HomeMy WebLinkAbout2023-01-19-RB-minMinutes of the January 19, 2023 Retirement Board meeting:
Present: Robert Cunha, Joseph Foley, Alan Fields, Frederick Weiss, Michelle Malone and Jim Condon
Absent: Carolyn Kosnoff
The Lexington Retirement Board met remotely through Zoom tele‐conferencing. The Town
Clerks Office posted the meeting, which included the information for any interested party to
join the call. Robert Cunha, Joseph Foley, Alan Fields, Frederick Weiss, James Condon and
Michelle Malone were present for this meeting. Chairman Robert Cunha called the meeting to
order at 8:30 am.
The Board accepted the 013123 Warrant and the January payroll. The December minutes and
November financials were reviewed and approved.
Robert Cunha reviewed the January agenda with all Board members and staff in attendance.
It was noted there was a White Oak Summit distribution on 12/29/22 for $13,741.00
The Vanguard balance, as of 12/31/2022, is $23,876,304.00
There was no update on Mr. Magarian to report.
The Retirement Board received notification on the day of this meeting regarding Ryan Bugler.
Unfortunately, the DALA Magistrate that heard the case left DALA before issuing a decision.
Attorney Chris Collins has asked if we would like a new hearing, or just have the new Magistrate
review the recordings and filings and issue a decision. The Board agreed to have the new
Magistrate issue a decision.
The Board was notified that Mr. O’Leary contacted the Retirement Board to request a refund of
the remaining balance in his account. He will be refunded on the February 28, 2023 payroll
warrant.
Pension Technology Group will be offering four (4) hours of training to local retirement boards
during 2023. The cost would be $600.00 for Michelle and Jim to attend. Bob Cunha made a
motion to approve this cost for training, which was seconded by Joe Foley, and unanimously
approved by Fred Weiss and Alan Fields.
The Board voted to approve the 2% COLA increase, a one‐time retro increase to retirees back to
July 2022, at this meeting. Bob Cunha made the motion, which was seconded by Joe Foley and
unanimously approved by Alan Fields and Fred Weiss. This approval will be presented to the
Lexington Select Board for their approval in the coming days.
All Board members received PERAC Memo #33 regarding 1st Quarter Board Training.
The Meketa update was presented at 8:50 am by Stephan MacLellan and Gloria Hazard. The
portfolio balance as of December 31, 2022 was $190,625,000.00, down $6.3m from the prior
month. The markets have fluctuated the past few months in the 4th Quarter of 2022. Inflation
rates seem to be one of the main issues. Even the annualized figures show an inflation rate to
the portfolio of 2.5 – 4%. To end the year, most asset classes did post gains based on signs that
some policy tightening could slow inflation.
Energy prices are coming down, and should continue into 2023. The mild winter has pushed
gas and oil costs down a fair amount. US stocks fell broadly in December due to the Federal
Reserve signaling its continued resolve to raise interest rates once again. Unfortunately, all
sectors did decline during the month of December, however, energy and industry were up
slightly. International developed market equities held up better to the rest of the world in
December. Their 4th Quarter returns were up 17%, mainly because the US Dollar weakening.
The reopening phase in China had a positive result of 9.7% in the final quarter of 2022, but
emerging markets remained weak due to China.
Final numbers for 2022 were unavailable at the time of this meeting. Meketa will give a full
update of 2022 at the February Board. Stephen wrapped up the presentation at 9:15 am.
Robert Cunha made a motion to adjourn the meeting at 9:20 am, which was seconded by
Joseph Foley, and unanimously approved by Fred Weiss and Alan Fields.
The next Retirement Board meeting will be held via Zoom on Thursday, February 23, 2023 at
8:30 am.
Wellington Enduring and Opportunistic funds will present.
_____________________________
Robert Cunha, Chairman Alan Fields, Appointed Member
ABSENT
Carolyn Kosnoff, Ex Officio Member Joseph Foley, Elected Member
Frederick Weiss, Appointed Member