HomeMy WebLinkAbout2013/10/15-Minutes-City Council-Special Called CITY OF FORT WORTH CITY COUNCIL AND
FORT WORTH EMPLOYEES' RETIREMENT FUND BOARD OF TRUSTEES
CALLED-SPECIAL JOINT MEETING
OCTOBER 15, 2013
Present:
Fort Worth City Council
Mayor Betsy Price
Mayor Pro tem W.B. "Zim" Zimmerman, District 3
Council Member Salvador Espino, District 2
Council Member Daniel Scarth, District 4
Council Member Jungus Jordan, District 6
Council Member Dennis Shingleton, District 7
Council Member Kelly Allen Gray, District 8
Council Member Joel Bums, District 9 (arrived at 1:07pm)
Absent:
Council Member Gyna Bivens, District 5
Staff Present:
Tom Higgins, City Manager
Sarah Fullenwider, City Attorney
Fort Worth Employees' Retirement Fund Board of Trustees
Matt Anderson, Place I
Todd Cox, Place 2
Benita Harper, Place 3
Glenn Balog,Place 4
Lance Usrey, Place 5
Marsha Anderson, Place 7
Jes6s Paydn, Place 8
Jarod Cox, Place 9
Bill Gordon, Place 10
Bill Crawford, Place 11
Mike Bickley, Place 12
Susan Alanis, Place 13
Absent:
Billy Samuel, Chairman, Place 6
CITY OF FORT WORTH CITY COUNCIL AND
FORT WORTH EMPLOYEES' RETIREMENT FUND BOARD OF TRUSTEES
CALLED— SPECIAL JOINT MEETING
OCTOBER 15, 2013
Page 2 of 3
Fort Worth Employees' Retirement Fund Staff Present:
Robert Hulme, Interim Executive Director/CIO
Doreen McGookey, General Counsel
I. CALL TO ORDER
With a quorum of bodies present, Mayor Price and Board Vice Chairman, Glenn Balog called
the joint meeting of the Fort Worth City Council and Fort Worth Employees' Retirement Fund
(ERF) Board to order at 1:05 p.m., on Tuesday, October 15, 2013, in the Pre Council Chambers,
1000 Throckmorton Street, Fort Worth, Texas 76102, with Council Member Bivens absent.
II. WELCOME AND INRODUCTIONS
Mayor Betsy Price and Vice Chairman Balog welcomed the members and audience to the
meeting. Both boards were introduced.
III. REVIEW THE PERFORMANCE OF THE FUND
Interim Executive Director Robert Hulme presented the Fund Performance Update. He gave an
overview of the Capital Markets; reviewed the Funds asset Allocations, reviewed the Funds asset
allocation and performance as of September 30, 2013.
He noted the following:
• Last valuation January 1, 2013
• Takeaways from the last valuation
• All of 2008 losses have now been absorbed
• Funding Period 36 years
• Assumption rate now 8%
• October 1, 2013 benefit changes for active employees will be included in the next
valuation.
• Patience to allow changes to flow through the valuation.
(Note: The Fund Performance Update presentation is on file in the City Secretary's Office.)
CITY OF FORT WORTH CITY COUNCIL AND
FORT WORTH EMPLOYEES' RETIREMENT FUND BOARD OF TRUSTEES
CALLED—SPECIAL JOINT MEETING
OCTOBER 15, 2013
Page 3 of 3
IV. BRIEFING ON THE NEW PENSION ACCOUNTING TO COMPLY WITH
THE GOVERNMENTAL ACCOUNTING STANDARDS BOARD STANDARDS
Terry Kile with Deloitte & Touche LLP and Leon F. "Rocky" Joyner JR. with Segal presented a
briefing on the new pension standards from the Governmental Accounting Standards Board
(GASB) and the impact they will have on the financial reporting of the fund.
• GASB 67—applies to plan reporting
o Effective for plan years beginning after 6/15/2013 (fiscal 2014)
• GASB 68 — applies to employer reporting
o Effective for fiscal years beginning after 6/15/2014 (fiscal 2015)
• Major changes:
• Places Net Pension Liability on financial statements
• Decouples expense from funding
• Greatly expanded disclosures
(Note: The New Pension Accounting presentation is on file in the City Secretary's Office)
V. NEXT MEETING
The next meeting will be in the spring, with the date to be determined.
VI. REOUEST FOR FUTURE AGENDA ITEMS
There were no requests for future agenda items.
VII. ADJOURN
There being no further business, Mayor Price and Vice Chairman Balog adjourned the joint
meeting at 1:47 p.m.
These minutes approved by the Fort Worth City Council on the 22nd day of October, 2013.
Attest: Appraed
Mary J. ys �1 etsy Price
City Sectary Mayor `