HomeMy WebLinkAbout2018-08-23-RB-min Minutes of the August 23, 2018 Retirement Board meeting:
Present: Robert Cunha, Alan Fields, Carolyn Kosnoff, Joseph Foley, Marguerite Oliva and Jim
Condon
Absent: Frederick Weiss
NEW MEMBERS: (24) Jennifer Keras, Behavior Analyst; Christopher Tran, IT Support; Alicia
Grunes, Nurse; Gabrielle Correnti, Frank Rizzotti, Jenny Patrick, Natalie Lopez, SIA's Rachel
Cardillo, Admin. Asst; Melissa Rodriquez, Anna Ahern, Harshini Delity, Marissa Terrasi, Ani
Khachatourian, Carissa Becker, Michael Lynch, Paige Chaplin, Sarah Poirier, Dianne Barrucci,
IA's; Michelle DeChristoforo, Claire Murphy, SSP's; Joel Devine, Michael O'Brien, Patrolmen;
Catherine DeBroder, Behavior Specialist; Christopher Pedersen, Laborer
DEATHS: (3) Barbara Estey, School Librarian, 7/28/18; Ann Chisholm, School Secretary,
8/3/18; Claire Meaney, School Caferteria, 8/4/18
The Board accepted the 083118 Warrant and the August payroll. The July minutes were
reviewed and approved, as well as the cashbooks for June 2018.
Bob Cunha reviewed the August Agenda with the Board members and staff It was noted we
received a distribution from Golub in the amount of$90,193.00.
The Board was briefed on the status of two (2)retirees that have failed to comply with PERAC's
section 91A filing of earnings. Tamzin Ladd and Robert Staples. We were advised via email
from PERAC to take no action to suspend their pensions at this time. However, the Board would
like our office to send out certified letters to Staples and Ladd reminding them of their obligation
to file proper paperwork with PERAC to a disruption in pension payments.
Cherie Robinson requested to purchase three (3) months of creditable service when she was
working for the Recreation Dept. from 2001 to 2009. She worked between 30-60 hours per year
in this time frame. The cost to purchase this service will be $2,206.48. Bob made a motion to
approve, seconded by Joe, and unanimously approved by Alan and Carolyn.
Kelley Cutone-Clair requested to purchase three (3) years and one (1) month of creditable
service. She was employed with the town working less than 18 hours per week, therefore, not
benefit eligible. The time frame working less than part-time was from 2012 to 2018. The cost to
purchase this service will be $11,342.87. Bob made a motion to approve, seconded by Joe, and
unanimously approved by Alan and Carolyn.
Sean Duff and Taylor Eversden presented the Monroe Capital update. Sean began by
mentioning that our rate of return since inception is 9.1%. The original target rate of return was
projected around 8-10%. We should end up receiving 100% of our capital back by the end of
April 2019, the same period the fund life ends. He spoke briefly about staffing levels at Monroe.
There has been zero turnover, and they currently staff 100 employees. Then he mentioned how
highly diversified the Monroe portfolio is with 63 total loans since inception. Business,
construction &building, as well as healthcare are the most attractive out there. The private
equity sponsors in the portfolio have also increased. The Net Cumulative IRR rates are ranging
from 9.5 % to 14.5%.
Landy Pheluong presented the White Oak Summit update. He briefly explained the firm's
philosophy. They lend to small—midsize companies who have trouble acquiring standard bank
loans. The company has double in size since 2015, and has 57 loans on the books, 21 of which
are repaid. Primarily direct lending without a sponsor. Equipment loans are popular because of
multi-purpose uses of trucks, cranes, and other construction vehicles. Since our inception back
in 2015, we are fully invested and will be recycling our funds for another two (2) years. After
that, the money will work its way back to our account. The estimated Net IRR is 8.9%. White
Oak appears to be delivering on the promises they made for returns.
Henry Jaung and Steve McLellan presented the Meketa Update. The portfolio balance as of
07/31/2018 was $172,538,513.00, up 3.9% for YTD. The US Markets continue to produce at a
strong pace. The market has been less turbulent than previous months. Our 12% asset allocation
in fixed income, and domestic allocation going up another 8% have been helping drive our
returns this year. We are currently in great position and hope the trend continues throughout the
year. The next meeting we will discuss long term funding of private equity. We are close to the
10% mark in holdings. Do we push more towards the 13-15% mark? That would require around
10 million in funding.
Fossil Fuels, as of June 30, 2018 remain at approximately 4.6%, mostly within equities.
There will be three (3) Senior Direct Lending managers coming in to present at the September
Board meeting. They are Alcentra, Angelo Gordon, and Monroe.
The Board completed Maggie's review and granted a 2% COLA effective 7/1/18.
Bob Cunha motioned to adjourn the meeting at 9:50 AM, which was seconded by Joe Foley, and
unanimously approved.
The next Board Meeting will be held on Thursday September 27th, 2018 at 8:00 AM in Cary
Memorial Library.
RFP finalists Alcentra, Angelo Gordon, and Monroe will attend.
Robert Cunha, Chairman Alan Fields, Appointed Member
Carolyn Kosnoff, Ex Officio Member Joseph Foley, Elected Member
ABSENT
Frederick Weiss, Appointed Member