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HomeMy WebLinkAboutMinutes 12-04-24 Firefighter signedCLEO ONT Retirement Plan & Trust for Firefighters of the City of Clermont DRAFT Quarterly �j Meetin Minutes Choice oChampimt December 4, 2024 ; FEB 26 2G25 i'.. 1. Chair Judd Lent called a Quarterly Meeting of the Firefighters Retirement Plan Board of Trustees to order at 11:01 AM on August 28, 2024 in Council Chambers at the Clermont City Hall. He called roll. Those persons present included: TRUSTEES OTHERS Judd Lent, Chair Kyle Tintle, Administrator (Resource Centers) Adam Watkins, Trustee Bonni Jensen, Attorney (KKJL) Tim Specht, Trustee Larry Cole and Mitchel Brennan, Investment Consultant, (BCA) Megan Robinson, Trustee Nancy Zaccardi (City of Clermont, HR Manager) Nadine Ohlinger (City of Clermont, HR Director - electronically) Scott Borror (City of Clermont, Finance Director- electronically) 2. Extraordinary (Exigent) Circumstances for Trustees Joining Electronically There were no Trustees joining electronically. 3. Minutes The minutes for August 28, 2024 & September 10, 2024 were reviewed by the trustees. Adam Watkins made a motion to approve the August 28, 2024 meeting minutes. The motion received a second from Megan Robinson, approved by the Trustees 4-0. Megan Robinson made a motion to approve the September 10, 2024 minutes. The motion received a second from Judd Lent, approved by the Trustees 4-0. 4. Reports: Quarterly Investment Report: Investment Consultant, (Mitchel Brennan and Larry Cole, Burgess Chambers Association - BCA) Mr. Brennan began with a market overview which included a continuation of the Magnificent 7 domination. Those companies alone are up 35%. The 3d quarter had a reversal with a broadening of the market doing better, such as value, small and midcap. Utilities were up 19% with a huge surge for demand for data centers. The holdings of Cohen & Steers will see a boost from this growth. For the quarter, the plan saw $2.3 million in gains, 6.3% net, ranking in the top 131h percentile. For the fiscal year, the plan was up $6.2 million, 19.8% net, ranking in the 49`h percentile. Mr. Brennan reviewed the asset allocations, which are overweight to domestic equites, which are up to 48% and overweight to fixed income. He expects to maintain the asset allocations as they are for at least a few quarters. They see strong growth on the equity side and will take advantage of the higher rates on the fixed income side. Mr. Brennan reviewed the program analysis, a rolling 5-year snapshot was given where the last 2 quarters CLEO ONT Retirement Plan & Trust for Firefighters of the City of Clermont Ct�;.e u` Champinn' DRAFT Quarterly Meeting Minutes December 4, 2024 when the plan rankings dipped below 50%, however 90% of the time they ranked in the top 50%, and 50% in the top 25%. The divergence started in 2021 when Polen was added to the portfolio, and they continued to underperform detracting from the total fund. Outside of that one investment, the plan is performing right along with expectations as Polen has been eliminated from the portfolio. In the large cap growth, Polen has great performance and less risk than the other offerings but the primary reason for the underperformance was they did not own any Nvidia at all and not enough of the Magnificent 7. Mr. Cole was pleased to see a broadening of the market; the report shows the good results in the returns. He feels the asset allocation with diversification will serve them well going forward. Mr. Cole presented the quarterly report for September 30, 2024 which is the end of the fiscal year end. Bonds and stocks were up when the Fed cut rates in September, since that time long- and short-term rates came back a little. With the strong economy, it is questionable if they are cutting rates as predicted. The quarter ended with a balance of $38,981,198.41 on September 30, 2024. It was a good quarter, with nothing identified to be out of alignment, no rebalancing recommended. Attorney: Bonni Jensen (Klausner, Kaufman Jensen & Levinson) Ms. Jensen discussed updates on Florida law specifically on the requirements for contracts, new provisions and the new withholding rules. The human trafficking prevention would require affidavits to attest they do not use coercion for labor or services. Beginning January 1, 2024, governmental entities with access to personal identifying information must obtain an affidavit that their firm is not owned by a government of a foreign country of concern. The new withhold rule concerns retirement plan payments to recipients located outside of the United States, the retirees can no longer elect no tax withholding. The regulation does not apply to non -US citizens or non-resident aliens of the US. Ms. Jensen gave an update on the disability application as there is difficulty in obtaining the medical records, and results from certain tests performed on Mr. Harrison. A release was sent to the hospital, and they did not accept the release. A second release was signed and sent to the hospital, but they have not released the records. The process has been truncated but is still ongoing. Administrator Report: Kyle Tintle (Resource Centers) Ms. Tintle presented the updated conference schedule for 2025. She encouraged the trustees, especially the new trustees, to attend the educational offerings as often as possible. 5. Benefit Approval A Share distribution for William Harrison was presented for review. Adam Watkins made a motion to approve the Share distribution for William Harrison. The motion received a second from Megan Robinson, approved by the Trustees 4-0. CLER ANT Retirement Plan & Trust for Firefighters of the City of Clermont «l.: 1�c.,d,.,1.15 DRAFT Quarterly Meeting Minutes December 4, 2024 6. Plan Financials Ms. Tintle presented the Board with the Interim Financial Statement dated September 2024 for informational purposes. The interim financial statements were received and will be filed. He presented the Warrants dated December 4, 2024 for review. Megan Robinson made a motion to approve the warrant dated December 4, 2024. The motion received a second from Adam Watkins, approved by the Trustees 4-0. 7. Other Business No other business. B. Public Comment No members of the public had any comment. There being no further business and the next meeting having been previously scheduled for February 26, 2025 at 11:00 AM. The meeting adjourned at 11:58 AM. Respectfully Submitted, Ryan Moore, Secretary