong 2.7% 1.9% -1.0% 26.0%
Netherlands 2.5% 1.7% -4.2% 25.5%
Singapore 1.7% 1.2% 2.0% 25.4%
Denmark 1.1% 0.7% -6.4% 29.3%
Finland 1.0% 0.7% -6.8% 27.5%
Belgium 1.0% 0.7% 3.1% 25.5%
Norwav 0.9% 0.6% -1.1% 53.0%
Israel 0.7% 0.5% -2.4% -6.9%
Austria 0.3% 0.2% 2.1% 55.3%
Portuaal 0.3% 0.2% 1.5% 32.2%
Ireland 0.3% 0.2% 7.6% 20.9%
Greece 0.2% 0.2% -16.3% 3.0%
New Zealand 0.1% 0.1% 11.4% 47.4%
. . II ", .. I ".
Canada I I 8.0% I -4.6% I 31.0% I
. . . . I",
China 4.1% -1.8% 12.7%
Brazil 3.7% -4.0% 24.2%
Korea 3.5% 0.9% 43.5%
Taiwan 2.6% 1.7% 37.0%
India 1.7% -3.6% 8.0%
South Africa 1.7% -2.0% 36.5%
Russia 1.6% -5.4% 45.4%
Mexico 1.0% -0.6% 30.1%
Malavsia 0.8% 3.6% 35.3%
Indonesia 0.6% 8.0% 32.4%
Chile 0.4% 8.8% 40.8%
Poland 0.4% 4.2% 57.8%
Thailand 0.4% -1.9% 43.4%
TUrkev 0.3% -3.9% 10.7%
Colombia 0.2% 5.9% 33.2%
Philipoines 0.1% 3.3% 25.5%
Peru 0.1% -15.2% 7.3%
Hunaarv 0.1% 1.7% 40.8%
Czech Republic 0.1% 6.3% 40.2%
Eo""t 0.1% -1.2% -12.0%
Tottll Elller~Jlrlg Countnes 237% -10% 28.2%
Tol..1 ACWlxUS Countrres 100.0% O.6fXI 30.3%
Me
000;'
17 50;'
120;'
7
~ b BOGDAHN
,---"""GROUP
The Market Environment
Domestic Credit Sector & Broad Market Maturity Performance
Period Ended: June 30,2011
· Domestic broad fixed income results were positive during the
quarter. Within the broad benchmark's segments, the
government, mortgage and corporate portions of the index all
produced similarly positive results. The falling yields during the
quarter were a benefit to all fixed income indices. However,
Treasury inflation protected securities (TIPS) posted the
strongest result with a return of 3.6%. In contrast to the strength
in TIPS, lower quality corporate issues, as represented by the
high yield benchmark (<888), posted a weaker, but still positive,
return of 1.0% as lower quality credit spreads widened to reflect
investor concerns over the strength of continued economic
recovery.
· The trailing one-year returns were solid for the various broad and
sector-based fixed income indices. Unlike the most recent
quarter, the one-year results also illustrate that investors were
compensated for holding lower quality issues. This
outperformance is attributable to a relatively narrow Treasury
yield curve as well as credit compression driven by mild
economic recovery and investors searching for yield.
Source' Bank of America/Merrill Lynch Index Sysfem
1-3yr G/M/C
1-5yr G/M/C
1-10yr G/M/C
10+yr G/M/C
1-3yr G/M/C
1-5yr G/M/C
1-10yr G/M/C
10+yr G/M/C
8
Quarter Performance
AAA
AA
A
BBB
3.3%
<BBB
Govt
TIPS
3.6%
Mort
0.0%
1.0%
2.0%
3.0%
4.0%
1-Year Performance
AAA
AA
A
BBB
<BBB
Govt
TIPS
15.4%
Mort
0.0%
5.0%
10.0%
15.0%
20.0%
if" * IiOGDAHN
",.- GROUP
The Market Environment
Market Rate & Yield Curve Comparison
Period Ended: June 30, 2011
· There was no action by the Fed on short-term rates during the
quarter so the fed funds rate remained unchanged (targeted at
0.0% to 0.25%). The real story of the quarter was the market's
anticipation on the impact of the end of the Fed's $600 billion
Treasury purchase program (QEII). Since this program
represented a significant buyer of Treasury issuance, the general
feeling was that rates would rise in anticipation of such a large
buyer leaving the market. However, continued weak economic
and employment data drove Treasury rates lower for most of the
.quarter before reversing their course in June. The 10-year
Treasury finished the quarter 29 basis points lower at a yield of
3.18%. Most of these Treasury rate decreases flowed through to
the performance of investment grade corporate issues as the
BAA/10yr spread only widened by 14 basis points during the
quarter.
· Rates along the yield curve decreased for all maturities during
the quarter. However, due to the steepness of the yield curve,
the absolute differentials were greater for longer maturities. The
average yield decrease for maturities of up to one-year was 7
bps while the average yield decrease for maturities beyond one-
year was 33 bps.
Source: Mortgage-x. com. us Department of Treasury & St. Louis Fed
9
5.50
1-Year Trailing Market Rates
5.00
- Fed Funds Rate - TED Spread
- BAA/1 Oyr Spread - 1 Oyr Treasury
-3-Month Libor
-10yr TIPS
4.50
4.00
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0.00
Jun-10
Sep-10
Dec-10
Mar-11
Jun-11
Treasury Yield Curve
5.50
5.00
_6/30/2010 <> 12/31/2010 --3/31/2011 __6/30/2011
4.50
4.00
3.50
3.00
2.50
2.00
1.50
1.00
0.50
0.00
1 mo 3 mo 6 mo 1 yr 2 yr 3 yr 5 yr 7 yr 10 yr 20 yr 30 yr
if' I BOGDAHN
,..." GROUP.
The Market Environment
The Equity Market (S&P 500) Recovery: An Update on Where We Stand
Period Ended: June 30,2011
· The SPX Index measures the daily price change in the S&P 500
(excluding dividends). The CBOE Volatility Index (VIX) is a
measure of market expectations of near-term volatility conveyed
by S&P 500 stock index option prices. It acts as a barometer of
investor sentiment and market volatility.
· After reaching a peak of 1,565.15 on 10/9/2007, the SPX fell to a
low of 676.53 on 3/9/09. This drop of 888 points on the index
represented a loss of 56.8% from its peak. As the chart
illustrates, the market decline was coupled with a significant
increase in market volatility as measured by the VIX.
· From the 676.53 Iowan 3/9/2009, the SPX index has rose to
1,320.64 as of 6/30/2011. This 644.11 point gain from the low
has represented a price return of 95.2%. As would be expected,
this equity market gain was coupled with a reduction in investor
pessimism as the VIX decreased to a more historical level.
· Despite a more than 95% gain since its low, the index remains
244.51 points or 18.5% below its price peak level. We call this
phenomenon the "cruelty of math" in that a drop of more than
50% in value will require a gain in excess of 100% to reach the
original level.
· The last time we presented this annualized return chart
(9/30/2009), the recovery data was much more grim. This chart
illustrates the annualized return that the SPX will be required to
post from its current level to reach its previous peak of 1,565.15.
In order to put these numbers in a little more perspective, we
have also included the original required annualized return data
from the 9/30/2009 chart.
Source: Yahoo Finance
10
1,600
SPX (S&P 500) Index Level
1,565.15
VIX Index Level
1,300
1,500
-S&P500l
-VIX i
1,400
1,200
1,100
1,000
900
800
700
600
~ ,..:~"'"
...~~ ...tV'"
~~~~
...tV'" ~
~~
...tV"iJ
~...<::J ......
...tV'" rd.tf>\
Annualized SPX return required to reach 10/9/07 index peak
50% 48.1%
40%
("0 as of 913'0/2009 ~I
. as of 6/30/2011 :
30%
21.7%
20% 1U~
10%
0%
.J..e~
...'
.J..,OJ
"i
~..
.J..0'6
'l1
~OJ ~..
.J..e'6 .J..0'1>
Of ...f::t
-6-"
.J..e
bI'
.J..0~OJ
"i
~OJ -6-"
.J..e'6 .J..0
'l1 ""
~..
.J..e'6
'V
100
90
80
1,320.64
70
60
50
40
30
20
10
o
IF" BOGDAHN
,__J GROUP
The Market Environment
"We Have a Plan"
An Outline of the Fed's Exit Strategy Principles
At its meeting on June 21 & 22, the Fed concluded an ongoing market debate by defining a set of "exit strategy principles"
that outline how the Committee will eventually exit from its long-running, accommodative monetary policy. The following
statement of principles was taken directly from the minutes of the June meeting (with emphasis added).
· The Committee will determine the timinq and pace of policy normalization to promote its statutory mandate of maximum
employment and price stability.
· To begin the process of policy normalization, the Committee will likely first cease reinvestinq some or all payments of principal on
the securities holdinqs in the System Open Market Account (SOMA).
· At the same time or sometime thereafter, the Committee will modify its forward quidance on the path of the federal funds rate and
will initiate temporary reserve-draininq operations aimed at supporting the implementation of increases in the federal funds rate
when appropriate.
· When economic conditions warrant, the Committee's next step in the process of policy normalization will be to beqin raisinq its
tarqet for the federal funds rate, and from that point on, chanqinq the level or ranqe of the federal funds rate tarqet will be the
primary means of adiustinq the stance of monetary policy. During the normalization process, adjustments to the interest rate on
excess reserves and to the level of reserves in the banking system will be used to bring the funds rate toward its target.
· Sales of aqencv securities from the SOMA will likely commence sometime after the first increase in the tarqet for the federal
funds rate. The timing and pace of sales will be communicated to the public in advance; that pace is anticipated to be relatively
gradual and steady, but it could be adjusted up or down in response to material changes in the economic outlook or financial
conditions.
· Once sales begin, the pace of sales is expected to be aimed at eliminating the SOMA's holdings of agency securities over a
period of three to five years, thereby minimizing the extent to which the SOMA portfolio might affect the allocation of credit across
sectors of the economy. Sales at this pace would be expected to normalize the size of the SOMA securities portfolio over a
period of two to three years. In particular, the size of the securities portfolio and the associated quantity of bank reserves are
expected to be reduced to the smallest levels that would be consistent with the efficient implementation of monetary policy.
· The Committee is prepared to make adjustments to its exit strategy if necessary in light of economic and financial developments.*
-There's always a catch
11
IF" I BOGDAHN
,........ GROUP.
Boynton Beach Firefighters' Retirement System
June 30, 2011
\"t'l \lIot'atioll B~ SI~ It' as of \la.' - 2UII
March 31, 2011 : $54,133,083
\,,1'1 \lIot"alioll Ih SI, It- - ( IIITt'II1 ()lIarlt'r
June 30, 2011 : $54,754,631
Segments Market Value Allocation Segments Market Value Allocation
($) (%) ($) (%)
. Domestic Equity 26,667,490 49.3 . Domestic Equity 22,808,682 41.7
iii International Equity 8,011,094 14.8 . International Equity 8,I6U21 ]4.9
. Fixed Income 10,811.607 20.0 . Fixed Income ] 0,960,545 20.0
. Real Estate 4,634,414 8.6 . Rea] Estate 4,778.283 8.7
. Cash 1,382,481 2.6 . Cash 2,350,] 81 4.3
Global Other 2,625,997 4.9 Global Other 5,695,619 10.4
12
{'
TilE
BOGDAHN
GROUP
Boynton Beach Firefighters' Retirement System
June 30, 2011
\sset .\lIocatiou B~ \Illllager as of \Iar - 2011
.\sset ,\lIocatiou B~ \hlllager - Curreut Quarter
March 31, 2011 : $54,133,083
June 30, 2011 : $54,754,631
Market Value Allocation Market Value Allocation
($) (%) ($) (%)
. STW Fixed Income 9.089.486 16.8 . STW Fixed Income 9.186.014 16.8
Iii Manning & Napier Overseas (EXOSX) 8.01 1.094 14.8 III Manning & Napier Overseas (EXOSX) 8.161.321 14,<}
. Dalton All Cap Value 6.889.076 12.7 . Dalton All Cap Value 6.826.545 12.5
. Anchor All Cap Value 6.511.052 12.0 . Anchor All Cap Value 6.595.640 12.0
. DSM Largc Cap Growth 5.672.553 10.5 . DSM Large Cap Growth 5.729.721 10.5
Intercontinental 4.634.414 8.6 Intercontinental 4.778.283 8.7
III!! Atalanta Large Cap Growth 4.515.276 8.3 III Atalanta Large Cap Growth 4.413.328 8.1
II Templeton Global Bond Fund (TGBAX) 1.323.512 2.4 II Templeton Global Bond Fund (TGBAX) 2.870.887 5.2
. PIMCO Diversified Income Fund (PDIIX) 1.308.569 2.4 . PIMCO Diversitied Income Fund (PDIIX) 2.837.641 5.2
. STW TIPS 1.963.687 3.6 . STW TIPS 2.025.892 3.7
. Receipt & Disbursement 530.444 1.0 . Receipt & Disbursement 719.767 1.3
Vanguard 500 Index Signal (VIFSX) 3.553.973 6.6 '!: Vanguard 500 Index Signal (VIFSX) 550.581 1.0
. Mutual Fund Cash 129.946 0.2 . Mutual Fund Cash 59.011 0.1
13
G BOGDAHN
\i; GROUP.
Boynton Beach Firefighters' Retirement System
Asset Allocation vs* Target Allocation
As of June 30,2011
June 30, 201 )
Yanguard 500 Index Signal (YIFSX) -4001)
DSM Large Cap Growth .0.50/0
Atalanta Large Cap Growth _I 90'0
Anchor All Cap Yalue 2.0%
Dalton All Cap Yalue 2.5'\00
Manning & Napier Overseas Fund (EXOSX) -0.1%
STW Fixed Income -3 2 0/0
STW TIPS -13%
PIMCO Diversified Income Fund (PDIIX) 27%
Templeton Global Bond Fund (TGBAX) 2.7%
Intercontinental -13%
Receipt & Disbursement 1.3%
Mutual Fund Cash 01%
-10.0% -8.0% -6.0% -4.0% -2.0% 0.0% 2.0% 4.0% 6.0% 8.0% 10.0%
. Allocation Differences
June 30, 2011
Market Value Allocation Target
($) (%) (%)
Vanguard 500 Index Signal (VIFSX) 550,581 1.0 5.0
DSM Large Cap Growth 5,729,721 \0.5 10.0
Atalanta Large Cap Growth 4.413328 8.1 10.0
Anchor All Cap Value 6.595.640 12.0 10.0
Dalton All Cap Value 6,826,545 12.5 10.0
Manning & Napier Overseas Fund (EXOSX) 8.16U21 14.9 15.0
STW Fixed Income 9.186,014 16.8 20.0
STW TIPS 2.025,892 3.7 5.0
PIMCO Diversified Income Fund (PDIIX) 2,837,641 5.2 2.5
Templeton Global Bond Fund (TGBAX) 2,870,887 5.2 2.5
Intercontinental 4.778283 8.7 10.0
Receipt & Disbursement 719,767 1.3 0.0
Mutual Fund Cash 59,011 0.\ 0.0
14 {" "BOGDAHN
.,0 GROUP
Boynton Beach Firefighters' Retirement System
Asset Allocation History by Portfolio
As of June 30, 2011
./1111-2011 "ar-2011 Dee-201ll Sep-201ll ./1111-20 III
(S) '~) (S) '~, (S) '~) (S) '~. (S) '~)
Total Equity 32,277,136 58.95 35,153,024 64.94 33,381,206 64.11 27,635,600 59.88 24,928,850 59.01
Total Domestic Equity 24,115,815 44.04 27,141,930 50.14 25,780,937 49.51 23,522,439 50.97 21,357,679 50.56
Anchor All Cap Value 6,595,640 12.05 6,511,052 12.03 6,167,869 11.84 5,661.842 12.27 5,063,270 11.99
Dalton All Cap Value 6,826,545 12.47 6,889,076 12.73 6.429,655 12.35 5,925,157 12.84 5,289,891 12.52
Vanguard 500 Index Signal (VIFSX) 550,581 1.01 3553,973 6.57 3,355,754 6.44 3,030,011 6.57 3,120,966 7.39
Atalanta Large Cap Growth 4.413328 8.06 4,515,276 8.34 4.342,228 8.34 3,956548 8.57 3,667,745 8.68
DSM Large Cap Growth 5,729,721 10.46 5,672,553 10.48 5.485.431 10.53 4,948,88 ] 10.72 4,213.878 9.98
Rigel Large Cap Growth 0.00 0.00 0.00 0.00 1.930 0.00
Total International Equity 8,161,321 14.91 8,011,094 14.80 7,600,269 14.60 4,1l3,161 8.91 3,571,171 8.45
Manning & Napier Overseas (EXOSX) 8..161..321 14.91 8,0 II ,094 14,80 7,600,269 14.60 4,113,16\ 8.91 3,571,171 8.45
Total Fixed Income 16,920,434 30.90 13,685,255 25.28 13,559,658 26~04 13,689,079 29.66 13,689,249 32.40
Total Domestic Fixed Income 11,211,906 20.48 11,053,173 20.42 0.00 0.00 0.00
STW Fixed Income 9,186,014 16.78 9,089.486 16.79 11,638.448 22.35 I U64,855 25.49 11,808.659 27.95
STW TIPS 2,025,892 3.70 1,963,687 3.63 1.921,210 3.69 1,924,224 4.17 1,880,590 4.45
Total Global Fixed Income 5,708,528 10.43 2,632,082 4.86 0.00 0.00 0.00
PIMCO Diversified Income Fund (PDfIX) 2,837,641 5.18 1,308,569 2.42 0.00 0.00 0.00
Templeton Global Bond Fund (TGBAX) 2,870,887 5.24 L323,512 2.44 0.00 0.00 0.00
Intercontinental 4,778,283 8.73 4,634,414 8.56 4,449,121 8.54 2,966,359 6.43 3,032,887 7.18
Cash
Receipt & Disbursement 719,767 1.31 530,444 0,98 551,081 1.06 1,430,444 3.10 233,897 0.55
Mutual Fund Cash 59,011 0.11 129,946 0.24 131.050 0.25 431,808 0.94 359,372 0.85
80 nton Beach Fireti hters' Total 54,754,631 100.00 54,133,083 100.00 52,072,116 100.00 46,153,289 100.00 42,244,255 100.00
15 C BOGDAHN
GROUP.
Boynton Beach Firefighters' Retirement System
Financial Reconciliation Quarter to Date
1 Quarter Ending June 30, 2011
\1.111,,'( \ ,dIll' ".( Hl'1 II III Oil \1.111,,'( \ .d,"'
\\01 (on'llhll'IOII\ D.,llllIlIllol" 1(,(, I \.PI'II'........ \,tll
I "III...h.\ III\C,'"It'II'
OIOI~OII O(,\U~OII
Total Equity 35,153,024 -2,954,624 -45,376 -2,356 126,468 32,277,136
Total Domestic Equity 27,141,930 -2,954,624 -45,376 -2,356 -23,759 24,115,815
Anchor All Cap Value 6.511.052 10.014 -10.014 -650 85,237 6.595.640
Dalton All Cap Value 6.889.076 12.917 -12.917 -688 -61.843 6.826.545
Vanguard 500 Index Signal (VIFSX) 3.553.973 -3.000.000 -3.392 550.581
Atalanta Large Cap GrO\\th 4.515.276 8.684 -8.684 -451 -101.497 4.413.328
DSM Large Cap Growth 5.672.553 13.761 -13.761 -567 57.735 5.729.721
Total International Equity 8,011,094 150,227 8,161,321
Manning & Napier Overseas (EXOSX) 8.011.094 150.227 lU61.321
Total Fixed Income 13,685,255 2,939,014 -8,518 -1,096 305,781 16,920,434
Total Domestic Fixed Income 11,053,173 -60,986 -8,518 -1,096 229,334 11,211,906
STW Fixed Income 9.089.486 -60.986 -8.518 -901 166.933 9.186.014
STW TIPS 1.963.687 -196 62.400 2.025.892
Total Global Fixed 'ncome 2,632,082 3,000,000 76,447 5,708,528
PIMCO Diversitied Income Fund (PDJlX) 1.308.569 1.500.000 29.072 2.837.64 I
Templeton Global Bond Fund (TGBAX) 1.323.512 1.500.000 47.375 2.870.887
'ntercontinental 4,634,414 -12,171 '56,040 4,778,283
Cash
Receipt & Disbursement 530.444 85.115 1.522.158 -1.249.228 - -168.729 5 719.767
Mutual Fund Cash 129.946 -69.504 -1.432 2 59.!)) I
Boynton Beach Firefighters' Total 54,133,083 1,522,158 -1,249,228 -66,065 -173,613 588,296 54,754,631
16
IF" BOGDAHN
,,",..,.# GROUP
Boynton Beach Firefighters' Retirement System
Financial Reconciliation Fiscal Year to Date
October 1,2010 To June 30, 2011
\larl,l'I \ ahll' \larl,l'I \ alllr
f '\l'l '1' I'" I 1 I{l'IlIrIl On
\, 0 ( onll"l JIlliOn' )I'll"IhllllOn' l'l', \(lrn'l" I \, 01
IUIfll/2UIU 1 ran,fl'r, n\l',lrnrnt U6iJU/2UI I
Total Equity 27,635,600 229,126 98 -128,103 -6,642 4,547,059 32,277,136
Total Domestic Equity 23,522,439 -2,871,897 98 -128,103 -6,642 3,599,920 24,115,815
Anchor All Cap Value 5.661.842 28.551 -28.551 -1.830 935.628 6.595.640
Dalton All Cap Value 5.925.157 36,082 -36.082 -1.921 903.309 6.826.545
Vanguard 500 Index Signal (VIFSX) 3.030.011 -3.000.000 520.570 550.581
Atalanta Large Cap Growth 3.956.548 23.927 98 -23.927 -1.280 457.963 4.413.328
DSM Large Cap Growth 4.948.881 39.543 -39.543 -1.610 782.450 5.729.721
Total International Equity 4,113,161 3,101,022 947,138 8,161,321
Manning & Napier Overseas (EXOSX) 4.113.161 3.101.022 947.138 8.161.321
Total Fixed Income 13,689,079 2,961,348 -30,853 -3,797 304,657 16,920,434
Total Domestic Fixed Income -2,650,080 -19,425 -1,096 13,882,507 11,211,906
STW Fixed Income 11.764.855 -2.638.652 -30.853 -3.219 93.882 9.186.014
STW TIPS 1.924.224 -578 102.246 2.025.892
Total Global Fixed Income 5,600,000 108,528 5,708,528
PIMCO Diversified Income Fund (PDIIX) 2.800.000 37.641 2.837.641
Templeton Global Bond Fund (TGBAX) 2.800.000 70.887 2.870.887
Intercontinental 2,966,359 1,300,000 -36,223 548,147 4,778,283
Cash
Receipt & Disbursement 1.430.444 -4.120.970 6.866.81 J -3.231.643 - -224.902 26 719.767
Mutual Fund Cash 431.808 -369.504 -3.298 6 59.011
Boynton Beach Firefighters' Total 46,153,289 6,866,909 -3,231,643 -195,179 -238,639 5,399,894 54,754,631
17
IF" ~ BOGDAHN
"..." GROUP
Boynton Beach Firefighters' Retirement System
Comparative Performance Trailing Returns
As of June 30, 2011
O!"t-20 10 _'.
I I J .\ :- SIIl!"1" Inn'pllOn
On:lr-I(', 0 '1':11 '1':11' '(':I" Incl"ption 1>:l1l'
. .Il1n-20 II
Total Fund (Net) 0.97 10.61 19.45 3.99
Total Fund Policy 1.27 12.2.1 21.94 5.04
Difference -0.30 -1.62 -2.49 -1.05
Total Fund (Gross) 1.09 (50) 11.01 (61) 20.02 (69) 4.41 (61)
lotal Fund Polic~ 1.27 (34) 12.2.\ 01) 21.94 (V)) 5.04 (45)
Difference -0.] 8 -1.22 -I. 92 -0.63
All Public Plans-Total Fund Median 1.09 11.47 21.00 4.87
Total Equity 0.17 14.73 29.31 2.44
rota I Equity Policy 0.27 17.19 32,06 3.15
Difference -0,10 -2.46 -2.75 -0.71
Total Domestic Equity -0.31 (57) 15.05 (83) 29.20 (74) 4.12 (43)
10131 Domestic Equity Policy -0.03 (47) 18.68 (48) 32.37 (47) 4.09 (43)
Difference -0.28 -3,63 -3.17 0.03
1M U.S. All Cap Equity (SA+CF+MF) -0.13 18.44 32.08 3.63
Total International Equity 1.88 (3 J) 13.55 (27) 30.78 (46) -6.77 (98)
Total International Equity Polic) 1.13 (52) 12,66 (40) 30.92 (4\ ) -0,92 (54)
Difference 0.75 0.89 -0.14 -5.85
1M International Multi-Cap Core Equity (MF) 1.24 11.64 29.98 -0.63
Returns for periods greater than one year are annual1zed. Returns are expressed as percentages
18
3.24
4.94
-1.70
3.75
4,34
-0.59
0110112002
3.51 (93) 3.89 (98) 01101/2002
4.94 (47) 4.34 (94)
- J.43 -0.45
4.89 5.59
N/A -3.76 10/0112007
2.98 -1 .50
N/A -2.26
N/A -2.61 (74) 10/0112007
3.44 (47) -0.89 (49)
N/A -1.72
3.28 -0.98
N/A -10.01 (98) 10/0J/2007
2,20 (54) -4.09 (5.\ )
N/A -5.92
2.40 -3.88
IF" BOGDAHN
,._~,,# GROUP
Boynton Beach Firefighters' Retirement System
Comparative Performance Trailing Returns
As of June 30,2011
I (kt-20 I 0 I 3 - ~.. I'
I=' ..,II11'l' lIl'ept 1011
o , I .
Qllartl'r .11111-2011 'l'ar ears 'l'ars lIl'eptlOlI natl'
Total Fixed Income 2.24 (10) 2.19 (22) 4.91 (24) 6.37 (66) N/A 6.38 (53) 10/0112007
Total Fixed IlIcome Policy 2.42 (2) 2.42 ( 14) 4.62 (32) 5.89 (83) 6.28 (74) 6.08 (73)
Difference -0.18 -0.23 0.29 0.48 N/A 0.30
1M U.S. Intennediate Duration (SA+CF) 2.00 1.45 4.24 6.69 6.58 6.44
Total Domestic Fixed Income 2.07 (78) 1.86 (47) 4.57 (52) 6.26 (88) N/A 6.29 (77) 10/01/2007
Total Domestic Fixed Income Policy 2.42(16) 2.42 (24) 4.62 (51) 5.89 (92) 6.28 (81 ) '6.08 (81 )
Di'ference -0.35 -0.56 -0.05 0.37 N/A 0.21
1M U.S. Broad Market Core Fixed Income (SA+CF) 2.24 1.75 4.65 7.30 6.95 6.88
Total Global Fixed Income 3.04 (19) N/A N/A N/A N/A 4.06 (5) 03/01/2011
BofA Merrill Lynch Global Broad Market Index 3.05 (18) 2.84 (51 ) 10.07 (51 ) 6.06 (48) 7.07 (36) 3.48 (26)
Difference -0.01 N/A N/A N/A N/A 0.58
1M Global Fixed Income (MF) 2.28 2.84 10.13 5.95 6.44 3,05
Returns for periods greater than one year are annualized, Returns are expressed as percentages.
19
IF" I BOGDAHN
,.......... GROUP.
--.-- -.,-_.- - ~ ~ .-~
Boynton Beach Firefighters' Retirement System
Comparative Performance Trailing Returns
As of June 30,2011
(kl-2(1J(l , _ . .
I 1 I .' :- "111('(' III('epllOlI
()II:lIh'l 0 '(':II '(':11' 'e:ll" IlIn'plioll 1):I1e
. .J 1111-2(111
Domestic Equity
Anchor All Cap Value 1.31 (14) 16.53 (70) 30.32 (64) N/A N/A 19.95 (62) 08/0112009
Russell :\000 Value Indn -0.68(61) 17.28 (58) 29,13 (71) 2.66 (87) 1.23 (90) 19.19 (67)
Difference 1.99 -0.75 1.19 N/A N/A 0.76
1M U.S. All Cap Value Equity (SA+CF) -0.51 \8.56 31.68 5.12 4.24 20.54
Dalton All Cap Value -0.90 (66) 15.25 (78) 29.1 0 (71) N/A N/A 22.26 (30) 08/0l/2009
Russcll 3000 Valuc Indc\ -0.6&(61) 17.2& (58) 29.13 (71 ) 2.66 (&7) 1.2.\ (90) 19.19 (67)
Difference -0.22 -2.03 -0.03 N/A N/A 3.07
1M U.S. All Cap Value Equity (SA+CF) -0.51 18.56 31.68 5.12 4.24 20.54
Vanguard 500 Index Signal (VIFSX) -2.03 (100) 14.91 (100) 27.90 (100) 2.51 (75) N/A -1.65 (70) 12/0 l/2007
S& P 500 0.10 (6) 17.43 (2) 30.69 (I) 3.34 (8) 2.94 (4l -0.98 (7)
Difterence -2.13 -2.52 -2,79 -0.83 N/A -0.67
1M S&P 500 Index (MF) 0.00 17.04 30.11 2.93 2.52 -1.39
Atalanta Large Cap Growth -2.25 (95) 11.58 (98) 20.32 (99) N/A N/A 20.32 (99) 07/0l/2010
Russell 1000 Growth I nde\ 0.76 (45) 19.47 (42) 35.01 (40) 5.01 (40) " " (43) 35.01 (40)
_ h'\''\
Difference -3.01 -7.89 -14.69 N/A N/A -14.69
1M U.S. Large Cap Growth Equity (SA+CF) 0.58 18.88 33.34 4.27 4.96 33.34
DSM Large Cap Growth 1.02 (38) 15.81 (79) 36.03 (34) N/A N/A 15.68 (71 ) 11101/2008
Russell 1000 (irowth Illde, 0.76 (45) 19.47 (42) 35.01 (40l 5.01 (40) "' .~ ~ (.n) 19.3(, (33 )
. ..'.'
Difference 0.26 -3.66 1.02 N/A N/A -3.68
1M U.S. Large Cap Growth Equity (SA+CF) 0.58 18.88 33.34 4.27 4.96 \7.55
Returns for periods greater than one year arc annualized Returns are expressed as percentages.
20
IF" . BOGDAHN
, ."" GROUP
Boynton Beach Firefighters' Retirement System
Comparative Performance Trailing Returns
As of June 30, 2011
1 Ort-2UIII I 3 - <.... .
I :'I .., III cr IncrptlOn
<)lIart{'r .JulI-~1I11 '{'ar 'ears '{'aI's IIH'{'ptioll Date
International Equity
Manning & Napier Overseas (EXOSX) 1.88 (31) 14.68 (7) 32.08 (33) N/A N/A 14.77 (25) 09/01/2009
Total International Equity Policy 1.13 (52) 12.66 (40) 30.92 (43 ) -0.92 (54) 2.20 (."4) 11.67 (0)
Difference 0.75 2.02 1.16 N/A N/A 3.10
1M International Multi-Cap Core Equity (MF) 1.24 11.64 29.98 -0.63 2.40 13.24
Real Estate
In$ercontinental 3.37 (85) 12.88 (60) 10.71 (99) N/A N/A 9.65 (99) 04/01/20 I 0
NCREIF Property Index 3.94 (74) 12.39 (89) 16.73 (94) -2.."0 (I ) 3.45 (4) 16.16 (95)
Difference -0.57 0.49 -6.02 N/A N/A -6.51
.1M U.S. Open End Private Real Estate (SA+CF) 4.47 13.89 18.92 -8.00 -0.72 18.39
Fixed Income
STW Fixed Income 1.83 (73) 1.21 (71) 3.96 (66) 6.47 (63) N/A 6.1 1 (65) 04/01/2007
STW Fixed Income Policy 2.17 (17) 1.88 (31 ) 3.99 (64) 6.27 (69) 6.40 (65) 5.98 (72)
Difference -0.34 -0.67 -0.03 0.20 N/A 0.13
1M U.S. Intennediate Duration (SA+CF) 2.00 1.45 4.24 6.69 6.58 6.35
STW TIPS 3.18 (67) 5.31 (29) 7.77 (29) 4.59 (94) N/A 6.26 (94) 11/01/2007
Barclays Capitall i.S. Treasury: l'.S. TIPS 3.66 (32) 5.13 (39) 7.74 (32) 5.28 (69) 6.92 (66) 6.74 (64)
Difference -0.48 0.18 0.03 -0.69 N/A -0.48
1M U.S. TIPS (SA+CF) 3.57 4.87 7.61 5.48 7.05 6.91
PIMCO Diversified Income Fund (PDlIX) 2.32 (49) N/A N/A N/A N/A 2.89 (54) 03/01/20 II
BofA Merrill Lynch Global Broad Market Index 3.05 (18) 2.84 (51 ) 10.07 (51 ) 6.06 (48) 7.07 (36) 3.48 (26)
Difference -0.73 N/A N/A N/A N/A -0.59
1M Global Fixed Income (MF) 2.28 2.84 10.13 5.95 6.44 3.05
Templeton Global Bond Fund (TGBAX) 3.74 (5) N/A N/A N/A N/A 5.23 (I) 03/01/201 I
BofA Merrill Lynch Global Broad Market Index 3.05 (18) 2.84 (51 ) 10.07 (51 ) 6.06 (48) 7.07 (.I(l) .3.48 (26)
Difference 0.69 N/A N/A N/A N/A 1.75
1M Global Fixed Income (MF) 2.28 2.84 10.13 5.95 6.44 3.05
Returns lor periods greater than one year are annual ized. Returns are expressed as percentages, C BOGDAHN
21
. GROUP.
- --..'0" -""-C'~-"".:-'-",,,~""'" ...__........,...-~__'.r..___~~_~...-.......-""~__~_.____"_..r_~__ ~~---..~.-~_.,~'".~--
Boynton Beach Firefighters' Retirement System
Comparative Performance Fiscal Year Returns
As of June 30, 2011
01'1-20 I 0 0('(-200') O('(-200S (h-1-2IW7 O('(-2(Wh O('(-2UU:, Ol'l-2UO~
10 10 10 10 10 10 10
.',,"-2011 ....,.p-2UI0 ....1'1'-200.) ....1.1' 20US ....,.p 2(W~ ....,'!l-200h ...."p-2(1I1:'
Total Fund (Net) 10.61 8.86 0.39 -16.85 12.60 5.63 8.58
Total Fund Policy 12.23 9.~ I 1.26 -12,79 12.37 8.29 8.03
Difference -1.62 -0.45 -0.87 -4.06 0.23 -2.66 0.55
Total Fund (Gross) 11.01 (61 ) 9.37 (68) 0.75 (58) -16.85 (91) 12.71 (78) 5.63 (94) 8.58 (93)
Total Fund rolic) 12.23 (31 ) 9.3 I (70) 1.26 ( 51l -12.79 (42) 12.37 (83) 8.29 (58) 8.03 (95)
Difference -1.22 0.06 -0.5 1 -4.06 0.34 -2.66 0.55
All Public Plans- Total Fund Median 11.47 10.00 1.29 -13.67 14.40 8.64 12.54
Total Equity 14.73 11.41 -7.70 -26.59 N/A N/A N/A
fotal Equity Policy 17.19 9.82 -4.64 -23.02 16,02 10.79 12.25
Difference -2.46 1.59 -3.06 -3.57 N/A N/A N/A
Total Domestic Equity 15.05 (83) 13.08 (27) -8.26 (79) -24.14 (56) N/A N/A N/A
Total Domestic Equity Policy 18.68 (48) 10.96 (44) -6.15 (66) -21.77 (J4) 15.89 (62) 10.79 (28) 12.25 (79)
Difference -3.63 2.12 -2.11 -2.37 N/A N/A N/A
1M U.S. All Cap Equity (SA+CF+MF) 18.44 10.36 -3.97 - 23.51 17.25 8.89 16.03
Total International Equity 13.55 (27) 2.52 (86) -4.87 (83) -39.20 (99) N/A N/A N/A
rotallnternational Equity Policy 12.66 (40) 4.64 (71 ) .UO (49) -30.13 (J7) 25.38 (44) 19.65 (42) 26.32 (4~)
Difference 0.89 -2.12 -8.67 -9.07 N/A N/A N/A
1M International Multi-Cap Core Equity (MF) 11.64 6.66 3.49 - 3 1.22 24.92 18.92 25.58
Returns !()r periods greater than one vear are annualized. Returns are expressed as percentages.
22
IF" BOGDAHN
'- .,J' GROUP
Boynton Beach Firefighters' Retirement System
Comparative Performance Fiscal Year Returns
As of June 30,2011
Oct-21l I Il Ot't-2(Hl9 Oct-21l1l8 Ort-21l1l"" Oct-2(H)(' Ort-21l1l5 Ort-21l1l.t
I () I () I () I () I () I () 10
.IulI-21l II Sep-21l III Sep-21l1l9 St'p-21l1l8 Sep-2(Hl7 St'p-2()(l(, Sq,-21l1l5
Total Fixed Income 2.19 (22) 8.25 (51) 13.29 (23) 0.63 (80) N/A N/A N/A
Total Fixed Income Policy 2.42 ( 14) 7.78 (69) 9.19 (84) 3.52 (44) 5.31 (69) 3.5.t (93) 1.48 (95)
Difference -0.23 0.47 4.10 -2.89 N/A N/A N/A
1M U.S. Intennediate Duration (SA+CF) 1.45 8.26 11.48 3.22 5.48 3.91 2.09
Total Domestic Fixed Income 1.86 (47) 8.25 (84) 13.29 (34) 0.63 (65) N/A N/A N/A
Total Domestic Fixed Income Policy 2.42 (24) 7.78 (93) 9.19 (89) 3.52 (36) 5.31 (35) 3.54 (87) 1.48 ( 100)
Difference -0.56 0.47 4.10 -2.89 N/A N/A N/A
1M U.S. Broad Market Core Fixed Income (SA+CF) 1.75 9.23 12.31 2.48 5.16 3.86 3.]4
Total Global Fixed Income N/A N/A N/A N/A N/A N/A N/A
BofA Merrill Lynch Global Broad Market Index 2.84 (51 ) 6.22 (85) 13.36 (52) 2.80 ( ]9) 8.01 (47) 3.36 (24) 3.37 (70)
Difference N/A N/A N/A N/A N/A N/A N/A
1M Global Fixed Income (MF) 2.84 8.00 13.40 -1.4 ] 7.59 2.53 5.12
Returns for periods greater than one year are annualized. Returns are expressed as percentages
23
IF"I BOGDAHN
''"""'" GROUP
Boynton Beach Firefighters' Retirement System
Comparative Performance Fiscal Year Returns
As of June 30, 2011
(kl-2111t1 Od-2011" (h'1-2011S (ld 2110- O("(-21WI. O<'l-200:, O<'l-2IW~
I.. I.. I.. I.. I.. I.. I..
.11111-21111 "ep-21110 ""P 2tHl'1 ""It 21111S ",'p-2110- "ep-21111h "ep-2011:'
Domestic Equity
Anchor All Cap Value 16.53 (70) 12.47 (38) N/A N/A N/A N/A N/A
Russell 3000 Value Index 17.28 ()8) 9.1) (68) -10.79 (93) -22.70 (77) 13.73 (7)) 14.5) ( 19) 16.78 (61 )
Difference -0.75 3.32 N/A N/A N/A N/A N/A
1M U.S. All Cap Value Equity (SA+CF) 18.56 10.64 -3.68 -19.93 16.74 10.34 20,20
Dalton All Cap Value 15.25 (78) 17.46 (8) N/A N/A N/A N/A N/A
Russell -'000 Valuc Indcx 17.28 ( )8) 9.1) (68) -10.79 (93) -22.70 (77) 13.73 (75) 14.5) ( 19) 16.78 (61 )
Difference -2.03 8.31 N/A N/A N/A N/A N/A
1M U.S. All Cap Value Equity (SA+CF) 18.56 10.64 -3.68 -19.93 16.74 10.34 20.20
Vanguard 500 Index Signal (VIFSX) 14.91 000 ) 9.78 (42) -6.80 (0) N/A N/A N/A N/A
S&P 500 17.43 (2) 10.16 (4) -6.91 (21 ) -21.98 (I] ) 16.44 m 10.79 (4) 12.2) (3)
Difference -2.52 -0.38 0.11 N/A N/A N/A N/A
1M S&P 500 Index (MF) 17.23 9.96 -6.97 -22.13 16.17 10,53 11.96
Atalanta Large Cap Growth I 1.58 (98) N/A N/A N/A N/A N/A N/A
Russcll 1000 Growth Index 19.47 (42) 12.65 (3)) -1.8) (37) -20.88 ()2) 19.3) ()7) 6.04 (57) 11.60 (71)
Difference -7.89 N/A N/A N/A N/A N/A N/A
1M U.S. Large Cap Growth Equity (SA+CF) 18.88 ] ],24 -3.17 -20.56 20.19 6.75 14.23
DSM Large Cap Growth 15.81 (79) 17.48 (8) N/A N/A N/A N/A N/A
Russcll 1000 Growth Index 19.47 (42) 12.65 L;)) -1.85 L17l -20.88 (52) 19.35 (57) ("()4 ()7) I I .()() (71 )
Difference -3.66 4.83 N/A N/A N/A N/A N/A
1M U.S. Large Cap Growth Equity (SA+CF) 18.88 11.24 -3.17 -20.56 20.19 6.75 14.23
24
?'
~
THE
BOGDAHN
GROUP
Returns for periods greater than one year are annualized Returns are expressed as percentages
Boynton Beach Firefighters' Retirement System
Comparative Performance Fiscal Year Returns
As of June 30, 2011
Oct-2U I U (kt-2U(ll) Oct-2UUS (kt-2UU7 Ort-211116 Oct-2IHI:, Oct-2UU'"
10 10 10 10 10 10 10
.J ull-2U II Scp-2U III Sql-2(1II9 Scp-2UIlS Sl'p-2(1II7 Sl'p-211116 Scp-21H1:'
International Equity
Manning & Napier Overseas (EXOSX) 14.68 (7) 2.52 (86) N/A N/A N/A N/A N/A
Total International Equity Policy 12.66 (40) ....M (7] ) 3.80 (49) -30.13 (37) 25.38 (44) 19.65 (42) 26.32 (42\
Difference 2.02 -2.12 N/A N/A N/A N/A N/A
1M International Multi-Cap Core Equity (MF) 11.64 6.66 3.49 -31.22 24.92 18.92 25.58
Real Estate
Intel-continental 12.88 (60) N/A N/A N/A N/A N/A N/A
NCREIF Propel1y Inde:-.. 12.39 (89) 5.84 (56) -22.09 (6) 5.27 (26) 17.31 (69) 17.62 (54) 19.19 (69)
Difference 0.49 N/A N/A N/A N/A N/A N/A
1M U.S. Open End Private Real Estate (SA+CF) 13.89 6.60 -33.41 3.23 18.53 18.08 19.98
Fixed Income
STW Fixed Income 1.21 (71) 8.34 (47) 14.83 (11) -0.36 (86) N/A N/A N/A
STW Fixed Income Policy 1.88 (31 ) 7.52 (78) 9.69 (8 I) 4.16 (34) 4.85 (92) J.JJ (98) 2.56 (21 )
Difference -0.67 0.82 5.14 -4.52 N/A N/A N/A
1M U.S. Intennediate Duration (SA+CF) ] .45 8.26 ] 1.48 3.22 5.48 3.91 2.09
STW TI PS 5.31 (29) 7.59 (93) 3.80 (91) N/A N/A N/A N/A
Barclays Capital u.s. Treasury: U.S. TIPS 5. I3 (39) 8.89 (78) 5.67 (66) 6,20 (63) 4.97 (65) 1.91 (85) ~ ,"') (47)
- ..1......
Difference 0.18 -1.30 -1.87 N/A N/A N/A N/A
1M U.S. TIPS (SA+CF) 4.87 9.35 6.18 6.50 5.11 2.14 5.26
PIMCO Diversified Income Fund (PDIIX) N/A N/A N/A N/A N/A N/A N/A
BofA Merrill Lynch Global Broad Market Indc:\ 2.84 (51 ) 6.22 (85) 13.36 (52) 2.80 ( 19) 8.01 (47) 3.36 (24) 3.37 (70)
Difference N/A N/A N/A N/A N/A N/A N/A
1M Global Fixed Income (MF) 2.84 8.00 13.40 -1.41 7.59 2.53 5.12
Templeton Global Bond Fund (TGBAX) N/A N/A N/A N/A N/A N/A N/A
BorA Merrill Lynch Global Broad Market Index 2.84 (51 ) 6.22 (85) 13.36 (52 ) 2.80 ( 19) 8.01 (47) 3.36 (24) 3.37 (70)
Difference N/A N/A N/A N/A N/A N/A N/A
1M Global Fixed Income (MF) 2.84 8.00 13.40 -1.41 7.59 2.53 5.12
Returns lor perIods greater than one year are annual ized. Returns are expressed as percentages C BOGDAHN
25
. GROUP
~'-o-'"'"'~..,...-.,.-~~ _ ~~_~__ ~.~.~~~ ~~_~__~____"_n___. -- -- ---_._.._--_.__._--.~_._..------~- ----- --.-~
I, inanl'iall{el'onl'ilialion I 1)lIarh'r
I,inanl'iall{l'l'ondlialioll 1h'lohn I, .!(lW 10 .I II Ill' J(I, .!1I11
( olllparaliH' Perforlllann'
Boynton Beach Firefighters' Retirement System
Total Fund (Gross)
June 30, 2011
Total Fund ((,TOSS)
Market\'alue
As of
04/0112011
54, "3
1.522
-1.249
-66
Net
Transfers
Contributions
Distributions
Fees
Total Fund (GroSS)
Market Value
Asof
10/01/2010
46.153
6,867
-3.232
-195
Net
Transfers
Contributions
Distributions
Fees
Pl'l'r (.rollP \nal~sis - \11 Pllhlil' I'lans-1 otall'lIlHl
1~ no
,000
2500
2000
e I" 00
.
..
00: 1000
:" 00
o on .".11.1
_" on
-
~.,,",,;,~~-",,,,.,,
~
~IJ
~~
I Oct-201O I 3 5
Quarter To Year Years \ 'ears l ears \ ears
.lun-2011
. rotal hllld (Gross) 109(50) II 011611 20.02 (69) 16101661 441 (61 I 11901891 351 1931
. Totnl Fund Polic~ 1 27 <.'4 I 122:11311 21.94 <.'91 16641531 5.1141451 2.54 (451 4941471
\lcdi~n 1119 II 47 21.110 1673 4.87 2.3'1 48'1
Total Fund (Gross)
Total Fund Polic)
.\lIl'lIhlic Plnns- Total Fund Medinn
I
Quarter
Endin!!.
Mar-2ot I
4,04 (52)
402(54)
410
1
Quarter
Endin!!.
l>ec-2010
5.55 (74)
6.541381
6.21
1
Quarter
Ending
Sep-2010
8.12 (71)
8.651531
8.74
26
Expenses
Income
CapItal
Apprec.!
Depree.
82
Market Value
As of
06/3012011
54,755
-174
506
Expenses
Income
Capital
Apprec.!
Depree.
4,263
Market Value
As of
06/3012011
5055
-239
I. "7
I IIl11l11nlal i, l' I'l'rforlllalll"l'
'tlhO n
$150 ()
$1400
$110 1I
$120 ()
$110 II
$1000
$4n ()
~8n n
$7n u
2n2
$1497
$1437
6..()6
12.()7
h,nq
h II
12iO..J.
6/0i
rotal Fund (Ciross)
I'otal Fund Polin
1
Quarter
Endin!!.
Jun-20 10
-5.62(42)
-5851531
-5.82
I
Quarter
Ending
Mar-201O
3.84 (49)
345(76)
382
1
Quarter
Ending
l>ec-2009
3.22 (66)
3.311591
-'41
IF" At BOGDAHN
,-,.or GROUP
Boynton Beach Firefighters' Retirement System
Total Fund (Gross)
June 30, 2011
3 \ I' Rolling l nder/(hrr Performance - 5 \ ears
3 \ I' Rolling Percentile Ranking - 5 \ ears
Over
120 Performance
f.
~ R ()
.
" 4,0
::,
."
C 110
=
...
~ .4 ()
.
'"
-R ()
-q II -h 1\
. Lnder Performance
(Indcf
Perf()rmancc
000
...
c
~
~ 2~ 00
~
~ ~o 00
:.
E 7500
.3
~
10000
q/(}(l
.. Scp-2006
. Total Fund (Grossi
. Total Fund Policv
3/07 9/07 l/OR glO8 3/0Q q'()I) ~, 10 q 10 111 6'11
Total Period 5-25 25-Median Median-75 75-95
('ount Count Count Count
20 0(0001 (Oo;J) 1(5001 19(95001
20 o (()O,'o) , ( 150'0) III( ,0001 7 (350'0\
-.;0
110 ., \\
Total Fund Policy (%1)
. Jun.2011
hil
lHI
\2 \>
\" 0
Peer Group Scattergram - 3 \ l'ars
Peer Group Scattergr-am - 5 \ ears
t () 00 .
E .
.3 100
~
o ()n
_60U
t
c
.! 400
~
2,00
..
-
II
nnn
::: 0\\
400
bOO
ROO
1000
\2.00
\400
16 nn
IR 00
2000
000
2.0()
4.00
600
8 on
]000
12 ()O
]400
1600
Risk (Standard I)(>yiation %.)
Risk (Standard Ot>\'iation %)
Refu rn
Standard
Deviation
Return
. Total Fund (Gross I
. Total Fund Policy
'\ledian
441
504
487
14.70
1470
14.79
. Total Fund (Grossi
. Total Fund Policy
Median
3.51
494
4.89
Standard
De\'iarion
12.27
12.04
12.25
lIistorical Statistics - 3 \ ears
Trackine lip Down Information Sharpe Downside
Error Market Market Alpha Ratio Ratio Beta Risk
Capture Capture
Total Fund ((,ross) 130 9648 10015 -0.57 -046 0.34 100 993
Total Fund Policy 000 10000 100.00 0.00 N/" 0.38 100 9.55
lIistodl'al Statsistics - 5 \ ears
Tracking 11p Down Information
Error Markel Market Alpha Ratio
Capture Capture
Total Fund (Gross) 149 96 49 111.74 -141 -091
Total Fund Policy 000 100.00 100.00 o.on N/A
Sharpe
Ratio
Beta
Downside
Risk
018
(1.30
1.01
1.00
8.27
7.71
27
IF" I BOGDAHN
,....,., GROUP
~
,_...'...'o___~.__~~___.
Boynton Beach Firefighters' Retirement System
Total Domestic Equity
June 30, 2011
Finanl"ial Rl'l"Onl"iliation I Quarkr
Mark.t Valu. N.t Capital Mark.t Valu.
As of Transfers Contributions Distributions Fees Expenses Income Apprec.! As of
04/01/2011 Depree. 06/3012011
Total Domestic Equity 27.142 -2.<)55 -45 -2 2<)1 -:114 24-' 16
l,iu:IIH'iall{I'I'OJu'iliation Odohl" L lUlU 10.111111' JU, lUll
Mark.t Valu. :\Cd Capital Mark.t Valu.
Asof Transfers Contributions Distributions Fees [xpenses Income Apprec.! A,of
10/01/20 I 0 Depree. 06/30/2011
Total Domcstic Equity 2:1.522 -2.872 -128 -7 4<)8 3.102 24.116
I'l'l'r (.WIII' \nal~,i, - 1\11 .S. \11 ( al' IlJllil.' (.... \ I ( I I'" )
( 1II11I1Iali'I' PI" fonnalll'l'
<:;() 00
4fl (10
30 no
E
! ,2000
.
III
III 00
() 00
-10 DO
$Ion ()
iiliti~
S70 ()
$96.7
$906
ii ijj,."........
ii ,,,,,'.
'.' . ..-w~
''-,' "-'::,;,<~:.~
". .-,.- '.,'. ,~<_"t,.,
$90 n
$8n 0
$600
~~o ()
I Oet-20 10 I 3 4 5
To
Quarter .\un-2011 Year , ears \ ears Years Year!'i II 07 (\ OR '\ '()O 120<) (j'IO (, 11
. Total f)0lllcstic ):.,qtl1ty -0:11 1571 150518:11 29.201741 22.)(' 1641 4 12 (4' 1 '1A N'A
. rotal Domestli: Equit) Polic~ -00:1(47) 18.68 1481 :1237(47) 2:1 76 (46) 4091431 -046 (501 3441471 rotal DOml.'<;;tlc .'qUlt\-
Total Doml.'stlc Eqult~ PollC\-
\Iedian -0 13 18.44 32.08 13..' 1 363 -047 :1.28
('lIl1lparati'l' I'l'rfonnalll'l'
Total Domestic Equity
Total Dom~stic Equity Pol;..:y
l"vl\' S. -\11 Cap Equil\ (SA '('I' '\1F)
I
Quarter
Endin~
Mar-20 II
5.29 (74)
6.38 1481
h.:11
I
Quarter
Ending
0.e-20111
9.61(82)
1159(451
IU4
I
Quart.r
Endin~
&p-20111
12.29(38)
1153(52)
11.5<)
I
Quart.r
Endin~
Jun-2010
-9.83(22)
-11.321511
-11.31
I
Quarter
Ending
Mar-20to
5.71 (47)
594 1411
5,57
I
Quart.r
Ending
0.e-2009
5.65 (43)
5.90 (.17)
5:11
28
IF". .I' BOGDAHN
,... GROUP
Boynton Beach Firefighters' Retirement System
Total Domestic Equity
June 30, 2011
3' r Rolling l nder/OHr Perfol'mancc - 5 , cars
()ver
i, ()o Performance
~, 1 II
'S
...
'"
.~ 110
~ -JO
.
Q
~ -60
'"
.()()
Ion -R (l
. Under Performance
tinder
Performam:c
4.0
60
-()()
-4 ()
-2 (}
00
20
Total Dome-stic F.quity PoliC)' (*In)
A. Scp-2006
. Jun-2011
Pcer Group Scattl'rgram - 3' l'ars
l-t 00 .
.... 700 - .-
e oon
~
0:
-7 nf)
q On
I" O{)
1800
2700
1000
3h 00
JJ 00
2100
2400
1200
Risk (Standard Deviation %1
. Total Domestic Equity
. Total Domestic Equity Policy
_ Median
Return Standard
Oeyiation
412 21.91
4.09 2:1 Sf>
:16:1 2494
3 , r Rolling PCITl'ntilc Ranldng - 5 , l'ars
000
"
;;
0: 2:; ()f)
~
~ so 00
..
e 7" O()
.:
~
Ion 00
Q/06 1/07
...
t)i(l7 3/08 q.'08 li()\.) (),(j{) tlo q III i,ll (l.ll
Total Period 5-25 25-Median Median-75 75-95
Count Count Count Count
0(0%1 .1 (250'0) ~ (75uo) 0(000)
20 0100,'0) <) (450'0) II (55001 0(0001
. Total DOl11e~tic Equit)
. Total Domestic Equity Policy
Pccr Group Scattergram - 5' cars
10 ()()
~ 500
e
f () on
0:
-.
-
-:'i 00
() 00
12.00
1" 00 lR 00 210n
Risk (Standard Dt>,"iation %)
24 on
~() 00
2700
q 00
Return
Standard
Deviation
. Total Domestic Equity
. Total Domestic Equity Polic~
_ Median
'\A
:144
~.2R
N,A
1'165
2070
lIistorical Statistics - 3' cars
Trackine lip Down Information Sharpe Downside
Market Market Alpha Beta
Error Capture Capture Ratio Ratio Risk
Total Domestic Equity 2.52 9:1.:1R n.7S O.IR -010 O.lS 09:1 1514
Total Domestic Equity Policy 0.00 100.00 100.00 0.00 N/A 0.28 100 16.01
lIistoriral Statsistirs - 5 'l'arS
Trackine lip Down Information
Error Market Market Alpha Ratio
Capture Capture
Total Domestic Equity N/A N/A N/A 'J/A N/A
Total Domestic Equity Policy 000 10000 10000 000 N/A
Sharpe
Ratio
Downside
Risk
Beta
N/A
D.58
N/A
o 17
WA
100
29
G BOGDAHN
, GROUP.
Boynton Beach Firefighters' Retirement System
Anchor All Cap Value
June 30, 2011
Financial Reconciliation 1 Quarter
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees Expenses Income Appree.! As of
04/01/2011 Depree. 06/30/2011
Anchor All Cap Valuc 6.511 10 -10 -1 232 -147 6.596
Financial Reconciliation October 1. 2010 To ./une 30, 2011
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees Expenses Income Appree.! As of
10/01/2010 Depree. 06/3012011
Anchor All Cap Value 5.662 29 -29 -2 306 630 6.596
Pel'r Group \Ilal~sis - 1\11 .S. \11 Cap \ alUl' E<tuit~ (S \+( F)
:\llOO
4n 00
JO on
E
= 21100
~
1000
000 L,,! 11
j()()(l
~.~
~~~
I Oct-201O I 3 4 5
Quarter To \ear Years Years Years Years
Jun-2011
. Anchor ..\11 Cap Valuc 1.31 115) 16.53 (70) 3032(641 N;A NA ".A N.A
. Russell ~l)OO Value Inde\. -0 68 (62) 17.28(58) 2913 (70) 23.21(651 2661861 -3.25 (911 1.23 (88)
~ ledian -11.51 1856 31.68 24.52 5 12 -1143 4.24
( ul\1ulali\e Pl'rforlllalll'l'
$](J() ()
~15n 0
$151 X
~1411 11
$1300
$120 ()
$110 ()
$100 ()
RIOt) f)/OC) 12iOQ 1.10 6;10 (lilO 12:10 1/11 (\..]1
- Anchor All Cap V<lluc
Russcll300/l Vallie Index
Comparati\e Performance
Anchor All Cap Value
Russell 3000 Value Index
1\1\ .S. All Cap Value Equity (SA+CF)
I
Quarter
Ending
Mar-2011
5.57 (79)
6.47 (451
6.34
I
Quarter
Ending
Oee-2010
8.95(86)
10921581
11.38
I
Quarter
Ending
Sep-2010
11.83(30)
10.10(67)
1075
30
I
Quarter
Ending
Jun-2010
-8.01( 14)
-II.O~61 )
-1066
I
Quarter
Ending
Mar-201O
5.48 (74)
705 (42)
641
I
Quarter
Ending
Oee-2009
3.73 (83)
4 17 (76)
5.08
IF" A BOGDAHN
'-t-,....... GROUP.
Boynton Beach Firefighters' Retirement System
Dalton All Cap Value
June 30, 2011
Financial Reconciliation I Quarter
Market Value Capital Market Value
Asof Net Contributions Distributions Fees Expenses Income Apprec.l As of
04/01/2011 Transfers Depree. 06/30/2011
Dalton All Cap Value 6.889 13 -13 -I 33 -95 6.827
Financial Rl'conciliation Octoher 1.2010 To .lune 30.. 2011
Market Value Capital Market Value
Asor Net ('ontributions Distributions Fees Expenses Income Appree.l As of
10/0112010 Transfers Depree. 06/30/2011
Dolton All Cop Value 5.925 36 -36 -2 88 816 6.827
Peer Group \nal~sis - "11 .S. \/1 {'ap "alll(' Equit~ (S \+CF)
( umulathe PcrfO/'mancc
$160 I)
5000
4000
3000
E
~ 2000
'"
1000
(J()()
-1000
.,...;..~.......,....
. .". .. . .... Cc.
~ -.....
"" ~
$1 'in ()
" $151 X
$]400
~130 (I
.. .1
~~
't120{)
'SIIO()
I Oet-201O 3 4 5
Quarter To Year Years Years \'ears Y(Oars
.lun-2011
. Dolton All Cop Vallie -0.90 (66) 15.25(78) 2910(70) N/A NiA NiA ]\;'.\
. RlIssell 3000 Vallie Index -068(62) 17.28(58) 2913(701 23.21(65) 2.66 (86] -3.25 (91 1 123188)
Median -0.51 18.56 3168 24.52 5.12 -0.43 4.24
$lnO (l
R'()C) qiO\) 12i()t) "\ III (li]() (Jill) 1210 11] hili
- Dalton All Cap \' aluc
Russell :WOO Val lit' Indt'"
(omparatiH' PerfOrmanl'C
Dalton All Cap Value
Russell 3000 Value Index
1M U,S All Cop Vallie Eqllity (SA iCF)
I
Quarter
Ending
Mar-2011
7.16 (37)
647 (45)
6.34
I
Quarter
Endin!!:
Oee-201O
8.53(88)
10.92(58)
IU8
I
Quarter
Endin!!:
Sep-2010
12.02 (25)
10 101(7)
10.75
I
Quarter
Endin!!:
Jun-201O
-8.47( 18)
-II 0~(1)
-1066
I
Quarter
Ending
\-lar-2010
6.36 (51)
7.05 (42,
6.41
I
Quarter
Ending
00c-2009
7.71 (5)
4,17 (76)
5,08
31
G BOGDAHN
, GROUP.
I...
Boynton Beach Firefighters' Retirement System
Vanguard 500 Index Signal (VIFSX)
June 30, 2011
~
:'oIet
Transfers
Distributions
Financial Reconciliation I Quarter
Vanguard 500 Index Signal (VIFSX)
Market Value
As of
04/01/2011
1.554
-1.000
Contributions
Fees
Capital
Appree.l
Depree.
-6
Market Value
Asof
06/30/2011
551
Expenses
Income
Financiall~econciliatioll Oftohn I, 20J() To .IUlIl' JO, 2011
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees Expenses Income Appree.l As of
10/0112010 Depree, 06/30/2011
1.010 -1.000 14 487 55\
Vanguard 500 Index Signal (VIFSX)
Peer Croup \nal~,i, - "I S..~P SOOlndcx (\IF)
35 uu
30 no ., -
.25()()
- -
2000
E . -
.:: l"i()()
~
In 00
< OU - -
() 00 . -
.
-"i()O
I Oet-201O I 4 5
To
QuarteT .Iun-2011 '.ear Years , ears Ycars Years
. Vanguard 500 Index SIgnal (\,Irs "\ I -20.' 11(0) 1491 (100) 27.9011(0) 2076 (92) 2.51 (75) NA NA
. S&P 500 0.10 (6) 174112) 3069121 22.29 (2) .,34(9) -105171 2.94 (4)
\fedian 000 17.04 3011 2177 2.93 -146 2.52
( umulath e PerfOrm:IIH'l'
$]050
$100 (I
$0" (1
$OfJ 0
$800
$80 ()
$750
$700
$65 ()
$hfl (I
$55 n
1150 ()
2imo: q;nR
$972
$949
3:10
(1:(}1I
11 10
611
Vanguard 5()() Indl''\ Signal (VIFSX I
S&P "ino
Comparath e Performallce
Vanl?,uard 500 Index Sil?,nal (VIFSX)
S&P 500
l'vl S&P 500 Index I MF)
I
Quarter
Ending
Mar-2011
5.91 (13)
5.'12 (8)
5.80
I
Quarter
Ending
Sep-2010
11.30(8)
1129(9)
11,16
I
Quarter
F-nding
Dee-201O
10.75(5)
10.7611)
10.62
32
I
Quarter
Ending
.Iun-2010
-11.71(92)
-11.43(7)
-11.53
I
Quarter
Endin~
Mar-201O
5.33 (30)
539 (8)
5.27
I
Quarter
F-ndin~
Dee-2009
6.06( 100)
6.04< 100)
1549
G BOGDAHN
" GROUP.
Boynton Beach Firefighters' Retirement System
Vanguard 500 Index Signal (VIFSX)
June 30, 2011
3 \ r Rolling lncler/(her' Per'forman('t' - S \ ears
~
i:: 41i
~
; 1.0
..
tii
.
~ 00
.:
~ -20
."
~ -40
()yer
Performance
Under
Performance
-~ (l
111
Iii
11i
'11
-2 ()
00
20
.jli
Iii
-4 ()
II l:ndcr Pcrforman(~
S&P ~OO (%.)
. Jun-2011
.A Sep-2006
Peer Grnup Scattergram - 3' ears
.
-- 1 00
...
.
c
a 20n
.::
1 U()
20 h"
2075
20 q,
2105
2/00
2070
20 80 20 85 20 (/(1
Risk (Standard [)e"iation 0/0)
Refu rn
Standard
Deviation
. Vanguard 500 Index SignallVIFSXI
. S&P 500
_ !\.Iedian
2.51
3.34
2.93
21.01
211.91
211911
3' r Rolling Percentile Ranking - S , ears
() 00
..
c
~ 2" 00
.
~ 50 on
,::
e 7500
.::
.::
lOll O()
4i{)6
......:..
Cj''()8
1 III
OlIn
~" h. f r
4/1)7
l,OS
,Wl
W()ll
,:'07
Total Period 5-25 25-Median \ledian-75 75-95
Count Count Count Count
. Vanguard 500 Index SignallVIFSX) 2( 6700) (000) 03001 0(000)
. S&P 500 20 2011lJOo,0 I II (00'0) II (000) 0((1</.01
Peer Group Scattergram - S \ ears
3.2(1
.
[,240
e
=
; I nO
~
o RO
1755
17 ()4 17.67
177q
1771
1758
1761
177()
177(,
Risk (Shmdard Deviation 'Yn)
Return
Standard
Ileviation
NA
17,73
1772
. Vanguard 500 Index SignallVIFSXI
. S&P 500
- !\rledtan
X ,\
294
2.52
lIistorical Statistics - 3' ('ars
Tracking l'p Imwn Information Sharpe Oownside
Market Market Alpha Beta
Error Capture Capture Ratio Ratio Risk
\ an!(uard 500 Index SignallVIFSXl 1.27 10019 103.23 -0,80 -0,62 0.21 100 15.71
S&P 500 000 10000 100.00 0.00 N,A 0.24 100 15.60
Historical Statsistics - S \ ears
Tracking l'p Down Information
F.rror Market Market Alpha Ratio
Capture Capture
Vanguard 500 Index Signal IVIFSX) N/A NiA N/A NiA NA
S&P 500 000 100.00 100.00 0.00 N/A
Sharpe
Ratio
Downside
Risk
Beta
NiA
014
N/A
100
NlA
13.2R
33
G BOGDAHN
'-; GROUP,
Boynton Beach Firefighters' Retirement System
Atalanta Large Cap Growth
June 30, 2011
Financial Reconciliation 1 Quarter
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees Expenses Income Apprec.l As of
04/0112011 Depree. 06/3012011
Atalanta I,arge Cap Growth 4.515 9 -9 13 -114 4.413
Financial RCl'onciliation Ol"toher I, 211 III '1'0.111111.' JII. 21111
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees Expenses Income Apprec.l As of
10/01/2010 Depree. 06130/2011
Atalanta Large Cap Growth 3.957 24 -24 -I 39 419 4.413
Pecr Group \nal~sis - I'll .S. Lar-ge ( ap Gronth Eqllit~ (S \+CF)
( IImlllati,e Pcrformallce
S14U ()
"0 nn
4000
JO 00
E
.:
~ 2000
1000
n nn
~116 0
$135 0
Q.""..,,;;;;;..,.,;,..
~.""""".' I!JM R
.......,.."'<:.../.... ~
t", , :-,:,'
$1320
$]280
$1203
$]240
$]200
$]]6 ()
1....,11 .1
..~~
~112 0
$]OR ()
$]04 ()
-1000
~1000
I Oet-201O I 2 3 4 S
Quarter To Year Years Years Years Years
.Iun-20\1
. Atalanta Large ('ap t,rowth -2.251951 11.581981 21>32 (98) N.A N/A N,A W'\
. Russell 1000 Urov.;th Index II 761461 1947(43) 35 UI 14(1) 2385(39) 50114111 2161451 5.331431
Median 11.58 1888 33.34 2269 4.27 1 76 4.96
q;'l(, ()
8.10
Q'10
12/10
, ]]
6 f I
Atalanta Large Cap (irowth
Russell 1000 Gro\...1h Inde",
Comparathe Performance
,\talanta Lar!:e Cap Growth
Russell 1000 Growth Inde,
1M LI.S Large Cap (irowth Equity ISA+CF)
I
Quarter
Ending
Mar-20 II
4.00 (8S)
6.03 (461
584
I
Quarter
Endin!:
Oee-2010
9.76(82)
1183(49)
1178
I
Quarter
Endin!:
Sep-2010
7.84(97)
1300(381
12.27
I
Quarter
Endin!:
.Iun-201O
N/A
-II 751 53)
-1163
I
Quarter
Ending
Mar-201O
N/A
465 (521
471
I
Quarter
Ending
Oee-2009
N/A
7.94 (29)
699
34
IF" ~ BOGDAHN
'"~'" GROUP.
Boynton Beach Firefighters' Retirement System
DSM Large Cap Growth
June 30, 2011
Finanl'iall~econl'iliatjon I Quarter
Market Value Net Capital Market Value
As of Contributions Distributions Fees Expenses Income Apprec.l As of
04/01/2011 Transfers Depree. 06/30/2011
DS'vl Large Cap Growth 5.67.1 14 -14 -I II 47 5.7:'0
Financial Reconciliation October 1. 2010 To June 30, 2011
Market Value Capital Market Value
As of Net Contributions Distributions Fees Expenses Income Apprec.l As of
10/01/2010 Transfers Depree. 06/30/2011
DSM Large Cap Growlh 4.94') 40 -40 -2 32 750 5.730
Peer Group .\nal~sis - 1:\11 .S, Large (ap Gnmth Equit~ (S \+( F)
50 un
40 Of)
10 on
F
~
,; 2000
lu 00
nOli 141,,11_1
~ I () Of)
ii iii. ...
~". u.... /">,.,,.,
..
- iiijj
I:,;~A"J
I Oet-201O I 3 4 5
Quarter To Year Years Years Years Years
,lun-21111
. DSM Large Cap Growth 102 (38) 1581 (79) 3603 (34) 2374(40) N'A N.-A N'A
. Russell lOon Gro\vth Index 076(46) 19471431 .'501(40) 23 85 1391 501(40) 2161451 533 (43)
Median 058 18.88 3.134 22.69 4.27 I 76 4.96
CUIll ulath I' Performanc{'
$1800
~170 0
$lhO ()
!/<oo
$i40 ()
$1300
't120 0
$110 ()
~IO() n
';;400
z:'oq
$171 I
$ I h2.8
QiOtl
6':10
1:'11 h'll
DS!\1 Large Cap Gro\\'lh
.~ RllS~e11 I (JOO GrO\"th Index
Comparathe Pe.-formanc{'
OSM Lar~e Cap Growth
Russell 1000 Growlh Index
1M U.S Large Cap Growlh Equity ISA~CF)
1
Quarter
Ending
Mar-20 II
3.42 (91)
603 (46)
5.84
1
Quarter
Endinl(
Sep-2010
17.45(6)
13.00(38)
12.27
t
Quarter
Endin~
Oee-2010
10.85(67)
1183(49)
117R
35
I
Quarter
Ending
Jun-2010
-10.4!U5)
-II 75(53)
-1163
1
Quarter
Ending
Mar-20IO
6.63 (8)
4.651521
471
I
Quarter
Endinl(
Dee-2009
4,79 (90)
794 (291
(, 99
G BOGDAHN
, GROUP.
M"\i<T"
Boynton Beach Firefighters' Retirement System
Total International Equity
June 30, 2011
Finandal Rl'l"ondliation I Quartl'l"
Tntallntemational Eqllit:,,!
Market Value
As of
04/01/2011
8.011
Net
Transfers
Contributions
Distributions
Fees
Expenses
Income
Capital
Apprec.!
Depree.
150
Market Value
Asof
06/30/2011
8,161
Financial Rl'l"onl"iliation (ktohl'r 1,2010 To .Junl' 30, 2011
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees F.xpenses Income Apprec.! Asof
10101/2010 Depree. 06/30/2011
TOlallntemational Equity 4.11:1 :1.101 75 872 8.161
Peer Group \nal)sis - 1\1 International 'Iulti-( ap (orl' Equit) ('IF)
('umulati,l' Pl'rfOrmanl'e
4000
1000
E 20 uo
;:
0::
to O(l
000
-[0 ()()
$1000
~()() ()
$85.5
III
iii
$800
$700
$(,73
~'";1,1
ii.-
$600
~'iO 11
$..1.0 ()
I Oet-201O I 3 4 5
Quarter To Year Years Years Years Years
.Jun-2011
. Total International Fqtli~ I 88 1:11) 1.'.55 (27) .,0,78 (47) 18.49 (50) -6.77(98) NA NA
. T otallntcrnational tquity Pnlil.:} I 13 152) 12.66(40) :109214:11 18.70 (481 -0.92 (54) -:1.:11 (591 UO (5.'1
Median 124 1164 29.98 18.:17 -0,6:1 -2.84 2.40
~1(1 u
[[..07
h'OR
1;'Ol-l
]20()
q.:IO
().11
Totallnternallonal EqUlt~
TotallnlernatlOnal Fqll1tv Policv
( om pal'ath l' Pl'rfOrmalll'l'
Total International Equity
Totallntcmational Equity Polic)
1M InternatIOnal Multi-Cap Core Equity I!'vIF I
1
Quarter
Ending
Mar-2011
5.41 (2)
:1 91 116)
2.57
I
Quarter
Ending
Dee-201O
5.74 (92)
7.22 149)
7.16
1
Quarter
Ending
Sep-2010
15.18(72)
16.21(581
16.48
1
Quarter
Ending
.lun-2010
-13.36(72)
-1341(721
-12.24
I
Quarter
Ending
Mar-201O
2.75 (24)
1.7:1 (45)
151
1
Quarter
Ending
Dee-2009
-0.01 (88)
2.22(60)
2.76
36
IF" I BOGDAHN
'-;-' GROUP
Boynton Beach Firefighters' Retirement System
Total International Equity
June 30, 2011
3 \ I' Rolling l nder/(her Pel-formance - S \ ears
?:. Owr
O() Performance
t-
.; -30
...
..
. -60
;
'i -q 0
E
i -12,()
'l! -[ ~ 0
~
-16 () -140
. Cnder rcrtlJrmancc
..
.
it.
(Inder
Performance
-..f /)
-2n
00
-fl() -IOU -NO -1,/1
Total International Equity Policy (''10)
.. Scp-200(J
. .fun-lOll
Peer Group Scattergram - 3 \ ears
700
~ 000
E
.:
c:; -7 no
-l-t on
1400
.
28 on
in 00
32.00
20 00 22 00 24 00
Risk (Standard [)eyiation 'Yo)
2600
1600
IR 00
Return
Standard
()e'\'iation
. Total International Equity
. T otallntematlOTlal Equit) Polic)
_ t>.lcdian
-6.77
.0,92
-063
2807
25.33
2595
3 \ I' Rolling Percentile Ranking - :; \ ears
n 00
...
=
~ 25 on . .
~ . . .
g )()()()
...
E 7" 00
;
0=
](lOOO
l),'()() 3/07 Q'07 1:08 lI'OR H1q
,~, I ()
q.:rn
l I r f,. r r
(J'(ll)
Total Period
5-25
Count
0(00'0)
0(000)
75-95
Count
4 ( 1000'0)
U ((Joo)
25-Median
Count
0(00'01
1417(00)
Median-75
Counl
o (00'0)
() (30ao)
. Totallntemational Equity
. Totallntemational Equity Pohc~
4
20
Peer Croup Sl'attergram - :; \ cars
~ 400
E
~ noo
0=
-4 ()O
1400
16.00
1800
2000
noo
24()()
Risk (Standard D('viation (/0)
Rt'turn
Standard
De,'iation
'JA
21 )<)
21.56
. Total Intc01Fltional r':quit~
. Total International Equity Policy
- Median
1'\.'\
220
2AO
Historical Statistks - 3 \ ears
Tracking lTp Down Information Sharpe I>ownsidf'
Market Market Alpha Bcta
Error Capture Capture Ratio Ratio Risk
Total Intematlonal Equity 16.47 80.69 9464 -4.80 -031 -0.11 0.90 22.82
Total Intcmational Equity Polley 0.00 10000 10000 0.00 N'A 0.08 100 18.75
Historical Statsistks - S \ ears
Tracking Up Down Information
Error Market Market Alpha Ratio
Capture Capture
Total fntemational Equity N'A Nil\ NiA N/A NA
TotFlllntemational Equll)- Pollcy 000 10000 10000 000 N!A
Sharpe
Ratio
Downside
Risk
Beta
N,A
0.12
NA
100
'\I,A
1567
37
G BOGDAHN
'- GROUP.
Boynton Beach Firefighters' Retirement System
Manning & Napier Overseas (EXOSX)
June 30, 2011
Finalll'ial Reconciliation I Quarter
I\hllning: & Napier O"crseas (EXOSX)
Market Value
As of
04/01/2011
8.011
Net
Transfers
Contributions
Distrihutions
Fees
Expenses
Income
Capital
ApprecJ
Depree.
150
Market Value
As of
06/30/2011
8.161
Financial Reconciliation October I, 20lU To June 30, 2011
\tanning & Napier Overseas (FXOSX)
Market Value Capital Market Value
As of Net Contrihutions Distributions Fees Expens("S Income Apprec.! As of
10/01/2010 Transfers Depree. 06/30/20 II
4.113 3.101 7' 872 8.161
Peer Group \nal)sis - 1\1 International \11I1ti-( ap ('ore Eqllit) (\IF)
ClImulati, e Performance
'j;Qh 0
'bll() (l
4000
3000
~ 2000
.::
]000
o Of)
$llh 0
$112,0
ill
..
$1080
$1040
~
~~-
iiiiii ~
$1000
-10 no
$02 n
$880
I Oet-20 10 I 2 3 4 S
To
Quarter .Iun-201 I Year Years "ears Years , ears
. Manning & NapierO\'crseas (F\,:()SX) 1881311 14.68 (7) 32.08 (33) ~.A NIi\. Ni.'\ 'iiA
. Tot<lllntemational Equity Policy 1 13 (52) 12.66(40) 3092(4.'1 187(148) -0921541 -.'..' 11591 2.2015.' )
I\Icdlan 1.24 1164 2998 18..,7 -0.63 -2.84 2.40
11 .'04 12,:OC)
3 III
():lO
lj,10
12 '10
111
h 11
t\.1annmg &. :"JapJer Ovt"r<,ea<., IEXOSXI
Totallntt"matlOnal EqUltv 1'011(\
('omparati, e Performance
Manning & Napier Overseas (EXOSX)
fotallnte11lational Equity Policy'
l1\f rntematlOnal Multi-Cap Core Equity (MF)
I
Quarter
Ending
Mar-201 I
S.41 (2)
391 (16)
2.57
I
Quarter
Ending
Dee-21110
6.79 (67)
7.22 (49)
7./6
I
Quarter
Ending
Sep-20JO
IS.18(72)
16.21(58)
16.48
I
Quarter
Ending
.lun-2010
-13.36(72)
-1341(72 )
-12.24
I
Quarter
Ending
Mar-201O
2.7S (24)
1.73 1451
1.51
I
Quarter
Ending
Dee-2009
-0.01 (88)
2.22(60)
276
39
If" I BOGDAHN
'-""""" GROUP
Boynton Beach Firefighters' Retirement System
Total Fixed Income
June 30, 2011
,-
I
Financial Reconciliation I Quarter
Market Value Net Capital Market Value
Asof Transfers Contributions Distributions Fees Expenses Income Apprec.l Asof
04/01/2011 Depree. 06/30/2011
Total Fixed Income 13.685 2,939 -9 -I 135 170 16.920
Financial Reconciliation October 1,2010 To .June 30, 2011
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees Expenses Income Apprec.l Asof
10/01/2010 Depree, 06/30/2011
Total Fixed Income 13.689 2.961 -31 -4 374 -69 16.920
Peer G,-oup ,\nal~sis - I'll .S. InternH'diate 1>1Iration (S \+( F)
[200
[000
~~iii_-
I~"~~
g_oO
e
! {100
.::
4()(1
:!()O
OOl)
I Oet-20W I 3 S
To
Quarter .fun-2011 Year Years Years \' ea rs Years
. Totnl Fixed Inl.:ol11c 2.241111 2 19 (221 491 (24) 782 (291 6371661 'iA 1\."
. rotal Fi\.cd In<.:ome Polic! 2.42131 2.42(14) 4.62 (:12) 672(511 5 89 1831 6.41(72) 6.28174 )
Median 2.1111 1 45 4.24 6.79 () 69 6.80 6.58
ClImulatiH' Pl'rformalll'e
$111) ()
$126 ()
SI2l0
$120 (I
$1170
$114 ()
$11] 0
$IOR 0
$10) 0
$[020
Sill) ()
$1l6 ()
II '07
$126.1
$124.8
{1,"08
J ()lj
12iOQ
9 10
(),Il
Total flwd Income
-.-- rotal rrxcd Income Polley
( omparatiH' Performance
I I I I
Quarter Quarter Quarter Quarter
Endine Ending Endine Endine
Mar-2011 Dee-2010 Sep-2010 .fun-201O
Total Fixed Income 0.89 (23) -0.94(40) 2.66 (6S) 2.41 (79)
Total Fixed Income Policy 074 (311 -073127) 2.14 (86) .,.08 (22)
1M {'.S. Intcl1l1cdiate Duration (S:\ I ('Fl 060 -1111 2.77 2.85
40
I
Quarter
Ending
Mar-20 10
1.74 (60)
1.57 (75)
184
I
Quarter
Endine
Dec-2009
1.20 (16)
080(35)
062
G BOGDAHN
'" GROUP
Boynton Beach Firefighters' Retirement System
Total Fixed Income
June 30, 2011
3' I' Rolling l nder/O\er Performance - S, l'ars
3 , r Rolling Pl'lTentile Ranking - S , ears
t. 70
E
e
.5 60
...
~
10:
('Ill 'i 0
e
!-
.
.:to
(Inder
Pl?rformance
1)00
"
.
.:: 2" ()()
.
~ 'iO 00
.::
E 7~ 00
i!
.::
Ion no
(J!06
.
Over
Performance
3/07
9.07
3/Og
Q,'U8 1 '01) 0/()Ll " '10 q"'() ) II /,'11
S-2S 2S-Median Median-7S 7S-9S
Count ('ount Count Count
0(00'0) 0 .100'0) 4 11000'0) 0(0001
010'01 2 f 10001 X (40'01 IOI50'~1
411
4 <
<(,
"
{lO
(,<
7()
75
Total Fixed Income Polic)' (0;..)
Total Period
II Over Performance
A ~er.20()()
. Jun-2011
. Total Fixed Income
. Total Fixed Income Poliq
4
20
Peer GrouJl Scattergram - 3' ears
Peer Group Scattergram - S, ears
R 40
_800
~
E (-,00
:
CI: 4()(l
.
.
'i.700
E
t '5 60
&II:
42u
.
2n()
1 no
ISo
2(l(1
2'50
300
-, 50
4.00
4 <0
'500
'5 'i0
600
6 'i{)
7 on
180
2.10
2AO
270
300 1JO 160 3C)O 420
Risk (Standard Dt-viation "Ie)
45U
HO
'5 In
" ..to
'i 70
Risk (Standard Deviation 0;.:. I
. Total Fixed Income
. Total Fi\.ed Income Polic)
- tvfedlan
6.37
5.89
Standard
Deviation
5.25
.,0.'
3.68
Ret" rn
Standard
Deviation
Return
6,69
. Total Fixed In~ol11c
. Total Fixed Income Polic~
~ledian
NA
6.28
6.58
'iA
31.'
-'.49
Historical Statistics - 3' ears
TrackinJt IIp Down Information Sharpe Downside
Error Market Market Alpha Ratio Ratio Beta Risk
Capture Capture
Total Fixed Income 3.69 118.50 1.'600 -1.21 0.16 0-')5 131 4.59
Total Fixed Income Pollcy 000 10000 100.00 0011 "'A 135 100 2.21
lIistoril'al Statsistks - S 'ears
Tracking Up Down Information
F:rror Market Market Alpha Ratio
Capture Capture
Total Fixed Income No'A N/A NA NiX N.A
Total Fixed Income Pol1c~ 000 10000 10000 0.00 N/A
Sharpe
Ratio
Beta
Ilownside
Risk
N:A
1.19
Ni.\
100
NA
181
41
G BOGDAHN
'- GROUP
Boynton Beach Firefighters' Retirement System
Total Domestic Fixed Income
June 30, 2011
Financial Reconciliation I Quarter
Market Value Net Capital Market Value
Asof Transfers Contributions Distributions Fees Expenses Income Apprec.! As of
04/01/2011 Depree. 06/30/2011
Total Domestlc Fixed Income 11.053 -61 -9 -1 88 142 11.212
Financial Reconciliation Octoher \, 20 \() To .June 30, 20 II
Market Value Net Capital Market Value
Asof Transfers Contributions Distributions Fees Expenses Income Appree.! As of
10/01/2010 Depree. 06/30/2011
Total Domestic Fixed Income -2.650 -19 -I 267 13.615 11.212
1'1.'1.'1' Group \ual)sis - I\ll .S. Broad \I:IJ-kl.'t ( on' Fi\ed Income (S \+( I')
( lImlllatiH' Performalln'
$Izq ()
1400
11.00
10.00
800
E
.:
.:: 60()
... 00
~.()() -
IJO()
$12(){)
g...B~..~....
g...----
~
~
$123 0
$1200
$117 ()
$114 ()
$111 ()
$1080
$]050
'IlI020
<o;qq ()
1 Oet-201O I 3 4 S
Quarter To Year , ears Years Years Years
.lun-2011
. Total Domestic Fixed Income 2117(781 18(147) 4.571521 7 65 1561 6.2618XI \;:,\ NA
. Total Domestic Fixed Income Policy 2.421161 2.42 (25) 4(2152) (,72(841 5891921 641 1811) 6.28 (811
t\fcclian 2,24 I 75 465 7.811 no 716 6.95
11.'07
h:OR
l,()q
12:(1'1
0,'11)
/).11
Total DomestIC Fl'\t'd Incomt."
Total DomestIc Fixed Income Polle\
Comparati\ e Pel'formann'
Total Domestic Fixed Income
Total Domestic Fixed Income rolil:~
1M I i.S. Broad \larket Core fixed Income ISA- en
1
Quarter
Ending
Mar-lOll
0.73 (4S)
074145)
067
I
Quarter
Ending
Dee-2010
-0.94(361
-0 73(24)
-1.12
I
Quarter
Ending
Sep-2010
2.66 (67)
2.141971
2.81
I
Quarter
Ending
Jun-2010
2.41 (94)
3081781
.HO
I
Quarter
Ending
Mar-201O
1.74 (83)
157 (94)
2.1.'
I
Quarter
Ending
Dee-2009
1.20 (21)
11801411
0.61
42
~ BOGDAHN
,--~ GROUP
Boynton Beach Firefighters' Retirement System
Total Domestic Fixed Income
June 30, 2011
3 , I' Rolling l nder/O\ er Performance - S , ears
3 , I' Rolling Pen'entile Ibnking - S , ears
0.00
...
c
~
" 2500
~
g 5000
...
E 7'" 00
.:!
.;;:
Ion 00
0/06
:f. Over
E Performanc<:'
70
S
.!:
...
~ 60
~
"
E '0
e
<:l
~
.. 40
...
..t,ll -t5
. Ovel Performan(c
. .
. ..
1 :ndcr
Perfornumce
1;'OR
()'()R
,,'n7
'1/07
70
7 '
(,:=;
"
:; 0
hO
S-2S
Count
0100'01
211(00)
Tota' Period
Total Domt"stic Fixed Income Policy (%1
. Total Domestic Fixed Income
. Total Domestic Fixed Income Policy
4
20
4. ~ep-2006
. Jun-2011
1()C)
q ()<I 1 '10 l):]O 111 (~ 11
2S-Median i\1l'dian-75 7S-9S
Count Count ('ount
(00'0) (511%) 2(50001
.' j 1500) 5 (250.0) 10150001
Peer Group Scattergram - 3' ea"s
Peer GI"OUP Sl'attergram - S , ears
'l
"'
'EhOO
=
~ 4()()
q no
800
= 600
!
.;;:
.
.
300
l,on
200
lon
500
700
000
2AII
3.20
4 on
Hu
280
.3 60
... 40
400
6 on
80U
Risk (Standard Deyiation %)
Risk (Standard Dniation %)
Return
Standard
Deviation
5.25
3.03
403
. Total Domestic Fixed Income
. Total Domestic Fixed Income Policy
_ \Iedian
. Total Domestic Fixed Income
. Total Domestic Fixed Income Policy
!\tledian
6.26
5.89
no
~ 20
~ ()()
64()
72()
Ii RO
t)(l()
Return
Standard
Dc,'iation
"A
6.2R
() 95
NA
3.1.'
.'.79
I1istoril'al Statisti('s - 3 , {'aI'S
Tracking lip Down Information Sharpe Downside
Error Market Market Alpha Ratio Ratio Beta Risk
Capture Capture
Total Domestic Fixed Income 369 117.23 1.'600 -1.30 0.13 093 131 4.<;9
Total Domestic Fixed Income Policy 000 100.00 IUO 00 000 N.A 1.35 LOO 2.21
Sharpe
Ratio
I1istori('al Statsistil's - S '{'aI's
Downside
Risk
Tracking lip Down Information
Error Market Market Alpha Ratio
Capture Capture
Total Domestic Fixed Income N:A N/A N/A N/A N:A
Total Domestic fixed Income Policy 000 10000 10000 000 N.A
N/A
1.19
43
Beta
N:A
100
NlA
1.81
if' ~ BOGDAHN
,~ GROUP
Boynton Beach Firefighters' Retirement System
STW Fixed Income
June 30, 2011
financial Reconciliation I Quarter-
Market Value Net Capital
Asof Transfers Contributions Distributions Fees Expenses Income Appree.l
04/01/20 II Depree.
STW Fixed Income 9.089 -61 -9 -I 80 87
Market Value
Asof
06/30/2011
9.186
financial Reconciliation Octohl'r 1,2010 ro .I1111l' 30, 2011
Market Value Net Capital Market Value
Asof Transfers <_'ontrihutions Distributions Fees Expenses Income Apprec.l Asof
10/01/2010 Depree. 06/30/2011
STW Fixed Income 11.765 -2.639 -31 -, 292 -198 9.186
(omparatiH' PerformalH'e
Peer Group \nal)sis - I \1 I .S. Intl'rml'diatl' Duration (S \+( I')
1200
If) 00
~ ~ iii lilB.i
.,_.J,"" ~
suo
E
.: 600
.::
.too
2 no
U Ill)
I Oet-201O I 3 4 S
Quarter To Year Years Years Years \ ears
Jun-2011
. ST\\' h'\ed Income 1831731 1.21 (701 ,96(661 7.521321 647(63) 6.59(62) :-.i. A
. ST\V FixeJ Income Polic~ 2.17117) I 88 ( 3 \) 3.99 (M) 6.'31651 6.271691 6491701 6401651
Median 200 1 41 4.24 679 669 6.8U 6.58
STW Fixed 'ncome
ST\V Fixed Income Polk)'
IT\f l! S Intermediate Duration (S:\ CF)
I
Quarter
Endinl!:
Mar-2011
0.46 (71)
048 (69)
060
I
Quarter
Ending
Sep-2010
2.72 (S8)
2.07 (89)
2.77
I
Quarter
Ending
Dee-2010
-1.06( 48)
.0 75(28)
-1.10
44
( 1Il11ulati\e Pl,,'forma'H'e
$1320
$12R 11
?,~12*fl
r-
'I
?/
$124 u
$1200
$llh 11
$]]2 ()
$IOR 0
$10-l0
$100 ()
$q() ()
,i(l?
!2/07
q:()8
(l:Oq
1'10
12 '10 () 11
- STW Fixed [ncome
~- STW FIxed Income POIIC\
I
Quarter
Ending
.'un-2010
2.42 (79)
292 (46)
2.85
I
Quarter
Endinl:
Mar-201O
1.87 (48)
1.81(56)
1.84
I
Quarter
Endinl!:
Dee-2009
1.09(20)
(53159)
062
fF\ , BOGDAHN
,..-" GROUP
Boynton Beach Firefighters' Retirement System
STW Fixed Income
June 30, 2011
3 , r Rolling l nder/O\er Performance - 5 , ears
s n {)ver
Pt'rformanct.:
t
~ 7(1
~
.::
."
~ ()()
..
~
...
'" ,0
4 ' ." 0 ;;;.:; ()(l '" 711
llnder
Performance
7' "
so
STI\' Fixed Incomt' Policy ("Ia)
II O\"cr Performance
A. Sep-2006
. Jun-2011
Peer Group Scattergram - 3' ears
_s,oo
"
E 6 on
a
~ ..too
200
100
2.00
3.50
6.."0
700
4.:'i0
" on
2 "0
4,()()
<i "0
600
I ."0
~ 00
Ri~k (Standard Dt-\'iation 0/..)
Return
Standard
Deviation
574
260
3.68
. ST~,.' fixed fncolllc
. STW Fixed Income Policy
_ Median
647
6.27
6.69
3 , r Rolling Percentile Ranking - 5 'ears
000
'"
:;
" 2500
~ .
~ 5U,00
0.
E 7500
.=:
.::
Ion 00
4/Ot> ~i07
Q"'07 3/08 q....o::s lUll Il,oq 3 10 C)'lll 111 ()'Il
Total Period S-2S 2S- Median \Iedian- 7S 7S-95
Count Count Count ('ount
6 01(00) 117001 5 (8300) n (00'0)
20 0(00'0) 5 (2500) 12(600'0) .) ( 15001
. STW fIXed Income
. STW Fixed Income Policy
Peer Group Scattergnllll - 5' ears
g 40
t700
E
S SoO
.::
420
1 SO
:2 10
" 10
2,4tl
2,70
Jon J~\l ,60 3QO -l-,1()
Risk (Standard Dt>\'iation '}..)
4 <;()
4lW
5-W
<; 70
Retu rn
Standard
Deviation
. STW Fixed Income
. STW Fixed Income Policy
Median
N.A
640
6.58
~L.-\
2.84
3.49
lIistorit'al Statistks - 3' ears
Traekin~ IIp Down Information Sharpe Down!ilid<,
Market l'\1arket Alpha Beta
Error Capture Capture Ratio Ratio Risk
ST\V Fixed Income 4.25 126.91 191.37 -2.94 008 0.94 1.54 449
STW Fixed Income Polic~ 000 100.00 10000 000 NA 173 100 1.55
Historical Statsistics - 5 , ears
Tracking lip Down rnformation
Error Market Market Alpha Ratio
Capture Capture
ST\\.' Fixed Income N'A N/A N/A N!A N/A
STW Fixed Income Policy 0.00 10000 100.00 000 NA
Sharpe
Ratio
Downside
Risk
Beta
NiA
140
N.A
100
NiA
1.14
45
C BOGDAHN
'-; GROUP.
Boynton Beach Firefighters' Retirement System
STW TIPS
June 30, 2011
financial Reconciliation I Quarter
STW TIPS
Market Value
As of
04/01/2011
1.964
Net
Transfers
Contributions
Distributions
Fees
Expenses
Income
Capital
Appree.l
Depree.
55
Market Value
As of
06/30/2011
2.026
Financial Reconciliation Octoher 1,2010 10 .June 311, 2011
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees Expenses Income Appree.l Asof
10/01/2010 Depree. 06/30/20 II
STW TIPS 1.924 -I 23 79 2.026
PeerGI-oup \nal)sis-I\II.S. IIPS(S\+( I')
(1IIlIulati\e Performance
l-t 00
IlOO
10 ()()
E ROO
i!
.::
() on
.too
~ no
$1260
$1230
$1170
1$122 4
I. $120.7
I
/1:
//.r--_,,/
~/
.~--
$1200
$1140
$1110
L :'lii~
$108 ()
$10j U
$]()2.U
'j;qQ(l
'j;<l(i ()
1 Oet-2010 I 2 3 4 S
Quarter To Year Years Years Years Years
Jun-2011
. ST\\ II PS .,.181661 5.31 1291 77712<)1 7451<)11 4591911 "LA NA
. Bm'Cap 1 IS Trc(lsllr~ 1 IS TIPS 3661321 5 U I3RI 7 74 (321 863 (50) 5.281(8) 7651681 6 92 (66)
Median 3.57 487 761 863 548 776 7.05
l'og
q'oR
hOq
j In
12 10
h -II
STW TIPS
BarCap [I S Treasurv 1I S TIPS
(omparati\e PerformanCl'
STW TIPS
AarCap II.S Treasury- 1 is TIPS
1\1 1 IS TIPS (S.\+CFI
I
Quarter
Ending
Mar-20l1
2.22 (31)
2.08 (56)
2.11
I
Quarter
Ending
D<<-2010
-O.IS(20)
-0651371
-O.n
I
Quarter
Ending
Sep-2010
2.33 (78)
2.481721
2.67
I
Quarter
Ending
Jun-2010
2.34 (92)
382 (61)
389
I
Quarter
Ending
Mar-2010
0.69 (S3)
0.56(73)
071
I
Quarter
Ending
Dee-2009
2.02 (42)
I 76 (871
192
46
~ A BOGDAHN
'--' GROUP
Boynton Beach Firefighters' Retirement System
STW TIPS
June 30, 2011
3 \ I' Rolling l nder/O\er Performance -::; \ ears
';;6
O\cr
Performance
5 :;
~
~ 4.R
~
'"'44
~
~ -to
.
'"
Under
Performance
.
32
"
14
-to 42 44 4l) 48
RarCap (',S. Tr'easul)': (I.s. TIPS (0/0)
, h
'II
" ~
:" -1.
~ ()
1 X
_ Undl.'f Performance
Ii.. Sep-2006
. Jun-2011
Peer Croup Scattl'rgram - 3 \ ears
700
~(}()O
E
=
;::" 00
'"
4 on
1 (>(l
4.80
600
520
:" 40
:" 60
QW
4,110
420
440
4.60
, 00
, go
Risk (Standard Ot-\-'iation 0;..)
Refu rn
Standard
[}e,,'iation
. STW TIPS
. BarCap L'.S. TrcaslIl)" (:S. TIPS
Median
4.59
5.28
548
494
5.36
492
3 \ ,. Rolling Percentile Ranking - ::; \ ears
o ou
'"
=
.:: 25 no
.
;; .
~ 5000
.I:
E 7" 00
-=
"
100 (JO
()i{l() 3/07 Q;07 ,:08 Qi08
1:()q q'Oll J'ln q:IO 1111 " t t
S-2S lS-Median Median-7S 7S-9S
Count Count Count Count
010001 .0 (000) 0(00'0) 31100001
010001 I (500) 13(h5')oJ 6 (JOOo)
Total Period
. STW TIPS
. BarCap U.S Trcasul} I :.S TIPS
20
Peer Group Scattergram - ::; \ ears
8 DO
~ 7.20
E
=
; 640
'"
"60
3 RO
<; 00
:" 60
4 OIl
4 20
4 40
4 tiO
HO
:" 20
:" 40
Risk (Standal'd f)(>\'iation "'/0)
Return
Standard
Deviation
".A
5.33
5 II
. STW TIPS
. BarCap (IS Treasur. (IS TIPS
- Median
NA
691
7.05
lIistorical Statistil'S - 3 \ l'arS
Traekin2 lip Down Information Sharpe Downside
Error Market Market Alpha Ratio Ratio Beta Risk
Capture Capture
STW TIPS 228 80.25 7605 024 -0.33 0.60 082 5.37
BarCap LI.S. Treasury' U.S. TIPS 000 100.00 100.00 0.00 N/A 0.60 1.00 6.0.,
Historical Statsistics - ::; \ ears
Tracking lip Down Information
Error Market Market Alpha Ratio
Capture Capture
STW TIPS N/A N/A NiA NiA N/A
BarCap (IS Treasury U.S TIPS 000 100.00 10000 000 N/A
Sharpe
Ratio
Downside
Risk
Beta
NiA
0.68
'iiA
100
N:A
492
47
G BOGDAHN
" GROUP
Boynton Beach Firefighters' Retirement System
Total Global Fixed Income
June 30, 2011
Finandal Rt'l'olH'iliation I Qnartt'r
Market Value Net Capital Market Value
As of Transfers Contributions Distributions Fees Expenses Income Appree.! As of
04/0 1/2011 Depree. 06/3012011
Total Global Fixed Income 2.632 3.000 48 29 5.709
Financial Rel'ondliation Octoht'r I. 20 I 0 10 .June 30. 20 II
Market Value
As of
10/01/2010
Net
Transfers
Contributions
Distributions
Fees
Expenses
Income
Total Global Fixed Income
5.600
59
Capital
Appree.!
Depree.
49
Market Value
As of
06/30/20 II
5.709
Peer Groll\l \nal)sis - 1\1 Global Fi:u'd Income (\IF)
(ulllulati\e Performance
2000
17 no
1400
1100
E
.: 800
.::
~ 00
2.00
-100
--too,
$103,
_ EJ.,....o,.~
..
~103 0
$IOlO
$102,
~
Ii
$1020
$101 ,
$10] 0
tloo ~
$1000
I Oet-2010 I 2 3 4 S
To
Quarter Jun-2011 Year Years Years Years \'ears ';;,:11 611
. Total Glohal hxcd Income .1 (4119) 'iA " .\ N\ N". "A NiA
. BoL\ Merrill I "neh Global Broad ;->Iarket Index .1 05 (19) 2.84 (511 1007(521 77.11761 6.06(48) 7651281 7071.'61 Tot<ll (,tohal Flx~J In.:ome
BofA Mernlt Lvnch Global Broad Market Inde,
i\1edlan 2.28 2.84 10 13 8.98 5.95 6.36 6.44
COI11 pa rath e Perforlllance
Total Global Fixed Income
BofA Merrill Lynch Glohal Broad Market Index
1M (;lohal Fixed Income 1'\IF)
Quarter
End ing
Mar-2011
C'I/A
1.19 (67)
1.56
I
Quarter
ICnding
Dee-201O
NIA
-1..18(58)
-L09
I
Quarter
Ending
Sep-2010
N/A
704(59)
74.1
I
Quarter
Ending
Jun-201O
NIA
0.221531
0.41
I
Quarter
Ending
Mar-201O
N/A
-017(90)
1..13
I
Quarter
ICnding
Dee-2009
N/A
-0.81(97)
0.72
48
IF' ~ BOGDAHN
,~-""" GROUP
Boynton Beach Firefighters' Retirement System
PIMCO Diversified Income Fund (PDIIX)
June 30, 2011
Financial Reconciliation I Quarter
PIMCO Di\ersitied Income Fund IPDllXI
Market Value
As of
04/01/2011
1.309
Net
Transfers
Contributions
Distributions
Fees
Expenses
Income
Capital
Appree.l
Depree.
Market" alue
As of
06/30/2011
2.838
Financial Rel'onl'iliation October 1,2010 To .June 30, 2011
I'IMCO Di\crsitied Income Fund IPDllX)
Market Value
As of
10/01/2010
1.500
Net
Transfers
Contributions
Distributions
Fees
2.800
Peer Group \nal)sis - 1\1 Global Fhed Inl'ol1le (\IF)
20 ()O
1700
14 DO
11 00
E
= ROO
~
<i()()
l,on
-100
-4 ()()
. P[~fCO Di\ersitied Income Fund (PDIIX I
. BolA Merrill Lynch Global Aroad Market Index
Median
~@
-.
I
Quarter
Oct-2010
To
.tun-2011
NiA
284 (51)
F.xpenses
27
Income
Capital
Appree.!
Depree.
Market Value
Asof
06/30/2011
2.838
('UI1l ulath e Perf o rill 1I nl'e
~
E:i3
-
$]fl3,~
$103 \I
SI02,<;
$1020
~IOI s
$1010
$100 "
Sino ()
31
,.$1030
//
~q 1
PIMCO D1\'er~ified Income Fund WDII.\: I
BofA Mt:rnll Lvnch Global Broad i\farkd Inde,
6:11
$102.3
Com parati\ e Pe,-formalll't'
PIMCO Diversified Income Fund (PDIIX)
BofA Merrill Lynch Global Broad Markel Index
1M Global Fixed Income (MF)
232149)
-' 05 (191
2.28
2.84
I
Quarter
Ending
Mar-2011
N/A
1.191(7)
1.56
I 3 4
Year Years Years Years Years
'iiA N.A 'i,A NA NiA
10071521 77-' 176) 606 (481 765 (281 7071-'61
10.13 8.98 5.95 6.36 644
I
Quarter
Ending
Dee-2010
NIA
-138(58)
-1.09
I
Quarter
Ending
Sep-2010
N/A
7.04 (59)
7.43
49
I
Quarter
Ending
Jun-201f1
NIA
0.22(531
041
I
Quarter
Ending
Mar-201f1
:-;/A
-017(90)
1.33
I
Quarter
Ending
Dee-2009
NIA
-0.81197)
072
G BOGDAHN
" GROUP.
Boynton Beach Firefighters' Retirement System
Templeton Global Bond Fund (TGBAX)
June 30, 2011
Finandallh'condliation I QlIartl'r
Templeton Global Bond Fund (TGBAX)
Market Value
Asof
04/01/2011
1..124
Net
Transfers
Capital
Appree./
Depree.
26
Market Value
Asof
06/30/2011
2.871
Contributions
Distributions
Fees
Expenses
Income
uoo
21
Financial Reconciliation October 1,2010 To ./lIne 30, 2011
Market Value Net Capital Market Value
Asof Transfers Contributions Distributions Fees Expenses Income Appree.l As of
10/01/2010 Depree. 06/30/20 II
2.800 26 45 2.871
Templeton Global Bond Fund ITGBAX)
Pel'r G'-Ollp ,\nal)sis - 1\1 Global Fixed Income (\IF)
2000
1'"7 on
1400
II 00
E
.: ROO
~
'i o()
200
-100
.400
. Templeton (;lobal Bond Fund (l(;BAXI
. BofA Merrill Lynch (iloha1 Broad Market Index
Median
E!!;3....... P'l!"""j'"
-.
I
Quarter
.,74 (5)
3051191
2.28
Oet-2010
To
.tun-2011
N,A
2.841511
2.84
( lImlllatiH' Performance
11104 "i
$1040
$103.7
$101 c;
$10, () $1030
$102 ~
$1020
$101 5
$]010
$IO()..'i
$1000
$qi) <;
II
~.'~""""'"
.
I 3 4 S
\'ear Years Years Years Years
N'A N,A \liA \I'A N,A
1007(52) 773(76) 606 (481 765 (28) 7071-'(,)
10.13 8.98 5.95 6.36 644
S"II
h II
Templeton Global Bond Fund (TGBAXI
BofA Merrilll.vnch Gloha! Broad 1\hrket Indc'\
( omparati\e Performance
Templeton Global Bond Fund (TGBAX)
HofA Menill Lynch Glohal Broad Market Index
1~1 Global Fixed Income I MF)
I
Quarter
Ending
Mar-2011
NIA
1.191(7)
1.56
I
Quarter
Ending
Dee-2010
NIA
-1.38(581
-109
I
Quarter
Ending
Sep-201O
N/A
704 (59)
743
I
Quarter
Ending
.tun-2010
N/A
On(,,)
041
I
Quarter
Ending
Mar-201O
"/A
-017(90)
1..13
I
Quarter
Ending
Dee- 2009
N/A
-081(97)
072
50
Ii' BOGDAHN
\,;""., GROUP
Boynton Beach Firefighters' Retirement System
Intercontinental
June 30, 2011
Financial Reconciliation I Quarter
Intercontinental
Market Value
As of
04/01/2011
4.6:14
Net
Transfers
('ontributions
Distributions
Fees
Expenses
Income
Capital
Appree.l
Depree.
76
Market Value
As of
06/30/2011
4.778
-12
80
Financial Reconciliation October 1,20 I I) 10 .June 30, 20 II
Market Value Capital Market Value
As of :-.let Contributions Distributions Fees Exp€"nses Income Appree.l As of
10/01/2010 Transfers Depree. 06/30/20 II
Intercontinental 2.%6 UOO -36 190 :158 4.778
Peer (,roup \nal)sis - I\ll .S. Open End Pri\ate Real Estate (S \+CF)
..fO no
JU UO
20 on
E
.: 1000
~
000
-10 Of)
~2() (10
118
~~.~
~iiJ!1iIi
I Oet-2010 I 3 4 S
To
Quarter .lun-2011 Year Years Years Years Years
. Intcn;ontincntal :1 :17 1831 12.88159) 1071(95) NI:\ 'iA "'A N',\
. NCRFlF Property Index 3941711 12."11891 1673(891 7.24 (241 -2.56 III 0.2(16) 345 (7\
\1cdian 447 1389 18.92 ).27 -8.00 -4.:10 -o.n
(lImulati\e Performance
1.[2) 0
$]200
$120 b
$1170
$114 ()
$111 ()
$112.2
$[OR ()
SIO:'\ ()
'11101 ()
o:;qq ()
$%n
~:!O
311
/),'11
6.10
(j'IO
12. [0
- Inten:onllnental
NCRHF Property Inde",
(omparati\e Performance
Intercontinental
t\CREIF Proper!); lnde,
1M II.S Open End Private Real Estate (SA. CF 1
t
Quarter
Ending
Mar-2011
4.43 (S4)
336191 )
4.49
I
Quarter
Ending
Dee-201O
4.S7 (4S)
462(431
450
I
Quarter
Ending
Sep-2010
-1.9~100)
.'.8((811
5.90
51
I
Quarter
Ending
Jun-201O
I.3S (8S)
3311551
346
I
Quarter
Ending
Mar-201O
N/A
076 1451
068
I
Quarter
Ending
Dee-2009
"'/A
-2.111201
-,).23
G BOGDAHN
'- GROUP.
Boynton Beach Firefighters' Retirement System
Benchmark History
As of June 30,2011
\lIocatioll \Iandate \\ eight ('1<>)
STW Fixed Income Policy
Jan-1979
S&P 500 Index
3 Year U.S. Treasury Note
Citigroup 3 Month T-Bill
65.00
30.00
5.00
Jan-1973
Barclays Capital U.S. Government/Credit
100.00
Jun-2007
Barclays Capital Intermediate Aggregate
100.00
Jul-2007
Citigroup 3 Month T-Bill
Barclays Capital Intermediate Aggregate
MSCI EAFE
Russell 3000 Index
5.00
35.00
10.00
50.00
Oct-2007
Russell 3000 Value Index
Russell 1000 Growth Index
S&P 500 Index
Barclays Capital Intermediate Aggregate
Barclays Capital U.S. Treasury: U.S. TIPS
MSCIEAFE
20.00
20.00
10.00
35.00
5.00
10.00
\lIoullioll'landah' "l'ighf ("0)
Total Fixed Income Policy
Jun-2009
Russell 3000 Index
Barclays Capital Intermediate Aggregate
BC U.S. Treasury Inflation Notes: 1-10 Year
MSCI EAFE
NCREIF Property Index
Citigroup 3 Month T-Bill
Jan-t973
Barclays Capital Intermediate II.S. (joy/Credit
10000
50.00
25.00
5.00
10.00
5.00
5.00
Jul-2007
Barclays Capital Intermediate Aggregate
10000
Oct-2007
Barclays Capitallntennedlate II S (Joy/Credit
Barclays CapitallJ.S. Treasury 1I.S TIPS
87.50
12.50
Feb-2010
Russell 3000 Index
Barclays Capital Intermediate Aggregate
Barclays Capital U.S. Treasury: U.S. TIPS
MSCI World ex U.S.
NCREIF Property Index
45.00
25.00
5.00
15.00
]0.00
Jun-2009
Barclays Capital Intennediate Aggregate
BC US Treasury Intlation Notes' 1-10 Year
83.33
1667
Feb-20tO
Barclays Capital Intermediate Aggregate
Barclays Capital US Treasury: U.S TIPS
83.33
1667
52
IF" ~ BOGDAHN
,- GROUP
Boynton Beach Firefighters' Retirement System
Benchmark History
As of June 30,2011
Jan-I926
S&P 500 Index
100.00
Jan-J926
S&P 500 Index
100.00
Jul-2007
Russell 3000 Index
MSCI EAFE
85.00
15.00
Jul-2007
Russell 3000 Index
100.00
Oct-2007
MSCI EAFE
S&P 500 Index
Russell 3000 Value Index
Russell 1000 Growth Index
15.00
15.00
35.00
35.00
Oct-2007
RlIssell 3000 Value Index
Russell 1000 Growth Index
S&P 500 Index
40.00
40.00
20.00
Jun-2009
Russell 3000 Index
100.00
Jun-2009
Russell 3000 Index
MSCIEAFE
83.33
16.67
Feb-2010
Russell 3000 Index
MSCI World ex U.S.
75.00
25.00
.\lIocatioll \Iandate "eight ('Y..)
Total International Equity Policy
Jan-1970
MSCI EAFE
100.00
Feb-20JO
MSCI World ex U.S.
100.00
53
~ .# BOGDAHN
'-""" GROUP.
Statistics Definitions
Statistics
Description
Return
Standard Deviation
Sharpe Ratio
Alpha
Beta
R-Squared
Treynor Ratio
Downside Risk
Tracking Error
Information Ratio
Consistency
Excess Return
Active Return
Excess Risk
Up Market Capture
Down Market Capture
Compounded rate of return for the period.
A statistical measure of the range of a portfolio's performance, the variability of a retllrn around its average return over a
specified time period.
Represents the excess rate of return over the risk free return di vided by the standard deviation of the excess return. The result is
the absolute rate ofreturn per unit ofrisk. The higher the value, the better the product's historical risk-adjusted performance.
A measure of the difference between a portfolio's actual returns and its expected performance, given its level of risk as measured
by beta. It is a measure of the portfolio's historical performance not explained by movements of the market, or a portfolio's
non-systematic return.
A measllre of the sensitivity of a portfolio to the movements in the market. It is a measure of a portfolio's non-diversifiable or
systematic risk.
The percentage of a portfolio's performance explained by the behavior of the appropriate benchmark. High R-Square means a
higher correlation of the portfolio's performance to the appropriate benchmark.
Similar to Sharpe ratio, but focuses on beta rather than excess risk (standard deviation). Represents the excess rate of return over
the risk free rate divided by the beta. The result is the absolute rate of return per unit of risk. The higher the value, the better the
product's historical risk-adjusted performance.
A measure similar to standard deviation, bllt focllses only on the negative movements of the return series. It is calculated by
taking the standard deviation of the negative quarterly set of returns. The higher the factor, the riskier the product.
A measure of the standard deviation of a portfolio's performance relative to the performance of an appropriate market
benchmark.
Measllred by dividing the active rate of return by the tracking error. The higher the Information Ratio, the more vallie-added
contribution by the manager.
The percentage of quarters that a product achieved a rate of return higher than that of its benchmark. The higher the consistency
figure. the more value a manager has contributed to the product's performance.
Arithmetic difference between the managers retllrn and the risk-free return over a specified time period.
Arithmetic difference between the managers return and the benchmark return over a specified time period.
A measure of the standard deviation of a portfolio's perfonnance relative to the risk free return.
The ratio of average portfolio return over the benchmark during periods of positive benchmark return. Higher values indicate
better product performance.
The ratio of average portfolio return over the benchmark during periods of negative benchmark return. Lower values indicate
better product performance.
Calculation based on monthly periodicity.
54
~ THE
'C Ai BOGDAHN
GROUP
Boynton Beach Firefighters' Retirement System
Disclosures
As of June 30, 2011
. Retllrlls prior to 9/30/2009 are gross of fees.
55
if' I BOGDAHN
,-- GROUP
Boynton Beach Firefighters' Retirement System
Compliance Checklist as of June 30, 2011
Total Fund Compliance: Yes No N/A
1. The Total Plan return equaled or exceeded the 8.5% actuarial earnings assumption over the trailing three and five year periods.
2. The Total Plan return equaled or exceeded the total plan benchmark over the trailing three and five year periods.
3. The Total Plan return ranked within the top 40th percentile of its peer group over the trailing three and five year periods.
4. Total foreign securities were less than 25% of the total plan assets at market
./
./
./
./
Equity Compliance: Yes No N/A
1. Total equity returns meet or exceed the benchmark over the trailing three and five year periods.
2. Total equity returns ranked within the top 40th percentile of its peer group over the trailing three and five year periods.
3. The total equity allocation was less than 70% of the total plan assets at market.
./
./
./
Fixed Income Compliance: Yes No N/A
1. Total fixed income returns meet or exceed the benchmark over the trailing three and five year periods.
2. Total fixed income returns ranked within the top 40th percentile of its peer group over the trailing three and five year periods.
3. All fixed income investments have a minimum rating of investment grade or higher.
./
./
./
Manager Compliance: Anchor Dalton DSM Atalanta M&N
Yes No N/A Yes No N/A Yes No N/A Yes No N/A Yes No N/A
1. Manager outperformed the index over the trailing three and five year periods. ./ ./ ./ ./ ./
2. Manager ranked within the top 40th percentile once over the last four quarters ./ ./ ./ ./ ./
3. Less than 4 consecutive quarters of under-performance relative to the benchmark. ./ ./ ./ ./ ./
4. Three and five year down market capture ratio less than 100% ./ ./ ./ ./ ./
5. Manager reports compliance with PFIA ./ ./ ./ ./ ./
56
Boynton Beach Firefighters' Retirement System
Compliance Checklist as of June 30, 2011
Manager Compliance: STW Core STW TIPS Intercont
Yes No N/A Yes No N/A Yes No N/A Yes No N/A Yes No N/A
1. Manager outperformed the index over the trailing three and five year periods. ./ ./ ./
2. Manager ranked within the top 40th percentile once over the last four quarters ./ ./ ./
3. Less than four consecutive quarters of under performance relative to the benchmark. ./ ./ ./
4. Three and five year down market capture ratio less than 100% ./ ./ ./
5. Manager reports compliance with PFIA. ./ ./ ./
57
...
....y
Tegrll....
V. tWJ4~
J}
/
364 South Pine Street. Unit A209 . Spananburg. SC 29302 -2654. 864-699-6900' 'A'Ww.Tegrit- TI>A.com
August 9, 2011
Dear Client,
Tegrit Administrators is pleased to announce Bob Kain has joined the firm effective August
9, 2011. Bob will act as the Conversion/Client Service Manager and he brings solid industry
experience and implementation management skills.
At this time the current Client Relations Manager, Jennifer Daves, will transition to a new
role and will be working on a part time basis within the firm. At this time, Jennifer will still
be responsible for the overall client relationships and will work closely with Bob and the
Client Service Team in the coming months to ensure a smooth transition.
Tegrit Administrators is excited for our continued growth and look forward to continuing to
serve our valued clients. We look forwarded to introducing you to Bob Kain in the very near
future.
As always, please feel free to contact our office at (864) 699-6900 with any questions.
Best regards,
en re k lJ;vV-
PROFESSIONAL ASSOCIA nON
ATTORNEYS AT LAW
10059 Northwest 1st Court
Plantation, Florida 33324
~
;:It?
Klausner & Kaufman
Tel. (954) 916:1202
Fax (954) 916-1232
www.robertdklausner.com
Tax I.D.: 65-0774883
BOYNTON BEACH FIREFIGHTERS
Attn: MRS. BARBARA LA DUE, ADMIN.
1500 GATEWAY BOULEVARD, SUITE 220
BOYNTON BEACH, FL 33426
For Legal Services Rendered Through 07/31/11
July 31, 2011
Bill # 13236
CLIENT:
MATTER:
BOYNTON BEACH FIREFIGHTERS PENSION FUND
BOYNTON BEACH FIREFIGHTERS - GENERAL FILE
: BOYNTON
:900334
Professional Fees
Date
07/11/11
Description
RECEIPT AND REVIEW LETTERS FROM DIVISION
OF RETIREMENT AND EMAILS; REVIEW FILE
Hours Amount
0.50 150.00
0.50 $150.00
$ 150.00
3,120.00
$3,270.00
Total for Services
CURRENT BILL TOTAL AMOUNT DUE
Past Due Balance
AMOUNT DUE
Anchor Capital Advisors LLC
One Post Office Square
Boston,MA 02109-2103
617 -3 :'8-3800 FAX 61":'-426..6871
.www.anchorcapital.com
:::1L I!)
....
.
July 01,2011
Barbara LaDue
3025 City of Boynton Beach Municipal Firefighters Pension Trust
1500 Gateway Boulevard, Suite 220
Boynton Beach. FL 33426
Regarding Account: 80106279
ANCHOR CAPITAL ADVISORS LI ,C
STATEMENT OF MANAGEMENT FEES
For The Period 03..31-11 To 06..30-11
Portfolio Valuation as of 06-30-] 1
$
3.000.000 @ 0.750% per annllm
3.595,640 @ 0.500% per annllm
Management Fee
$
TOTAL DUE AND PAYABLE
$
Mem"er of Bostoll Private Wealth Mallagemellt Grolll'
6,595,639,74
5.625,00
4.494,55
10,119,55
10,119.55
GRS
Gabriel Roeder Smith & Company
Consultants & Actuaries
One East Broward Blvd.
Suite 505
Ft. Lauderdale, FL 33301-1827
954.527.16]6 phone
9 ~4.525.0083 fax
www.gabrielroeder.com
Ms. Barbara La Due
Pension Administrator
Renaissance Executive Suites
1500 Gateway Blvd., Suite 220
Boynton Beach, Florida 33426
'It(.r ! (
~ /, ~
. 1.1
lk-~'(,'
~~~~N
r~
May 31,2011
Dear Barbara:
Enclosed are 12 copies of our revised October 1, 2010 Actuarial Valuation Report for the Firefighters'
Retirement System. The Report has been revised due to the request by the Finance Director to use his
estimated payroll for the 2011-12 fiscal year and to determine the required contribution as of the beginning
of the fiscal year. It was also necessary to revise the Report to correct the amount of Chapter 175 revenue
that may be taken as a credit by the City.
Please take the following actions:
1.
Distribute a copy of the Report to Board members and other interested parties.
Send a copy ofthe Actuarial Report to: k . ';} L! - \ i
. . l'" " ~
/.... .",
Bureau of Local Retirement Systems-' Office of Municipal Police Officers'
Division of Retirement & Firefighters' Retirement Fund
P.O. Box 9000 P.O. Box 3010
Tallahassee, Florida 32315-9000 Tallahassee, Florida 32315-3010
':; 1.( - II
. "
2.
We welcome your questions and comments.
Sincerely yours,
~~
J. Stephen Palmquist, ASA
Senior Consultant and Actuary
Enclosures
Board of Trustees
Boynton Beach Firefighters Pension Plan
Administrative Rules Governing 175 Supplemental Benefit
1. The maximum annual distribution shall not exceed 50% of that years excess
monies after additional cost for that year, have been removed.
Example: 2010 Actuarial Report
Received 990,759
-589,543 Base amount.
-43,572 COLA cost increase.
-19,715 Increase due to lowering the assumed rate.
Total= 337,929
x.5
Total= 168,964 this is the amount available for distribution.
* In any year that the distribution amount exceeds the available amount, the pay-out
will reduce accordingly.
2. The plan actuary will determine the annual distribution per retiree using the
Calculation Chart provided by the board of trustees. (See attached)
33
INVESTMENT RATE OF RETURN
The investment rate of retwn has been calculated on the following bases;
I
I
I
J
j
i GRS
Basis 1 ..
Interest, dividends, realized gains (losses) and unrealized appreciation
(depreciation) divided by the weighted average of the market value of the
fund during the year. This figure is normally called the Total Rate of
Return.
Basis 2 .
Investment earnings recognized in the Actuarial Value of Assets divided
by the weighted average of the Actuarial Value of Assets during the year.
Investment Rate of Return
Year Ended Basis 1 Basis 2
12/31/1982 NA % 11.9 %
12/31/1983 15.2 13.9
12/31/1984 11.7 11.1
12/31/1985 23.1 18.7
12/31/1986 11.8 13.4
12/31/1987 5.3 10.3
12/31/1988 10.9 9.8
12/31/1989 15.9 14.8
9/30/1990 (9 mos.) (1.6) 1.4
9/30/1991 19.6 13.1
9/30/1992 12.7 11.2
9/30/1993 13.1 9.7
9/30/1994 0.2 3.1
9/30/1995 18.8 9.3
9/30/1996 13.1 9.8
9/30/1997 24.5 12.6
9/30/1998 11.4 12.4
9/30/1999 11.8 14.1
9/30/2000 9.4 13.3
9/30/2001 (7.7) 8.0
9/30/2002 (5.6) 2.3
9/30/2003 15.3 3.5
9/30/2004 6.4 2.2
9/30/2005 7.9 25
9/30/2006 5.2 5.3
9/30/2007 12.3 9.3
9/30/2008 (17.1) 3.0
9/30/2009 (0.2) 0.9
9/30/2010 8.5 2.5
Average Compounded -
Rate of Return for Number
of Years Shown 8.7 % 8.7 %
Average Compounded
Rate of Return for Last 5
Years 1.2 % 4.2 %
fnteres"fR~~' ',d:~~' ,:20YR. MAX,$
. ,', " :' /"'riE'" 'R' ;:CVO' $:' ,
/ ,- r:":. . _ I'n...
"" ,
0-.9%
1 - 1.9%
2 - 2.9%
3 - 3.9%
4 .. 4.9%
5 - 5.9%
6 - 6.9%
- .--
7 - 7.9%
-- ----------
8 - 8.9%
----------
9% & ABOVE
"'
calculatioll;:~hartJol~;the.;17.~~~~pp'lemeg~'~:i3enefit
_. 'T, . _ ' " , ,J ." <,'
" "~I
.,..',>
,
,t;2'~'
"', i~(.
'" ,','
',', "'~-;tt;.:.; "'; ;~: '
,
50 1,000
100 2,000
-
150 3,000
200 4,000
250 5,000
- -
300 6,000
350 --
7,000 -
400 8,000
_.
450 9,000
-, - -
500 10,000
- -- -
-
-.-
.---
"'"'
'::~'"'' ,y," ",'''" '"''
.,-
--
..-
.-
I
...
"" Example
".
" ,.' ,.': . '. ... r .. .. ,-" ..,
... --
" Additional'" i', . Iii. 'all8tite' ' ~~}~~7Ea~~" ~~~:~itl~Qh\ ";i'#'Rettt;~~i"S H~~'? " '" 1l:':~I~\~y: i' :';~it~';<'
:;'175E" .'.,.. . .:'\~>; >~'nt::;', ! .:T~~i\'r'I~
'.., ..' xceS$" 'Cost' c. mou
64,875 0 32.438 2.5 15013,000 12 32,438-- 32,438 32,438
-
190,603 - 300/6,000 - 72,000 23,302 151,041
0 95,302 5.3 12
-
7 449,344 -- 134,672 510.385
0 224,672 9.3 500/10.000 9 90,000
----- -. --
"I - - -----" 982,401
496,016 0 248,008 3 200/4,000 6 24,000 224,008
.- -..
~ f--340,~ - --- 167,366 1,320,132
0 170,366 0.9 50/1000 3 3,000
f--- - - - - - -- --
f------ 40{216- ------ - --~~-- ---- -.. - 150/3,ooej"- -- - -- 1,697,348
0 63,287 168,964 2.5 8 24.000 144.964
f--- ..
f--_.- ..
8
-- .--
--
10 --
- - - --
19
.- -- -
- -
..
- ---. --
?~
'iG
:;
:>
~
~1
Klausner (( Kaufman
',11 ! "'-,' ".!ll
MEMORANDUM
TO:
ALL FLORIDA PENSION PLANS
FROM:
KLAUSNER & KAUFMAN, P.A.
RE:
UPDATED GUIDANCE REGARDING SB 1128
DATE:
JUNE 1, 2011
The purpose of this memo is to provide a continuing update regarding Senate Bill 1128
(hereinafter "SB 1128") which is currently awaiting signature by the Governor. Not to be
confused with SB 2100 which amends the Florida Retirement System, SB 1128 applies to
municipal and local retirement systems. In a memo from our office dated May 18, we
summarized the primary provisions ofSB 1128. This follow-up memo describes additional
guidance about SB 1128 received this week from the Division of Retirement. Attached to this
memo is an update from Trish Shoemaker at the Division of Retirement, along with em ails
between our office and Ms. Shoemaker.
In light of the July I effective date ofSB 1128, our office has been flooded with calls about
whether and how clients should interpret the new legislation. In particular, the treatment of
accumulated and annual leave has been questioned:
As described in our May 18 memo, SB 1128 amends Sections 112.66, 175.032(3) and
185.02(4), Florida Statutes, to restrict the pensionable earnings used to calculate pension
benefits. For non-collectively bargained service earned after July 1,2011 and for service
earned under a collectively bargained agreement ("CBA") entered into after July 1, 2011,
only 300 hours of overtime may be treated as pensionable. Similarly, payments for accrued
unused sick leave or annual leave earned after the effective may not be treated as pensionable
earnings. For collectively bargained plans, these limitations will not apply until the first
eBA entered into on or after July 1,2011. In other words, these restrictions on accumulated
leave and overtime do not take effect until the expiration of your current CBA.
10059 NORTHWEST 1ST COlJRT. Pl.ANTATlON. FLORIDA 33324
PIlONE: (954) 916-1202 . FAX: (954) 916-1232
www.robertdklausner.com
~
According to Ms. Shoemaker:
Where the members are represented by a collective bargaining agent (whether
the CBA includes pension benefits or not) these provisions are effective on the
date of entry into the first CBA entered into on or after July 1, 2011.
As has now been confirmed by the Division of Retirement, the leave and overtime provisions
should be interpreted consistent with the Legislature's intent to avoid any diminution of
accrued benefits. Moreover, any required plan amendments will not apply to members who
are eligible for normal retirement on or before the applicable effective date ofSB 1128.
According to Ms. Shoemaker:
Payments for overtime greater than 300 hours per year or accrued unused
annual or sick leave accrued with service earned before the "effective date"
may still be included in compensation for pension purposes, as provided in the
plan document or CBA, even if the payment is not actually made until on or
after the "effective date".
Boards will be able to use any reasonable and non-discriminatory methodology, consistent
with the legislative intent of SB 1128, to protect accrued benefits pursuant to Article I,
Section 10 of the Florida Constitution (the anti-impairment of contract provision).
In summary, SB 1128 does not change anything with regard to the treatment of accrued leave
and sick leave earned prior to the effective date, and plans may continue to treat as
pensionable accrued leave and sick leave earned prior to the effective date even if paid on
or after Ju{v 1. 2011.
1t thus follows that it is unnecessary for CUJTeIlt employees to retire prior to July 1 to preserve
the value of their accrued benefits under a local plan.
Please note that this memo is not exhaustive and should be read alongside our May 18 memo
which provides a more detailed analysis of the primary provisions of SB 1128. Our office
looks forward to discussing the new legislation at upcoming board meetings.
Enclosures
Adam Levinson
Cc:
Subject:
Shoemaker, Trish [Trish.Shoemaker@dms.myflorlda.com]
Tuesday, May 31, 2011 9:47 AM
Adam Levinson; ablefer@cypen.com; Robert Klausner; Bob Sugarman; Bonnl S. Jensen; Ken
Harrison; lee@cdpension.com; rcohen@roncohenlaw.com; scott@cdpension.com; Steve
Cypen; Stuart Kaufman
Brinkman, Keith; Browning, Julie; Mitchell, Melody
RE: sa 1128
From:
Sent:
To:
Good morning to alii
We concur with your comments in paragraphs 1 & 2, and while we are unable to give retirement advice to employees,
58 1128 does not change anything with regard to the treatment of AL and 5L earned prior to the effective date, and
plans may continue to treat as Densionable AL & 5L earned prior to the effective date even If paid on or after July 1,
2011.
I checked this morning and I don't see where 58 1128 has been presented to the Governor yet, but it may be that the
website has not been updated. You can check the website at: httD:llwww.fh~ov.com/bill-action/.
I will be out of the office the rest of the week and returning on Tuesday, June 6. If you have any questions or need
assistance you can contact Melody or Julie in the MPF office. If you have questions about the legislation, you are
welcome to contact Keith 8rinkman. His toll free phone number is (877) 738-5622.
Thank you for your cooperation and assistance.
Trish
Patricia F. Shoemaker
Benefits Administrator
Municipal Police OffIcers' and
Firefighters' Retirement Funds
Division of Retirement
E-Mail: trish.shoemakertaldms.mvflorida.com
Webslte: httD:llwww.mvftorlda.comIfrsImDf
Phone Number: 850-414-6320
Fax Number: 850-921-2161
Toll Free Number: 877-73U737
We Serve Those Who Serve Raids
DISCLAlMI!R NOTICE:
This email.alongwithanyincludedattachment(s).isinteDiedforuseonlybytheperson(s)orentitytowhichitisaddressed.This
message may contain confidential, proprietary, audlor legally privileged inmrmation. If you are not the intended RCipiem of this
message, we apologize for any inconvenieoce this may have caused. You are hereby notified that you are probJ."ited from printing,
copying, storing, c!Ua-ninating or distributing this communication. If you received this coDUlll.Ulicatian in enor, please notify the
scmder by email or by telephone at (850) 488-5540 or toll-free at (866) 738-2366 if Tallahassee is not a local call for you. All record of
the communication you received inClTOr (electronic or otherwise) should be destroyed in its entirety. Thank you for your cooperation
and assistance in this matter.
1
From: Adam LevInson [mallto:adam@robertdklausner.com]
sent: Tuesday, May 31, 2011 6:53 AM
To: Shoemaker, Trlsh
cc: ablelerOcypen.com; Robert Klausner; Bob Sugarman; Bonnl S. Jensen; Ken Harrison; lee@cdpenslon.com;
rcohenOroncohenlaw.com; scottOcdpenslon.com; Steve Cypen; Stuart Kaufman; Adam levinson
SUbject: RE: S8 1128
Ms. Shoemaker,
We are In receipt of your emails of May 27 and agree with the points and observations you have described.
Given the time constraints we are working under, and on behalf of the attorneys listed below, we would add the
following for your consideration:
1} Boards will be able to use any reasonable and non-discriminatory methodology, consistent with the legislative intent
of SB 1128, to protect accrued benefits pursuant to Article I, Section 10 of the Florida Constitution (the anti-impairment
of contract provision);
2) We would clarify the sixth paragraph of your email as follows:
HSB 1128 does not change anything with regard to the treatment of AL and SL earned prior to the effective date, and
plans may continue to treat as oensionable AL & SL earned prior to the effective date even if paid on or after July 1,
2011.H
3) It thus follows that it is unnecessary for current employees to retire prior to July 1 to preserve the value of their
accrued benefits under a local plan.
Respectfu lIy,
Alison Bleier, Esq.
Ron Cohen, Esq.
Scott Christiansen, Esq.
Steve Cypen, Esq.
Lee Dehner, Esq.
Ken Harrison, Esq.
Bonni Jensen, Esq.
Stuart Kaufman, Esq.
Bob Klausner, Esq.
Adam Levinson, Esq.
From: Shoemaker, Trlsh [mallto:Trlsh.ShoemakerOdms.myflorida.com]
Sent: Friday, May 27, 20114:17 PM
To: Adam Levinson; abieler@cypen.com; Robert Klausner; Bob SUgarman; Bonni Jensen; Jim Loper; Ken Harrison;
lee@cdpenslon.com; Mark Floyd; Matt Mierzwa; Paul Donnelly; Richard Sicking; rcohen@roncohenlaw.comi
scott@cdpenslon.com; Steve Cypen; Stuart Kaufman
SUbject: sa 1128
Hello alii
As ofthis afternoon SB 1128 has not been presented to the Governor. His website is htto:/Iwww.flaov.com/bill-actlonl
and you can check to see if it has been presented and when he takes action on the bill.
2
I know that you are getting a lot of calls, as we are, about the bill. I had hoped to have a brief outline of some of the
major points available, but we are still working on that document. Though the bill has not yet become law...here are
some comments that may be helpfuL..
The major questions seem to be about the effective date and how accumulated vacation and sick are to be treated.
If the plan members are not represented by a union, the effective date is July 1, 2011.
If the plan members are represented by union, these changes are effective upon the date of entering into the first new
collective banlalnln2 a2reement on or after Julv 1. 2011. This is to be applied uniformly where you have union and non-
union members in the same department...the effective date will be upon entering Into the new eRA.
S8 1128 does not change anything with regard to the treatment of AL and SL earned prior to the effective date, and
plans may continue to pay AL & SL earned prior to the effective date even If paid after July 1, 2011.
I will be In the office on Tuesday (we are closed on Monday), and then will be out of town the rest of the week. We
hope to have the outline available on Tuesday, but if not, Keith will be available to answer your questions while I am
gone.
Have a good weekend...God bless our troops I
Trish
Patricia F. Shoemaker
Benefits Administrator
Municipal Police OffIcers' and
Rreflghters' Retirement Funds
Division of Retirement
E-Mail: trlsh.shoemaker@dms.mvflorlda.com
Webslte: htto:llwww.mvflorida.comlfrslmDf
Phone Number: 850-414-6320
Fax Number: 850-921-2161
Toll Free Number: Sn-738-f1737
We Serve Those Who Serve RorIda
DISCLAIMER NOTlCEI
This emai1.alongwithanyincludedattachmcnt(s).isinteDiedforuseonlybythepersoo(s)orentitytowhichitisaddressed.This
message may contain confidential, proprietary, and/or legally privileged infurmation. If you are not the inteDded rccipiem of this
message, we apologize for any inconvenience this may have caused. Yau are hereby notified that you are prohibited from printing,
copying, storing, disseminating or distributing this communication. If you received this COJJUDmicatioo in error, please notify the
seDder by emaiJ or by telephone at (850) 488-5540 or toll-free at (866) 738-2366 if Tallahassee is Dot a local call for you. All record of
the communication you received in enor (electronic or otherwise) should be destro)'ed in its entirety. Thank you for your cooperation
and assistance in this matter.
3
Adam Levinson
Cc:
subject:
Attachments:
Shoemaker, Trlsh [Trlsh.Shoemaker@dms.myflorlda.com]
Tuesday, May 31, 2011 11 :37 AM
Brad Armstrong; brad@foster-foster.com; Chad Little; Chuck Carr; Derek A Scott; Don
Dulaney; Doug Beckendorf; doug@foster-foster.com; Edmonds, Joseph; George Ling; Jason
Franken; Jennifer Beattie; Jim RIzzo; john_lessl@aon.com; Jonathan Craven; Larry Wilson;
Murray Cohen; patrlckOfoster-foster.com; RandaU Stanley; Rocky Joyner; Sandra Heinrichs;
Steve Palmquist; Theora Bracclalarghe; Benefits USA, Inc.; Carolynn Furlong; Dustin Heintz;
Paul Shamoun; Pete Prior; Scott Baur; Adam Levinson; abieler@cypen.com; Robert Klausner;
Bob Sugarman; Bonni Jensen; Hal Johnson; Jim Linn; Jim Loper; jserota@WStHaw.com;
Kelley Bosecker; Ken Harrison; leeGcdpenslon.com; Mark Royd; Matt Mierzwa; Paul
Donnelly; RIchard Sicking; rcohen@roncohenlaw.com; scott@cdpenslon.com; Steve Cypen;
Stuart Kaufman
David Murrell; matt@flpba.org; Lisa Henning; Gary Rainey; tolley@mindspring.com;
Brinkman, Keith; Browning, Julie; Mitchell, Melody; Green, Garry
S81128
Brief outline for notice re SB 1128.doc
From:
Sent:
To:
Hello alii
As of this morning 58 1128 has not been presented to the Governor. Although the bill is not law, we know that many of
you have questions about its Impact on the local plans. Attached Is an Information sheet addressing some of the major
concerns. Once the bill becomes law, this information will be updated on our website to show the Chapter number and
a section-by-section analysis. A copy of this information sheet is posted on our webslte at: www.mvflorida.com/frs/mDf.
Please feel free to share this Information sheet with your clients.
Please contact let us know if you have any questions or if this office can be of assistance.
Sincerely,
Trish
Patricia F. Shoemaker
Benefits Administrator
Municipal Police OffIcers' and
Areflghters' Retirement Funds
Division of Retirement
E-Mail: trlsh.shoemakertmdms.mvflorlda.com
Webslte: htto:llwww.mvftorlda.com/frslmDf
Phone Number: 850-414-6320
Fax Number: 850-921-2161
Toll Free Number: 877-738-6737
We Serve Those Who Serve Florida
DISCLAIMER NOTICE:
This email.alongwithanyincludedattachment(s),is inteJded for use only by thepersoo(s) or entity to which it is addressed. This
message may contain confidential, proprietary, and/or legally privileged information. If you are DOt the intended recipiem of this
message, we apologize for any inconvenience this may have caused. You are hereby notified that you are prohibited from printing,
copying, storing, disseminating or distributing this communication. If you received this communication in error, please notify the
1
Senate BilllU8 made several changes to all Florida's local government defined benefit retirement
plans with amendments to chapter 112, as well as the Municipal Police Officers' and Firefighters'
Retirement Trust Fund plans operating under chapters 175 and 185.
Though this bill has not vet become law. we know you have many questions and want to present
information to help you understand these changes.
Listed below are the key changes made in this legislation:
OVertime. accrued vacation and sick leave D8vments for _nsion DurDOses
Change applies to: all local plans - Chapter 112
. For service earned on or after the "effective date" (July 1, 2011, for non-collectively
bargained service; or the date of entry into the first collective bargaining agreement (CBA)
entered Into on or after July 1, 2011, for collectively bargained service), a defined benefit
plan may include up to 300 hours per year of overtime compensation, as specified in the
plan or CBA, but may not include any payments for accrued unused sick or annual leave in
the retirement calculation.
Payments for overtime greater than 300 hours per year or accrued unused annual or sick
leave accrued with service earned before the "effective date" may still be included in
compensation for pension purposes, as provided in the plan document or CBA, even if the
payment is not actually made until on or after the "effective date".
Plan SDOnsor contributions relatinJ! to normal cost
Change applies to: all local plans - Chapter 112
. Effective July 1, 2011, a local government sponsor of a defined benefit plan may not reduce
contributions required to fund the normal cost of the plan. If the Actuarially Required
Contribution is less than the normal cost, employer contributions must at least equal the
normal cost.
This change in funding will require actuarial review and must be funded in accordance with
chapter 6OT-1.004(4), F.A.C. The minimum funding requirement must begin no later than
the first day of the next fiscal year for the plan.
overtime. acaued vacation and sick leave Dlvments for _nsion DurDOSeS '175/185 SDedficl
Change applies to: local Pollee OffIcer and Firefighter pension plans - Chapters 175 & 185
. There are no changes to the definition of "compensation" or "salary" for service earned
prior to the "effective date".
. Police Plans continue to require 300 hours of overtime in the retirement calculation as a
minimum benefit. Fire Plans may Include up to 300 hours.
. For service earned on or after the "effective date", a Chapter 175 or 185 plan may include
up to 300 hours per year of overtime compensation, as specified in the plan or CBA, but
may not Include any payments for accrued unused sick or annual leave in the retirement
calculation.
Payments for overtime greater than 300 hours per year or accrued unused annual or sick
leave accrued with service earned before the "effective date" may stili be included in
compensation for pension purposes, as provided in the plan document or CBA, even If the
payment is not actually made until on or after the "effective date".
Board of Trustees - makeuD of the board of trustees
Change applies to: local Police Officer and Firefighter pension plans - Chapters 175 & 185
. This amendment onlv applies to those local law plans in effect on June 30, 1986 having a
higher than 40% employee representation on the board. For these boards that were
grandfathered in under the amendments in 1986, the City may now change the designated
municipal representative on the board. Such municipal representatives must continue to be
residents of the municipality. This change may not reduce the membership percentage of
firefighters, police officers, or the municipal representatives on the board.
ErnDlovee Contribution Increases
Change applies to: local Police Officer and Firefighter pension plans - Chapters 175 & 185
. As of the "effective date", employee contributions may be increased by consent of the
members' collective bargaining unit, or If none, by majority consent of the police officers
and firefighters. Increases in employee contributions are no longer contingent upon
providing greater benefits.
CollectivelY Baraalned Benefits & Non-collectlvelv Banr:alned Benefits - Effective Date
Change applies to: aU local plans - Chapter 112,175 & 185
· Where the members are represented by a collective bargaining agent (whether the CBA
includes pension benefits or not) these provisions are effective on the date of entry Into the
first CBA entered into on or after July I, 2011.
. For Chapters 175 & 185 plans, if some of the police and firefighters are represented by a
collective bargaining agent, then the effective date is the date of entry into the first CBA
entered into on or after July 1, 2011 for all police and firefighters regardless of whether they
are members of the collective bargaining unit or not.
. In cities/districts where the members are not represented by a collective bargaining agent,
the effective date shall be July 1, 2011.
If you have questions regarding these changes, please call the Municipal Police Officers' and
Firefighters' Retirement Fund Office at (850) 922-0667 or toll free (877) 738-6737.
May 31, 2011
~I
Klausner ( Kaufman
MEMORANDUM
TO:
ALL FLORIDA PENSION PLANS
FROM:
KLAUSNER & KAUFMAN, P.A.
RE:
IMPORTANT AMENDMENTS TO CHAPTERS 175/185 (SB 1128)
DATE:
MAY 18,2011
During this year's recently completed legislative session, one pension bill was adopted that applies
to all governmental plans in Florida. Senate Bill 1128 (hereinafter "SB 1128") is currently awaiting
signature by the Governor, which we understand to be likely. Unlike the substantial amendments
which were made to the Florida Retirement System this year, the amendments in SB 1128 for
municipal plans are relatively modest.
While not exhaustive, this memo is intended to highlight the primary provisions ofSB 1128:
· New actuarial disclosure: SB 1128 amends Section I 12.63, Florida Statutes, to create a new
actuarial disclosure requirement. All governmental pension plans in Florida must now
disclose the present value of the plan's accrued vested, nonvested, and total benefits. The
calculations are required to be performed using the assumed rate of return applied by the
Florida Retirement System ("FRS"), currently7.75%. The reason for the new disclosure is
to make it easier for non-actuaries to compare actuarial data between different plans by
permitting ..apples to apples" comparisons of funded levels. This amendment does not
require plans to adopt the FRS rate. In other words, you are not required to adjust your
plan's investment assumption to match the FRS rate of7.75%.
Limitations on ..pensionable earnings" to exclude accrued leave and cap overtime: SB 1128
amends Section 112.66, Florida Statutes, to restrict the pensionable earnings used to
calculate pension benefits. For non-collectively bargained service earned after July 1,201 I
and for service earned under a collectively bargained agreement ('.CBA") entered into after
1 0059 KUR'tll\\ '.."IT I ~.. COI'RL rl\"- I'AIION, FI OIUDA 33324
PIIONI.; (954) 916-1202 f> FAX: (954) 916-]232
www.rc'ocrtdklausncr.l:ol11
'.- r ~f~~!~
July 1, 2011, only 300 hours of overtime may be treated as pensionable. Similarly, payments
for accrued unused sick leave or annual leave may not be treated as pensionable earnings.
For collectively bargained plans, these limitations will not apply until the first CBA entered
into on or after July 1, 2011. In other words, these restrictions on accumulated leave and
overtime do not take effect until the expiration of your current CBA.
We understand that this provision is being studied by the Division of Retirement, with regard
to the Legislature's intent to avoid any diminution of accrued benefits. Please watch for
future updates from our office regarding any guidance from the State. We anticipate working
with your plan actuaries to implement this amendment. For example, if your plan treats
accumulated leave as pensionable, a plan amendment will likely be required. In our view, any
plan amendments would not apply to members who are eligible for normal retirement on or
before the effective date of the statute. The FRS is exempted from this restriction.
· Protection of actuarial or cash swplus: SB 1128 amends Section 112.66, Florida Statutes, to
specify that an actuarial or cash surplus within the plan may not be used for any expenses
outside the plan.
· Prohibition 82ainst lowerinw contributions below normal cost: SB 1128 amends Section
112.66, Florida Statutes, to provide that a plan sponsor may not reduce contributions required
to fund the normal cost of the plan. The FRS is exempted from this restriction.
· Fact sheet summarizing actuarial status: sa 1128 amends Section 112.665, Florida Statutes,
to require the Department of Management Services (which oversees the Division of
Retirement) to create an actuarial fact sheet for each local government defined benefit plan.
The new actuarial disclosure requirements in Section 112.63, described above, will enable
the Department to more easily summarize a plan's actuarial status. The fact sheet is required
to describe each plan's most current actuarial data, minimum funding requirements as a
percentage of pay, and a 5-year funded ratio history. The new fact sheets will be posted on
the Department's website. Plan sponsors that have their own websites are required to
provide a link to the Department's website.
· Limitations on "pensionable earnings" to exclude accrued leave and ~p overtime: SB 1128
amends the definition of compensation and salary for Chapter 175 and 185 plans to exclude
accrued leave and cap pensionable overtime at 300 hours. This provision effectively repeats
the same amendments to Section 112.66, described above, by placing the exclusion into
Sections 175.032(3) and 185.02(4) for police and fire plans. The restrictions are effective
July 1,2011, for non-collectively bargained plans. For collectively bargained plans, these
limitations will not apply until the first CBA entered into on or after July 1, 2011. SB 1128
further deletes existing language in Chapters 175 and 185 giving local law plans the
flexibility to use their own definitions of salary.
. Board colltposition: SB 1128 amends Sections 175.061 and 185.05, Florida Statutes, to
provide that a municipality may change the municipal representation on a board of trustees,
provided that the ordinance amendment does not reduce the membership percentage on the
board. This, in our view does not affect elected members or the 5th person. This provision,
could for example, allow a city to select someone other than a resident for its positions. This
amendment in the municipal representation is limited to those plans that were grandfathered
under the law in 1986 who had a greater than 40% employee representation by Ordinance.
. Adiustment to member contribution rate: SB 1128 amends Sections 175.091 and 185.07,
Florida Statutes, to permit the member contribution rate to be adjusted by consent of the
union, or by majority consent if there is no union. Under current law, the member
contribution could only be increased in exchange for greater benefits. With this new
amendment, increased member contributions do not need to be accompanied by a benefit
enhancement.
· Financial ratin~ of local oension plans: SB 1128 requires the Department of Management
Services to develop a standardized rating system for classifying the financial strength oflocal
government defined benefit plans. Various factors can be considered, including unftmded
liabilities, asset value, managed returns, and the employer contribution as a percentage of
payroll. The Department is pennitted to request data and assistance from state and local
government. The Department shall submit its findings and recommendations by January I,
2012, with specific legislative recommendations for the 2012 Regular Session of the Florida
Legislature.
· Ta~1r Force on Public Employee Disability PresUIl\Ptions: SB 1128 creates an 8-member task
force charged with making findings and issuing recommendations on the disability
presumptions contained in Sections 112.18, 175.231 and 185.34, Florida Statutes. Under
current law, disability presumption provides special protection for public safety officers who
have been injured in the line of duty. The appointees to the task force shall include
representatives with managerial, labor, and pension backgrounds, including one pension
trustee. The task force shall submit its report by January 1,2012, with specific legislative
recommendations for the 2012 Regular Session of the Florida Legislature.
SB 1128 law takes effect on July 1, 2011, unless another effective date is otherwise provided. Our
office looks forward to discussing the new legislation at upcoming board meetings.
Barbara Ladue
From:
Sent:
To:
Subject:
Attachments:
Barbara Ladue [Iadueb@bbpdpension.com]
Thursday, May 19, 2011 8:39 AM
'Henderson, Luke'; 'Raybuck, Jon'; 'Robert Taylor'; 'Petty, Matthew'; 'Dave West'
FW: IMPORTANT AMENDMENTS TO CHAPTERS 175/185 (SB 1128)
Memo re Amendments to Chapters 175 & 185 (SB 1128).pdf
FYI
From: Lorna Maltbey fmailto:lornatrorobertdklausner.com]
Sent: Wednesday, May 18, 2011 4:41 PM
To: Ladueb@bbpdpension.com
Subject: IMPORTANT AMENDMENTS TO CHAPTERS 175/185 (S8 1128)
PLEASE READ THE ATTACHED MEMORANDUM RE AMENDMENTS
TO CHAPTERS 175/185 (58 11281
Lorna Maltbey
Administrator
Klausner & Kaufman, P.A.
10059 N.W. 1st Court
Plantation, FL 33324
Telephone: (954) 916-1202
Fax: (954) 916-1232
Website: www.robertdklausner.com
1
~i
Klausner '(. Kaufman
I ....,,('1 :\:1",
,'1'1',' OJ I'.,'
MEMORANDUM
TO:
ALL FLORIDA PENSION CLIENTS
FROM:
KLAUSNER & KAUFMAN, P.A.
RE:
IMPORTANT AMENDMENTS TO FRS (SB 2100)
DATE:
JUNE 1,2011
Last week, on May 26, Governor Rick Scott signed into law a series of amendments which
substantially revised the Florida Retirement System (hereinafter "FRS"). This memo will
summarize the new law, Chapter 2011-68, which is also known as Senate Bill 2100. While
many of our clients do not participate in FRS, nevertheless, it is useful to monitor the
emerging retirement landscape across the State for those employers and employees who do
participate in FRS. Prior memos from our office have summarized SB 1128 which pertains
to municipal retirement systems in Florida, which has not yet been signed into law.
Consistent with the constitutionally protected status ofretirement benefits under Florida law,
Chapter 2011-68 does not reduce benefits for existing retirees.
Chapter 2011-68 amended FRS as follows for current employees and future members of
FRS:
Employee Contribution: Effective July I, 20 11, all active FRS participants are required to
contribute 3% of pensionable earnings into FRS as a tax deferred "pick up" contribution.
The mandatory employee contribution is automatically deducted by the FRS employer.
DROP participants are not required to make employee contributions.
Eight Year Average: For employees initially enrolled on or after July I, 20 11, the definition
of "average final compensation" will be based on the average of the 8 highest fiscal years of
I 0059 NORTHWEST I ST COURT. PLA}\;TATlON. FLORIDA 33324
PHONE: (954) 916-1202. FAX: (954) 916-1232
www.robertdklausner.com
~~
compensation for creditable service prior to retirement. For current employees enrolled prior
to July 1,2011, the definition of "average final compensation" will remain the average of the
5 highest fiscal years of compensation.
Eipt Year Vestina: For employees initially enrolled in the FRS defmed benefit pension plan
on or after July 1, 2011, vesting will be based on the completion of 8 years of credited
service. Vesting for current employees as of July 1 will remain at 6 years of creditable
service. Regardless of their date of employment, members are always 100% vested in their
own contributions. By contrast, the vesting schedule applies to employer contributions and
the underlying entitlement to a future FRS benefit.
Delayed Nonnal Retirement A~e: For employees initially enrolled on or after July 1,2011,
the nonnal retirement age and years of service requirements are increased, as follows:
For Special Risk Class: increases nonnal retirement age for vested members from 55
to 60 years of age; and increases the years of creditable service from 25 to 30 years
of Special Risk service.
For all other FRS classes (Regular Class, Management Service Class and Elected
Officers' Class): increases nonnal retirement age for vested members from 62 to 6S
years of age; and increases the years of creditable service from 30 to 33 years,
regardless of age.
Existing employees are not impacted by the delayed retirement ages described above.
Lower DROP Interest Rate: Unlike prior version of the bill which would have phased out the
FRS DROP, Chapter 2011-68 preserves the DROP program but lowers the DROP interest
rate. For employees entering DROP on or after July 1, 2011 the interest rate will be reduced
to I.3OA.. For current employees participating in DROP or entering DROP before July 1,
2011, the interest rate remains 6.5%.
Re,peals COLA: For service earned on or after July 1,2011, Chapter 2011-68 eliminates the
FRS cost-of-living adjustment (COLA). In other words, as described by the Division of
Retirement:
Members with an effective retirement date or DROP begin date before August
1, 2011, will not have a change in their 3% COLA.
Members with an effective retirement date or DROP begin date on or after
August 1, 2011, will have an individually calculated COLA that is a
reduction from 3% using the following fonnula:
The total years of service before July 1, 2011, divided by the total years
of service at retirement. Multiply this number by 3% to get the retiree's
COLA.
For example: a member who retires effective July 1, 2012, with 30
years of service of which 29 years occurred before July 1,2011:
29/30 = .9667 X 3% = 2.9%.
Such a member with 29 years of service prior to the effective date will
receive a 2.9% COLA each July.
Lower Employer Contribution Rates: Based on the amendments summarized above, Chapter
2011-68 will result in a lower employer contribution into FRS.
Feel free to call our office with any questions or for copies of the new law or new
contribution rates.
CITY OF gOYNTON gE~CU rIP~rIG~Trn~1 D~~QION PUND
ASSETS
CHECKING-WACHOVIA
ACCRUED INCOME RECEIVABLE
DUE TO/FROM BROKER
U.S. GOVT SECUR/T-NOTES
MISC ASSET
CORPORATE BONDS
APPREC/DEPREC IN FMV
CORPORATE STOCKS/DO NOT USE
COMMON STOCK
MM/GOLDMAN
TOTAL ASSETS
LIABILITIES AND FUND RESERVES
PENSION RESERVE-FIREFIGHTERS
NET CHANGE IN FUND RESERVE
RESERVE BALANCE
TOT. LIABILITY & FUND RESERVES
~!t!~~~ ~~~~,
Year-To-Date As Of
06/30/2011
14,638.55
131,279.62
(205,969.09)
4,120,004.33
4,646,363.00
11,936,351.94
5,609,520.11
3,640,316.54
21,810,160.67
2,178,451.83
53,881,117.50
------------------
------------------
49,247,192.63
4,633,924.87
53,881,117.50
53,881,117.50
------------------
------------------
ry . ~r. j'i
)f~
N~
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ANALYSIS OF CHANGE IN FUND RESERVE
For The Period 06/01/2011 To 06/30/2011
Current
Amount
ADDITIONS TO RESERVE
INTEREST INCOME
ACCRUED INCOME NET CHANGE
DIVIDEND INCOME
RECAPTURE COMMISSION
CLASS ACTION PROCEEDS
GAIN/LOSS ON SALE
UNREALIZED GAIN/LOSS
MISC INCOME
CONTRIBUTIONS - EMPLOYER
CONTRIBTUIONS - MEMBERS
R/O MONEY
21,821.89
17,797.70
55,241.80
.00
164.44
196,185.87
(899,673.13)
.00
232,808.16
105,619.47
123,066.70
TOTAL ADDITIONS
(146,967.10)
DEDUCTIONS FROM RESERVE
PENSION PAYMENTS TypTIREES} 308,676.54
REFUNDS/DROP WID B.~ bRoPmoW/b 3,814.71
WACHOVIA/BANK CHARG S V I 21.49
INVESTMENT FEES. .00
ACTUARIAL FEES (3~ (225.00)
OFFICE EXPENSES 13.39
CONSULTANT FEES .00
AUDIT FEES .00
PROFESSIONAL SERVICES .00
CUSTODIAL FEES .00
PENSION ADMINISTRATOR 1,703.46
BUSINESS MEETINGS 304.04
UNBUDGET EXPENSE .00
PENSION PROGRAM MAINT (ES) .00
COMPUTER/SUPPLY/SOFTWARE/MAINT .00
TOTAL DEDUCTIONS
314,308.63
NET CHANGE IN FUND RESERVE
(461,275.73)
YTD
Amount
358,735.90
(24,775.11)
383,315.59
1,798.36
190,514.32
1,330,671. 92
2,230,049.90
7.04
2,211,677.52
924,536.13
462,686.86
8,069,218.43
2,724,230.84
477,914.71
188.66
140,540.09
13,851. 00
4,462.84
8,375.00
9,200.00
8,370.00
10,129.94
15,331.14
4,778.24
12,476.10
1,546.00
3,899.00
3,435,293.56
4,633,924.87
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ASSETS
CHECKING-WACHOVIA
ACCRUED INCOME RECEIVABLE
DUE TO/FROM BROKER
U.S. GOVT SECUR/T-NOTES
MISC ASSET
CORPORATE BONDS
APPREC/DEPREC IN FMV
CORPORATE STOCKS/DO NOT USE
COMMON STOCK
MM/GOLDMAN
TOTAL ASSETS
LIABILITIES AND FUND RESERVES
PENSION RESERVE-FIREFIGHTERS
NET CHANGE IN FUND RESERVE
RESERVE BALANCE
TOT. LIABILITY & FUND RESERVES
BALANCE SHEET
Year-To-Date As Of
05/31/2011
16,680.93
113,481. 92
30,164.33
3,921,623.76
4,646,363.00
12,145,440.80
6,509,193.24
3,652,412.39
21/713,784.41
1,593,248.45
54,342,393.23
------------------
------------------
49,247,192.63
5/095,200.60
54,342,393.23
54,342,393.23
------------------
------------------
1~,1/
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CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ANALYSIS OF CHANGE IN FUND RESERVE
For The Period 05/01/2011 To 05/31/2011
Current
Amount
ADDITIONS TO RESERVE
INTEREST INCOME
ACCRUED INCOME NET CHANGE
DIVIDEND INCOME
RECAPTURE COMMISSION
CLASS ACTION PROCEEDS
GAIN/LOSS ON SALE
UNREALIZED GAIN/LOSS
MISC INCOME
CONTRIBUTIONS - EMPLOYER
CONTRIBTUIONS - MEMBERS
R/O MONEY
57,432.04
(14,229.61)
29,586.16
31. 50
.00
(68,662.02)
(331,246.25)
.00
349,212.24
138,473.52
125,305.38
TOTAL ADDITIONS
285,902.96
DEDUCTIONS FROM R~...-I )rrJ~ IS ~
PENSION PAYMENTS TO RETIREES /' 312,988.11
REFUNDS/DROP WiD 115,100.00
WACHOVIA/BANK CHARGES 23.76
INVESTMENT FEES 62,769.04
ACTUARIAL FEES 10,659.00
OFFICE EXPENSES 36.03
CONSULTANT FEES .00
AUDIT FEES 5,200.00
PROFESSIONAL SERVICES 4,170.00
CUSTODIAL FEES .00
PENSION ADMINISTRATOR 1,703.46
BUSINESS MEETINGS 500.00
UNBUDGET EXPENSE .00
PENSION PROGRAM MAINT (ES) .00
COMPUTER/SUPPLY/SOFTWARE/MAINT .00
TOTAL DEDUCTIONS
513,149.40
(227,246.44)
NET CHANGE IN FUND RESERVE
YTD
Amount
336,914.01
(42,572.81)
328,073.79
1,798.36
190,349.88
1,134,486.05
3,129,723.03
7.04
1,978,869.36
818,916.66
339,620.16
8,216,185.53
2,415,554.30
474,100.00
167 . 17
140,540.09
14,076.00
4,449.45
8,375.00
9,200.00
8,370.00
10,129.94
13,627.68
4,474.20
12,476.10
1,546.00
3,899.00
3,120,984.93
5,095,200.60
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ASSETS
CHECKING-WACHOVIA
ACCRUED INCOME RECEIVABLE
DUE TO/FROM BROKER
U.S. GOVT SECUR/T-NOTES
MISC ASSET
CORPORATE BONDS
APPREC/DEPREC IN FMV
CORPORATE STOCKS/DO NOT USE
COMMON STOCK
MM/GOLDMAN
TOTAL ASSETS
LIABILITIES AND FUND RESERVES
PENSION RESERVE-FIREFIGHTERS
NET CHANGE IN FUND RESERVE
RESERVE BALANCE
TOT. LIABILITY & FUND RESERVES
BALANCE SHEET
Year-To-Date As Of
04/30/2011
16,742.22
127,711.53
8,680.73
3,860,835.40
4,646,363.00
9,073,626.86
6,840,439.49
3,670,009.99
24,878,957.48
1,446,272.97
54,569,639.67
------------------
------------------
49,247,192.63
5,322,447.04
54,569,639.67
54,569,639.67
------------------
------------------
7,c#' /!
, j .
/' ,.,~-.
:' \,
'-
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ANALYSIS OF CHANGE IN FUND RESERVE
For The Period 04/01/2011 To 04/30/2011
ADDITIONS TO RESERVE
INTEREST INCOME
ACCRUED INCOME NET CHANGE
DIVIDEND INCOME
RECAPTURE COMMISSION
CLASS ACTION PROCEEDS
GAIN/LOSS ON SALE
UNREALIZED GAIN/LOSS
MISC INCOME
CONTRIBUTIONS - EMPLOYER
CONTRIBTUIONS - MEMBERS
R/O MONEY
TOTAL ADDITIONS
DEDUCTIONS FROM RESERVE
PENSION PAYMENTS TO RETIREES
REFUNDS/DROP WID
WACHOVIA/BANK CHARGES
INVESTMENT FEES
ACTUARIAL FEES
OFFICE EXPENSES
CONSULTANT FEES
AUDIT FEES
PROFESSIONAL SERVICES
CUSTODIAL FEES
PENSION ADMINISTRATOR
BUSINESS MEETINGS
UNBUDGET EXPENSE
PENSION PROGRAM MAINT (ES)
COMPUTER/SUPPLY/SOFTWARE/MAINT
TOTAL DEDUCTIONS
NET CHANGE IN FUND RESERVE
Current
Amount
11,370.81
3,176.24
43,178.51
.00
187,960.00
233,359.13
1,083,223.44
.00
232,808.16
84,862.04
.00
1,879,938.33
297,493.21
193,300.00
20.37
.00
.00
1,134.17
.00
.00
.00
5,329.03
1,703.46
.00
12,476.10
.00
825.00
512,281. 34
1,367,656.99
YTD
Amount
279,481.97
(28,343.20)
298,487.63
1,766.86
190,349.88
1,203,148.07
3,460,969.28
7.04
1,629,657.12
680,443.14
214,314.78
7,930,282.57
2,102,566.19
359,000.00
143.41
77,771.05
3,417.00
4,413.42
8,375.00
4,000.00
4,200.00
10,129.94
11,924.22
3,974.20
12,476.10
1,546.00
3,899.00
2,607,835.53
5,322,447.04
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ASSETS
CHECKING-WACHOVIA
ACCRUED INCOME RECEIVABLE
DUE TO/FROM BROKER
PRE-PAID EXPENSES
U.S. GOVT SECUR/T-NOTES
MISC ASSET
CORPORATE BONDS
APPREC/DEPREC IN FMV
CORPORATE STOCKS/DO NOT USE
COMMON STOCK
MM/GOLDMAN
TOTAL ASSETS
LIABILITIES AND FUND RESERVES
PENSION RESERVE-FIREFIGHTERS
NET CHANGE IN FUND RESERVE
RESERVE BALANCE
TOT. LIABILITY & FUND RESERVES
BALANCE SHEET
Year-To-Date As Of
03/31/2011
3,225.32
124,535.29
(63,292.91)
4,676.00
3,671,523.78
4,646,363.00
9,026,745.96
5,757,216.05
3,799,910.75
25,024,578.81
1,206,500.63
49,247,192.63
3,954,790.05
53,201,982.68
53,201,982.68
------------------
------------------
53,201,982.68
------------------
------------------
7,,; $ - II
I/\tct
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ANALYSIS OF CHANGE IN FUND RESERVE
For The Period 03/01/2011 To 03/31/2011
Current
Amount
ADDITIONS TO RESERVE
INTEREST INCOME
ACCRUED INCOME NET CHANGE
DIVIDEND INCOME
RECAPTURE COMMISSION
CLASS ACTION PROCEEDS
GAIN/LOSS ON SALE
UNREALIZED GAIN/LOSS
MISC INCOME
CONTRIBUTIONS - EMPLOYER
CONTRIBTUIONS - MEMBERS
R/O MONEY
18,843.89
24,647.72
52,330.35
155.19
56.08
204,294.87
(267,247.78)
.00
232,808.16
85,324.50
.00
TOTAL ADDITIONS
351,212.98
DEDUCTIONS FROM ~E~/~~
PENSION PAYMENTS TO RETIREES 299,321.73
REFUNDS/DROP WiD 27,300.00
WACHOVIA/BANK CHARGES 22.51
INVESTMENT FEES .00
ACTUARIAL FEES .00
OFFICE EXPENSES 54.45
CONSULTANT FEES .00
AUDIT FEES .00
PROFESSIONAL SERVICES .00
CUSTODIAL FEES .00
PENSION ADMINISTRATOR .00
BUSINESS MEETINGS 1,551.44
PENSION PROGRAM MAINT (ES) 46.00
COMPUTER/SUPPLY/SOFTWARE/MAINT .00
TOTAL DEDUCTIONS
328,296.13
22,916.85
NET CHANGE IN FUND RESERVE
YTD
Amount
268,111.16
(31,519.44)
255,309.12
1,766.86
2,389.88
969,788.94
2,377,745.84
7.04
1,396,848.96
595,581.10
214,314.78
6,050,344.24
1,805,072.98
165,700.00
123.04
77,771.05
3,417.00
3,279.25
8,375.00
4,000.00
4,200.00
4,800.91
10,220.76
3,974.20
1,546.00
3,074.00
2,095,554.19
3,954,790.05
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ASSETS
CHECKING-WACHOVIA
ACCRUED INCOME RECEIVABLE
DUE TO/FROM BROKER
PRE-PAID EXPENSES
U.S. GOVT SECUR/T-NOTES
MISC ASSET
CORPORATE BONDS
APPREC/DEPREC IN FMV
CORPORATE STOCKS/DO NOT USE
COMMON STOCK
MM/GOLDMAN
TOTAL ASSETS
LIABILITIES AND FUND RESERVES
PENSION RESERVE-FIREFIGHTERS
NET CHANGE IN FUND RESERVE
RESERVE BALANCE
TOT. LIABILITY & FUND RESERVES
BALANCE SHEET
Year-To-Date As Of
02/28/2011
4,899.72
99,887.57
(23,802.74)
4,676.00
3,883,592.47
4,296,295.40
9,037,478.45if
6,024,463.83
3,906,074.77-
24,769,557.15
1,175,943.21
49,247,192.63
3,931,873.20
53,179,065.83
53,179,065.83
------------------
------------------
53,179,065.83
------------------
------------------
7~?I-I/
ei:.
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ANALYSIS OF CHANGE IN FUND RESERVE
For The Period 02/01/2011 To 02/28/2011
ADDITIONS TO RESERVE
INTEREST INCOME
ACCRUED INCOME NET CHANGE
DIVIDEND INCOME
RECAPTURE COMMISSION
CLASS ACTION PROCEEDS
GAIN/LOSS ON SALE
UNREALIZED GAIN/LOSS
MISC INCOME
CONTRIBUTIONS - EMPLOYER
CONTRIBTUIO~~/- MEMBERS
R/O MONEY v~ ~
TOTAL ADDITIONS
DEDUCTIONS FROM RESERVE
PENSION PAYMENTS TO RETIREES
REFUNDS/DROP WiD
WACHOVIA/BANK CHARGES
INVESTMENT FEES
ACTUARIAL FEES
OFFICE EXPENSES
CONSULTANT FEES
AUDIT FEES
PROFESSIONAL SERVICES
CUSTODIAL FEES
PENSION ADMINISTRATOR
BUSINESS MEETINGS
PENSION PROGRAM MAINT (ES)
COMPUTER/SUPPLY/SOFTWARE/MAINT
TOTAL DEDUCTIONS
NET CHANGE IN FUND RESERVE
Current
Amount
72,555.86
(28,400.00)
13,948.58
392.44
.00
331,508.44
720,869.09
7.04
232,808.16
96,164.04
59,989.49
1,499,843.14
301,150.25
51,300.00
19.37
66,741.88
3,417.00
1,059.39
8,375.00
4,000.00
3,390.00
.00
3,406.92
333.40
.00
825.00
444,018.21
1,055,824.93
YTD
Amount
249,267.27
(56,167.16)
202,978.77
1,611.67
2,333.80
765,494.07
2,644,993.62
7.04
1,164,040.80
510,256.60
214,314.78
5,699,131.26
1,505,751.25
138,400.00
100.53
77,771. 05
3,417.00
3,224.80
8,375.00
4,000.00
4,200.00
4,800.91
10,220.76
2,422.76
1,500.00
3,074.00
1,767,258.06
3,931,873.20
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ASSETS
CASH - SALEM TRUST
CHECKING-WACHOVIA
ACCRUED INCOME RECEIVABLE
DUE TO/FROM BROKER
PRE-PAID EXPENSES
U.S. GOVT SECUR/T-NOTES
MISC ASSET
CORPORATE BONDS
APPREC/DEPREC IN FMV
CORPORATE STOCKS/DO NOT USE
COMMON STOCK
MM/GOLDMAN
TOTAL ASSETS
LIABILITIES AND FUND RESERVES
PENSION RESERVE-FIREFIGHTERS
NET CHANGE IN FUND RESERVE
RESERVE BALANCE
TOT. LIABILITY & FUND RESERVES
BALANCE SHEET
Year-To-Date As Of
01/31/2011
3,400.00
6,467.68
128,287.57
(120,341.17)
4,676.00
4,131,083.92
4,296,295.40
8,564,463.37
5,303,594.74
3,908,972.6r-
24,672,638.26
1,223,702.46
49,247,192.63
2,876,048.27
52,123,240.90
52,123,240.90
------------------
------------------
52,123,240.90
------------------
------------------
7 ",;-/- J I
~..tz.
,II-;
I.~
ANALYSIS OF CHANGE IN FUND RESERVE
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
For The Period 01/01/2011 To 01/31/2011
Current
Amount
ADDITIONS TO RESERVE
INTEREST INCOME 40,090.24
ACCRUED INCOME NET CHANGE (14,816.33)
DIVIDEND INCOME 28,943.19
RECAPTURE COMMISSION .00
CLASS ACTION PROCEEDS 2,182.98
GAIN/LOSS ON SALE 118,880.01
UNREALIZED GAIN/LOSS 395,947.97
CONTRIBUTIONS - EMPLOYER 232,808.16
CONTRIBTUION~ - MEMBERS ~ . 87,338.11
R/O MONEY VIL\~ ~~~_____::~~:~~~:
TOTAL ADDITIONS 942,472.58
DEDUCTIONS FROM RESERVE
PENSION PAYMENTS TO RETIREES
REFUNDS/DROP WID
WACHOVIA/BANK CHARGES
INVESTMENT FEES
OFFICE EXPENSES
PROFESSIONAL SERVICES
CUSTODIAL FEES
PENSION ADMINISTRATOR
BUSINESS MEETINGS
PENSION PROGRAM MAINT (ES)
COMPUTER/SUPPLY/SOFTWARE/MAINT
300,541. 47
31,300.00
19.81
.00
.00
.00
5,115.12
1,703.46
754.04
.00
825.00
TOTAL DEDUCTIONS
340,258.90
602,213.68
NET CHANGE IN FUND RESERVE
YTD
Amount
176,711. 41
(27,767.16)
189,030.19
1,219.23
2,333.80
433,985.63
1,924,124.53
931,232.64
414,092.56
154,325.29
4,199,288.12
1,204,601.00
87,100.00
81.16
11,029.17
2,165.41
810.00
4,800.91
6,813.84
2,089.36
1,500.00
2,249.00
1,323,239.85
2,876,048.27
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ASSETS
CHECKING-WACHOVIA
ACCRUED INCOME RECEIVABLE
DUE TO/FROM BROKER
PRE-PAID EXPENSES
U.S. GOVT SECUR/T-NOTES
MISC ASSET
CORPORATE BONDS
APPREC/DEPREC IN FMV
CORPORATE STOCKS/DO NOT USE
COMMON STOCK
MM/GOLDMAN
TOTAL ASSETS
LIABILITIES AND FUND RESERVES
PENSION RESERVE-FIREFIGHTERS
NET CHANGE IN FUND RESERVE
RESERVE BALANCE
TOT. LIABILITY & FUND RESERVES
BALANCE SHEET
Year-To-Date As Of
12/31/2010
9,769.99
143,103.90
16,363.00
4,676.00
4,009,772.36
4,296,295.40
8,528,843.55
4,907,646.77
3,909,744.37
24,389,405.99
1,305,405.89
51,521,027.22
------------------
------------------
49,247,192.63
2,273,834.59
51,521,027.22
51,521,027.22
------------------
------------------
7/ c7/.- ,I /
rl6
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ANALYSIS OF CHANGE IN FUND RESERVE
For The Period 12/01/2010 To 12/31/2010
ADDITIONS TO RESERVE
INTEREST INCOME
ACCRUED INCOME NET CHANGE
DIVIDEND INCOME
RECAPTURE COMMISSION
CLASS ACTION PROCEEDS
GAIN/LOSS ON SALE
UNREALIZED GAIN/LOSS
CONTRIBUTIONS - EMPLOYER
CONTRIBTUIONS - MEMBERS
CONTRIBUTIONS - STATE
R/O MONEY
TOTAL ADDITIONS
DEDUCTIONS FROM RESERVE
PENSION PAYMENTS TO RETIREES
REFUNDS/DROP WID
WACHOVIA/BANK CHARGES
INVESTMENT FEES
OFFICE EXPENSES
PROFESSIONAL SERVICES
CUSTODIAL FEES
PENSION ADMINISTRATOR
BUSINESS MEETINGS
PENSION PROGRAM MAINT (ES)
COMPUTER/SUPPLY/SOFTWARE/MAINT
TOTAL DEDUCTIONS
NET CHANGE IN FUND RESERVE
Current
Amount
29,843.48
10,307.44
120,241.88
601. 70
122.29
66,334.58
1,343,570.56
349,212.24
132,920.68
(12,304.36)
.00
2,040,850.49
301,759.03
3,300.00
22.78
1l,029.17
55.89
810.00
(5,000.00)
1,703.46
600.00
1,500.00
1,406.02
317,186.35
1,723,664.14
YTD
Amount
136,621.17
(12,950.83)
160,087.00
1,219.23
150.82
315,105.62
1,528,176.56
698,424.48
326,754.45
.00
103,227.04
3,256,815.54
904,059.53
55,800.00
61. 35
1l,029.17
2,165.41
810.00
(314.21)
5,1l0.38
1,335.32
1,500.00
1,424.00
982,980.95
2,273,834.59
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ASSETS
CHECKING-WACHOVIA
ACCRUED INCOME RECEIVABLE
A/R STATE SUPP
DUE TO/FROM BROKER
PRE-PAID EXPENSES
U.S. GOVT SECUR/T-NOTES
MISC ASSET
CORPORATE BONDS
APPREC/DEPREC IN FMV
CORPORATE STOCKS/DO NOT USE
COMMON STOCK
MM/GOLDMAN
TOTAL ASSETS
LIABILITIES AND FUND RESERVES
ACCOUNTS PAYABLE
TOTAL LIABILITIES
PENSION RESERVE-FIREFIGHTERS
NET CHANGE IN FUND RESERVE
RESERVE BALANCE
TOT. LIABILITY & FUND RESERVES
BALANCE SHEET
Year-To-Date As Of
11/30/2010
67,800.31
132,796.46
12,304.00
(615,368.64)
4,676.00
3,865,049.23
4,296,295.40
8,609,917.22
3,639,660.21
3,836,271.93 -
24,264,319.75
1,729,544.21
45,903.00
45,903.00
49,247,192.63
550,170.45
49,797,363.08
49,843,266.08
------------------
------------------
49,843,266.08
------------------
------------------
_.~ ,. /. /
""'et
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ANALYSIS OF CHANGE IN FUND RESERVE
For The Period 11/01/2010 To 11/30/2010
Current
Amount
ADDITIONS TO RESERVE
INTEREST INCOME
ACCRUED INCOME NET CHANGE
DIVIDEND INCOME
RECAPTURE COMMISSION
CLASS ACTION PROCEEDS
GAIN/LOSS ON SALE
UNREALIZED GAIN/LOSS
CONTRIBUTIONS - EMPLOYER
CONTRIBTUIONS - MEMBERS
CONTRIBUTIONS - STATE
R/O MONEY
80,472.41
(27,388.03)
16,247.77
589.10
.00
121,140.39
(574,261.35)
232,808.16
86,652.53
.00
.00
TOTAL ADDITIONS
(63,739.02)
DEDUCTIONS FROM RESERVE
PENSION PAYMENTS TO RETIREES
REFUNDS/DROP WiD
WACHOVIA/BANK CHARGES
OFFICE EXPENSES
CUSTODIAL FEES
PENSION ADMINISTRATOR
BUSINESS MEETINGS
COMPUTER/SUPPLY/SOFTWARE/MAINT
301,150.25
4,600.00
19.45
1,000.79
.00
1,703.46
.00
.00
TOTAL DEDUCTIONS
308,473.95
(372,212.97)
NET CHANGE IN FUND RESERVE
YTD
Amount
106,777.69
(23,258.27)
39,845.12
617 . 53
28.53
248,771.04
184,606.00
349,212.24
193,833.77
12,304.36
103,227.04
1,215,965.05
602,300.50
52,500.00
38.57
2,109.52
4,685.79
3,406.92
735.32
17.98
665,794.60
550,170.45
, ; I
'J.'}.{- :{
, , Ii
pP
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ASSETS
CHECKING-WACHOVIA
ACCRUED INCOME RECEIVABLE
A/R STATE SUPP
DUE TO/FROM BROKER
PRE-PAID EXPENSES
U.S. GOVT SECUR/T-NOTES
MISC ASSET
CORPORATE BONDS
APPREC/DEPREC IN FMV
CORPORATE STOCKS/DO NOT USE
COMMON STOCK
MM/GOLDMAN
TOTAL ASSETS
LIABILITIES AND FUND RESERVES
ACCOUNTS PAYABLE
TOTAL LIABILITIES
PENSION RESERVE-FIREFIGHTERS
NET CHANGE IN FUND RESERVE
RESERVE BALANCE
TOT. LIABILITY & FUND RESERVES
BALANCE SHEET
Year-To-Date As Of
10/31/2010
12,524.01
160,184.49
12,304.00
225,637.73
4,676.00
3,369,147.26
4,296,295.40
8,621,692.69
4,213,921.56
3,837,320.33-
24,285,879.33
1,175,896.25
45,903.00
45,903.00
49,247,192.63
922,383.42
50,169,576.05
50,215,479.05
------------------
------------------
50,215,479.05
------------------
------------------
CITY OF BOYNTON BEACH FIREFIGHTERS' PENSION FUND
ANALYSIS OF CHANGE IN FUND RESERVE
For The Period 10/01/2010 To 10/31/2010
Current
Amount
YTD
Amount
ADDITIONS TO RESERVE
INTEREST INCOME
ACCRUED INCOME NET CHANGE
DIVIDEND INCOME
RECAPTURE COMMISSION
CLASS ACTION PROCEEDS
GAIN/LOSS ON SALE
UNREALIZED GAIN/LOSS
CONTRIBUTIONS - EMPLOYER
CONTRIBTUIONS - MEMBERS
CONTRIBUTIONS - STATE
R/O MONEY
26,305.28
4,129.76
23,597.35
28.43
28.53
127,630.65
758,867.35
116,404.08
107,181.24
12,304.36
103,227.04
26,305.28
4,129.76
23,597.35
28.43
28.53
127,630.65
758,867.35
116,404.08
107,181.24
12,304.36
103,227.04
TOTAL ADDITIONS
1,279,704.07
1,279,704.07
DEDUCTIONS FROM RESERVE
PENSION PAYMENTS TO RETIREES
REFUNDS/DROP WID
WACHOVIA/BANK CHARGES
OFFICE EXPENSES
CUSTODIAL FEES
PENSION ADMINISTRATOR
BUSINESS MEETINGS
COMPUTER/SUPPLY/SOFTWARE/MAINT
301,150.25
47,900.00
19.12
1,108.73
4,685.79
1,703.46
735.32
17.98
301,150.25
47,900.00
19.12
1,108.73
4,685.79
1,703.46
735.32
17.98
TOTAL DEDUCTIONS
357,320.65
922,383.42
357,320.65
922,383.42
NET CHANGE IN FUND RESERVE
RICK Scan
Governor
DEPARTMENT OF MANAGEMENT
SERVICES
JOHN P. MILES
Secretary
ApPROVED
MEMORANDUM
July 21, 2011
To:
Mr. Luke Henderson, Chairman
Boynton Beach Firefighters' Pension Fund
From:
Office of Municipal Police Officers' and Firefighters'
Retirement Trust Funds, Division of Retirement
Subject: 2010 ANNUAL REPORTS
This is to advise that we have reviewed and approved the 2010 Annual Report (s) for the Boynton
Beach Firefighters' Pension Fund.
If you have any questions, please contact our office at (850) 922-0667.
mjm
Copy: Richard A. Cristini, CPA
Barbara La Due, Plan Administrator
Approved
Department of Management Services I Division of Retirement I Municipal Police & Fire Pension Office
P,O. Box 3010 I Tallahassee, Florida 32315-3010
Toll Free: 877-738-6737 I Tel: 850..922-0667 I Fax: 850..921-2161 I Web: htlp:/lmyflorida.com/frs/mpf
STW
FIXED INCOME MANAGEMENT
Ms. Barbara LaDue
Pension Administrator
City of Boynton Beach Municipal Firefighters' Pension Trust
Renaissance Executive Suites
1500 Gateway Boulevard, Suite #220
Boynton Beach, FL 33426
For Account: City of Boynton Beach Municipal Firefighters' Pension Trust Fund
Original Invoice Please Pay
Period Under Management 07/011l1 to 09/3 Oil I
Assets Under Management:
Quarterly Fee Due:
Fee Schedule
o to
30,000,001 to
100,000,001 to
500,000,001 to
1,000,000,001 and above
30,000,000
100,000,000
500,000,000
1,000,000,000
Fee Breakdown
Account
City of Boynton Beach Municipal Firefighters' Pension Trust Fund
City of Boynton Beach Municipal Firefighters' Pension Trust Fund - TIPS
Wire Instructions:
Wells Fargo Bank, N.A.
Ventura, CA
ABA Routing Number: 121000248
Account Number: 4945349280
Account Name: STW Fixed Income Management LLC
0.375%
0.250%
0.125%
0.100%
0.080%
Invoice Number:
Invoice Date:
Assets
9,184,378
2,026,170
11,210,548
07113310
07/21/11
9,184,378
$ 8,610.36
Fee
8,610.36
8,610.36
6185 Carpintel'ia Avenue · Ccll'pintel'ia, Califol'llia 83013
PH: (805) 745-2400 · FAX: (B05) 745-2401
stw@stw.com · WWW.stw.com
~n
capital, LLC . 101 Park Avenue, New York, NY 10178-0008 (212) 867-5000 fax (212) 922.1820 www.ata/antJsosnoff.com
@ 1986 Andy Warhol
Invoice
Ms. Barbara LaDue
Administrator
Boynton Police & Fire Pension Funds
1500 Gateway Blvd., Suite 220
Boynton Beach, FL 33426
Invoice Number 146591
Invoice Date 06/16/2011
Billing Period 04/01/2011 - 06/30/2011
Account Number 49836
INVESTMENT MANAGEMENT FEE
For the period 04/0112011 To 06/30/2011
Account Name:
Boynton Beach Firefighters' Pension Plan
Account# 801 06443
Opening assets under advisement for the period ended as of June 30, 2011
$4,515,274
Gross Market Value
Balance
$4,515,274 @ 0.80% x 1/4
$4,515,274
$9,031.00
$9,031.00
$9,031.00
Remit this amount
Please return the bottom portion with your payment and retain this portion for your records.
Please make check payable to: Atalanta Sosnoff Capital, LLC
Account Number 49836
Account Name: Boynton Beach Firefighters' Pension Plan
Account# 80106443
Remittance Amount
$
INVOICE
DSM CAPITAL PARTNERS LLC
320 East Main Street, Mt. Kisco, NY 10549 Tel: (914) 242 - 1900
27-Jul..11
Invoice No: 8588
Luke Henderson
City of Boynton Beach Municipal Firefighters Pension
Trust Fund
1500 Gateway Boulevard, Suite 220
Boynton Beach, FL 33426
Billing Period: FROM 07/01/2011 TO 09/30/2011
Account Name City of Boynton Beach Municipal Firefighters Pension Trust Fund
Portfolio Value .. . . , . , . , . . . , , . . . . . . .. ..,...."..,............,.
$5,730,162
Amount Due. . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . . .
$13,869.06
FEE CALCULA nON
Annual Rate
1.0000 %
0.7500 %
% of
Rate
0.25
0.25
Assets Under Management
On the first: 5,000,000
On the next: 730,162
Total
Fee
12,500.00
1,369.06
$13,869.06
**Please note new wiring instructions**
US Bank
ABA # 091 000 022
Account Name: RBC Capital Markets Corp.
Account#: 160230097208
For Further Credit To: DSM Capital Partners
Account #: 982..99750
,
'~
]'HE
BOGDAHN
GROUP
Invoice
r-"""
Date Invoice #
6/24/2011 6333
4901 Vineland Rd Suite 600 Orlando, FL 32811
Bill To
Boyton Beach Firefighters' Pension Plan
Attn Barbara La Due
Description Amount
Performance Evaluation and Consulting Services 8,375.00
4/1/2011-6/30/2011
Balance Due $8,375.00
Tegr,!,t,o"
Tegrit Administrators, LLC
364 South Pine Street, Unit A-209
Spartanburg, SC 29302
864-699-6900
Boynton Beach Municipal Firefighters Retirement Plan INVOICE No. 201106-06
Ms. Barbara LaDue
Boynton Beach Municipal Fire Fighter's
Retirement Fund
Renaissance Executive Suites
1500 Gateway Blvd, Suite #220
Boynton Beach, Florida 33426
Invoice Date
30-Jun-11
Please Remit To:
Check Made Payable To:
Tegrit Administrators, LLC
ACH Payment to:
Westfield Bank
ABA #: 041272279
Account#: 1513135
OR Mail Check To:
Tegrit Administrators, LLC
c/o Tegrit-Summit Retirement Plan Services
13680 Cleveland Ave. NW
Uniontown, OH 44685
Attn: Accounts Receivable
Description Amount
Quarterly Invoice for June 30, 2011
Total
Recordkeepina Administration
Drop Plan administration for Fixed portion of Plan
500.00
Includes the following:
Quarterly Statements Mailed and on CD
Quarterly Management Reports
Amount Due
500.001
We appreciate your business and thank you. If you have any questions, contact Jenee Gilfillan at 864-699-6922
or by email toJenee.Gilfillan@Tegrit-tpa.com
July 13, 2011
Ms. Barbara LaDue
Administrator
City of Boynton Beach Firefighters Pension
1500 Gateway Boulvard, Suite 220
Boynton Beach, FL 33426
Email: Ladueb@bbpdpension.com
Invoice ID: 1012
MANAGEMENT FEE:
BOYNTON BEACH FF
BOYNTON BEACH MUNICIPAL FIREFIRGlITERS PENSION
For the Period 4/1/2011 through 6/30/2011
6/3012011 Portfolio Value:
$ 6,826,542.66
Quarterly Fee Based On:
0.75% on the first $25,000,000 ($6,826,543)
$ 12,799.77
PLEASE REMIT PAYMENT TO:
By Wire:
Wachovia Bank
ABA Number: 063000021
Account Name: Dalton, Greiner, Hartman, Maher & Co., LLC.
Account Number: 2090001865061
By ACHlEFT:
Wachovia Bank
ABA Number: 067006432
Account Name: Dalton, Greiner, Hartman, Maher & Co., LLC
Account Number: 2090001865061
By Check:
Dalton, Greiner, Hartman, Maher & Co
3001 Tamiami Trail North, Suite #206
Naples, FL 34103
Attn: Dolores Casaletto
Klausner & Kaufman
PROFESSIONAL ASSOCIA nON
ATTORNEYS AT LAW
10059 Northwest 1 st Court
Plantation, Florida 33324
Tel. (954) 916-1202
Fax (954) 916-1232
BOYNTON BEACH FIREFIGHTERS
Attn: MRS. BARBARA LA DUE, ADMIN.
1500 GATEWAY BOULEVARD, SUITE 220
BOYNTON BEACH, FL 33426
For Legal Services Rendered Through 06/30/11
CLIENT:
MATTER:
BOYNTON BEACH FIREFIGHTERS PENSION FUND
BOYNTON BEACH FIREFIGHTERS - GENERAL FILE
Professional Fees
Date
06/16/11
Description
RECEIPT AND REVIEW EMAIL AND MINUTES
Total for Services
CURRENT BILL TOTAL AMOUNT DUE
Past Due Balance
AMOUNT DUE
www.robertdklausner.com
Tax I.D.: 65-0774883
June 30, 2011
Bill # 13169
: BOYNTON
:900334
Hours
0.50
0.50
Amount
150.00
$150.00
$
150.00
2,970.00
/ $3,120.00
~
Klausner & Kaufman
PROFESSIONAL ASSOCIA nON
ATTORNEYS AT LAW
10059 Northwest 1st Court
Plantation, Florida 33324
Tel. (954) 916-1202
Fax (954) 916-1232
www.robertdklausner.com
Tax l.D.: 65-0774883
BOYNTON BEACH FIREFIGHTERS May 31,2011
Attn: MRS. BARBARA LA DUE, ADMIN. Bill # 13087
1500 GATEWAY BOULEVARD, SUITE 220
BOYNTON BEACH, FL 33426
For Legal Services Rendered Through 05/31/11
CLIENT: BOYNTON BEACH FIREFIGHTERS PENSION FUND : BOYNTON
MATTER: BOYNTON BEACH FIREFIGHTERS - GENERAL FILE :900334
Professional Fees
Date Description Hours Amount
05/03/11 RECEIPT AND REVIEW EMAILS AND REPORTS 0.50 150.00
05/09/11 CALL TO CHAIR; REVIEWED PLAN AND SB 1128; 1.50 450.00
REVIEWEDAGENDAAND EMAILS
05/11/11 REVISE SB 1128 MEMO 0.50 150.00
05/11/11 PREPARATION FOR BOARD MEETING; ANALYSIS 0.70 210.00
OF SB 1128 ISSUES
05/12/11 PREPARATION FOR BOARD MEETING; ATTENDED 5.00 1,500.00
BOARD MEETING
05/13/11 ATTENTION TO PENDING ITEMS AND SB 1128 0.50 150.00
05/17/11 RECEIPT AND REVIEW MINUTES AND EMAILS 0.50 150.00
OS/26/11 RECEIPT AND REVIEW EMAILS AND TEGRIT 0.50 150.00
ANNOUNCEMENT
OS/27/11 RECEIPT AND REVIEW SHOEMAKER EMAIL; 0.20 60.00
PHONE CONFERENCE RE RESPONSE AND SB 1128
Total for Services 9.90 $2,970.00
CURRENT BILL TOTAL AMOUNT DUE $ 2,970.00
GRS
Gabriel Roeder Smith & Company
Consultants & Actuaries
One East Broward Blvd.
Suite 505
Ft. Lauderdale, Florida 33301-1804
(954) 527-1616
Invoice
Date
111\ OilT #
6/10/2011
115370
Bill 10:
Pka~l' Rl'mit 10:
BOARD OF TRUSTEES, BOYNTON BEACH
MUNICIPAL FIREFIGHTERS RETIREMENT FUND
Ms. Barbara La Due
City of Boynton Beach
Renaissance Executive Suites
1500 Gateway Blvd., Suite 220
Boynton Beach, FL 33426
Dept. # 78009
Gabriel Roeder Smith & Company
PO Box 78000
Detroit, Michigan 48278-0009
or
ACH Payment to:
Gabriel Roeder Smith & Company
lPMorgan Chase, ABA #: 072000326
Account #: 0486723
Dl'~l ription Pro.in't 4, \I1IOllllt
For services rendered through 5/31/2011
1. Buy back calculation: Kinser 100560-068 $450
2. Revised 10/] /20] 0 Actuarial Valuation Report to incorporate 100560-068 $4,987
estimated payroll provided by City's Finance Director to determine
the required City contribution if full payment is made at the
beginning of the next fiscal year and to correct credit for Chapter 175
Revenue
Invoice Total $5,437
Paid to Date
Client No. 100560 Amount Due $5,437
PLEASE INDICATE THE INVOICE NUMBER ON YOUR REMITTANCE. THANK YOu.
GRS
Gabriel Roeder Smith & Company
Consultants & Actuaries
One East Broward Blvd.
Suite 505
Ft. Lauderdale, Florida 33301-1804
(954) 527-1616
Invoice
))a1('
Irn nin' #
7/6/2011
115704
Bill lo:
I'h'.I"l l{('Il1it 10:
BOARD OF TRUSTEES, BOYNTON BEACH
MUNICIPAL FIREFIGHTERS RETIREMENT FUND
Ms. Barbara La Due
City of Boynton Beach
Renaissance Executive Suites
1500 Gateway Blvd., Suite 220
Boynton Beach, FL 33426
Dept. # 78009
Gabriel Roeder Smith & Company
PO Box 78000
Detroit, Michigan 48278-0009
or
ACH Payment to:
Gabriel Roeder Smith & Company
IPMorgan Chase, ABA #: 072000326
Account #: 0486723
Ik...niptj'IIl l'rojl'r\ lr \ l1J1l11l1t
For services rendered through 5/31/2011
1. Retirement benefit calculations: Garcia, Henderson, Abel, Baier, 100560-068 $1,125
Reyes
2. Respond to Division of Retirement letter regarding possible 100560-068 $203
deficiency in City contribution for 2010
Invoice Total $1,328
Paid to Date
Client No. 100560 Amount Due $1,328
PLEASE INDICATE THE INVOICE NUMBER ON YOUR REMITTANCE. THANK YOU.
I \.; T r He () :\ 'I I N EN' L\ L
INTERCONTINENTAL REAL ESTATE CORPORATION
1270 SOLDIERS FIELD ROAD
BOSTON. MASSACHUSETTS 02135-1003
TELEPHONE 617-782-2600
FACSIMILE 617-782-9442
www.intercontinental.net
PAULJ. NASSER
Chief Financial Officer and
Chief Operating Officer
June 1,2011
Ms. Barbara LaDue, Pension Administrator
City of Boynton Beach Firefighters' Pension Fund
Renaissance Executive Suites
1500 Gateway Blvd., Suite 220
Boynton Beach, FL 33426
RE: U.S. Real Estate Investment Fund, LLC
Dear Ms. LaDue:
We are pleased to announce that U.S. Real Estate Investment Fund, LLC (US REIF) has made
a distribution to you in the amount of $44,459.69, which constitutes your pro rata gross share of
an overall distribution of $3,774,266.10. The Fund has withheld $11,948.97 for payment of
asset management fees for the first quarter 2011, resulting in a net distribution to you of
$32,510.72.
As authorized by your executed Dividend Reinvestment Plan (DRIP) letter, Intercontinental has
reinvested your net distribution of $32,51 0.72 into US REIF. Intercontinental will report the
number of reinvested shares as part of the second quarter 20 II reporting.
If you have any questions or wish to change your method of payment, please contact Thomas
Mi ell at 617-779-0472.
Paul 1. Nasser
cc via email: David West, Bogdahn Consulting
@~201
GRS
Gabriel Roeder Smith & Company
Consultants & Actuaries
One East Broward Blvd.
Suite 505
Ft. Lauderdale, FL 33301-] 827
954.527.1616 phone
954.525.0083 fax
www.gabrielroeder.com
June 8, 2011
CONFIDENTIAL
Ms. Barbara La Due
Pension Administrator
Renaissance Executive Suites
1500 Gateway Blvd. Suite 220
Boynton Beach, Florida 33426
Re: City of Boynton Beach Municipal Firefighters' Pension Trust Fund
Dear Barbara:
You have asked us to verify the retirement benefits for the following employees:
/GARCIA, Luis A. (Vested Termination)
HENDERSON, Luke E. (DROP Retirement)
Based on the information provided, we have determined that the retirement benefits that have been calculated
for the above participant are in accordance with plan provisions.
We welcome your questions and comments.
Sincerely yours,
~~~
J. Stephen Palmquist, ASA
Senior Consultant and Actuary
JSP/ib
Enclosures
Circular 230 Notice: Pursuant to regulations issued by the IRS, to the extent this communication (or any
attachment) concerns tax matters, it is not intended or written to be used, and cannot be used, for the purpose of
(i) avoiding tax-related penalties under the Internal Revenue Code or (ii) marketing or recommending to
another party any tax-related matter addressed within. Each taxpayer should seek advice based on the
individual's circumstances from an independent tax advisor.
This communication shall not be construed to provide tax advice or legal advice unless it contains one of the
following phrases, or substantially equivalent language: "This communication is intended to provide tax
advice." Or "This communication is intended to provide legal advice."
BOYNTON BEACH POLICE & FIRE PENSION FUNDS
PENSION ADMINISTRATION MEMO
TO: Rion Broshears, GRS
FROM: Barbara La Due, Pension Administrator
DATE: June 2, 2010
SUBJECT: Boynton Fire - Verification of Retirement Benefits
Luis A. Garcia
Rion:
Please review and verify the pension benefits for the Boynton Firefighters' Pension Board:
1) Luis A. Garcia, SS# 263-89-XXXX, retired 4-2-2011 with Deferred Vested benefit to begin
3-01-2013, 100% Survivor Annuity - $3,927.01.
Thank you.
F,~~
. 1\
I tl ~.
----'
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
~ May 17, 2011
PAGE 1
NAME GARCIA, LUIS A # 1333 SSN 263-89-xxxx DEPT 22
ADDRESS
CONTR(NTX) 549.92
PEN HIRE 02/25/1~93 BALANCE 93,629.60
ADJ HIRE 02/25/1993
RETIRE 04/02/2011 TYPE V
LAST SERV 04/02/2011 36 MO EARN 284,609.48
ELIG NORM 02/25/2013 A VG MO E.RN 7,905.82
ELIG EARLY 00/00/0000 SERV AT TERM 18 1 8
100% VEST 02/25/2003 AGE AT RETIRE 44 10 2
COMMENCE 03/01/2013 COJ ANB/DIFF 47 -4
LAST EARN 00/00/0000 VESTED TDY/RET 100 100
BEN NAME DAWN GARCIA SERV OVERRIDE
BEN BDAY PAY HIST FLAG IRREGULAR
VAC HRS/CD .00/N6 HOURLY RATE 31.537
SIC HRS/CD .00 F1 VAC SIC PAYOUT 2,036.98
ACCRUE PER .00 EARLY OPTION DEFERRED
LAST PAY 20110425-20110508
TERM-DATE 20110402 QDRO
BENEFIT 4,294.16
EARLY REDUCTION FACTOR: .00000 EARLY RETIRE BENE FI T .00
TEN YEAR CERTAIN & LIFE 4,294.16
LIFE ANNU I TY FAC'IOR: 1.01170 MODIFIED LIFE ANNUITY 4,344.40
100% SURV. FACTOR: .91450 100% SURV. ANNUITY 3,927.01 V
SURVIVOR BENEFIT 3,927.01
66 2/3% SURV. FACTOR: .94480 66 2/3% SURV. ANNUITY 4,057.12
SURVIVOR ENE FIT 2,704.88
50% SURV. FACTOR: .96070 50% SURV. ANNUITY 4,125.40
SURVIVOR BENEFIT 2,062.70
75% JOINT LAST FACTOR: .95150 75% J<INT & LAST ANNUITY 4,085.89
SURVIVOR BENEFIT 3,064.42
50% JOINT LAST FACTOR: .99160 50% JOINT & LAST ANNUITY 4,258.09
SURVIVOR BENEFIT 2,129.05
EXCLUSION RATIO USING SAFE HARBOR METHOD:
NUMBER OF EXPECTED PAYMENTS
'TAX-FREE PORTION OF MON']HLY BENEFIT
DATE WHEN BENEFIT BECOMES FULLY TAXABLE
ANNUITY
360
1. 53
03/01/2043
JOINT SRV
410
1. 34
05/01/247
Prepared by
* indicates manual override
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS PAGE 2
May 17, 2011
LUIS A GARCIA
H I G H Y E A R ONE H I G H YEA R TWO
PAY EFF WEEKS WAGES PAY EFF WEEKS WAGES
03/28/11 1.0 3,550.76 03/01/10 2.0 2,979.~
03/14/11 2.0 3,027.55 02/15/10 2.0 3,351.99
02/28/11 2.0 3 , (2 7 . 5 5 02/01/10 2.0 2,979.55
02/14/11 2.0 3,405.99 01/18/10 2.0 3351.99
01/31/11 2.0 3,536.08 01/04/10 2.0 2,979.55
01/17/11 2.0 3,405.99 12/21/09 2.0 4,096.87
01/03/11 2.0 2,932.94 12/07/09 2.0 2,979.55
12/20/10 2.0 4,162.87 11/23/09 2.0 6,331.53
12/06/10 2.( 3,027.55 11/09/09 2.0 3,351.99
11/22/10 2.0 4,766.02 10/26/09 2. 5,214.21
11/08/10 2.0 3,405.99 10/12/09 2.0 5,214.21
10/25/10 2.0 3,169.47 09/28/09 2.0 4,096.88
10/11/10 2.0 3,027.55 09/14/09 2.0 6,890.21
09/27/10 2.0 3,027.55 08/31/09 2.0 4,469.32
09/13/10 2.0 3,027.55 08/17/09 2.0 3,933.95
08/30/10 2.0 3,405.99 08/0/09 2.0 5,214.21
08/16/10 2.0 3,027.55 07/20/09 2.0 4,038.69
08/02/10 2.0 3,027.55 07/06/09 2.0 5,214.21
07/19/10 2.0 4, 162.88 06/22/09 2.0 3,375.27
07/05/10 2.0 4,576.80 06/08/09 2.0 2,979.55
06/21/10 2.0 3,027.55 OS/25/09 2.0 3,351.99
06/07/10 2.0 3,02".55 05/11/09 2.0 4,096.88
OS/24/10 2.0 4,541.32 04/27/09 2.0 2, 99.55
05/10/10 2.0 3,524.26 04/13/09 2.0 2,979.55
04/26/10 2.0 4,162.88 03/30/09 2.0 6,447.37
04/12/10 2.0 3,193.12 03/16/09 2.0 4,096.88
03/29/10 1.0 1,577.61 00/00/00 .0 .00
TOTAL 52.0 91,756.47 TOTAL 52.0 106,995.50
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
May 17, 2011
LUIS A GARCIA
H I G H Y E A R T H R E E
PAY EFF WEEKS WAGES
01/05/09 2.0 2,979.55
12/22/08 2.0 4,096.87
12/08/08 2.0 2, 97 9 . ~5
11/24/08 2.0 4,841.76
11/10/08 2.0 3,351.99
10/27/08 2.0 ~,979.55
10/13/08 2.0 2,979.55
09/29/08 2.0 2,973.91
09/15/08 2.0 2,940.13
09/01/08 2.0 3,307.65
08/18/08 2.0 2,940.13
08/04/08 2.0 2,940.13
07/21/08 2.0 6,455.05
07/07/08 2.0 2,814.98
06/23/08 2.0 3,166.85
06/09/08 2.0 2,814.98
OS/26/08 2.0 3,166.85
05/12/08 2.0 2,814.98
04/28/08 2.0 2,814.98
04/14/08 2.0 2,814.98
03/31/08 2.0 2,815.00
03/17/08 2.0 2,815.00
03/03/08 2.0 2,815.00
02/18/08 2.0 2,955.75
02/04/08 2.0 2,f14.98
01/21/08 2.0 4,666.85
01/07/08 .6 800.51
TOTAL 52.6 85,857.51
PAGE 3
F- 1/.- ~
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL STATEMENT OF RETIREMENT BENEFITS
May 17, 2011
~
Participant's Name: LUIS A GARCIA
Social Security #: 263-89-xxxx
You are eligible for a(n) VESTED Retirement Benefit from
the Plan. Your benefit is payable at the beginning of each month com-
mencing March 1, 2013 The amount of your monthly benefit depends
on the optional form of annuity which you choose. Please indicate the
one optional form listed below which you elect to recieve:
1. MODIFIED CASH REFUND ANNUITY: This option provides monthly pay-
ments of $ 4344.40 to you as long as you live. If you should die before
you have received an amount equal to your own contributions to the Plan,
payments will continue to your beneficiary until your own contributions
have been used up.
2. TEN YEAR CERTAIN AND LIFE THEREAFTER: This option provides
monthly payments of $ 4294.16 to you as long as you live. If you should
die before 120 monthly payments have been made, the monthly payment of
$ 4294.16 will continue to be made to your beneficiary until a total of
120 monthly payments have been made in all.
~r~3. 100% SURVIVOR ANNUITY: This option provides monthly payments
~3927.01 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ 3927.01 for
as long as he/she lives.
4. 66% SURVIVOR ANNUITY: This option provides monthly payments
of $ 4057.12 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ 2704.88 for
as long as he/she lives.
5. 50% SURVIVOR ANNUITY: This option provides monthly payments
of $ 4125.40 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ 2062.70 for
as long as he/she lives.
6. 75% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ 4085.89 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ 3064.42 will continue for the life of the remain-
ing person.
7. 50% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ 4258.09 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ 2129.05 will continue for the life of the remain-
ing person.
THESE AMOUNTS ABOVE ARE BASED UPON THE FOLLOWING INFORMATION:
Your Date of Birth: 05/31/1966
Date of Termination: 04/02/2011
Avg Final Monthly Comp: $7,905.82
Beneficiary Name: DAWN GARCIA
Pension Hire Date: 02/25/1993
Adjusted Hire Date: 02/25/1993
Years of Credited Service: 18
Date of Birth: 10/03/1970
Page 2
Participant's Name: LUIS A GARCIA
Social Security #: 263-89-xxxx
Accumulated Contributions: $93,629.60
After-Tax Contributions:
$549.92 Pre-Tax Contributions: $93,079.68
Nontaxable Portion of Life
Annuity Monthly Benefit:
Number of Months Nontaxable
$1.53 Portion Continues:
360
Nontaxable Portion of Joint
Survivor Monthly Benefit:
Number of Months Nontaxable
$1.34 Portion Continues:
410
The Survivor Annuity benefit amounts shown above are based on the
beneficiary named above and are payable only to this beneficiary. If
you wish to change your beneficiary before your payments begin, new
amounts will have to be calculated.
BOARD OF TRUSTEES: By
DATE:
I accept the terms above, including my choice of annuity form, and
confirm the information shown above to be correct.
BENEFICIARY'S SIGNATURE:
E: Y2{,,-2o/ /
:r-/~/II
I .,
Calculation Date:
GRS
Gabriel Roeder Smith & Company
Consultants & Actuaries
One East Broward Blvd,
Suite 505
Ft. Lauderdale, FL 33301-1827
954.527.1616 phone
954.525.0083 fax
www.gabrielroeder.com
June 8, 2011
CONFIDENTIAL
Ms. Barbara La Due
Pension Administrator
Renaissance Executive Suites
1500 Gateway Blvd. Suite 220
Boynton Beach, Florida 33426
Re: City of Boynton Beach Municipal Firefighters' Pension Trust Fund
Dear Barbara:
You have asked us to verify the retirement benefits for the following employees:
GARCIA, Luis A. (Vested Termination)
/ HENDERSON, Luke E. (DROP Retirement)
Based on the information provided, we have determined that the retirement benefits that have been calculated
for the above participant are in accordance with plan provisions.
We welcome your questions and comments.
;;;:;~
J. Stephen Palmquist, ASf\
Senior Consultant and Actuary
JSP lib
Enclosures
Circular 230 Notice: Pursuant to regulations issued by the IRS, to the extent this communication (or any
attachment) concerns tax matters, it is not intended or written to be used, and cannot be used, for the purpose of
(i) avoiding tax-related penalties under the Internal Revenue Code or (ii) marketing or recommending to
another party any tax-related matter addressed within. Each taxpayer should seek advice based on the
individual's circumstances from an independent tax advisor.
This communication shall not be construed to provide tax advice or legal advice unless it contains one of the
following phrases, or substantially equivalent language: "l'his comm'!-lllication is intended to provide tax
advice." Or "This communication is intended to provide legal advice."
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
-
May 18, 2011
NAME
ADDRESS
BIRTH
PEN HIRE
ADJ HIRE
RETIRE
LAST SERV
ELIG NORM
ELIG EARLY
100% VEST
COMMENCE
LAST EARN
BEN NAME
BEN BDAY
VAC HRS/CD
SIC HRS/CD
ACCRUE PER
LAST PAY
TERM-DATE
HENDERSON, LUKE E
02/04/1988
02/04/1988
05/01/2011 TYPE N
05/01/2011
02/04/2008
00/00/0000
02/04/1998
05/01/2011
00/00/0000
KATHLEEN HENDERSON
129.23/N6
125.54 F1
.00
20110425-20110508
20110501
#
621 SSN 261-89-xxxx
YTD CONTR.
CONTR (TAX)
CONTR (NTX)
BALANCE
* 36 MO EARN
AVG MO EARN
SERV AT TERM
AGE AT RETIRE
COM ANB/DIFF
VESTED TDY/RET
SERV OVERRIDE
PAY HIST FLAG
HOURLY RATE
VAC SIC PAYOUT
EARLY OPTION
QDRO
BENEFIT
EARLY REDUCTION FACTOR: .00000 EARLY RETIRE BENEFIT
TEN YEAR CERTAIN & LIFE
DEPT 22
12,029.16
119,491.09
10,711.16
130,202.25
404,193.35
11,227.59
23 2 27
47 7 25
48 -1
100 100
38.610
.00
7,828.36
LIFE ANNUITY FACTOR: 1.01300 MODIFIED LIFE ANNUITY 7,930.13
7,828.36
100% SURV. FACTOR: .92120 100% SURV. ANNUITY 7,211.49
SURVIVOR BENEFIT 7,211.49
66 2/3% SURV. FACTOR: .94990 66 2/3% SURV. ANNUITY 7,436.16
SURVIVOR EENEFIT 4,957.69
50% SURV. FACTOR: .96500 50% SURV. ANNUITY 7,554.37
SURVIVOR BENEFIT 3,777.19
75% JOINT LAST FACTOR: .96240 75% JOINT & LAST ANNUITY 7,534.01
SURVIVOR BENEFIT 5,650.51
50% JOINT LAST FACTOR: 1.00730 50% JOINT & LAST ANNUITY 7,885.51
SURVIVOR BENEFIT 3,942.76
EXCLUSION RATIO USING SAFE HARBOR METHOD:
NUMBER OF EXPECTED PAYMENTS
TAX-FREE PORTION OF MONTHLY BENEFIT
DATE WHEN BENEFIT BECOMES FULLY TAXABLE
Prepared by
ANNUITY
360
29.75
05/01/2041
* indicates manual override
JOINT SRV
410
26.12
07/01/2045
PAGE 1
.00
/
ru- t
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS PAGE 2
May 18, 2011
LUKE E HENDERSON
H I G H YEA R ONE ,~ H I G H YEA R TWO
PAY EFF WEEKS /; '{7d(, - PAY EFF WEEKS WAGES
WAGES
04/25/11 1.0 67, 9~1. 3~ 12/21/09 2.0 3,681.67
04/11/11 2.0 3,753.14 12/07/09 2.0 4,687.84
03/28/11 2.0 3,706.80 11/23/09 2.0 3,658.80
03/14/11 2.0 3,753.14 11/09/09 2.0 4,530.62
02/28/11 2.0 5,204.01 10/26/09 2.0 7,774.95
02/14/11 2.0 4,013 .77 10/12/09 2.0 3,658.80
01/31/11 2.0 3,706.80 09/28/09 2.0 3,658.80
01/17/11 2.0 3,799.48 09/14/09 2.0 3,658.80
01/03/11 2.0 3,706.80 08/31/09 2.0 4,116.15
12/20/10 2.0 3,892.16 08/17/09 2.0 3,658.80
12/06/10 2.0 3,706.80 08/03/09 2.0 8,232.30
11/22/10 2.0 3,736.24 07/20/09 2.0 5,173.78
11/08/10 2.0 3,753.14 07/06/09 2.0 4,933.67
10/25/10 2.0 3,753.14 06/22/09 2.0 5,059.44
10/11/10 2.0 5,189.53 06/08/09 2.0 3,658.80
09/27/10 2.0 3,799.48 OS/25/09 2.0 5,076.59
09/13/10 2.0 3,753.14 05/11/09 2.0 3,658.80
08/30/10 2.0 4,170.15 04/27/09 2.0 3,658.80
08/16/10 2.0 4,401.83 04/13/09 2.0 3,658.80
08/02/10 2.0 8,386.64 03/30/09 2.0 8,238.32
07/19/10 2.0 5,067.89 03/16/09 2.0 3,658.80
07/05/10 2.0 3,706.80 03/02/09 2.0 4,819.33
06/21/10 2.0 3,706.80 02/16/09 2.0 4,116.15
06/07/10 2.0 4,401.83 02/02/09 2.0 3,658.80
OS/24/10 2.0 3,753.14 01/19/09 2.0 5,045.14
05/10/10 2.0 3,706.80 01/05/09 2.0 4,259.07
04/26/10 1.0 1,853.40 00/00/00 .0 .00
TOTAL 52.0 174,3e.L"!6 TOTAL 52.0 119,991. 82
/7/,0'/" ':J
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
May lS, 2011
LUKE E HENDERSON
H I G H YEA R T H R E E
PAY EFF WEEKS WAGES
09/29/0S 2.0 3,651.73
09/15/0S 2.0 4,539.S7
09/01/0S 2.0 5,S27.5S
OS/lS/0S 2.0 4,116.90
OS/04/0S 2.0 S,121.02
07/21/0S 2.0 4,624.46
07/07/0S 2.0 5,007.96
06/23/0S 2.0 3,609.34
06/09/0S 2.0 3,609.34
OS/26/0S 2.0 3,609.34
05/12/0S 2.0 4,215.60
04/2S/0S 2.0 3,609.34
04/14/0S 2.0 3,609.34
03/31/0S 2.0 4,569.16
03/17/0S 2.0 3,452.33
03/03/0S 2.0 4,211.S4
02/1S/0S 2.0 3,452.33
02/04/0S 2.0 3,452.33
01/21/0S 2.0 5,452.33
01/07/0S 2.0 3,560.22
12/24/07 2.0 4,746.95
12/10/07 2.0 5,070.62
11/26/07 2.0 3,452.33
11/12/07 2.0 3,495.4S
10/29/07 2.0 4,099.64
10/15/07 2.0 4,90S.7S
10/01/07 .6 1,035.70
TOTAL 52.6 113,111.S6
PAGE 3
, ,... "-
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL STATEMENT OF RETIREMENT BENEFITS
May 18, 2011
-,''''''-'
w~
f!:":~"
participant's Name: LUKE E HENDERSON
Social Security #: 261-89-xxxx
You are eligible for a(n) NORMAL Retirement Benefit from
the Plan. Your benefit is payable at the beginning of each month com-
mencing May 1, 2011 The amount of your monthly benefit depends
on the optional form of annuity which you choose. Please indicate the
one optional form listed below which you elect to recieve:
1. MODIFIED CASH REFUND ANNUITY: This option provides monthly pay-
ments of $ 7930.13 to you as long as you live. If you should die before
you have received an amount equal to your own contributions to the Plan,
payments will continue to your beneficiary until your own contributions
havelen used up.
~~.2. TEN YEAR CERTAIN AND LIFE THEREAFTER: This option provides
~ly payments of $ 7828.36 to you as long as you live. If you should
die before 120 monthly payments have been made, the monthly payment of
$ 7828.36 will continue to be made to your beneficiary until a total of
120 monthly payments have been made in all.
3. 100% SURVIVOR ANNUITY: This option provides monthly payments
of $ 7211.49 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ 7211.49 for
as long as he/she lives.
4. 66% SURVIVOR ANNUITY: This option provides monthly payments
of $ 7436.16 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ 4957.69 for
as long as he/she lives.
5. 50% SURVIVOR ANNUITY: This option provides monthly payments
of $ 7554.37 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ 3777.19 for
as long as he/she lives.
6. 75% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ 7534.01 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ 5650.51 will continue for the life of the remain-
ing person.
7. 50% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ 7885.51 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ 3942.76 will continue for the life of the remain-
ing person.
THESE AMOUNTS ABOVE ARE BASED UPON THE FOLLOWING INFORMATION:
Your Date of Birth: 09/06/1963
Date of Termination: 05/01/2011
Avg Final Monthly Comp:$11,227.59
Beneficiary Name: KATHLEEN HENDERSON
Pension Hire Date: 02/04/1988
Adjusted Hire Date: 02/04/1988
Years of Credited Service: 23
Date of Birth: 07/10/1964
Page 2
Participant's Name: LUKE E HENDERSON
Social Security #: 261-89-xxxx
Accumulated Contributions: $30,202.25
After-Tax Contributions:
$10,711.16 Pre-Tax Contributions: $19,491.09
Nontaxable Portion of Life
Annuity Monthly Benefit:
Number of Months Nontaxable
$29.75 Portion Continues:
360
Nontaxable Portion of Joint
Survivor Monthly Benefit:
Number of Months Nontaxable
$26.12 Portion Continues:
410
The Survivor Annuity benefit amounts shown above are based on the
beneficiary named above and are payable only to this beneficiary. If
you wish to change your beneficiary before your payments begin, new
amounts will have to be calculated.
BOARD OF TRUSTEES: By
DATE:
I accept the terms above, including my choice of annuity form, and
confirm the information shown above to be correct.
PARTICIPANT'S SIGNATURE, ~ ~"OATE' ,,9-3/-,;2"'/(
BENEFICIARY'S SIGNATURE:_~~DATE: c5-3/-.2011
Calculation Date:
GRS
Gabriel Roeder Smith & Company
Consultants & Actuaties
One East Broward Blvd.
Suite 505
Ft. Lauderdale, FL 33301-1827
954.527.1616 phone
954.525.0083 fax
www.gabrielroeder.com
June 24,2011
CONFIDENTIAL
Ms. Barbara La Due
Pension Administrator
Renaissance Executive Suites
1500 Gateway Blvd. Suite 220
Boynton Beach, Florida 33426
Re: City of Boynton Beach Municipal Firefighters' Pension Trust Fund
Dear Barbara:
You have asked us to verify the retirement benefits for the following employees:
ABEL, Benjamin S. (DROP Retirement)
VBAIER, Richard M. (DROP Retirement)
REYES, Carlos A. (DROP Retirement)
Based on the information provided, we have detennined that the retirement benefits that have been calculated
for the above participant are in accordance with plan provisions.
We welcome your questions and comments.
Sincerely yours,
~i::r
Senior Consultant and Actuary
JSP/ib
Enclosures
Circular 230 Notice: Pursuant to regulations issued by the IRS, to the extent this communication (or any
attaclnnent) concerns tax matters, it is not intended or written to be used, and cannot be used, for the purpose of
(i) avoiding tax-related penalties under the Internal Revenue Code or (ii) marketing or recommending to
another party any tax-related matter addressed within. Each taxpayer should seek advice based on the
individual's circumstances from an independent tax advisor.
This communication shall not be construed to provide tax advice or legal advice unless it contains one of the
following phrases, or substantially equivalent language: "111is communication is intended to provide tax
advice." Or "This communication is intended to provide legal advice."
BOYNTON BEACH POLICE & FIRE PENSION FUNDS
PENSION ADMINISTRATION MEMO
TO: Rion Broshears, GRS
FROM: Barbara La Due, Pension Administrator
DATE: June 20, 2011
SUBJECT: Boynton Fire - Verification of Retirement Benefits
Rion:
Please review and verify the pension benefits for the Boynton Firefighters' Pension Board:
1) Richard M. Baier, SS# 119-54-XXXX, retired into DROP 5-1-2011, effective 5-1-2011, Life
10Yr C&C - $5,951.82.
2) Carlos A. Reyes, SS# 595-24-XXXX, retired into DROP 6-1-2011, effective 6-1-2011, Life
Only - $ 7,302.51.
3) Benjamin S. Abel, SS# 263-87-XXXX, retired into DROP 6-1-2011, effective 6-1-2011, Life
10Yr C&C - $6,288.24.
Thank you.
fiLC-
f ~,
(~. c:':'
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL STATEMENT OF RETIREMENT BENEFITS
.......--......- .
"'-.. May 18, 2011
~
participant's Name: RICHARD M BAIER
Social Security #: l19-54-xxxx
You are eligible for a(n) NORMAL Retirement Benefit from
the Plan. Your benefit is payable at the beginning of each month com-
mencing May 1, 2011 The amount of your monthly benefit depends
on the optional form of annuity which you choose. Please indicate the
one optional form listed below which you elect to recieve:
MODIFIED CASH REFUND ANNUITY: This option provides monthly pay-
$ 6014.31 to you as long as you live. If you should die before
received an amount equal to your own contributions to the Plan,
will continue to your beneficiary until your own contributions
eel up.
1.
ments of
you have
payments
have bee
2. TEN YEAR CERTAIN AND LIFE THEREAFTER: This option provides
thly payments of $ 5951.82 to you as long as you live. If you should
die before 120 monthly payments have been made, the monthly payment of
$ 5951.82 will continue to be made to your beneficiary until a total of
120 monthly payments have been made in all.
3. 100% SURVIVOR ANNUITY: This option provides monthly payments
of $ .00 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ .00 for
as long as he/she lives.
4. 66% SURVIVOR ANNUITY: This option provides monthly payments
of $ .00 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ .00 for
as long as he/she lives.
5. 50% SURVIVOR ANNUITY: This option provides monthly payments
of $ .00 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ .00 for
as long as he/she lives.
6. 75% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ .00 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ .00 will continue for the life of the remain-
ing person.
7. 50% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ .00 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ .00 will continue for the life of the remain-
ing person.
THESE AMOUNTS ABOVE ARE BASED UPON THE FOLLOWING INFORMATION:
Your Date of Birth: 08/17/1965
Date of Termination: 05/01/2011
Avg Final Monthly Comp: $9,759.85
Beneficiary Name:
Pension Hire Date: 01/03/1991
Adjusted Hire Date: 01/03/1991
Years of Credited Service: 20
Date of Birth: 00/00/0000
Page 2
Participant's Name: RICHARD M BAIER
Social Security #: 119-54-xxxx
Accumulated Contributions: $14,414.21
After-Tax Contributions:
$4,574.13 Pre-Tax Contributions: $9,840.08
Nontaxable Portion of Life
Annuity Monthly Benefit:
Number of Months Nontaxable
$12.71 Portion Continues:
360
Nontaxable Portion of Joint
Survivor Monthly Benefit:
Number of Months Nontaxable
$.00 Portion Continues:
o
The Survivor Annuity benefit amounts shown above are based on the
beneficiary named above and are payable only to this beneficiary. If
you wish to change your beneficiary before your payments begin, new
amounts will have to be calculated.
BOARD OF TRUSTEES: By
DATE:
PARTICIPANT'S SIGNATURE:
luding my choice of annuity form, and
e be correct.
I accept the terms
confirm the information
BENEFICIARY'S SIGNATURE:
DATE:
Calculation Date:
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
May 18, 2011
NAME BAIER, RICHARD M # 1082 SSN 119-54-xxxx DEPT 22
* ADDRESS
CONTR(NTX) 4,574.13
PEN HIRE 01/03/1991 BALANCE 114,414.21
ADJ HIRE 01/03/1991
RETIRE 05/01/2011 TYPE N
LAST SERV 05/01/2011 * 36 MO EARN 351,354.53
ELIG NORM 01/03/2011 AVG MO EARN 9,759.85
ELIG EARLY 00/00/0000 SERV AT TERM 20 3 28
100% VEST 01/03/2001 AGE AT RETIRE 45 8 14
COMMENCE 05/01/2011 COM ANB/DIFF 46 0
LAST EARN 00/00/0000 VESTED TDY/RET 100 100
BEN NAME SERV OVERRIDE
BEN BDAY 00/00/0000 PAY HIST FLAG IRREGULAR
VAC HRS/CD 129.23/N6 HOURLY RATE 39.360
SIC HRS/CD 125.54 F1 VAC SIC PAYOUT .00
ACCRUE PER .00 EARLY OPTION
LAST PAY 20110425-20110508
TERM-DATE 20110501 QDRO
BENEFIT
5,951.82
EARLY REDUCTION FACTOR: .00000 EARLY RETIRE BENEFIT
TEN YEAR CERTAIN & LIFE
5,951.82
LIFE ANNUITY FACTOR: 1.01050 MODIFIED LIFE ANNUITY
6,014.31
100% SURV. FACTOR: .00000 100% SURV. ANNUITY
SURVIVOR BENEFIT
66 2/3 % SURV. FACTOR: .00000 66 2/3% SURV. ANNUITY
SURVIVOR BENEFIT
50% SURV. FACTOR: .00000 50% SURV. ANNUITY
SURVIVOR BENEFIT
75% JOINT LAST FACTOR: .00000 75% JOINT & LAST ANNUITY
SURVIVOR BENEFIT
50% JOINT LAST FACTOR: .00000 50% JOINT & LAST ANNUITY
SURVIVOR BENEFIT
EXCLUSION RATIO USING SAFE HARBOR METHOD:
NUMBER OF EXPECTED PAYMENTS
TAX-FREE PORTION OF MONTHLY BENEFIT
DATE WHEN BENEFIT BECOMES FULLY TAXABLE
ANNUITY
360
12.71
05/01/2041
JOINT SRV
o
.00
00/00/0000
Prepared by
* indicates manual override
t-IL.C
PAGE 1
.00
.00
.00
.00
.00
.00
.00
.00
.00
.00
.00
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS PAGE 2
May 18, 2011
RICHARD M BAIER
H I G H YEA R ONE ,,:;, H I G H Y EAR TWO
..21. ~f () --
PAY EFF WEEKS r WAGES PAY EFF WEEKS WAGES
04/25/11 1.0 JA,88~.~4 04/12/10 2.0 3,778.80
04/11/11 2.0 3,873.28 03/29/10 2.0 3,760.32
03/28/11 2.0 5,877.31 03/15/10 2.0 3,751.19
03/14/11 2.0 3,778.80 03/01/10 2.0 3,751.19
02/28/11 2.0 3,920.52 02/15/10 2.0 4,399.55
02/14/11 2.0 3,873.28 02/01/10 2.0 3,704.88
01/31/11 2.0 3,920.52 01/18/10 2.0 3,704.88
01/17/11 2.0 3,826.04 01/04/10 2.0 3,994.32
01/03/11 2.0 3,778.80 12/21/09 2.0 5,094.21
12/20/10 2.0 3,896.90 12/07/09 2.0 3,704.88
12/06/10 2.0 5,778.80 11/23/09 2.0 3,794.61
11/22/10 2.0 3,873.28 11/09/09 2.0 3,704.88
11/08/10 2.0 3,826.04 10/26/09 2.0 3,704.88
10/25/10 2.0 3,778.80 10/12/09 2.0 3,751.19
10/11/10 2.0 3,778.80 09/28/09 2.0 5,094.21
09/27/10 2.0 3,778.80 09/14/09 2.0 3,704.88
09/13/10 2.0 3,873.28 08/31/09 2.0 4,167.99
08/30/10 2.0 4,251.15 OB/17/09 2.0 3,704.B8
08/16/10 2.0 3,778.80 08/03/09 2.0 8,335.98
08/02/10 2.0 8,502.30 07/20/09 2.0 3,704.88
07/19/10 2.0 3,826.04 07/06/09 2.0 3,704.88
07/05/10 2.0 3,778.80 06/22/09 2.0 6,483.55
06/21/10 2.0 3,826.04 06/08/09 2.0 3,704.88
06/07/10 2.0 3,826.04 OS/25/09 2.0 3,756.98
OS/24/10 2.0 3,778.80 05/11/09 2.0 3,704.88
05/10/10 2.0 3,778.80 04/27/09 2.0 4,755.57
04/26/10 1.0 1,889.40 00/00/00 .0 .00
TOTAL 52.0 1.4 Q , E> ';' 3 . 66 TOTAL 52.0 109,423.34
las 760 ~.i
,
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
May 18, 2011
RICHARD M BAIER
H I G H YEA R T H R E E
PAY EFF WEEKS WAGES
10/27/08 2.0 3,545.51
10/13/08 2.0 4,404.19
09/29/08 2.0 3,538.78
09/15/08 2.0 3,498.41
09/01/08 2.0 3,972.15
08/18/08 2.0 3,498.41
08/04/08 2.0 7,939.74
07/21/08 2.0 3,498.41
07/07/08 2.0 4,796.64
06/23/08 2.0 3,498.41
06/09/08 2.0 3,553.07
OS/26/08 2.0 3,840.05
05/12/08 2.0 3,553.07
04/28/08 2.0 3,498.41
04/14/08 2.0 3,498.41
03/31/08 2.0 3,556.13
03/17/08 2.0 4,604.69
03/03/08 2.0 3,390.73
02/18/08 2.0 4,604.69
02/04/08 2.0 4,604.69
01/21/08 2.0 3,348.87
01/07/08 2.0 3,390.73
12/24/07 2.0 4,604.69
12/10/07 2.0 4,957.89
11/26/07 2.0 3,375.03
11/12/07 2.0 4,604.69
10/29/07 .6 1,004.66
TOTAL 52.6 106,181.15
PAGE 3
GRS
Gabriel Roeder Smith & Company
Consultants & Actuaries
One East Broward Blvd.
Suite 505
Ft. Lauderdale, FL 33301-1827
954.527.1616 phone
954.525.0083 fax
www.gabrielroeder.com
June 24,2011
CONFIDENTIAL
Ms. Barbara La Due
Pension Administrator
Renaissance Executive Suites
1500 Gateway Blvd. Suite 220
Boynton Beach, Florida 33426
Re: City of Boynton Beach Municipal Firefighters' Pension Trust Fund
Dear Barbara:
You have asked us to verify the retirement benefits for the following employees:
~EL, Benjamin S. (DROP Retirement)
BAIER, Richard M. (DROP Retirement)
REYES, Carlos A. (DROP Retirement)
Based on the information provided, we have determined that the retirement benefits that have been calculated
for the above participant are in accordance with plan provisions.
We welcome your questions and comments.
Sincerely yours,
t::!!::;iS~
Senior Consultant and Actuary
JSP/ib
Enclosures
Circular 230 Notice: Pursuant to regulations issued by the IRS, to the extent this communication (or any
attachment) concerns tax matters, it is not intended or written to be used, and cannot be used, for the purpose of
(i) avoiding tax-related penalties under the Internal Revenue Code or (ii) marketing or recommending to
another party any tax-related matter addressed within. Each taxpayer should seek advice based on the
individual's circumstances from an independent tax advisor.
This communication shall not be construed to provide tax advice or legal advice unless it contains one of the
following phrases, or substantially equivalent language: "This communication is intended to provide tax
advice." Or "This communication is intended to provide legal advice."
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL STATEMENT OF RETIREMENT BENEFITS
June 15, 2011
~~
~
Participant's Name: BENJAMIN SABEL
Social Security #: 263-87-xxxx
You are eligible for a(n) NORMAL Retirement Benefit from
the Plan. Your benefit is payable at the beginning of each month com-
mencing June 1, 2011 The amount of your monthly benefit depends
on the optional form of annuity which you choose. Please indicate the
one optional form listed below which you elect to recieve:
1. MODIFIED CASH REFUND ANNUITY: This option provides monthly pay-
ments of $ 6361.81 to you as long as you live. If you should die before
you have received an amount equal to your own contributions to the Plan,
payments will continue to your beneficiary until your own contributions
ha~n used up.
~ 2. TEN YEAR CERTAIN AND LIFE THEREAFTER: This option provides
monthly payments of $ 6288.24 to you as long as you live. If you should
die before 120 monthly payments have been made, the monthly payment of
$ 6288.24 will continue to be made to your beneficiary until a total of
120 monthly payments have been made in all.
3. 100% SURVIVOR ANNUITY: This option provides monthly payments
of $ .00 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ .00 for
as long as he/she lives.
4. 66% SURVIVOR ANNUITY: This option provides monthly payments
of $ .00 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ .00 for
as long as he/she lives.
5. 50% SURVIVOR ANNUITY: This option provides monthly payments
of $ .00 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ .00 for
as long as he/she lives.
6. 75% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ .00 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ .00 will continue for the life of the remain-
ing person.
7. 50% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ .00 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ .00 will continue for the life of the remain-
ing person.
THESE AMOUNTS ABOVE ARE BASED UPON THE FOLLOWING INFORMATION:
Your Date of Birth: 02/27/1964
Date of Termination: 06/01/2011
Avg Final Monthly Comp:$10,268.03
Beneficiary Name:
Pension Hire Date: 01/03/1991
Adjusted Hire Date: 01/03/1991
Years of Credited Service: 20
Date of Birth: 00/00/0000
Page 2
Participant's Name: BENJAMIN SABEL
Social Security #: 263-87-xxxx
Accumulated Contributions: $18,039.28
After-Tax Contributions:
$4,476.39 Pre-Tax Contributions: $13,562.89
Nontaxable Portion of Life
Annuity Monthly Benefit:
Number of Months Nontaxable
$12.43 Portion Continues:
360
Nontaxable Portion of Joint
Survivor Monthly Benefit:
Number of Months Nontaxable
$.00 Portion Continues:
o
The Survivor Annuity benefit amounts shown above are based on the
beneficiary named above and are payable only to this beneficiary. If
you wish to change your beneficiary before your payments begin, new
amounts will have to be calculated.
BOARD OF TRUSTEES: By
DATE:
I accept the terms above, including my choice of annuity form, and
confirm the information shown above to be correct.
PARTICIPANT' s SIGNAT~'7' r
BENEFICIARY'S SIGNATURE:
DATE: (p In! to II
I J
DATE:
Calculation Date:
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
~ ~ June IS, 2011
PAGE 1
NAME ABEL, BENJAMIN S # 1043 SSN 263-B7-xxxx DEPT 22
ADDRESS
CONTR (NTX) 4,476.39
PEN HIRE 01/03/1991 BALANCE 11B,039.2B
ADJ HIRE 01/03/1991
RETIRE 06/01/2011 TYPE N
LAST SERV 06/01/2011 * 36 MO EARN 369,64B.90
ELIG NORM 01/03/2011 AVG MO EARN 10,26B.03
ELIG EARLY 00/00/0000 SERV AT TERM 20 4 29
100% VEST 01/03/2001 AGE AT RETIRE 47 3 5
COMMENCE 06/01/2011 COM ANB/DIFF 47 0
LAST EARN 00/00/0000 VESTED TDY/RET 100 100
BEN NAME SERV OVERRIDE
BEN BDAY 00/00/0000 PAY HIST FLAG IRREGULAR
VAC HRS/CD 105.23/N6 HOURLY RATE 39.360
SIC HRS/CD 125.54 Fl VAC SIC PAYOUT .00
ACCRUE PER .00 EARLY OPTION
LAST PAY 20110523-20110605
TERM-DATE 20110601 QDRO
BENEFIT
6,28B.24
EARLY REDUCTION FACTOR: .00000 EARLY RETIRE BENEFIT
.00
TEN YEAR CERTAIN & LIFE
6, 2BB .24 ~
LIFE ANNUITY FACTOR: 1.01170 MODIFIED LIFE ANNUITY
6,361.B1
100% SURV. FACTOR: .00000 100% SURV. ANNUITY
SURVIVOR BENEFIT
.00
.00
66 2/3% SURV. FACTOR: .00000 66 2/3% SURV. ANNUITY
SURVIVOR BENEFIT
.00
.00
50% SURV. FACTOR: .00000 50% SURV. ANNUITY
SURVIVOR BENEFIT
.00
.00
75% JOINT LAST FACTOR: .00000 75% JOINT & LAST ANNUITY
SURVIVOR BENEFIT
.00
.00
50% JOINT LAST FACTOR: .00000 50% JOINT & LAST ANNUITY
SURVIVOR BENEFIT
.00
.00
EXCLUSION RATIO USING SAFE HARBOR METHOD:
NUMBER OF EXPECTED PAYMENTS
TAX-FREE PORTION OF MONTHLY BENEFIT
DATE WHEN BENEFIT BECOMES FULLY TAXABLE
ANNUITY
360
12.43
06/01/2041
JOINT SRV
o
.00
00/00/0000
Prepared by
* indicates manual override
fiLe.
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS PAGE 2
June 15, 2011
BENJAMIN S ABEL
H I G H YEA R ONE 33 H I G H YEA R TWO
31.~7:J _
PAY EFF WEEKS I WAGES PAY EFF WEEKS WAGES
OS/23/11 1.6 '9-4!,~18~3 04/26/10 2.0 3,826.04
05/09/11 2.0 3,778.80 04/12/10 2.0 4,221.63
04/25/11 2.0 3,944.13 03/29/10 2.0 3,852.94
04/11/11 2.0 4,044.52 03/15/10 2.0 4,804.77
03/28/11 2.0 4,038.61 03/01/10 2.0 4,706.36
03/14/11 2.0 3,873.28 02/15/10 2.0 3,704.88
02/28/11 2.0 3,826.04 02/01/10 2.0 3,704.88
02/14/11 2.0 3,826.04 01/18/10 2.0 3,704.88
01/31/11 2.0 3,873.28 01/04/10 2.0 3,751.19
01/17/11 2.0 3,826.04 12/21/09 2.0 4,214.30
01/03/11 2.0 3,849.66 12/07/09 2.0 3,704.88
12/20/10 2.0 3,873.28 11/23/09 2.0 3,704.88
12/06/10 2.0 5,835.88 11/09/09 2.0 4,573.21
11/22/10 2.0 4,192.11 10/26/09 2.0 5,140.52
11/08/10 2.0 3,826.04 10/12/09 2.0 3,710.67
10/25/10 2.0 3,873.28 09/28/09 2.0 5,123.15
10/11/10 2.0 5,243.09 09/14/09 2.0 5,348.93
09/27/10 2.0 3,826.04 08/31/09 2.0 4,214.30
09/13/10 2.0 3,826.04 08/17/09 2.0 3,731.89
08/30/10 2.0 4,251.15 08/03/09 2.0 8,382.29
08/16/10 2.0 3,778.80 07/20/09 2.0 5,285.25
08/02/10 2.0 8,502.30 07/06/09 2.0 3,751.19
07/19/10 2.0 3,778.80 06/22/09 2.0 7,764.82
07/05/10 2.0 4,059.26 06/08/09 2.0 3,704.88
06/21/10 2.0 3,778.80 OS/25/09 2.0 3,846.71
06/07/10 2.0 3,826.04 05/11/09 2.0 5,209.99
OS/24/10 .4 755.76 00/00/00 .0 .00
TOTAL 52.0 H8,)il~.10 TOTAL 52.0 117,689.43
111 J it) '1!.-
I
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
June 15, 2011
BENJAMIN SABEL
H I G H YEA R THREE
PAY EFF WEEKS WAGES
04/27/09 2.0 3,751.19
04/13/09 2.0 5,418.39
03/30/09 2.0 4,318.86
03/16/09 2.0 3,811.42
03/02/09 2.0 4,990.50
02/16/09 2.0 5,192.70
02/02/09 2.0 3,582.44
01/19/09 2.0 3,589.83
01/05/09 2.0 3,589.83
12/22/08 2.0 4,941.56
12/08/08 2.0 3,634.15
11/24/08 2.0 3,661. 85
11/10/08 2.0 3,545.51
10/27/08 2.0 3,922.22
10/13/08 2.0 4,908.32
09/29/08 2.0 6,800.66
09/15/08 2.0 3,542.14
09/01/08 2.0 4,424.03
08/18/08 2.0 3,542.14
08/04/08 2.0 7,915.14
07/21/08 2.0 3,542.14
07/07/08 2.0 3,848.25
06/23/08 2.0 3,585.87
06/09/08 2.0 3,498.41
OS/26/08 2.0 3,542.14
05/12/08 2.0 4,416.74
04/28/08 .6 1,062.64
TOTAL 52.6 112,579.07
PAGE 3
GRS
Gabriel Roeder Smith & Company
Consultants & Actuaries
One East Broward Blvd.
Suite 505
Ft. Lauderdale, FL 33301-1827
954.527.1616 phone
954.525.0083 fax
www.gabrielroeder.com
June 24, 2011
CONFIDENTIAL
Ms. Barbara La Due
Pension Administrator
Renaissance Executive Suites
1500 Gateway Blvd. Suite 220
Boynton Beach, Florida 33426
Re: City of Boynton Beach Municipal Firefighters' Pension Trust Fund
Dear Barbara:
You have asked us to verify the retirement benefits for the following employees:
ABEL, Benjamin S. (DROP Retirement)
BAIER, Richard M. (DROP Retirement)
V'REYES, Carlos A. (DROP Retirement)
Based on the information provided, we have determined that the retirement benefits that have been calculated
for the above participant are in accordance with plan provisions.
We welcome your questions and comments.
Sincerely yours,
r:=::j~
Senior Consultant and Actuary
JSP/ib
Enclosures
Circular 230 Notice: Pursuant to regulations issued by the IRS, to the extent this communication (or any
attachment) concerns tax matters, it is not intended or written to be used, and cannot be used, for the purpose of
(i) avoiding tax-related penalties under the Internal Revenue Code or (ii) marketing or recommending to
another party any tax-related matter addressed within. Each taxpayer should seek advice based on the
individual's circumstances from an independent tax advisor.
This communication shall not be construed to provide tax advice or legal advice unless it contains one of the
. following phra~es, or substantially equivalent language: "This communication is intended to provide tax
advice." Or "This communication is intended to provide legal advice."
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL STATEMENT OF RETIREMENT BENEFITS
--- ,,' June 14, 2011
Participant's Name: CARLOS A REYES
Social Security #: 595-24-xxxx
You are eligible for a(n) NORMAL Retirement Benefit from
the Plan. Your benefit is payable at the beginning of each month com-
mencing June 1, 2011 The amount of your monthly benefit depends
on the optional form of annuity which you choose. Please indicate the
one optional form listed below which you elect to recieve:
~~. 1. MODIFIED CASH REFUND ANNUITY: This option provides monthly pay-
ments of $ 7302.51 to you as long as you live. If you should die before
you have received an amount equal to your own contributions to the Plan,
payments will continue to your beneficiary until your own contributions
have been used up.
2. TEN YEAR CERTAIN AND LIFE THEREAFTER: This option provides
monthly payments of $ 7141.82 to you as long as you live. If you should
die before 120 monthly payments have been made, the monthly payment of
$ 7141.B2 will continue to be made to your beneficiary until a total of
120 monthly payments have been made in all.
3. 100% SURVIVOR ANNUITY: This option provides monthly payments
of $ .00 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ .00 for
as long as he/she lives.
4. 66% SURVIVOR ANNUITY: This option provides monthly payments
of $ .00 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ .00 for
as long as he/she lives.
5. 50% SURVIVOR ANNUITY: This option provides monthly payments
of $ .00 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ .00 for
as long as he/she lives.
6. 75% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ .00 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ .00 will continue for the life of the remain-
ing person.
7. 50% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ .00 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ .00 will continue for the life of the remain-
ing person.
THESE AMOUNTS ABOVE ARE BASED UPON THE FOLLOWING INFORMATION:
Your Date of Birth: 10/31/1958
Date of Termination: 06/01/2011
Avg Final Monthly Comp:$11,661.83
Beneficiary Name:
Pension Hire Date: 01/03/1991
Adjusted Hire Date: 01/03/1991
Years of Credited Service: 20
Date of Birth: 00/00/0000
(,LE.
:5
Page 2
Participant's Name: CARLOS A REYES
Social Security #: 595-24-xxxx
Accumulated Contributions: $29,166.15
After-Tax Contributions:
$4,523.88 Pre-Tax Contributions: $24,642.27
Nontaxable Portion of Life
Annuity Monthly Benefit:
Number of Months Nontaxable
$12.57 Portion Continues:
360
Nontaxable Portion of Joint
Survivor Monthly Benefit:
Number of Months Nontaxable
$.00 Portion Continues:
o
The Survivor Annuity benefit amounts shown above are based on the
beneficiary named above and are payable only to this beneficiary. If
you wish to change your beneficiary before your payments begin, new
amounts will have to be calculated.
BOARD OF TRUSTEES: By
DATE:
I accept the terms above, including my choice of
confirm the information shown above to be correct.
PARTICIPANT'S SIGNATURE, ~~
annuity form, and
6//6///
DATE:
BENEFICIARY'S SIGNATURE:
DATE:
Calculation Date:
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
----- June 14, 2011
NAME
ADDRESS
BIRTH
PEN HIRE
ADJ HIRE
RETIRE
LAST SERV
ELIG NORM
ELIG EARLY
100% VEST
COMMENCE
LAST EARN
BEN NAME
BEN BDAY
VAC HRS/CD
SIC HRS/CD
ACCRUE PER
LAST PAY
TERM-DATE
REYES, CARLOS A
* 36 MO EARN
AVG MO EARN
SERV AT TERM
AGE AT RETIRE
COM ANB/DIFF
VESTED TDY/RET
SERV OVERRIDE
PAY HIST FLAG
HOURLY RATE
VAC SIC PAYOur
EARLY OPTION
QDRO
BENEFIT
EARLY REDUCTION FACTOR: .00000 EARLY RETIRE BENEFIT
TEN YEAR CERTAIN & LIFE
LIFE ANNUITY FACTOR: 1.02250 MODIFIED LIFE ANNUITY
100% SURV. FACTOR: .00000 100% SURV. ANNUITY
SURVIVOR BENEFIT
66 2/3% SURV. FACTOR: .00000 66 2/3% SURV. ANNUITY
SURVIVOR BENEFIT
50% SURV. FACTOR: .00000 50% SURV. ANNUITY
SURVIVOR BENEFIT
75% JOINT LAST FACTOR: .00000 75% JOINT & LAST ANNUITY
SURVIVOR BENEFIT
50% JOINT LAST FACTOR: .00000 50% JOINT & LAST ANNUITY
SURVIVOR BENEFIT
EXCLUSION RATIO USING SAFE HARBOR METHOD:
NUMBER OF EXPECTED PAYMENTS
TAX-FREE PORTION OF MONTHLY BENEFIT
DATE WHEN BENEFIT BECOMES FULLY TAXABLE
Prepared by
ANNUITY
360
12.57
06/01/2041
* indicates manual override
DEPT 22
14,421. 69
124,642.27
4,523.88
129,166.15
419,825.99
11,661. 83
20 4 29
52 7 1
53 0
100 100
IRREGULAR
39.360
.00
7,141.82
7,141.82
H L-E..
PAGE 1
.00
/'
7,302.51
JOINT SRV
o
.00
o 0 / 0 0 / 0 00 0
.00
.00
.00
.00
.00
.00
.00
.00
.00
.00
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS PAGE 2
June 14, 2011
CARLOS A REYES
H I G H YEA R ONEf6 H I G H YEA R TWO
1.(g,~ -
PAY EFF WEEKS · WAGES PAY EFF WEEKS WAGES
OS/23/11 1.6 "99,832.&7 05/10/10 2.0 4,282.22
05/09/11 2.0 3,998.80 04/26/10 2.0 3,873.28
04/25/11 2.0 3,778.80 04/12/10 2.0 4,093.28
04/11/11 2.0 3,998.80 03/29/10 2.0 3,760.32
03/28/11 2.0 3,808.32 03/15/10 2.0 3,704.88
03/14/11 2.0 5,195.85 03/01/10 2.0 4,156.44
02/28/11 2.0 3,998.80 02/15/10 2.0 5,603.62
02/14/11 2.0 3,808.32 02/01/10 2.0 3,971.19
01/31/11 2.0 4,093.28 01/18/10 2.0 3,849.60
01/17/11 2.0 3,826.04 01/04/10 2.0 3,971.19
01/03/11 2.0 3,998.80 12/21/09 2.0 5,209.99
12/20/10 2.0 3,778.80 12/07/09 2.0 3,971.19
12/06/10 2.0 5,998.80 11/23/09 2.0 3,843.81
11/22/10 2.0 3,873.28 11/09/09 2.0 4,185.38
11/08/10 2.0 4,046.04 10/26/09 2.0 3,797.50
10/25/10 2.0 3,778.80 10/12/09 2.0 5,314.21
10/11/10 2.0 4,093.28 09/28/09 2.0 5,127.01
09/27/10 2.0 3,849.66 09/14/09 2.0 4,257.72
09/13/10 2.0 3,997.28 08/31/09 2.0 5,453.16
08/30/10 2.0 6,029.92 08/17/09 2.0 6,408.29
08/16/10 2.0 3,826.04 08/03/09 2.0 8,602.29
08/02/10 2.0 10,201.35 07/20/09 2.0 4,029.06
07/19/10 2.0 3,920.52 07/06/09 2.0 5, 493 . 67
07/05/10 2.0 5,652.05 06/22/09 2.0 3,751.19
06/21/10 2.0 3,793.56 06/08/09 2.0 3,971.19
06/07/10 2.0 4,170.04 OS/25/09 2.0 3,729.97
OS/24/10 .4 774.66 00/00/00 .0 .00
TOTAL 52.0 :t5Je,n~.~ TOTAL 52.0 118,411.65
l~g I gi 6Z.
I
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
June 14, 2011
CARLOS A REYES
H I G H YEA R T H R E E
PAY EFF WEEKS WAGES
11/10/08 2.0 5,444.09
10/27/08 2.0 5,296.11
10/13/08 2.0 4,064.67
09/29/08 2.0 5,123.65
09/15/08 2.0 3,542.14
09/01/08 2.0 4,364.34
08/18/08 2.0 3,591. 34
08/04/08 2.0 8,158.83
07/21/08 2.0 3,498.41
07/07/08 2.0 3,937.06
06/23/08 2.0 3,583.14
06/09/08 2.0 4,500.08
OS/26/08 2.0 3,607.74
05/12/08 2.0 3,762.14
04/28/08 2.0 3,542.14
04/14/08 2.0 4,854.04
03/31/08 2.0 3,707.80
03/17/08 2.0 3,432.59
03/03/08 2.0 3,568.87
02/18/08 2.0 3,348.87
02/04/08 2.0 3,670.03
01/21/08 2.0 4,688.41
01/07/08 2.0 3,568.87
12/24/07 2.0 4,756.43
12/10/07 2.0 5,811.04
11/26/07 2.0 4,630.85
11/12/07 .6 1,174.79
TOTAL 52.6 113,228.47
PAGE 3
GRS
Gabriel Roeder Smith & Company
Consultants & Actuaries
One East Broward Blvd.
Suite 505
Ft. Lauderdale, FL 33301-1827
9 ~4.527.1616 phone
954.525.0083 fax
www.gabrielroeder.com
July 11, 2011
CONFIDENTIAL
Ms. Barbara La Due
Pension Administrator
Renaissance Executive Suites
1500 Gateway Blvd. Suite 220
Boynton Beach, Florida 33426
Re: City of Boynton Beach Municipal Firefighters' Pension Trust Fund
Dear Barbara:
You have asked us to verify the retirement benefits for the following employee:
/ HERRMANN, Eduardo (DROP Retirement)
Based on the information provided, we have determined that the retirement benefits that have been calculated
for the above participant are in accordance with plan provisions.
We welcome your questions and comments.
Sincerely yours,
~~
J. Stephen Palmquist, ASA
Senior Consultant and Actuary
JSP/ib
Enclosures
Circular 230 Notice: Pursuant to regulations issued by the IRS, to the extent this communication (or any
attachment) concerns tax matters, it is not intended or written to be used, and cannot be used, for the purpose of
(i) avoiding tax-related penalties under the Internal Revenue Code or (ii) marketing or recommending to
another party any tax-related matter addressed within. Each taxpayer should seek advice based on the
individual's circumstances from an independent tax advisor.
This communication shall not be construed to provide tax advice or legal advice unless it contains one of the
following phrases, or substantially equivalent language: "This communication is intended to provide tax
advice." Or "This communication is intended to provide legal advice."
BOYNTON BEACH POLICE & FIRE PENSION FUNDS
PENSION ADMINISTRATION MEMO
TO: Rion Broshears, GRS
FROM: Barbara La Due, Pension Administrator
DATE: June 20, 2011
SUBJECT: Boynton Fire - Verification of Retirement Benefits
Eduardo Herrmann
Rion:
Please review and verify the pension benefit for the Boynton Firefighters' Pension Board:
1) Eduardo Herrmann, SS# 044-58-XXXX, retired into DROP 6-1-2011, effective June 1,2011
first benefit deposit, Life Only - $9,317.21
Thank you.
{ ~
i , J::-
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL STATEMENT OF RETIREMENT BENEFITS
June 15, 2011
Participant's Name: EDUARD HERRMANN
Social Security #: 044-58-xxxx
You are eligible for a(n) NORMAL Retirement Benefit from
the Plan. Your benefit is payable at the beginning of each month com-
mencing June 1, 2011 The amount of your monthly benefit depends
on the optional form of annuity which you choose. Please indicate the
o~tional form listed below which you elect to recieve:
~ 1. MODIFIED CASH REFUND ANNUITY: This option provides monthly pay-
~ of $ 9317.21 to you as long as you live. If you should die before
you have received an amount equal to your own contributions to the Plan,
payments will continue to your beneficiary until your own contributions
have been used up.
2. TEN YEAR CERTAIN AND LIFE THEREAFTER: This option provides
monthly payments of $ 9220.40 to you as long as you live. If you should
die before 120 monthly payments have been made, the monthly payment of
$ 9220.40 will continue to be made to your beneficiary until a total of
120 monthly payments have been made in all.
3. 100% SURVIVOR ANNUITY: This option provides monthly payments
of $ 8573.13 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ 8573.13 for
as long as he/she lives.
4. 66% SURVIVOR ANNUITY: This option provides monthly payments
of $ 8808.25 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ 5872.46 for
as long as he/she lives.
5. 50% SURVIVOR ANNUITY: This option provides monthly payments
of $ 8929.96 to you as long as you live. Your beneficiary, if living at
the time of your death, will receive monthly payments of $ 4464.98 for
as long as he/she lives.
6. 75% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ 8929.96 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ 6697.47 will continue for the life of the remain-
ing person.
7. 50% JOINT AND LAST SURVIVOR ANNUITY: This option provides
monthly payments of $ 9317.21 to you as long as both you and your bene-
ficiary are living. After the death of either you or your beneficiary,
monthly payments of $ 4658.61 will continue for the life of the remain-
ing person.
THESE AMOUNTS ABOVE ARE BASED UPON THE FOLLOWING INFORMATION:
Your Date of Birth: 04/18/1965
Date of Termination: 06/01/2011
Avg Final Monthly Comp:$13,175.26
Beneficiary Name: DAWN HERRMANN
Pension Hire Date: 02/04/1988
Adjusted Hire Date: 02/04/1988
Years of Credited Service: 23
Date of Birth: 11/17/1964
h~
~
Page 2
Participant's Name: EDUARD HERRMANN
Social Security #: 044-58-xxxx
Accumulated Contributions: $51,375.11
After-Tax Contributions:
$11,541.71 Pre-Tax Contributions: $39,833.40
Nontaxable Portion of Life
Annuity Monthly Benefit:
Number of Months Nontaxable
$32.06 Portion Continues:
360
Nontaxable Portion of Joint
Survivor Monthly Benefit:
Number of Months Nontaxable
$28.15 Portion Continues:
410
The Survivor Annuity benefit amounts shown above are based on the
beneficiary named above and are payable only to this beneficiary. If
you wish to change your beneficiary before your payments begin, new
amounts will have to be calculated.
BOARD OF TRUSTEES: By
DATE:
I accept the terms above, including my choice
confirm the information shown above to be correct.
PARTICIPANT'S SIGNATURE'~~~
BENEFICIARY'S SIGNATURE :~ "YY\. "bt .L.<.--l^^ o.-.A--I"--
of annuity form, and
DATE:
~k
I {
G-:Y1-I/
DATE:
Calculation Date:
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
-
June 15, 2011
NAME HERRMANN , EDUARD # 620 SSN 044-58-xxxx DEPT 22
ADDRESS
CONTR (NTX) 11,541.71
PEN HIRE 02/04/1988 BALANCE 151,375.11
ADJ HIRE 02/04/1988
RETIRE 06/01/2011 TYPE N b'
LAST SERV 06/01/2011 * 36 MO EARN 474,309.22
ELIG NORM 02/04/2008 AVG MO EARN 13,175.26
ELIG EARLY 00/00/0000 SERV AT TERM 23 3 28
100% VEST 02/04/1998 AGE AT RETIRE 46 1 14
COMMENCE 06/01/2011 COM ANB/DIFF 46 0
LAST EARN 00/00/0000 VESTED TDY/RET 100 100
BEN NAME DAWN HERRMANN SERV OVERRIDE
BEN BDAY PAY HIST FLAG IRREGULAR
VAC HRS/CD 105.23/N6 HOURLY RATE 41.100
SIC HRS/CD 125.54 F1 VAC SIC PAYOUT .00
ACCRUE PER .00 EARLY OPTION
LAST PAY 20110523-20110605
TERM-DATE 20110601 QDRO
BENEFIT 9,220.40
EARLY REDUCTION FACTOR: .00000 EARLY RETIRE BENEFIT .00
TEN YEAR CERTAIN & LIFE 9,220.40
LIFE ANNUITY FACTOR: 1.01050 MODIFIED LIFE ANNUITY 9,317.21 V
100% SURV. FACTOR: .92980 100% SURV. ANNUITY 8,573.13
SURVIVOR BENEFIT 8,573.13
66 2/3% SURV. FACTOR: .95530 66 2/3% SURV. ANNUITY 8,808.25
SURVIVOR BENEFIT 5,872.46
50% SURV. FACTOR: .96850 50% SURV. ANNUITY 8,929.96
SURVIVOR BENEFIT 4,464.98
75% JOINT LAST FACTOR: .96850 75% JOINT & LAST ANNUITY 8,929.96
SURVIVOR BENEFIT 6,697.47
50% JOINT LAST FACTOR: 1.01050 50% JOINT & LAST ANNUITY 9,317.21
SURVIVOR BENEFIT 4,658.61
EXCLUSION RATIO USING SAFE HARBOR METHOD:
NUMBER OF EXPECTED PAYMENTS
TAX-FREE PORTION OF MONTHLY BENEFIT
DATE WHEN BENEFIT BECOMES FULLY TAXABLE
ANNUITY
360
32.06
06/01/2041
JOINT SRV
410
28.15
08/01/2045
Prepared by
* indicates manual override
hLt
PAGE 1
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS PAGE 2
June 15, 2011
EDUARD HERRMANN
H I G H YEA R ONE H I G H YEA R TWO
8l "la' ~
PAY EFF WEEKS ~ WAGES PAY EFF WEEKS WAGES
OS/23/11 1.6 8~,(H1.35 12/07/09 2.0 5,926.48
05/09/11 2.0 4,095.47 11/23/09 2.0 3,920.62
04/25/11 2.0 5,425.95 11/09/09 2.0 7,208.16
04/11/11 2.0 4,095.47 10/26/09 2.0 5,082.29
03/28/11 2.0 5,228.64 10/12/09 2.0 5,968.84
03/14/11 2.0 3,946.14 09/28/09 2.0 5,558.25
02/28/11 2.0 5,128.25 09/14/09 2.0 6,044.28
02/14/11 2.0 5,444.45 08/31/09 2.0 4,698.26
01/31/l1 2.0 4,046.14 08/17/09 2.0 5,605.65
01/17/11 2.0 4,439.41 08/03/09 2.0 8,860.90
01/03/11 2.0 4,070.80 07/20/09 2.0 6,068.50
12/20/10 2.0 5,506.11 07/06/09 2.0 4,214.23
12/06/10 2.0 4,169.46 06/22/09 2.0 4,692.04
11/22/10 2.0 4,587.39 06/08/09 2.0 3,972.22
11/08/10 2.0 4,046.14 OS/25/09 2.0 5,259.77
10/25/10 2.0 4,131.12 05/11/09 2.0 3,972.22
10/11/10 2.0 4,554.82 04/27/09 2.0 5,278.93
09/27/10 2.0 4,044.80 04/13/09 2.0 3,872.22
09/13/10 2.0 5,160.83 03/30/09 2.0 8,540.61
08/30/10 2.0 4,638.07 03/16/09 2.0 4,356.25
08/16/10 2.0 4,094.13 03/02/09 2.0 3,972.22
08/02/10 2.0 8,978.82 02/16/09 2.0 5,584.47
07/19/10 2.0 4,069.46 02/02/09 2.0 5,545.32
07/05/10 2.0 4,638.06 01/19/09 2.0 5,596.57
06/21/10 2.0 4,470.24 01/05/09 2.0 3,972.23
06/07/10 2.0 4,292.77 12/22/08 2.0 4,356.26
OS/24/10 .4 834.24 00/00/00 .0 .00
TOTAL 52.0 :a.es, Hll.54 TOTAL 52.0 138,127.79
J~1/~77 ~
CITY OF BOYNTON BEACH FIREFIGHTERS' RETIREMENT SYSTEM
FINAL WORKSHEET OF RETIREMENT BENEFITS
June 15, 2011
EDUARD HERRMANN
H I G H YEA R THREE
PAY EFF WEEKS WAGES
11/24/08 2.0 5,339.45
11/10/08 2.0 5,273.05
10/27/08 2.0 6,473.89
10/13/08 2.0 5,942.06
09/29/08 2.0 4,640.81
09/15/08 2.0 3,820.29
09/01/08 2.0 5,830.43
08/18/08 2.0 5,372.28
08/04/08 2.0 8,743.40
07/21/08 2.0 3,820.29
07/07/08 2.0 4,564.96
06/23/08 2.0 4,345.58
06/09/08 2.0 3,920.29
OS/26/08 2.0 4,954.45
05/12/08 2.0 8,146.50
04/28/08 2.0 5,402.13
04/14/08 2.0 4,882.82
03/31/08 2.0 5,279.36
03/17/08 2.0 4,397.93
03/03/08 2.0 4,029.57
02/18/08 2.0 4,455.05
02/04/08 2.0 3,972.46
01/21/08 2.0 6,512.16
01/07/08 2.0 4,212.35
12/24/07 2.0 5,026.20
12/10/07 2.0 6,000.07
11/26/07 .6 1,246.56
TOTAL 52.6 136,604.39
PAGE 3
CITY OF BOYNTON BEACH FIREFIGHTERS PENSION SYSTEM
FIREFIGHTERS' PENSION DATA PAGE 1
REPORTING PERIOD 10/01/2010 TO 08/01/2011
Social Names Date of Date of Benef. Tota 1
security Bi rth Reti ref Disability Birth Pens. Monthly Received
Number Last, First, I. Disab. Code Name of Beneficiary Date Opt. pensi In This Yr
',ETIREMENT If, 464.39
ALLEN, EDWARD 02/01/94 MRS. ALLEN
10Y 2,975.73 32,733.03
CITY OF BOYNTON BEACH FIREFIGHTERS PENSION SYSTEM
FIREFIGHTERS' PENSION DATA PAGE 2
REPORTING PERIOD 10/01/2010 TO 08/01/2011
Soci a 1 Names Date of Date of Benef. Tota 1
security Bi rth Retire/ Disability Bi rth Pens. Monthly Received
Number Last, First, I. Disab. Code Name of Beneficiary Date Opt. Pension This Yr
KNIGHT,KEITH 08/01/05
SA1 3,401. 90 37,420.90
CITY OF BOYNTON BEACH FIREFIGHTERS PENSIO~ SYSTEM
FIREFIGHTERS' PENSION DATA
PAGE 3
REPORTING PERIOD 10/01/2010 TO 08/01/2011
social Names Date of Date of Benef. Total
security Bi rth Retire/ Disability Bi rth pens. Monthly Received
Number Last, First, 1. Disab. code Name of Beneficiary Date Opt. Pension This Yr
SISKO, EDWARD 07/01/94 AMA J. SISKO, WIFE
LA 4,697.97 51,677.67
Total Retirement 3,169,450.99
'ISABILITY
WANDELL, ERIC 11/01/07 LOD ROSEANNE WANDELL 09/17/72 SA1 3,281.05 36,091. 55
Disability 36,091.55
ENEFICIARY
DUFFY, CAROLYN
KNUTH,GLADYS
RAMOS-EUTIN,ARLEEN
MANNING,ALICE
PORTER, CHARLENE
RICHARDSON,MARTHA
VICKI,LORRAINE
WOJCIECHOWSKI,CECIL
JS3
SA1
10Y
SA1
JS4
JS2
JS4
SA1
1,307.88
1,209.79
2,494.55
1,345.18
541. 30
1,908.78
599.20
4,810.33
Death
NUMBER OF RETIRED EMPLOYEES ON THIS REPORT: 78
TOTAL PENSION PAYMENTS
14,386.68
13 , 307 . 69
27,440.05
14,796.98
5,954.30
5,726.34
6,591.20
52,913.63
141,116.87
3,346,659.41
Signature Authorization
Account Name: Boynton Beach Firefighters' Pension Fund
Account Number(s) various accounts
AUTHORIZATION: The following are the names and specimen signatures of the
individuals authorized to execute and direct Salem Trust Company. The Trust
Company will rely on the following individuals for all direction until notified
otherwise:
The following signature(s) are required for direction:
NAME
SIGNATURE
Lt( I< ~ PI ~(lJ O~R.S();VI CIfJJ/~
.
;S~,v tJ9f~uei<., S~~t~p-"'}*r
BA B. B8 M L AlJ ltJ: I ftflt!1mJ
rnA-rrH~W ft:IT y ~US~~
J
a ~L ~ (V BUSH- I TIU\.S'r~
j.,fJIH:,R..r fA. V LoR, ;[({r '~TE~
ON-G) -t.- ~ ~ i-P"'1 ~l ~
**Number of Signatures Required: +WOC~ ~<J-t ~~* 4- ~ ~l~
'vl<<Mdodi~
I, t...CHC~ tI !I/I{J t. ASctJ , as Chairman of the Board of Trustees, certify that
the above individuals are authorized to direct Salem Trust Company under the terms of
the current agreement.
Dated this
day of
,20_
(Signature)
** Please note if number of signatures is not specified, Salem Trust Company will assume it is 1.
(' 'I M r ,\ t' ...
PENSION FUN'DS O,P
Boynton Beach
Boynton Beach Police & Fire Pension Funds
1500 Gateway Blvd., Suite # 220
Boynton Beach, FL 33426
Pension Administration
561/739-7972 FAX: 561/731-2997
Emailladueb@)bbpdpension.com
August 2011
Retirees of the Boynton Beach Firefighters' Pension Plan
w:t'
,;} ~~lP- .
)- I i
f 1.{ " II
Enclosed is the Alive & Well Statement for your completion, notary and return to the Pension
Administrator. The Firefighters' Pension Board requires this statement once a year. The timely
completion and return will not disrupt your monthly pension benefit. Please return this statement
prior to August 15, 2011, so as to avoid a hold on you September benefit.
Please complete with Notary Public and mail to:
Barbara La Due, Pension Administrator
Boynton Beach Firefighters' Pension Fund
1500 Gateway Blvd., Suite # 220
Boynton Beach, FL 33426
Please call me at 561-739-7972 if you have any questions or concerns.
Thank you.
~;zi~
Barbara La Due
Pension Administrator
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