HomeMy WebLinkAbout2018-04-26-RB-min Minutes of the April 26, 2018 Retirement Board meeting:
Present: Robert Cunha, Joe Foley, Alan Fields, Carolyn Kosnoff, Marguerite Oliva and Jim
Condon
Absent: Frederick Weiss
NEW MEMBERS: (8) Matthew Snell, Kyle Dzwonek, Andrew McAleer, Police Officers; Sheila
Nobrega, SSI; Alexander Fiorillo, Field Technician; Roberto Gonzalez, Adam Provost,
Custodians; Shannon McCormack, Payroll Specialist
DEATHS: (2) Charlotte Nelson, School Secretary, 4/09/2018; Lynne Pease, Executive Clerk,
4/17/2018
RETIREMENTS: (4) Ronald Guerin, Custodian, 3/30/18; David Schofield, Firefighter, 5/2/18;
Gary Genovese, DPW Foreman, 5/4/18; Lawrence Giorgio, Fire Lieutenant/EMT, 7/3/18
The meeting began with Board members in attendance signing off on the Annual Statement
required by PERAC. Two copies were distributed for signatures. Fred Weiss was absent from
the meeting.
There was a brief discussion on how to handle memo 412 issued by PERAC in February 2018.
It pertained to vacation and sick time taken in conjunction with Workers' Compensation. The
issue is whether to take a deduction and hold it in an account until the member is ready to retire,
or take no deductions and bill member later. It was decided to take no deduction at that time, yet
subject to change.
The disability transmittal approval for Vivian Marcano was received in PROSPER prior to the
meeting. We will submit the calculation to PERAC via mail and wait for the final approval.
Maggie informed the Board that our office has gone without a PERAC audit since 2012. She
would like to have one scheduled at some point by the end of this year. The Board agrees to this
and mentions we should reach out and check their availability.
It was noted the new website for the State, including PERAC, is missing the latest financial
reports and performance reviews for Lexington and other towns. This could be a matter of
PERAC still uploading information to the new site. We will give it time and check the site in the
near future for updates.
Henry Jaung presented the Meketa update. He advised us we can now move $3,000,000.00 from
Contrafund to the Retirement Board's accounts payable. And then move the other $2,000,000.00
at a later date to cover costs. The Board voted to do this transaction last month, yet there was
enough in the account to cover all costs for the month.
Despite the turbulent market this year, the overall portfolio is up .6%through March with an
overall balance of$168,590,641.00. Fossil Fuels remain at 4.5%. Henry stated we have
successfully bumped up our Real Estate Assets up to 9% from original holdings of 5.7%. It was
noted that by reducing high yield, the portfolio has been able to hold steady through the turbulent
market of late. KAR is working well this year, posting a 1.4% in the equity asset class.
Henry explained the Wellington Enduring Assets Benchmark Analysis that was performed by
Meketa. He mentioned some concern with the analysis as to interest rates going up. Overseas
rates not as high, yet they will still impact fees. He spoke of the numbers between the Global
Infrastructure and the ACWI in the booklet. Then he briefly talked of the Best Fit Analysis chart
for our portfolio.
Steve McLellan presented an overview for the search regarding a new manager of the senior
direct lending strategy for the Lexington Retirement System. He stated all RFP's must be
submitted to the retirement office by 4:OOpm on May 18, 2018 for consideration. It is anticipated
that up to 10 firms will submit RFP's. Henry and Steve will put together a spreadsheet of
candidates for the Board to review in June. After review, we can begin the interview process for
candidates at future Board Meetings.
Fidelity and Kayne Anderson Rudnik are scheduled for review at the next Board Meeting.
A motion was made by Bob, seconded, and unanimously approved to adjourn the meeting at
9:10 AM.
The next Board Meeting will be held on Thursday May 24, 2018 at 8:00 AM in Cary Memorial
Library.
Robert Cunha, Chairman Alan Fields, Appointed Member
Carolyn Kosnoff, Ex Officio Member Joseph Foley, Elected Member
ABSENT
Frederick Weiss, Appointed Member