NEW PORT RICHEY POLICE_2_

							                     NEW PORT RICHEY POLICE
                        PENSION SYSTEM


                                      Minutes
                    Of a regular meeting of the Board of Trustees

          Meeting at 6739 Adams Street, Police Station,
                New Port Richey, Florida 34652
           Tuesday, the 1st day of September 2009, at
                            5:00 P.M.


The meeting was called to order by Mr. Pratt at 5:00 PM.

Trustees Present:
       Mr. Pratt
       Det. Trapnell
       Capt. Baker
       Mr. Howe
Trustees Absent:
       Mr. Woodard
New Port Richey Police Department Administrator:
       Chief Rickus
Administrative Assistant:
       Rachel Laurel


ITEM #1 --     Approval of the minutes of the meeting on 7/28/09

Motion:       Mr. Howe made a motion to approve the minutes of the meeting. Capt. Baker
seconded the motion. The motion passed without opposition.

ITEM #2 --     2008 Premium Tax Distribution check

        Capt. Baker said the amount of the State check this year was less than the past year.
He said what the actuary figured we would be receiving from the State was $285,159.00,
however, we received $244,455.86 for a difference of $40,703.14. Therefore the City has to
make up the difference. As shown in the last valuation report the City had a credit of
approximately $70,000.00. Mr. Howe questioned if a formal request would have to be made
to request that the City transfer the difference. Capt. Baker said the Chief had told the
Director of Finance so the City is aware of the additional money that is needed. He added
that the expected State money is also listed in the valuation report that the City received so
they are aware of what the actuary predicted the amount should be. Mr. Howe mentioned
that the City should receive a formal letter from the Board showing the difference that is
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needed to meet the figure in the actuarial report. Capt. Baker stated a letter could be drafted
reflecting the difference. He said he spoke to Brendon Vavrica of Thistle Asset Management
to discuss where the money would be distributed. Mr. Vavrica said that 30% will go to
Logan Capital, 50% to the Oppenheimer Capital Balanced account and 20% to the
Oppenheimer Capital Fixed account.

ITEM #3 --     Discussion of future developments of the plan – Chief Rickus

         Chief Rickus said that he has been working on the City’s financial planning and
budgeting for the future. He stated he had also been talking with his own financial planner
about the variations and options in other pensions that his planner had been dealing with. So
he thought this was a good time to talk about the economic downturn the City had and the
impact it had/has on the pension fund. Chief Rickus added that the City’s budget is very,
very tight and the police department is becoming the sore thumb with regard to the amount of
contributions they have to make toward the pension fund. Especially when the City only has
to contribute about 3% to the fire department and a lot less to the other departments in the
City. Chief Rickus said if you look from 2002 to today in the amount of money the City had
to contribute to the plan it is difficult to accept. His concern is it will only become worse
next year because of the down tax revenues and higher costs. Also next year the contract
negotiations will be up and the City will want to talk about it. He suggested that the Board
members should discuss, especially before the next quarterly meeting, and figure out what
the pension options are before the contract negotiations in July of 2010. So both the Board
members and the City will know if there are any options. The Chief suggested possibly
thinking about whether the 20 year and out is the best way to handle the plan or does it cost
more money. He said there are other plans that have 25/30 years and out at different levels
and questioned if that could help save money. The Chief said he does not want to take away
benefits, but is concerned the costs will be a big issue in the future. He would hate to think
the City could do without the police department and questioned if there were other
alternatives. He said now is the time to look at the plan and discuss what the biggest cost is
and try to modify it. Maybe with regard to the costs this is a time for an overhaul of the plan.
He asked if this actuary gives the plan the same benefit as other actuaries since they look at
plans differently. The Chief suggested that the members should question the actuary as to
what costs the plan the most. Capt. Baker said what is interesting is that the fire department
pension plan is very cheap to the City. Chief Rickus said both the police and fire
departments have mirror plans but the costs are very different. Mr. Pratt questioned if it
would be possible to get a copy of the fire department’s financial report and actuarial report
for last year to compare? Capt. Baker said he would.

ITEM #4 --     State Pension Conference October 21-23, 2009, Radisson Resort,
               Orlando, FL

      Capt. Baker said that this is a free conference in Orlando and questioned if anyone
would be interested in attending. No one would be able to attend.




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ITEM #5 -- FPPTA School, Hyatt Regency Coconut Point, Bonita Springs, FL
October 4-7, 2009

        Capt. Baker questioned Det. Trapnell if he would be able to attend the school. Det.
Trapnell said he would. Mr. Howe said he believes that Mr. Woodard mentioned he would
also like to attend.
        Motion:       Capt. Baker made a motion to pay for all expenses for 2 members to
attend the FPPTA school. Mr. Howe seconded the motion. The motion passed without
opposition.

ITEM #6 --    Approval of Expenditures

       Capt. Baker said that the tape broke last meeting and suggested purchasing a Digital
Voice Recorder to replace it. He said Ms. Laurel researched and found 2 Sony models which
have USB port cables to transfer the information to the computer then onto a disk. Mr. Howe
questioned how much they were? Capt. Baker answered that one was $52.49 and the other
was $104.99. He mentioned there was not much of a difference between the two and
recommended purchasing the one for $52.49. He also said that it will be paid for out of petty
cash.
       Motion:        Det. Trapnell made a motion to purchase the Sony Digital Voice
Recorder for $52.49. Mr. Howe seconded the motion. The motion passed without
opposition.

        Capt. Baker said there were 4 distribution authorizations. $848.20 to Christiansen &
Dehner, P.A for professional services: Preparation and attendance at meeting, travel, car and
food expenses; $3,826.00 to Thistle Asset Consulting for performance monitoring for the
quarter ending 6/30/09; $2,076.80 to Oppenheimer Capital for management fees for quarter
ending 6/30/09; $8,945.89 to Oppenheimer Capital for management fees for quarter ending
6/30/09.
        Motion:        Capt. Baker made a motion to approve the expenditures. Det. Trapnell
seconded the motion. The motion was passed without opposition.

ITEM #7 --    Any Other Business

        Capt. Baker said he received 2 checks that was deposited and distributed amongst the
money managers. They were a commission recapture check in the amount of $778.00, and a
class action check in the amount of $321.83.

       Motion:       Capt. Baker made a motion to adjourn. Mr. Howe seconded the
motion. The motion passed without opposition. The meeting was adjourned at 5:42 PM.




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