MINUTES OF BOARD OF DIRECTORS MEETING … OF BOARD OF DIRECTORS MEETING WITH RETIREMENT COMMITTEE...
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MINUTES OF BOARD OF DIRECTORS MEETING WITH RETIREMENT COMMITTEE ORANGE COUNTY WATER DISTRICT August 23, 2016 @ 8:00 a.m. Director Dewane called the Retirement Committee meeting to order in Conference Room C-2 at the District office. The Assistant District Secretary called the roll and reported a quorum as follows: DIRECTORS Shawn Dewane Roger Yoh Phil Anthony (not present) (not present) ALTERNATES Jordan Brandman (arrived 8:05 am) Denis Bilodeau Jan Flory Dina Nguyen Roman Reyna Steve Sheldon Cathy Green (arrived 8:05 am) (not present) (not present) (not present) (not present) STAFF MEMBERS Jason Dadakis Phil Harrington STAFF ALTERNATES Dave Bolin Roy Herndon (not present) EMPLOYEE ADVISORY CTE John Bonsangue John Bruns Rita Hintlian Jana Safarik Kevin O’Toole (not present) Vishav Sharma OCWD STAFF Mike Markus, General Manager Stephanie Dosier, Plan Secretary Judy-Rae Karlsen, Assistant District Secretary Kim Dusky, Lisa Wirtz OTHERS Scott Sutherland, Sutherland Retirement Jacquelyn Hilton, Sutherland Retirement CONSENT CALENDAR The Consent Calendar was approved upon motion by Jason Dadakis, seconded by Shawn Dewane and carried (5-0) as follows. [Yes - Dewane, Reyna, Dadakis, Harrington/No-0] 1. Minutes of Previous Meetinq The Minutes of the April 22, 2016 Retirement Committee meeting are approved as presented. Directors Bilodeau and Brandman arrived during the following discussion. MATTER FOR CONSIDERATION 401(a) Money Purchase Retirement Plan Investment lineup and 457 (b) Deferred Compensation Plan Red Flaq Fund Review The OCWD retirement plan advisor Scott Sutherland of Sutherland Retirement Group/Wells Fargo Advisors presented an overview of the 401(a) Money Purchase Retirement Plan and he reported on the total amount invested by employees, the number of employee participants, expense ratios, fund risk factors and a summary report on advisory meetings with District employees. He stated the Committee will review, discuss and take an action on the red flagged funds in both the 401(a) and 457 (b) investment portfolios. Mr. Sutherland noted that the Committee will then take an action to receive and file the remainder of the investment portfolio funds. Mr. Sutherland focused his presentation on the red flagged funds within both the 401(a) Money Purchase Retirement Plan and the 457(b) Deferred Compensation plan. The Committee discussed potential actions for each of the red flagged funds and then reviewed the remaining investment portfolios. The Committee then took the following actions.
Transcript of MINUTES OF BOARD OF DIRECTORS MEETING … OF BOARD OF DIRECTORS MEETING WITH RETIREMENT COMMITTEE...
MINUTES OF BOARD OF DIRECTORS MEETINGWITH RETIREMENT COMMITTEE
ORANGE COUNTY WATER DISTRICTAugust 23, 2016 @ 8:00 a.m.
Director Dewane called the Retirement Committee meeting to order in Conference Room C-2 at theDistrict office. The Assistant District Secretary called the roll and reported a quorum as follows:
DIRECTORSShawn DewaneRoger YohPhil Anthony
(not present)(not present)
ALTERNATESJordan Brandman (arrived 8:05 am)Denis BilodeauJan FloryDina NguyenRoman ReynaSteve SheldonCathy Green
(arrived 8:05 am)(not present)(not present)
(not present)(not present)
STAFF MEMBERSJason DadakisPhil Harrington
STAFF ALTERNATESDave BolinRoy Herndon (not present)
EMPLOYEE ADVISORY CTEJohn BonsangueJohn BrunsRita HintlianJana SafarikKevin O’Toole (not present)Vishav Sharma
OCWD STAFFMike Markus, General ManagerStephanie Dosier, Plan SecretaryJudy-Rae Karlsen, Assistant District
SecretaryKim Dusky, Lisa Wirtz
OTHERSScott Sutherland, Sutherland RetirementJacquelyn Hilton, Sutherland Retirement
CONSENT CALENDAR
The Consent Calendar was approved upon motion by Jason Dadakis, seconded by Shawn Dewaneand carried (5-0) as follows.[Yes - Dewane, Reyna, Dadakis, Harrington/No-0]
1. Minutes of Previous Meetinq
The Minutes of the April 22, 2016 Retirement Committee meeting are approved as presented.
Directors Bilodeau and Brandman arrived during the following discussion.
MATTER FOR CONSIDERATION
401(a) Money Purchase Retirement Plan Investment lineup and 457 (b) DeferredCompensation Plan Red Flaq Fund Review
The OCWD retirement plan advisor Scott Sutherland of Sutherland Retirement Group/Wells FargoAdvisors presented an overview of the 401(a) Money Purchase Retirement Plan and he reported on thetotal amount invested by employees, the number of employee participants, expense ratios, fund riskfactors and a summary report on advisory meetings with District employees. He stated the Committeewill review, discuss and take an action on the red flagged funds in both the 401(a) and 457 (b)investment portfolios. Mr. Sutherland noted that the Committee will then take an action to receive andfile the remainder of the investment portfolio funds.
Mr. Sutherland focused his presentation on the red flagged funds within both the 401(a) MoneyPurchase Retirement Plan and the 457(b) Deferred Compensation plan. The Committee discussedpotential actions for each of the red flagged funds and then reviewed the remaining investmentportfolios. The Committee then took the following actions.
8/23/16
Upon motion by Jason Dadakis, seconded by Phil Harrington and carried [5-0], the Committeerecommended that the Board at its September 7 Board meeting: 1) Approve the followingactions:
Ivy Science And Technolog y Fund Class YMFS Technolog y R3Franklin Small Cap Growth FundJPMorg an Larg e Cap Growth Fund Class ATIAA-CREF Larg e CapFidelity Advisor@ New Insights Fund Class AOakmark Fund Class IT. Rowe Price US Larg e Cap Core AdvHotchkis & Wiley Capital Inc. Fund Class AJP Morg an Eq uity IncPutnam Income Fund Class ADouble Line Core Fixed IncomePut~rnam Eg uity Income A
Ivy Science And Technolog y Fund Class YColumbia Seligman Global Technolog y AGoldman Sachs Small/Mid Cap Grth Fund Class IRJanus Enterp rise T
WSTYXMTCHXFSSAXOLGAXTRIRXFNIAX
OAKMXPAULXHWIAXHLIEXPINCXDLFNXPEYAX
WSTYXSHGTXGTMTXJAENX
Remove & Map to MTCHXAdd
Red FlagRemove & Map to TRIRX
AddRed Flag
Remove & Map to PAULXAdd
Remove & Map to HLIEXAdd
Remove & Map to DLFNXAdd
Red Flag
Remove & Map to SHGTXAdd
Remove & Map to JAENXAdd
2) Receive and file the 401(a) Money Purchase Retirement Plan investment portfolio and the457(b) Deferred Compensation Plan investment portfolio.[Yes - Dewane, Brandman, Bilodeau, Dadakis, Harrington /No-O]
INFORMATIONAL ITEMS
3. Prudential Retirement Performance Incentive Review
Ms. Dosier stated the Prudential Retirement Performance Incentive Review is in the packet.
4. Guaranteed Income Fund Interest Rates
Ms. Dosier stated that Prudential has reported the Guaranteed Income Fund interest rate for the stablevalue investment option in the 401(a) and 457(b) investment portfolios is 1.75% for the period ofJuly 1, 2016 through December 31, 2016.
COMMENTS/REPORTS
Mr. Sutherland reported the notification letter to all retirement plan members advising them of the powerof diversification is ready for review. Director Dewane requested the letter be agendized for discussionat the next Retirement Committee meeting.
DETERMINATION OF ITEMS TO BE AGENDIZED FOR THE SEPTEMBER 7 BOARD MEETING
The Committee determined that Item No. 2 be placed on the Consent Calendar for theSeptember 7 Board meeting.
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8/23/16
ADJOURNMENT
There being no further business, the meeting was adjourned at 9:02 a.m.
01edr ment Plan Secretary Stephanie Dosier
