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Home My WebLink AboutAgenda Police Pension 102909 Agenda City of Palm Beach Gardens Police Officers’ Pension Fund MEETING OF OCTOBER 29, 2009 LOCATION: City Council Chambers’ 10500 North Military Trail Palm Beach Gardens, FL 33410 TIME: 9AM 1. Call Meeting To Order 2. Roll Call: • Lt. Jay Spencer, Chairman • David Pierson, Secretary • Jules Barone, Trustee • Brad Seidensticker, Trustee • Wayne Sidey, Trustee 3. Investment Manager Report – ICC Capital (Steve Stack) 4. Investment Consultant Report – Thistle Asset Consulting (John McCann) • IPG 5. Administrator Report – Resource Centers (Audrey Ross) • DROP Distribution Discussions • Audit Engagement Letter • Fiduciary Insurance Renewal 6. Attorney Report – Law Offices of Perry & Jensen (Bonni Jensen) 7. Approval of Minutes • September 3, 2009 Regular Meeting 8. Disbursements 9. Benefit Approvals 10. Financial Statements 11. Old Business 12. Other Business • 2010 Meeting Dates 12. Adjourn Next Meeting Date: Needs to be scheduled PLEASE NOTE: Should any interested party seek to appeal any decision of this Board with respect to any matter considered at such meeting or hearing, s/he will need a record of the proceedings and for such purpose may need to ensure that a verbatim record of the proceedings is made, which record includes the testimony and evidence upon which the appeal is to be based. Minutes 09-03-09 - Palm Beach Gardens Police.doc Page 1 of 4 City of Palm Beach Gardens Police Officers’ Pension Fund Minutes of the Meeting Held SEPTREMBER 3, 2009 The regular meeting of the Board of Trustees of the City of Palm Beach Gardens Police Officers’ Pension Fund was called to order at 3:03 AM by Wayne Sidey in the Council Chambers at the Palm Beach Gardens City Hall at 10500 North Military Trail, Palm Beach Gardens, Florida. TRUSTEES PRESENT OTHERS PRESENT Jay Spencer, Chairman (arrived 3:51) Audrey Ross (The Pension Resource Centers) David Pierson, Secretary Bonni Jensen (Law Offices of Perry & Jensen) Brad Seidensticker, Trustee Donna Cannon (PBG Clerk’s Office) Jules Barone, Trustee (departed 3:51) John McCann (Thistle Asset Consulting) Wayne Sidey, Trustee Steve Stack (ICC Capital Management) INVESTMENT MANAGER REPORT ICC Capital – Presented by Steve Stack Mr. Stack updated the board on the current market environment. He reported that financials have led certain stock rallies recently and that he thinks that technology will continue the rally out of the recession. Mr. Stack commented that he likes the way their portfolio is positioned and they should benefit from it in this current market. Mr. Stack reported that they put a lot of money back to work in April and May which was also a benefit. As of date, the equities are up by 11.32% and the fixed income is also up by 3%. On the fixed income side they traded some 10 year bonds and bought some 30 years bonds and American bonds. Mr. Stack commented that they are only looking at new issuance so they are trying to find some good yields. He reported that the corporate bonds have been out performing and as far as the fixed income side they are staying short on the duration, in which the average duration on the fixed income side is 3.94% due to the pooled (mortgage) funds. Mr. Seidensticker commented that he is more worried about deflation than inflation at this time. Lastly, Mr. Stack stated that he would like the Board to allow them to invest in BBB bonds in the future and explained why. Ms. Jensen commented that it would take an Ordinance change to allow that. INVESTMENT CONSULTANT REPORT Thistle Asset Consulting – Presented by John McCann Mr. McCann reported that it was a great quarter with international up by 25% and the fixed income also did great. He reviewed the asset allocation for the quarter ending June 30, 2009 and reported that there is 57% in equities, 36% in fixed income and 7% in cash. Mr. McCann commented that this fund has a great Minutes 09-03-09 - Palm Beach Gardens Police.doc Page 2 of 4 diversified portfolio at this time. He stated that there is no need for any more rebalancing at this time; we will just let the equities do the work. Within the last 2 months the portfolio is up about $4M which is about 14%. Mr. McCann reviewed the returns for the quarter ending June 30, 2009. The total fund was positive but behind the benchmark at 9.93% versus 12.71%, the total equities did great this quarter at 17.80% versus the benchmark at 18.79% and the total fixed income out performed at 1.90% versus 1.79%. Mr. McCann then reviewed the performance for the quarter by each manager: • Rhumbline S&P 500 - Slightly behind the benchmark at 15.87% versus 15.93%. • Rhumbline S&P 400 – Had a great quarter at 18.66% versus the benchmark at 18.75%. • Rhumbline S&P 600 – Almost outperformed the benchmark at 20.81% versus 21.06%, • ICC Large Cap Equity – This portfolio is actively managed and had a good return for the quarter but still behind at 15.01% versus 16.32%. • International Equity – Underperformed the benchmark slightly at 25.01% versus 25.85%. Mr. McCann reported that all junk bonds did well within the quarter which this fund does not buy into. They fund is taking less risk and is getting a better return. He commented that the fund is doing great with good diversification. Mr. McCann reviewed the revised Investment Policy Guidelines that he presented to the board. He explained that he revised the items that pertained to the new law changes, but in order to abide by the new changes an Ordinance change would need to take place. Ms. Jensen stated that she will review the changes that were made and get back to the board at the next meeting. Lastly, Mr. McCann reviewed some information pertaining to Israel bonds. He commented that it would be a great diversification to add into the portfolio, but he would like to know how much the Board would be considering to put into this investment. Mr. Stack commented that the yields are adequate, but you are in it for the duration of the bond and you probably won’t get the kind of yield that you want. The board agreed not to move forward with this kind of investment. ADMINISTRATOR REPORT Resource Centers – Presented by Audrey Ross NA ATTORNEY REPORT Law Offices of Perry & Jensen - Presented by Bonni Jensen Ms. Jensen reviewed the revised tax withholding tables that were recently published by the IRS. Ms. Ross stated that we notified the members of this change if they wanted to take advantage of it although it is not mandatory. Ms. Jensen reviewed the addendum to the Administrative agreement that has been revised due to Tegrit converting back to their old name, The Pension Resource Centers. Minutes 09-03-09 - Palm Beach Gardens Police.doc Page 3 of 4 MOTION: Mr. Barone made a motion to approve the addendum to the Administrators agreement. SECOND: Mr. Pierson seconded the motion. CARRIED: The motion carried unanimously 4-0. Ms. Jensen reported the changes that were made to the State Statute. • Can expand Trustee terms from 2 years to 4 years and she reviewed the advantages and disadvantages of this. • To allow retires to make 3rd party insurance payments so they will then be eligible for the $3,000 deductions. • Foreign investments have increased from 10% to 25%. • They want the fund to identify the scrutinized companies and not to invest in them. Ms. Jensen reviewed the scrutinized companies they would be referring to and commented that the State has a list that identifies which companies are in compliance. • Members can change their beneficiaries up to two times with out notification to the board. • Lastly, if a Municipality was to close the pension plan, than everyone must be paid out. The board had a lengthy discussion on all the different changes. MOTION: Mr. Spencer made a motion to approve expanding the Trustee terms from 2 years to 4 years effective next term. SECOND: Mr. Pierson seconded the motion. CARRIED: The motion carried unanimously 4-0. MOTION: Mr. Sidey made a motion to allow retirees to make 3rd party insurance premiums. SECOND: Mr. Spencer seconded the motion. CARRIED: The motion carried unanimously 4-0. MINUTES MOTION: Mr. Seidensticker made a motion to approve the minutes from the April 30, 2009 regular meeting. SECOND: Mr. Pierson seconded the motion. CARRIED: The motion carried unanimously 4-0. DISBURSEMENTS APPROVALS MOTION: Mr. Seidensticker made a motion to approve the disbursements. SECOND: Mr. Sidey seconded the motion. CARRIED: The motion carried unanimously 4-0 Minutes 09-03-09 - Palm Beach Gardens Police.doc Page 4 of 4 INANCIAL STATEMENTS The board reviewed and discussed the financial statements that were provided through July 31, 2009. The board received and filed the financial statements through July 31, 2009. BENEFIT APPROVALS MOTION: Mr. Spencer made a motion to approve the benefit approvals for David O’Neill, Diego Artola, Glenn Brown and Robert Wummer. SECOND: Mr. Sidey seconded the motion. CARRIED: The motion carried unanimously 4-0 OLD BUSINESS NA OTHER BUSINESS The board reviewed the letter that they received from the Division of Retirement accepting all prior Actuarial Reports. Ms. Ross notified that board that Mr. Palmquist has reviewed this letter as well and stated that there is no action that needs to take place. AJOURN There being no further business, and the future meetings are scheduled for the last Thursday of the first month of the quarter. The next regular meeting is scheduled for Thursday October 29, 2009 at 9AM; the Trustees officially adjourned the meeting at 4:14PM. Respectfully submitted, ______________________________ DAVID PIERSON, Secretary PALM BEACH GARDENS POLICE PENSION FUND Benefit Approvals Meeting of October 29, 2009 DEATH NOTIFICATION & BENEFITS SAM NASCA (BENEFICIARY – SHIRLEY FELTZ: WIFE) MEMBERS DATE OF BIRTH 05/09/1953 DATE OF HIRE 01/30/1994 DATE OF RETIREMENT 10/25/2003 DATE OF DEATH 09/18/2009 BENEFICIRIES DATE OF BIRTH 07/19/1952 MEMBERS FORM OF BENEFIT 100% J&S MEMBERS MONTHLY BENEFIT $2,814.78 BENFICIRIAES MONTHLY BENEFIT $2,814.78 APPROVED: ______________________________________, CHAIRMAN APPROVED:______________________________________, SECRETARY ED __________________________________________, DATE Resource Centers LLC – Omega Recordkeeping Group LLC Pension Resource Center LLC – Financial Resource Center LLC THE RESOURCE CENTERS, LLC 4360 Northlake Boulevard, Suite 206 Palm Beach Gardens, FL 33410 Phone (561) 624-3277 Fax (561) 624-3278 WWW.RESOURCECENTERS.COM PALM BEACH GARDENS POLICE OFFICERS’ PENSION FUND 2010 MEETING DATES THE BOARD MEETS ON THE 1ST MONTH FOLLOWING THE END OF A QUARTER ON THE LAST THURSDAY @ 9AM January 28, 2010 April 29, 2010 July 29, 2010 October 28, 2010 ULLICO LABOR PROTECTION GROUP a voluntzry membership organization operating pursuant to the Liabilitg Risk Retention Act of 1986 and whose principal office is 4323 Wanen Street, NW, Washington, DC 20016-2437 FIDUCIARY LIABILITY INSURANCE PREMIUM QUOTATION Date Irsued: Quotitlon No: lrsued by: Insurance Representative: Addras: Trust(s) or PIin(s): Address: Policy Period: Oct 22,2009 Underwriter: Ann Hughes 9931 580A Renewal: Y Hudson insurance Company 17 State Street New York, NY I0004 Sandie Kysa United Members Insurance. lnc. 6826 W. Linebaugh Avenue Tampa, FL33625 PALM BEACH GARDENS POLICE OFFICERS PENSION FUND 4360 NORTHLAKE BLVD. STE 206 Palm BeachGardms.FL 33410 l2/1/2009 to I2/1/2010 Pending or Prior Proseedlng D8te: 12/1/2002 . Contlnuitr D8te: (c)rso.o~ (d)S25.0a) (e)S250,0a) NONE, FUIJ. PRIOR ACTS AGGREGATE LIMIT: aggregate limit of liability for dl loss VOLUNTARY COMPUCE PROGRAM EXPENDITURE SUB-LIMIT: aggregate limit of Ihbilily for dl Voluntary Compliance Program Expenditures (included within and not in nddition to the maximum aggregate limit of liability scf forth in ITEM 4(4 above) .50Z(c) CIVIL PENALTIES SUB-LIMIT: aggregate ILnit of liability for nU lors in thc form of civil penalties or excise IPX imposed pursuant to Section SOZ(c) of ERISA and the Pension Piotection Act of zw6 (included within and not in addition to the rmxjmum aggregate limit of liability set fonh in ITEM 4(a) above) HIPM FINES AND PENALTIES SUB-LIMIT: aggregate limit of liability for dl 10s. in thc form ofcivil fines and penalties imposed pursuant to HlPAA (included within and not in addition to thc mnximum aggrcgntc lit of liability set fonh in ITEjM 4(a) above) TRUSTEE CLAIM EXPENSES SUB-LIMIT aggregate limit of liability for 111 Claim Expcnscs in connection with Claims rolely alleging Wrongful Acts as dcfincd in Section II.N.4 (included within and not in addition to the mnximum zggrcptc limit of liability set fonh in ITEM 4(3 above) Retention Amount: Coverage: Premlum: so Each Claim Hudson lnrurdncc Company Fiduciary Liability lmumcc Claim-Made Policy Form (WL-1004). Claims Expenaea Inclusive (a) $6.199.00 Basic Premium (b) N/A (c) $185.97 FLTnr/Other (e) 16.158.00 Waiver ofRccourse Prcmium (not to be paid by pian) (d) 16.384.97 Toni Additional Premium for Extended Reporting Period, subiect to Section 1V.B CondltiondCoverage SubJect to: The following endorsements will attach to the policy: I. HFL Florida Amendatory Endorsemcnt 2. H20 3. HAE Waiver of Recourse Actuarial Assumptions or Projections Exclusion ThIs quotation is valid for a period of thirty (30) days from the hue Dale shown above unless amended or withdrawn by ULLlCO Casualty Company with or without cause, prior to its acceptance and binding, and is subject to the terns and conditions of the policy (is] to be issued. lfrhe information supplied by the trust or plan in the application changes between the date of the application for this insurance and the eflective date ofrhe insurance or the time when thepolicy is bound (whichever is later). the trust orplan must immediotely noti/u Hudson (Hudson) in writing ofsuch ehonges and Hudson may withdraw or omend my outsfanding quotations based upon such changes. ULLICO Labor Protection Group is administered by ULLICO Casualty Group, Inc., &/a Ulico Insurance Group, Inc.; in CA and NY, Ulico Insurance Agency. CA License # OEl6939 and FL (Daniel Aronowitz) License # PO03599 THE LAW OFFICES OF PERRY & JENSEN, LLC ANN H. PERRY apeny@perry]ensenlaw.com MEMORANDUM TO: Board of Trustees Palm Beach Gardens Police Pension Fund - FROM: Bonni S. Jensen The Law Offices DATE: November 2009 & Jensen, LLC RE: State Law Updates BONN1 SPATAW JENSEN bsjensen@perryjensenlaw.com Effective October 1, 2009, the Legislature amended §119.071 of the Florida Statutes, regarding the use of social security numbers. The changes include repeal of the requirement to report annually to the Governor, President of the Senate and the Speaker of the House whether a pension board has provided social security numbers to any commercial entity during the year. The law continues to recognize that social security numbers are generally confidential and exempt from §119.071, Florida Statutes. New language was added to clarify the conditions under which social security numbers held by an agency may be disclosed. The new language specifically states social security numbers may be disclosed for the purpose of the administration of a pension fund administered for the agency employee’s retirement fund, deferred compensation plan, or a defined benefit plan. The law also requires that the collection of social security number policy be amended to refer to the specific law permitting the collection of the numbers. In the case of the Pension Fund, the citation is Florida Statutes §I 19.071(5)(a)6g. If you have any questions or if you would like a copy of the enrolled bill, please contact my office. ESJRa Copy: Administrator H:WI MiscellaneousWLL EOARDS\2009\SSN Use ChangesESN Use Changes Memo MERGED.wpd 400 EXECUTIVE CENTER DRIVE, SUITE 207.:. WEST PALM BEACH, FLORIDA 33401-2922 PH: 561.686.6550 e:* FX: 561.686.2802 - Resource Centers Accounts Payable Check Register FOR PALM BEACH GaRDENS POLICE /Check Number1 Date I Payee and Description i Amount I I 2206 2207 2208 2209 2210 221 1 2212 2213 2214 2215 August 31,2009 October 1.2009 October 1.2009 October 1,2009 October 5.2009 October 5, 2009 November 1,2009 October 26.2009 October 26.2009 October 28,2009 Pension Resource Centers Admin Fees September 09 City of Palm Beach Gardens Retiree Insurance City of Palm Beach Gardens Retiree InsuranceCouncil Pension Resource Centers Admin Fees-October 09 Gabriel Roeder Smith & Company Consultrng Services lhru 8131109 Perry 8 Jensen LLC Legal Services Rendered thru 9130109 City of Palm Beach Gardens Retiree Insurance ICC Capital Management 3rd Quarter Management Fees Rhumbline Advisers 3rd Quarter Investment Fees Thistle Asset Consulting Inc Consulting Sewices 9130109 $2.301.11 $2.798.32 $1.428.74 52.491.57 $2,356.00 $685.37 $4,227.06 $22.061.62 $2.942.31 $3.478.00 Total $44.770.10 - - Secretary Date Palm Eeach Gardens Police BANK ATLANTIC VENDOR: 0000000 00001 .i INVOICE NUMBER I INVOICE DATE I INVOICE AMOUNT E09C356 108/31/09 I 2,301.11 CHECK NO. CHECK DATE VENDOR NO. UUUULLUti VENDORNO 0,0769 000000000001 AMOUNT PAID DISC. TAKEN NET AMOUNT 2,301.11 I .oo I 2,301.1 INVOICE AMOUNT AMOUNT PAID P31m €each Gardens Police 2,301.11 VENDOR. 00 0 0 00 00000~ I INVOICE NUMBER 1 INVOICE DATE E230356 /08/3 1 / 09 I 2,301.11 VENDORNO I OOOO( DISC. TAKEN .oo ieck Total 00002206 000001 NETAMOUNT ' 2,301.11 2,301.11 Resource Centers, LLC ’ 4360 Northlake Blvd Ste 206 Palm Beach Gardens. FL 33410 ___ .... ~ Bill To .. .. . ..._ ... &.. ~ i Palm BeachGardcns Police Pension Fund J’ ... ! I Invoice r-~ i i Invoice# j i c - T- - d ...... . i j 8/?I/ZOOY I BOY0356 j !.,~ ............... : .. ! . - ................ ...______ I 1 Tax ID Numbers ! . ................... .- Resource Centers, LLC 87-0800468 Pension Resource Center, LLC 364504183 j Financial Resource Center, LLC 87-0800465 ~ i i . ......... ........... i Description __ .............. _ .................... -. ........ ..- .. Palm Beach Gardens Police I’msion Fund - Admin Fee Cor the month ofSeptemkr 200Y Federal Express shipping overnight to Division of Rrtiremenl ..... ...- ... I City 1 Rate 1 Amount ............ i. . 1. ............. j 2.275.00 i 2.275.00 1 ~ 26. I I ~ 26.1 I I i .......... Total Amount Due Mail Payments lo: Resource Centers. LLC at Palm Beach Gardens Address OR ACH Payment to: First Southern Bank First Southern Bank First Southcrn Bank Financial Resource Center Pensiun Resource Center Resource Centers. LLC ABA #:0670 128% ABA #: 067012895 ABA # 0670128Y5 Account #: 8061096806 Accuunt #: 806lO93306 Account # 8063659206 If you have any questions concerning this invoice. please conlacl Denise McNeill at Resource Centers. LLC Phone 561-459-2966 or Ernail - Denise~~resourcecenters.com Palm Beach Gardens Poiice I NVOlCE DATE I INVOICE AMOUNT 1,331.59 1,331.59 1.370.52 1,370.52 90.21 0/01/09 O/Ol/OS VENDOR: 00000000( INVOICE NUMBER 105053 .oo ' 1,33 1 .5 9; .oo .oo :05054 305055 105056 I NVOlCE DATE I INVOICE AMOUNT 1,331.59 1,331.59 1.370.52 1,370.52 90.21 0/01/09 O/Ol/OS UUUUZZU 1 .oo ' 1,33 1 .5 9; .oo .oo INVOICE NUMeER 0/01/09 ' 1,331.59 1,331.59 0/01/09 0/01/09 90.21 6.00 .oo eck Total 1,370.52, 90.21 6.00 2,19a.321 I i , . .. :. Palm Beach Gardens Police 00002207 63-837612670 4360 Northlake Elvd Ste 206 Palm Beach Gardens, FI 33410 DANK ATLANTIC PAY TWO THOUSAND SEVEN HUNDRED NINETY-EIGHT AN TOTHE CITY OF PALM BEACH GARDENS ORDER 10500 N MILITARY TRAIL OF ATTN: LAUREN FERREIRA PALM BEACH GARDENS FL 33410 VOID AFTER 180 DAYS 0/01/09 0/01/09 0/01/09 1,370.52 90.21 6.00 1,370.52 90.21 6.00 YENOOR NO OOOO( .oo .oo .oo .00 DISC. TAKEN eck Total 00002207 000458 NET AMOUNT 1,331.59 1,370.52 90.21 6.00 2,798.32 00002208 0/01/09 I 1,331.59 I 1.331.59 I .oo ?aim Beach Gardens Police ' 1 I 331.598 VENDOR: 00000000 ! INVOICE NUMBER 1005 0 57 9/01/09 1,331.59 1,331.59 O/Ol/OS O/Ol/O9 95.65 1.50 95.65 .oo .oo eck Total 95.65 1.50 1,428.74 00002208 Palm Beach Gardens Police 4360 Northlake Blvd Ste 206 Palm Beach Gardens. FI 33410 53.837612670 CHECh NO CHECK DATE VENDOR NO BANK ATLANTIC 2206 10/01/09 000000000458 AMOUNT $1,428.74 PAY ONE THOUSAND FOUZ HUNDRED TWENTY-EIGHT AND 74/10 TOTHE CITY OF PALM BEACH GARDENS ORDER 10500 N MILITARY TRAIL OF ATTN: LAUREN FERREIRA PALM BEACH GARDENS FL 33410 , . :.: VOID AFTER 180 DAYS 0;o 1;o 9 0/01/09 95.65 1.50 95.65 1.50 ( 00002208 YENOORNO I 00001 300456 NET AMOUNT 1.331.59 DISC. TAKEN .oo .oo .oo ieck Total 95.65 1.50 1.426 .I4 00002209 NET AMOUNT 11.0/01/09 1 2,491.57 I 2,491.57 .oo SG 90 3 95 eck Total Palm Beach Gardens Police 4360 Northlake Blvd SIe 206 Palm Beach Gardens, FI 33410 2,491.57 2,491.57 * c- 00002209 63837612670 NVOICE DATE I INVOICE AMOUNT I AMOUNT PA!D 2,491.57 I 2,491.57 0/01/09 ' TC.10 THOUSAND FOUR HUNDRED NINETY-ONE AND 57/100 BANK ATLANTIC PAY TO THE PENSION RESOURCE CENTER ORDER 4360 NORTHLAKE BLVD STE 206 OF PALM BEACH GARDENS FL 33410 VOID AFTER 180 DAYS 11'0000 2 20 911' I: 2 L 708 3 7 6 3l:OOL 3 3 L 5 60 311' NET AMOUNT DISC. TAKEN I .oo 2,491.57 Check Total 00002209 2,491.57 Resource Centers, LLC 4360 Northhke Blvd Ste 206 Palm Beach Gardens, FL 33410 Invoice _. , .. .. I Date d _* .. ..... ... ,, - __lj I 1 TaxIDNumbers k-- ........... ............. i Resource Centers, LLC 874800468 j I i j Pension Resource Center, LLC 364504183 j ! Financial Resource Center, LLC 870800465 I ! i i ................ . ............. . ....... - ...... ! I ! ,-.- , I ......... ~ - ........... __ ... . ?, . ~ ....... I 1 t 1 Qty ; Rate ; Amount i ~ RetirrmentfDrop Application Fee; Brown & O'Neill 2 100.00 200.00 ! ... ......... ................... ... ... .; .. ~ ..-- ! Description ,... I Palm Beach Gardens Police Pension Fund - Admin Fee for the month ofOctohr 2.275.00 ' 2,275.w) i j FED-EX Overnite Shipping I 16.57 16.57 j 1 1 ~ ! ...... ---4 Total Amount Due $2,491.51 Mail Payments to: Resource Centers, LLC at Palm Beach Gardens Address OR ACH Payment to: First Southern Bank First Southern Bank First Southern Bank Financial Resource Center Pension Resource Center Resource Centers. LLC ABA #:067012895 ABA #: 0670 12895 ABA # 0610l2895 Account #: 8061096806 Account #: 8061093306 Account # 8063659206 lfyou have any questions concerning this invoice. please contact Denise McNeill at Resource Centers. LLC Phone 561-459-2966 or Email . Denise@resourcecenters.com I INVOICE DATE I INVOICE AMOUNT AMOUNT PAID DISC TAKEN 1 1 .VOICE NUMBER ~~~0~33000109442 110/05/09 I 2,355.00 I 2,356.00 .oo eck Total Palm Beach Gardens Police 4360 Northlake Blvd Ste 206 Palm Beach Gardens. FI 33410 NET AMOUNT 2,3 56 . 0 0, 2,356.00 0000221 0 63.837612670 .oo ' BANK ATLANTIC PAY Tk]O THOUSAND THREE HUNDRED FIFTY-SIX AND 00 TOTtii GABRIEL ROEDER SMITH & COMPANY ' ORDE.. P.O. BOX 78000 OF DETROIT MI 48278 2.356.0C VOID AFTER 180 DAYS ,*-I, ,.~ 3/05/09 ' VF'I-?LJf7 00000000~ .: (11 'I $3 c I; 0 0 0 10 9 4 4 2 ;N'JOICE NUMBER __ 2,356.00 ~ AMOUNT PAID 2,355.00 ( 0000221 0 eck Toial 2,356.00 - Gabriel Roeder Smith & Company ' Suite 505 -- Invoice Consultants & Actuaries One East Broward Blvd. Ft. Lauderdale, Florida 33301-1872 GRS (954) 527- 16 I6 9/14/2009 109442 GARDENS POLICE OFFICERS PENSION FUND Mr. J. Scott Baur, Administrator Resource Centers, LLC 4360 Northlake Blvd., Suite 206 Palm Beach Gardens, FL 33410 :or services rendered through 8/3 1/09. . DROP accounting since 6/30/09. '. Retirement Benefit Calculations for: O'Neill. Brown . Buy Back Calculation for: Sligglr . Charges to date for preparation 01 the lO/l/09 Actuarial Valuation Report :l&t No. 100360 PLEASE INDICATE THE INVOICE NUMBER ON YOU1 Dept. # 78009 Gabriel Roeder Smith & Company PO Box 78000 Detroit, Michigan 48278-0009 ACH Payment to: Gabriel Roeder Smith & Company JPMorgan Chae, ABA #: 0720003 Account #: 0486723 Or 100360-053 100360-053 100360-053 100360-053 Invoice Total Paid to Date Amount Due EMITTANCE. T€ $919 $600 $400 $437 $2.356 J $2,356 NK YOU. - :~:OCOOOOO063315 110/05/09 I y>*.~"Lix .I I, , , . , , ,; (? !I%-?-j Palm Beach Gardens Police 4360 Northlake Elvd Ste 206 Palm Beach Gardens. FI 33410 0000221 1 63.837612670 0/05/09 ' BANK ATLANTIC PAY SI:< HtJPJDRED EIGHTY-FIVE AND 37/100 $$$$$$$$$$$$$$ TOThE PERRY & JENSEN, LLC ORDEil 400 EXECUTIVE CENTER DRIVE SUITE 207 OF WEST PALM BEACH FL 33401 ~.> ;iio*o .. I8 VOID AFTER 180 DAYS 685.37 0000221 1 AMOUNT PAID 685.37 ( VENDORNO I 000000000010 DISC. TAKEN 1 NET AMOUNT 685.37 ^^ .vu ieck Total 685.37 - THE LAW OFFICES OF PERRY & JENSEN, LLC ANN H. PERRY apeny@perfyjans8nlaw.com September 30,2009 Via Ernail Palm Beach Gardens Police Pension Fund Resource Centers, LLC Attn: Scott Baur & Bonnie Lindberg & Audrey Ross 4360 Northlake Boulevard, Suite 206 Palm Beach Gardens, FL 33410 ,' BONN1 SPATAFA JplsEN bsjensen@perryjensenlaw.com Re: Lesal Services Provided Invoice #63315 Dear Scott & Bonnie: Enclosed please find the Firm's invoice for services rendered for the period that ended 9/15/2009. Thank you for your payment of $235.50. Your current balance due is $68537.6 If you have any questions, please do not hesitate to contact me ESJladt Enclosure Copy to: Jay Spencer, Chairman David Pierson, Secretary Via Email Only 400 EXECUTIVE CENTER DRIVE, SUITE 2079 WEST PALM BEACH. FLORIDA 33401-2922 PH: 561.686.6550 9 FX: 561.686.2802 ~ THE LAW OFFICES OF PERRY & JENSEN, LLC 400 Executive Center Drive Suite 207 West Palm Beach, FL 33401-2922 Invoice submitted to: Palm Beach Gardens Police Pension Fund Scott Baur & Bonnie Lindberg & Audrey Ross-via email do The Resource Centers, LLC 4360 Northlake Boulevard, Suite 206 Palm Beach Gardens FL 33410 Copy to: Chairman & Secretary September 29,2009 In Reference To: FOR PROFESSIONAL SERVICES RENDERED AS FOLLOWS: Client / File No.: 0003 Invoice #63315 Professional Services HrslRate Amount Administrator - PRC 9/1/2009 BSJ Draft Draft Release language Administrator - PRC 0.25 50.00 200.001hr 9/3/2009 ADT Review 0.10 7.50 Review and respond to email from Audrey re: Administrative Addendum for execution Administrator - PRC 75.001hr 9/11/2009 BSJ Correspondence with Correspondence with Audrey Ross for Addendum Administrator - PRC SUBTOTAL: Attendance at Trustee Meetinqs 0.10 20.00 200.001hr [ 0.45 77.501 9/2/2009 ADT Prep Atty Rept 1 .oo 75.00 Prepare Attorney Report, Handouts, and Folder for upcoming Meeting - 75.001hr 9/3/09 .. Attendance at Trustee Meetings Palm Beach Gardens Police Pension Fund 9/3/2009 BSJ Attend Attend meeting Attendance at Trustee Meetings SUBTOTAL: DROP 9/2/2009 ADT E-Mail E-Mail to Sarah Carr for status and review response DROP SUBTOTAL: Investment Policy Guidelines 9/3/2009 BSJ Review Review Pension Plan Document re: Bond holdings Review Investment Policy Guidelines Investment Policy Guidelines Page 2 HrslRate Amount 1.50 300.00 200.00/hr [ 2.50 375.001 0.20 15.00 75.001hr [ 0.20 15.00] 0.35 70.00 200.001hr BSJ Review 0.50 100.00 Review Investment Policy Guidelines and Financial Statements 112.661 Investment Policy Guidelines 200.001hr SUBTOTAL: For professional services rendered Additional Charges : Bill File 9/11/2009 PJ UPS Delivery United Parcel Service Invoice No.: OOOF49280389 Tracking #12F492800399090629 to / from Resource Centers, LLC (split with another fund) Bill File 9/15/2009 PJ Photocopies$ Copy Charges Bill File [ 0.85 170.00] 4.00 $637.50 Qtv/Price 1 2.37 2.37 182 45.50 0.25 Palm Beach Gardens Police Pension Fund SUBTOTAL: Total additional charges Total amount of this bill Previous balance Total payments Balance due Page 3 QtvlPrice Amount [ 47.871 $47.87 $685.37 $235.50 ($235.50) $685.37 Pai'm Beach Gardens Police VENDOR NO VENDOR: 0 0 0000 0 0 04 56 OOOO( ' ~ INVOICE NUMBER 1 INVOICE DATE I INVOICE AMOUNT AMOUNT PAID I DISC. TAKEN 1005060 111/01/09 I 2.663.18 1 2.663.18 I .oo INVOICE AMOUNT /005061 lljO1jO9 005062 11/01/09 005063 11/01/09 005064 11/01/09 AMOUNT PAID 1,370.52 90.21 95.65 7.50 2,663.18 .oo .oo .oo .oo eck Total 1,370.52 90.21 95.65 7.50 2,663.18 UUUUZZl2 .oo 1,370.521 90.21: 95.65 7.50 4,227.06 2,663.18 ' Palm Beach Gardens Police 4360 Northlake Blvd Ste 206 0000221 2 Palm Beach Gardens, FI 33410 63.831612670 BANK ATLANTIC PAY FOUR THOUSAND TWO HUNDRED TWENTY-SEVEN AND TOTHE CITY OF PALM BEACH GARDENS ORDER 10500 N MILITARY TRAIL OF ATTN: LAUREN FERREIRA PALM BEACH GARDENS FL 33410 "pPpaZa"jr!!i> 'I'cRo?F!"N VOID AFTER 180 DAYS - ~ ._ .~ ._-.I_-..-.-......_..II .~ . ~- -~ - ~. ~~.~ ~- _. . .. II'O~O 0 2 2 L 211' I: 2 L 708 3 7 L 3 1:oo 6 3 3 L 5 LO 311' Palm Beach Gardens Police VENDOR: 10 05 060 000 0 0 0 oo( ~ INVOICE NUMBER 56 NVOICE DATE libllos 1/01/09 1/01/09 1/01/09 1/01/09 1,370 -52 90.21 95.65 7.50 1,370.52 90.21 95.65 7.50 00002212 .oo .oo .oo .oo ieck Total 1,370.52 90.21 95.65 7.50 4,227.06 AMOUNT PAID ~ INVOICE NUMBER I INVOICE DATE I INVOICE AMOUNT 22,061.62 I 22,061.62 ~000000057530129 10/26/09 I Palm Beach Gardens Police 4360 Northlake Blvd Ste 206 Palm Beach Gardens. FI 33410 i I I I j BANK ATLANTIC 1 i j PAY i TWENTY-TWO THOUSAND SIXTY-ONE AND 62/100 $$;$$$$$:m& i I ........,. .... . 1 i ! I i TOTHE ICC CAPITAL MANAGEMENT 1 ORDER 390 ORANGE AVENUE 27TH FLOOR ORLANDO FL 32801 / OF ! ~ VOID AFTER 180 DAYS -.I-~.------I- -. -.~ ~ ~. ~. . ~ ~ .. ~~ ~~ , 11'00 o o 2 2 L 311' I: 2 L 708 3 7 L 31:oo L 3 3 L s LO 3 11' DISC. TAKEN NET AMOUNT .oo 22,061.62: Check Total 22,061.62, INVOICE NUMBER eck Totai cl: INVOICE DATE I INVOICE AMOUNT AMOUNT PAID 22,061.62 'C '3 0 0 0 0 0 5 7 53 0 12 9 11 0 / 2 6 / 0 9 I 22,061.62 I 22,061.62 I .oo ' 22,061.62 0ee CAPITAL MANAGEMENT PALM BEACH GARDENS POLICE PENSION FUND Invoice Date: Sep 30. 2009 The Pension Resource Center do Bonnie Lindberg 4360 Northlake Blvd Suite 206 Palm Beach Gardens, FL 33410 Invoice Number: 57530129 ICC Capital Management. Inc. STATEMENT OF MANAGEMENT FEES For the period July 0 I, 2009 to September 30, 2009 Portfolio Valuation with Accrued Interest as of 9/30/2009 ~~ 17.649.298 @ 0.50% per annum Quarterly Management Fee PastDue/Credit: TOTAL DUE AND PAYABLE Report Date: Oct 5. 2009 $ I7.649.298.14 22.061 62 $ 22.061.62 0 00 ~ Please make checks payable to: ICC Capital Management, Inc. Please remit payment to: ICC Capital Management. Inc c/o Lini Mohabir 390 N. Orange Ave. Suite 2700 Orlando, FL 3280 I 22.06 I .62 f@ 675 Thud Avenue Sulte 1805 New York NY 10017 PH 212-395-9690 IX 212-395-9695 390 North Orange Avenue 271h Floor Orlando Florlda 32801 PH 800 480 6445 wEa Pilm Beach Gardens Police na I INVOICE NUMBER I INVOICE DATE I INVOICE AMOUNT AMOUNT PAID uuuuzz14 INVOICE AMOUNT AMOUNT PAID I DISC. TAKEN VENDORNO 000000000216 DISC. TAKEN NET AMOUNT 2,942 .3 1 ?ck Total 2,942.31 NET AMOUNT VENDORNO 00000000021 fi 2,942.31 1 .oo 2,942.31 I DISC. TAKEN NET AMOUNT 2,942 .3 1 ?ck Total 2,942.31 ' 2,942.31 Palm Beach Gardens Police 4360 Northlake Blvd Ste 206 Palm Beach Gardens. FI 33410 00002214 63 8316:2670 1 BANK ATLANTIC CHECK NO CHECK DATE VENDOR NO. i AMOUNT i PAY j TWO THOUSAND NINE HUNDRED FORTY-TWO AND 31/100 $#$##$@$A $2,942.31 i i TDTHE RHUMBLINE ADVISERS 1 ORDER 30 ROWES WHARF I OF STE 420 I BOSTON MA 02110 Palm Beach Gardens Police 00002214 Check Total 2,342.31 Investment Advisory Fees October 13,2009 Invoice # 47DS23 3rd Qtr 2009 Account: Palm Beach Gardens Police Fund SBP 500 Pooled Index Fund SBP 400 Pooled Index Fund SBP 600 Pooled Index Fund Period ending 7/31 12009 8/31/2009 9/30/2009 Total Average Market Value Pooled Combined Market Values L811,L820,L830 $11,115,017 i -h3 . $1 1,820,678 $1 2,364,077 $35,307,771.27 $1 1,769,257.09 Basis Points 0.0010 x 11,769,257.09 11,769.26 Annual Fee: Quarterly Fee: We transfer information: for Rhumbtine Advisers Rockland Trusf 288 Union Sf. Rockland, Ma 02370 ABA#OI1304478 acct beneficiary:2970003824 Or by check, Please make payment to: Rhumbtine Advisers 30 ROwes Wad, Suite 42( Boston, MA 0211&3326 RhumbLine Advisers 30 Row~s Wharf. Boston. MA 02110-3326 Td: (617) 345-0434, Fax: (617) 345-0675 Palm Beach Gardens Police VENDOR: 00 oooooo( '1 INVOICE NUMBER ~000000002009084 ! NET AMOUNT UVVULL I3 0/28/09 3,478.00 I 3,478.00 I .oo 1 3,476.00 BANK ATLANTIC CHECK NO CHECK DATE VENDOR NO. 2215 I10/28/09 ~000000000322 1 c YENDOfi NO OOOO( .oo DISC. TAKEN eck Total 0000221 5 000322 NET AMOUNT 3,478.00 3,478.00 8 Thistle Asset Consulting, Inc. 1321 Piazz Delle Pallottole Renaissance Commons Boynton Beach FL. 33426 (561) 737-3996 .jf/ -) Invoice I 10119/2009 I 2009084 I Palm Beach Gardens Police Pension Fund Mr Scott Baur The Pension Resource Center, LLC 4360 Northlake Boulevard, Suite 206 Palm Beach Gardens, FL 33410 Thistle Asset Consulting 1321 Piazz Delle Pallottole Boynton Beach, Flonda 33426 u SA PALM BEACH GARDENS POLICE PENSION FUND BOARD OF TRUSTEES COMBINED INVESTMENT POLICY STATEMENT FOR ICC CAPITAL MANAGEMENT & RHUMBLINE GLOBAL ADVISORS Amended October 2009 I. PURPOSE OF INVESTMENT POLICY STATEMENT The Pension Board Trustees maintain that an important determinant of future investment returns is the expression and periodic review of the Fund's investment objectives. To that end, the Trustees have adopted this statement of Investment Policy. In fulfilling their fiduciary responsibility, the Trustees recognize that the retirement system is an essential vehicle for providing income benefits to retired participants or their beneficiaries. The Board also recognizes that the obligations of the Fund are long-term and that investment policy should be made with a view toward performance and return over a number of years. The general investment objective, then, is to obtain a reasonable total rate of return -defined as interest and dividend income plus realized and unrealized capital gains or losses -commensurate with the Prudent Investor Rule and any other applicable statute or requirement. A reasonably consistent and adequate return, protection of the assets against the inroads of inflation and safety of the assets are paramount. However, the volatility of interest rates and securities markets make it necessary to judge results within the context of several years rather than over short periods of one or two years or less. Performance will be measured quarterly. II. INVESTMENT PERFORMANCE OBJECTIVES-QUARTERLY EVALUATION MECHANISMS The below listed performance measures will be used as objective criteria for evaluating effectiveness of the Investment Managers: A. Total Return of the Combined Managers: 1. The performance of the total fund will be measured each quarter for rolling three and five year periods. These periods are considered sufficient to accommodate the different market cycles commonly experienced with investments. The return of this portfolio is expected to exceed the return of a portfolio comprising: Since Inception (3/31/92) until11/30/95- 25% S&P500, 60% Barclays Capital Aggregate Bond (SCAB), and 15% Citigroup Treasury Bill -3 month (TBill); From 12/1/95 until11/30/96- 30% S&P500, 60% SCAB and 10% TBill; 1 From 12/1/96 until 11/30/97 - 40% S&P500, 50% BCAB, and 10% TBill; From 12/1/97 until 12/31/98- 60% S&P500 and 40% BCAB; From 1/1/99 untii6/30/00- 30% Russell1000 Growth, 30% Russell1000 Value, and 40% BCAB; From 7/01/2000 until12/31/2002 the combined performance is expected to exceed the return of a portfolio comprising: 60% S&P500 and 40% BCAB. From 01/01/2003 until12/31/2003 the combined performance is expected to exceed the return of a portfolio comprising: 50% S&P500, 10% S&P MidCap 400 and 40% BCAB. From 01/01/2004 until 09/30/2006 onwards the combined performance is expected to exceed the return of a portfolio comprising: 40% S&P500, 10% S&P MidCap 400, 10% S&P SmaiiCap 600 and 40% BCAB. From 10/01/2006 until 09/30/2007 the combined performance is expected to exceed the return of a portfolio comprising: 35% S&P500, 10% S&P Mid Cap 400, 10% S&P SmaiiCap 600, 5% MSCI EAFE and 40% BCAB. From 10/01/2007 until9/30/2008 the combined performance is expected to exceed the return of a portfolio comprising: 25% S&P500, 10% S&P MidCap 400, 10% S&P SmaiiCap 600, 10% Russell1000 Growth, 5% MSCI EAFE and 40% BCAB. From 10/01/2008 onwards the combined performance is expected to exceed the return of a portfolio comprising: 25% S&P500, 1 0% S&P MidCap 400, 1 0% S&P SmaiiCap 600, 1 0% Russell 1000 Growth, 10% MSCI EAFE and 35% BCAB. B. For ICC Capital Management: The performance of the total fund will be measured each quarter for rolling three and five year periods. These periods are considered sufficient to accommodate the market cycles commonly experienced with investments. After July 1, 2000 the return of this portfolio is expected to exceed the return of the BCAB. After October 1, 2008 the return of this portfolio is expected to exceed the return of 78% of the BCAB Index and 22% of the Russell1000 Growth Index. 2 C. For Rhumbline Global Advisors The performance of the total fund will be measured each quarter for rolling three and five year periods. These periods are considered sufficient to accommodate the market cycles commonly experienced with investments. After July 1, 2000 until December 31, 2002 the return of this portfolio is expected to match the return of the S&PSOO Index. From January 1, 2003 until December 31, 2003 the return of this portfolio is expected to match the return of an 80% S&PSOO and 20% S&P MidCap 400 policy. After January 1, 2004 the return of this portfolio is expected to match the return of a 60% S&PSOO, 20% S&P MidCap 400 and 20% S&P SmaiiCap 600 policy. After October 1, 2007 the return of this portfolio is expected to match the return of a 56% S&PSOO, 22% S&P MidCap 400 and 22% S&P SmaiiCap 600 policy. D. For International Equity Mutual Funds After October 1, 2006 the return of this portfolio, which is made up of three (3) Vanguard Mutual Funds, is expected to exceed the return of the MSCI EAFE Index Fund. E. For Each Investment Manager: 1. Relative to other similar investment managers, it is expected the manager's performance with regard to the total return of the fund will be in the top forty percent ( 40%) of the appropriate Performa Universe over three to five year periods. When performance is below the standard, the manager will report to the Trustees the reasons for the occurrence and the steps taken to avoid reoccurrence. a. On an absolute basis, it is expected that the total return of the fund will equal or exceed the actuarial earnings assumption, and equal or exceed the Consumer Price Index, plus 3% over three to five year periods. When performance is below these standards, the manager will report to the Trustees the reasons for occurrence and the steps taken to avoid reoccurrence. b. From time to time the performance monitor may adjust or change the evaluation indices and/or universes so as to more adequately measure and evaluate the investment manager's particular equity and fixed income investment style. Any such adjustment or change would be communicated to both the Investment Manager and the Pension Board Trustees at the time of said adjustment or change. Ill. INVESTMENT GUIDELINES A. Authorized Investments 1. To include Certificates of Deposit up to a $100,000 maximum value and money market deposit accounts of a national bank, a state bank or a savings and loan association insured by the Federal Deposit Insurance Corporation. 2. Obligations issued by the United States Government or obligations guaranteed as to principal and interest by the United States Government. 3 3. Stocks, bonds or other evidences of indebtedness issued or guaranteed by a corporation organized under the laws of the United States, any state or organized territory of the United States, or the District of Columbia, provided: i. Equities will be traded on one or more of the following recognized national exchanges: 1. New York Stock Exchange 2. American Stock Exchange 3. The NASDAQ Stock Market b. The individual issue meets the following rating criteria: 1. Fixed income: Standard & Poor's, AAA, AA, A, BBB or Moody's Aaa, Aa, A, Baa 2. Equities: Value Line Investment Survey Rank for Safety, 1, 2, and 3 or Standard & Poor's A+, A or A- 3. Money Market: Standard & Poor's A 1 or Moody's P1 c. Not more than five percent of the Fund's assets shall be invested in the common stock or capital stock of any one issuing company, nor shall the aggregate investment in any one issuing company exceed five percent (5%) of the outstanding capital stock of the company. Fixed income investments shall mean publicly traded debt securities issued by the United States Government or agencies of the Unit~d States Government, sovereign and supranational debt, domestic corporations and domestic banks and other United States financial institutions or mortgage/asset backed securities. "Yankee bonds" (debt securities issued by foreign entities denominated in U.S. dollars which are traded domestically) are also available for investment. Use of To Be Announced (!BAl Securities. All investments in TBA securities shall be issued by a Federal Agency or be of investment grade. Cash equivalent balances to satisfy the transaction must be available at the time of purchase and held until final settlement. Prohibited Securities. The following types of asset backed securities and collaterized mortgage obligations are not permissible for investment using the Fund's assets without the Trustees' prior written approval: 1. Securities paying Interest Only (ID's). 2. Securities representing Principal Only (PO's). 3. Accrual Bonds (z-tranches). 4. Inverse or Reverse Floaters with a multiplier greater than 1.00 or less than -1.00. 5. Asset pools not domiciled in the United States. 6. Collateralized Bond Obligations (CBO's) 7. Collateralized Debt Obligations (COO's) 8. Collateralized Loan Obligations (CLO's) 4 9. Companion bonds. 4. Mutual Funds, commingled stock, bond or money market funds whose individual investments are restricted to securities meeting the criteria expressed in Ill. 5. Bonds issued by the State of Israel. 6. The use of unhedged and/or leveraged derivatives will not be allowed in any form. 7. International Equity Stocks or Mutual Funds may be purchased. B. Limitations Investments in corporate common stock, international equities, convertible bonds and convertible preferred issues should be targeted at sixty percent (60%) of the fund at market value and shall not exceed seventy percent (70%) of the fund assets at cost. No restriction is placed on the Fund's percentage holdings of bonds or cash. " Not more than twenty-five percent (25%) of any manager's Total Fund portfolio, at market value, shall be invested in foreign stocks or bonds. The manager must immediately notify the Board and the Consultant when the foreign exposure reaches ten-percent (1 0%). An explanation will be needed as to why the manager is changing their discipline (this excludes the investment in foreign mutual funds). In accordance with the Protecting Florida's Investment Act (Fla. Stat. 215.473), the Board is prohibited from directly investing in any companies, identified by the State Board of Administration (SBA) on its website each quarter, as a scrutinized company. The investment Consultant and each investment manager shall review its investments each quarter to determine whether it is required to sell, redeem, divest or withdraw any publicly traded security of a company identified by the SBA as a scrutinized company and shall notify the Board each quarter, in writing, of the results of its review. Beginning no later than January 1, 2010, the Board shall sell, redeem, divest or withdraw all publicly traded securities it holds in any scrutinized company by no later than September 10, 2010 for Chapter 185 plans. Mutual and Commingled Funds may be excluded from this restriction as long as a similar fund, that is in compliance with the above restriction, is . NOT available. IV. COMMUNICATIONS AFFECTING BOTH MANAGERS A. The custodian shall apprise the Trustees of all transactions and shall forward all proxies to the Managers within five calendar days. On a monthly basis, the custodian shall supply an accounting statement which will include a summary of all receipts and disbursements and the cost and the market value of all assets. On a quarterly basis, the Managers shall provide a written report affirming compliance with the security restrictions of Section Ill above and a summary of common stock diversification and attendant schedules. In addition, the Managers shall provide each quarter a report detailing the fund's performance, adherence to the investment policy, forecast of the market and economy, portfolio analysis and current assets of the Trust. Written reports shall be mailed to the Trustees within 60 days of the end of the quarter. The Managers will provide immediate written 5 and telephone notice to the Chairman of the Board of Trustees and the Performance Monitor of any significant market related or non-market related event, specifically including, but not limited to the resignation, termination or incapacity of any senior personnel. B. The Managers will disclose any securities which are not in compliance with Section Ill in each quarterly report. C. If the fund owns securities, which complied with Section Ill at the time of purchase, that are subsequently down graded below permissible levels, the Managers will dispose of such securities in the normal course of business. D. The Managers' quarterly reports will list separately any security whose value has diminished twenty- five percent (25%) or more from purchase price. F. The Trustees intend to meet periodically with the monitoring service's representative to review the Performance Report. The Trustees will meet with the Investment Managers and appropriate outside consultants to discuss performance results, economic outlook, investment strategy and tactics and other pertinent matters affecting the Fund as needed. G. The Managers shall report to the Trustees on an annual basis how each proxy was voted, the issue as to each, and the date the proxy was voted. If a proxy was not voted, the Managers shall provide a written statement indicating the reason that particular proxy was not voted. H. The Trustees may wish to recapture as many of their commission dollars as possible consistent with obtaining the "best execution" as defined in ERISA Technical Release 86-1 which is made part of this agreement by reference. I. When there is any change in ownership of the investment management firm, the new firm will provide the Trustees with an audited balance sheet and will keep the Trustees fully informed of all material events. This is to include, but not be limited to, the loss of any clients, deterioration of the financial health of the firm and all employment contracts. V. CRITERIA FOR INVESTMENT MANAGER REVIEW The Board wishes to adopt standards by which judgments of the ongoing performance of an Investment Manager may be made. With this in mind, the following are adopted: If, at any time, any one of the following is breached, the Managers will be warned of the Board's serious concern for the Fund's continued safety and performance. 1. Four consecutive quarters of total fund performance below the fiftieth percentile (50th) in the Performa Mutual Fund Manager performance rankings. 2. Standard deviation for the Fund in excess of one hundred-twenty percent (120%) of the investment policy. 3. Loss by the Manager of any senior investment personnel. 4. Any change in basic investment philosophy by the Manager. 6 5. Failure to attain a sixty percent (60%) vote of confidence by the Board members. 6. Failure to observe the securii quality restrictions of Section 111. 7. Failure to maintain a positive three-year alpha. This shall in no way limit or diminish the Trustee's right to terminate the Manager at any time for any reason. VI. FLORIDA STATUTES AND APPLICABLE CITY ORDINANCES If at any time this document is found to be in conflict with Florida Statutes, or applicable City Ordinances, the Statute and Ordinances shall prevail. VII. REVIEW AND AMENDMENTS It is intended the Investment Managers and Trustees review this document periodically. If at any time the Manager feels that the specific objectives defined herein cannot be met, or the guidelines constrict performance, the Trustees should be so notified in writing. By the initial and continuing acceptance of this investment policy statement, the Investment Manager concurs with the provisions of this document. For ICC Capital Management Date For Rhumbline Global Advisors Date For the Pension Board of Palm Beach Gardens Police Date 7 b 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 23 24 25 26 27 28 29 30 31 32 1 October 19. 2009 October 23, 2009 October 28, 2009 ORDINANCE -, 2009 AN ORDINANCE OF THE CITY COUNCIL OF THE CITY OF PALM BEACH GARDENS, FLORIDA RELATING TO THE POLICE OFFICERS’ RETIREMENT TRUST FUND; AMENDING SECTION 50-61 CODE OF ORDINANCES, ENTITLED “DEFINITIONS;” AMENDING SECTION 50-82 CODE OF ORDINANCES, ENTITLED “COMPOSITION;” AMENDING SECTION 50-87, CODE OF ORDINANCES, ENTITLED “POWERS;” AMENDING SECTION 50-91 REPLACEMENT OF PLAN;” AMENDING SECTION 50-1 14, CODE OF 50-1 18 CODE OF ORDINANCES, ENTITLED “DISABILITY RETIREMENT;” AMENDING SECTION 50-121 CODE OF AMENDING SECTION 50-124, CODE OF ORDINANCES, ENTITLED AMENDING SECTION 50-127, CODE OF ORDINANCES, ENTITLED “PRIOR POLICE OFFICER SERVICE;” AMENDING SECTION 50-1 52 CODE OF ORDINANCES, ENTITLED “AMOUNTS PAYABLE UPON ELECTION TO PARTICIPATE;” AUTHORIZING CODIFICATION; AND PROVIDING AN EFFECTIVE DATE. CODE OF ORDINANCES, ENTITLED AMENDMENT TO OR ORDINANCES, ENTITLED “BENEFICIARIES;” AMENDING SECTION ORDINANCES, ENTITLED “OPTIONAL FORMS OF BENEFITS;” “RIGHTS AND BENEFITS NOT SUBJECT TO LEGAL PROCESS;” WHEREAS, the Heroes Earnings Assistance and Relief Tax Act of 2008 (‘“EART”)(H.R. 6081; P.L. 110-245)was passed into the federal law and permits qualified pension plans to provide certain benefits to members of the Fund absent from employment on active duty military service; WHEREAS, qualified plans are required to adopt the provisions of the HEART; WHEREAS, the State of Florida enacted into law Chapter 2009-97 which made significant changes to Florida Statutes 185 which govern this plan; Page 1 of 25 1 2 3 4 5 6 7 a 9 10 11 12 13 14 15 16 17 18 19 20 21 22 WHEREAS, the Board of Trustees of the Fund has determined that it is in the best interest of the Participants and Beneficiaries of the Fund to make these changes to the Palm Beach Gardens Police Officers’ Retirement Trust Fund; and WHEREAS, the City Council of the City of Palm Beach Gardens, Florida desires to revise its Police Officers’ Pension Ordinance in order to implement this change; and WHEREAS, the City Council has determined that adoption of this Ordinance is in the best interest of the citizens and residents of the City of Palm Beach Gardens. NOW, THEREFORE, BE IT ORDAINED BY THE CITY COUNCIL OFTHE CITY OF PALM BEACH GARDENS, FLORIDA that: SECTION 1. The definitions of the terms “credited service.” “police officer” and “salary” as provided for in Section 50-61, Code of Ordinances is hereby amended as follows: Sec. 50-61. Definitions. The following words, terms and phrases, when used in this article, shall have the meanings ascribed to them in this section, except where the context clearly indicates a different meaning: t* * Credifedservice means the number of full years (and fraction thereof) of continuous service from date of employment to date of termination. Continuous service with the employer shall not be broken in the event of: 4 Page 2 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 (1) Absence on an approved leave of absence. A police officer on an approved leave of absence shall not receive credited service but shall retain all credited service previously accrued. Upon returning to work, the police officer will again accrue credited service. (2) Absence from work because of occupational injury or disease incurred in employment for which a police officer is entitled to Workers’ Compensation payments. A police officer on an approved leave of absence as a result of occupational iniurv or disease shall R.et receive credited service and Ixtt shall retain all credited service previously accrued. Upon returning to work, the police officer will continue to again accrue credited service. (3) Absence due to service in the armed forcesof the United States, provided the officer shall reenter employment with the city within one year of discharge. A police officer shall not receive credited service while absent due to military service but shall retain all credited service previously accrued. Upon returning to work, the police officer will again accrue credited service and will be credited with service for time spent in military for up to 5 vears if: A. The police officer is in the active emplov of the municipalitv - prior to such service and leaves a position, other than a ternporarv position. for the purpose of voluntaw or involuntarv service in the Armed Forces of the United States. The Dolice officer is entitled to reemDlovrnent under the provisions of the Uniformed Services Emalovment and Reemplovment Rights Act. a B. Page 3 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 Effective January 1,2007, members who die or become disabled while servinq on active duty military service which intervenes the member’s emplovment shall be entitled to the riqhts of this section even thouqh such member was not reemploved bv the City. Members who die or become disabled while on active dutv militarv service shall be treated as thouqh reemDtoved the dav before the Member became disabled or died. was credited with the service thev would have been entitled to under this section, and then either died a non-dutv death while emDloved or became disabled from a non-duty disability. ** * Police officer means any person who is elected, appointed or employed full time by any municipality, who is certified or required to be certified as a law enforcement ofticer in compliancewith state law, who is vested with authority to bear arms and make arrests, and whose primary responsibility is the prevention and detection of crime or the enforcement Page 4 of 25 1 2 3 4 of the penal, criminal, traffic or highway laws of the state. This definition includes all certified supervisory and command personnel whose duties include, in whole or in part. the supervision. traininq, guidance. and manaqement responsibilities of full- time law enforcement officers. part-time law enforcement officers, or auxiliarv law 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 enforcement officers, but does not include part-time law enforcement officers or auxiliarv law enforcement officers as the same are defined in s. 943.10(6) and (8l respectivelv. ** * Salary means the average monthly earnings reported to the Internal Revenue Service for income tax purposes, plus deferred compensation. Beainninq with salary after December 31,2008, and pursuant to Internal Revenue Code Section 4141uNfi the definition of salarv includes amounts paid bv the City as differential waqes to members who are absent from emplovment while in qualified militarv service. ** L SECTION 2. Section 50-82, Code of Ordinances entitled "Composition" is hereby amended as follows: Sec. 50-82. Composition. The board of trustees shall consist of members as follows: (1) Two legal residents of the city, who shall be appointed by the city council. 22 Effective forterms beqinninq aftertheeffective date of this Ordinance. each *city Page 5 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 trustee shall serve as a trustee for a period of four twe years at the pleasure of the city council. Each city trustee may succeed himself as a trustee. (2) Two trustees of the fund shall be elected by a majority of the police officers of the city who are participants in the fund. Elections shall be held under such rules and regulations as the board of trustees shall from time to time adopt. Effective for terms beainnina after the effective date of this Ordinance. each I3eh police officer trustee shall serve as a trustee for a period of four fare years, unless he sooner ceases to be a police officer in the employ of the police department, whereupon their successor shall be elected by a majority of the participants of the fund. Each police officer trustee may succeed himself as a trustee. (3) A fifth trustee shall be chosen by the majority of the other four trustees. This fifth trustee's name shall be submitted to the city council, which shall, as a ministerial duty, appoint such person to the board as a fifth trustee. Effective for terms beainninq after the effective date of this Ordinance. each the The fifth trustee shall serve as a trustee for a period of four twe years, and may succeed himself as a trustee. SECTION 3. Section 50-87, Code of Ordinances, entitled "Powers" is hereby amended as follows: Sec. 50-87. Powers. (a) (1) The board of trustees may exercise the following powers: Lovest tt=wes+ and reinvest the assets of the retirement trust fund k - and to hold, purchase. sell, assign. transfer, and dispose of any securities Page 6 of 25 1 2 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 and investments held in the Fund, includinq the power and authority to employ counselinq or investment manaaement services. The aim of the investment policies shall be to preserve the intearitv and security of Fund principal, to maintain a balanced investment portfolio, to maintain and enhance the value of the Fund principal. and to secure the maximum total return on investments that is consonant with safety of principal. provided that such investments and re-investments shall be limited only by the investments Dermitted by the investment policy guidelines adopted by the Board in accordance with Florida law. Notwithstandinq the foreqoinq. investments in foreiqn investments are limited in accordance with 185.0611)(b)4. The Board members must discharqe these duties with resyect to the plan solely in the interest of the oarticipants and beneficiaries and (i) for the exclusive purpose of providinq benefits to participants and their beneficiaries and defravinq reasonable expenses of administerinq the plan: (ii) with the care. skill, prudence. and diliqence under the circumstances then prevailinq that a prudent person actinq in a like capacity and familiar with such matters would use in the conduct of an enterprise of a like character and with like aims: and (iii) bv diversifvina the investments of the Dlan so as to minimize the risk of larqe losses, unless under the circumstances it is clearly- Page 7 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Page a of 25 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 L c #I +€?cas (2) -At least once every three years, the board of trustees shall retain an independent consultant professionally qualified to evaluate the performance of the professional money managers. The independent consultant shall make recommendations to the board regarding the selection of money managers for the next investment term. The recommendations shall be considered by the board of trustees at its next regularly 22 scheduled meeting. The date, time, place and subject of this meeting shall be advertised Page 9 of 25 1 2 3 4 5 6 7 a 9 10 11 12 13 14 15 16 17 la 19 20 21 in a newspaper of general circulation in the city at least ten days prior to the date of the hearing. 43) Notwithstandina anvthina else in this subsection and as provided in Florida Statutes 621 5.473, the board of trustees must identifv and Rubliclv report any direct or indirect holdinas it may have in anvscrutinized comDanv: as defined in that section. Beqinninq January 1.2010. the Board must proceed to sell, redeem, divest, or withdraw all publiclv traded securities it mav have directlv in that companv. The divestiture of any such securitv must be completed bv September 10, 2010. The board and its named officers or investment advisors may not be deemed to have breached their fiduciarv dutv in anv action taken to dispose of any such security, and the board shall have satisfactorilv discharaed the fiduciarv duties of lovaltv, prudence, and sole and exclusive benefit to the Darticipants of the pension fund and their beneficiaries if the actions it takes are consistent with the duties imposed by Florida Statutes 6215.473, as provided for in Florida Statutes 185.06(7) and the manner of the disposition, if any. is reasonable as to the means chosen. For purposes of determinina which companies are scrutinized companies, the Board may utilize the list of scrutinized comDanies as developed bv the Florida State Board of Administration. No person mav bring any civil, criminal, or administrative action aaainst the board of trustees or any employee, officer, director, or advisor of such pension fund based upon the divestiture of anv securitv Dursuant to this subsection. Page 10 of 25 1 2 3 SECTION 4. Section 50-91 Code of Ordinances entitled "Amendment to or replacement of plan" is his hereby amended as follows: Sec. 50-91. Amendment to or replacement of plan. 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 4aJ The board of trustees shall not be empowered to amend or replace a retirement plan without the approval of the city council. 4b) Upon termination of the plan bv the Citv for any reason, or because of a transfer, merqer. or consolidation of qovernmental units, services. or functions as provided in chapter 121. or upon written notice to the board of trustees bv the Citv that contributions under the plan are beinq permanentlv discontinued. the rights of all emplovees to benefits accrued to the date of such termination or discontinuance and the amounts credited to the emplovees' accounts are nonforfeitable. The fund shall be distributed in accordance with the followina procedures: 11) The board of trustees shall determine the date of distribution and the asset value required to fund all the nonforfeitable benefits, after takinq - into account the expenses of such distribution. The board shall inform the Citv if additional assets are required, in which event the Citv shall continue to financially support the plan until all nonforfeitable benefits have been funded. The board of trustees shall determine the method of distribution of the asset value, whether distribution shall be bv pavment in cash, bv the maintenance of another or substituted trust fund. by (2) the DUrChaSe of insured annuities, or otherwise. for each police Page 11 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 officer and firefiqhter entitled to benefits under the plan. as specified in subsection (31. The board of trustees shall distribute the asset value as of the date of termination in the manner set forth in this subsection. on the basis that the amount required to provide anv qiven retirement income is the actuariallv computed sinqle-sum value of such retirement income, except that if the method of distribution determined under subsection (2) involves the purchase of an insured annuitv. the amount required to provide the qiven retirement income is the sinqle premium pavable for such annuitv. The actuarial sinqle-sum value may not be less than the employee's accumulated contributions to the Dlan. with interest if provided bv the plan, less the value of anv plan benefits Dreviouslv paid to the employee. (31 (4) If there is asset value remaininq after the fulldistribution specified in subsection (31, and after pavment of any expenses incurred with such distribution, such excess shall be returned to the Citv, less return to the state of the state's contributions, provided that, if the excess is less than the total contributions made bv the City and the state to date of termination of the plan, such excess shall be divided proportionatelv to the total contributions made bv the City and the state. Page 12 of 25 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 (5) The board of trustees shall distribute. in accordance with the manner of distribution determined under subsection (2). the amounts determined under subsection (3L SECTION 5. Section 50-1 14, Code of Ordinances entitled "Beneficiaries" is hereby amended to read as follows: Sec. 50-1 14. Beneficiaries. (a) Each police officer may, on a form provided for that purpose which was signed and filed with the board of trustees, designate a beneficiary (or beneficiaries) to receive the benefit, if any, which may be payable in the event of death; and each designation may be revoked by such police officer by signing and filing with the board of trustees a new designation of beneficiary form. (b) If a deceased police officer failed to name a beneficiary in the manner prescribed above in subsection (a) of this section, or if the beneficiary (or beneficiaries) named by the deceased police officer predeceases the police officer, the death benefit, if any, which may be payable under the plan with respect to such deceased police officer may be paid at the discretion of the board of trustees, either to: (1) (2) (3) (4) The spouse or dependent children of the police officer; The dependent living parents of the police officer; The deceased police officer's estate; or The trustees in their sole discretion, may apportion the remaining benefit among any two or more of subsections (l), (2), or (3) of this subsection. Page 13 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 (c) If there is no designated beneficiary or the designated beneficiary dies prior to receiving the full benefit, the remaining amount of benefit shall be paid in a single lump sum. (d) Any payment made to any person pursuant to this section shall operate as a complete discharge of all obligations of the fund under the plan and shall not be subject to review but shall be final, binding and conclusive on all persons ever interested thereunder. [e) If a member has elected an option with a ioint pensioner or beneficiarv and his or her retirement income benefits have commenced. he or she may thereafter chanqe the desiqnated ioint pensioner or beneficiarv UP to twice in accordance with Florida Statutes 6185.341 without the approval of the board of trustees or the current ioint annuitant or beneficiarv. The retiree is not required to provide proof of the aood health of the ioint annuitant or beneficiary beinq removed, and the ioint annuitant or beneficiarv beinq removed need not be livinq. Anv retired member who desires to chanqe his or her ioint annuitant or beneficiarvshall file with the board of trustees a notarized notice of such chanae. Upon receipt of a completed chanqe of ioint annuitant form or such other notice, the board of trustees shall adiust the member's monthly benefit bv the application of actuarial tables and calculations developed to ensure that the benefit paid is the actuarial equivalent of the present value of the member's current benefit and there is no impact to the Plan. Page 14 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 on SECTION 6. Section 50-1 18, Code of Ordinances entitled "Disability retirement" is hereby amended to read as follows: Sec. 50-1 18. Disability retirement. (a) Line of duty disability. A police officer may retire from the service of the city under the plan, if prior to normal retirement date, the officer becomes totally and permanently disabled in the line of duty by reason of any cause other than a cause set out in subsection (d) of this section, on or after the effective date of the plan. Such retirement shall herein be referred to as duty disability retirement. (b) Nonline of duty disability. (1) A police officer must have ten years of credited service in order to receive Nice disability benefits. The officer must be totally and permanently disabled as defined below. (2) The provisions for nonline of duty disability shall not apply to a member who has reached or passed normal retirement age. (c) Determination of disability. For purposesof this plan, a disabilityshall mean permanent and total disability as determined by the board of trustees in accordance with the following standards: (1) A police officer shall be deemed permanently and totally disabled only if he has been disabled by physical or mental injury or disease so as to be unable to perform as a police officer and if such disability shall have continued for six consecutive months. If the officer is ineligible to receive disability benefits under Title II of the Federal Social Security Page 15 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 Act on account of a nonduty disability, the benefits payable shall be capped at 50 percent of the officers final average monthly earnings. (2) The board of trustees shall have the right to require the employee to submit to a physical examination at intervals determined by the board. (3) Any condition or impairment of health of a police officer caused by tuberculosis, hypertension, heart disease, hardening of the arteries, hepatitis or meningococcal meningitis resulting in a total or partial disability or death shall be presumed to be accidental and suffered in the line of duty, unless the contrary can be shown by competent evidence. Any condition or impairment of health caused directly or proximately by exposure, which exposure occurred in the active performance of duty at some definite time or place without willful negligence on the part of the police officer, resulting in total or partial disability, shall be presumed to be accidental and suffered in the line of duty, provided that such police officer shall have successfully passed a physical examination upon entering such service, which physical examination, including electrocardiogram, failed to reveal any evidence of such condition. In order to be entitled to the presumption in the case of hepatitis, meningococcal meningitis or tuberculosis, the police officer must meet the requirements of F.S. ch. 112.1 81. The final decision whether a police officer meets the requirements for duty disability pension rests with the board of trustees and shall be based on substantial competent evidence on the record as a whole. (d) Exclusions. A police officer shall not be entitled to receive any disability retirement income if the disability is the result of: Page 16 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 (1) narcotics; (2) Excessive and habitual use by the police officer of drugs, intoxicants or Injury or disease sustained by the police officer while willfully and illegally participating in fights, riots, civil insurrections or while committing a crime; (3) Injury or disease sustained by the police officer while serving in any armed forces. This exclusion does not affect members who have become disabled as a result of intervenincl - militarv service under the federal Heroes Earnincls Assistance and Relief Tax Act of 2008 (H.R. 6081 : P.L. 110-2451; (4) Injury or disease sustained by the police officer after employment has been terminated; or (5) Injury or disease sustained by the police officer while working for anyone other than the city and arising out of such other employment. (e) Medical review. No police officer shall be permitted to retire undera disability retirement until examined by a duly qualified physician or surgeon to be selected by the board of trustees for that purpose and found to be disabled in the degree and manner specified herein. Any police officer receiving a disability retirement shall be examined periodically by a duly qualified physician or surgeon or board of physicians and surgeons to be selected by the board of trustees for that purpose to determine if such disability has ceased to exist. (f) Disability benefit. (1) Generally. For disability incurred during the line of duty, the disability benefit shall be 60 percent of the police officers'rate of pay at the time of disability or the accrued Page 17 of 25 1 2 3 4 5 6 7 a 9 10 11 12 13 14 15 16 17 la 19 20 21 22 pension benefit, whichever is greater for. For non-duty disability, the disability benefit shall consist of 2.5 percent multiplied by the average monthly earnings multiplied by the years of credited service, with the minimum benefit of 25 percent of salary or the accrued pension benefit, whichever is greater. In no event should the single sum value of such benefits as of the date of termination of service because of disability exceed: a. One hundred times the estimated normal monthly retirement income, based on the assumption that the present rate of compensation continues without changes to normal retirement date, b. Twice the annual rate of compensation as of the date of termination of service, or c. The single-sum value of the accrued deferred retirement income (beginning at normal retirement date) at date of termination of service, whichever is greatest. (2) Offset. A member who is receiving a disability benefit from the city and who is receiving benefitsfor the same disability under Social Securityorworker's compensation, or who is receiving another retirement benefit from another plan of the city, shall have a deduction made from the monthly disability pension payment in an amount necessary to bring the total of all disabilitypayments to no more than 100 percent of theaverage monthly earnings of the disabled person as of the time the disability retirement occurred. (9) Payment procedures. The monthly retirement income to which a police officer is entitled for disability retirement shall be payable on the first day of the first month after the board of trustees determines such entitlement. However, the monthly retirement income shall be payable as of the date the board determines such entitlement, and any portion due Page 18 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 for a partial month shall be paid together with the first payment. The last payment will be, if the police officer recovers from the disability prior to his normal retirement date, the payment due next preceding the date of such recovery, or if the police officer dies without recovering from disability, the payment due next preceding death or the 120th monthly payment, whichever is later. Any monthly retirement income payments due after the death of a disabled police officer shall be paid to the police officer’s designated beneficiary (or beneficiaries). SECTION 7. 50-121, Code of Ordinances, entitled “Optional forms of benefits” is hereby amended as follows: Sec. 50-121. Optional forms of benefits. (a) Each member entitled to a normal, disability, or early retirement benefit shall have the right at any time priorto the date on which the benefit begins to elect to have the benefit payable under any of the options hereinafter set forth in lieu of the benefits provided above, and to revoke any such elections and make a new election at any time prior to the actual commencement of payment. A police officer may not make any change in retirement option after the date of cashing or depositing the first retirement check. (b) The value of optional benefits shall be the actuarial equivalent of the value of benefits otherwise payable, and the present value of payments to the retiring member must be at least equal to 50 percent of the total present value of payments to the retiring member and his beneficiary. The member shall make an election by written request to the Page 19 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 board, such request being retained in the board's files. The options available to the members of the fund are as follows: (1) Contingent annuitant (joint and survivor option). The member may elect to receive a benefit during his lifetime and have such a benefit (I00 percent or 75 percent or 66 2/3 percent or 50 percent of such monthly benefit) continued after his death to and during the lifetime of his spouse or relative other than his spouse. The election of option 1 shall be null and void if the designated beneficiary dies before the member's payments commence. If a member has elected an option with a ioint pensioner or beneficia% and his or her retirement income benefits have commenced, he or she may thereafter chanqe the desianated ioint pensioner or beneficiary up to twice in accordance with Florida Statutes 6185.341 without the approval of the board of trustees or the current ioint annuitant or beneficiarv. The retiree is not required to provide proof of the qood health of the ioint annuitant or beneficiarv beinq removed. and the ioint annuitant or beneficiarv beinq removed need not be livina. Anv retired member who desires to chanqe his or her ioint annuitant or beneficiarvshall file with the board of trustees a notarized notice of such chanqe. Upon receipt of a completed chanqe of ioint annuitant form or such other notice. the board of trustees shall adiust the member's monthlv benefit bv the application of actuarial tables and calculations developed to ensure that the benefit paid is the actuarial equivalent of the present value of the member's current benefit and there is no impact to the Plan. Life annuity. The member may elect toreceivea benefit payable forthe police (2) officer's life only. Page 20 of 25 1 2 3 the benefits otherwise payable. 4 5 6 7 8 (3) Other. In lieu of the other optional forms enumerated in this section, benefits may be paid in any form approved by the board so long as it is the actuarial equivalent of SECTION 8. 50-124, Code of Ordinances, entitled "Rights and benefits not subject to legal process" is hereby amended as follows: Sec. 50-124. Rights and benefits not subject to legal process. The rights and benefits provided for in this article are vested rights of participants 9 10 11 12 13 14 15 16 17 18 19 20 21 22 in the fund and shall not be subject to attachment, garnishment, execution or any other legal process. However, the Board shall honor an income deduction order for alimony or child s~pp01-t in accordance with rules and procedures adopted bv the Board. Upon written request bv the retiree, the Board of Trustees may authorize the Plan administrator to withhold from the monthlv retirement Davment funds necessary to: a. b. C. pav for premiums for accident health and lonq-term care pav for benefits beinq received throuqh the Citv; Dav the certified barqaininq aqent: or plan does not incur liability for participation in this permissive pp Statutes 6185.05(6). Page 21 of 25 1 2 3 4 5 6 7 a 9 10 11 12 13 14 15 26 17 la 19 20 21 22 SECTION 9. 50-1 27, Code of Ordinances, entitled “Prior police officer service” is hereby amended as follows: Sec. 50-127. Prior police officer service. Unless othetwise prohibited by law, the years or fractional parts of years that a police officer previously served in the United States Military Service, or the years or fractional parts of years that a police officer previously served as a police officer with the city during a period of employment and for which accumulated contributions were withdrawn from the fund, or the years and fractional parts of years that a police officer served as a police officerwith any other municipal, county, state or federal law enforcement agency shall be added to the years of credited service provided that: (1) The police officer contributes to the fund the sum that would have been contributed, based on the police officer‘s salary and the employee contribution rate in effect at the time that the credited service is requested, had the police officer been a member of this system for the years or fractional parts of years for which the credit is requested plus amount actuarially determined such that the crediting of service does not result in any cost to the fund plus payment of costs for all professional services rendered to the board in connection with the purchase of years of credited service. Payment by the police officer of the required amount may be made within six months of the request for credit and in one lump sum payment, or the police officer can buy back this time over a period equal to the length of time being (2) Page 22 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 . purchased or five years, whichever is greater, at an interest rate which is equal to the fund’s actuarial assumption. A police officer may request to purchase some or all years of service. No credit shall be given for any service until all years of service which are to be repurchased, have been repurchased. The credit purchased under this section shall count for all purposes, except mehdn=gvesting. In no event, however, may credited service be purchased pursuant to this section for prior service with any other municipal, county, or state police department, if such prior service forms or will form a basis of a retirement benefit or pension from another retirement system or plan. This subsection does not apply to military service. (3) (4) SECTION 10. Section 50-152(d), Code of Ordinances, entitled “Amounts payable upon election to participate” is hereby amended as follows: Sec. 50-152. Amounts payable upon election to participate. t*t (d) Upon termination of employment, participants in the DROP will receive the balance of the DROP account in accordance with the following rules: (1) Members may elect to begin to receive payment upon termination of employment or defer payment of the DROP until the latest day as provided under subsection (d)(3) of this section. Page 23 of 25 1 2 3 4 5 6 7 8 9 10 11 12 13 14 15 16 17 18 19 20 21 22 (2) Payments shall be made in either: a. Lump sum. The entire account balance will be paid to the retirant upon approval of the board of trustees. b. Insfallments. The account balance will be paid out to the retirant in three equal payments paid over three years, the first payment to be made upon approval of the board of trustees. - - c.@)-Annuify. The account balance will be paid out in monthly installments until the entire balance is exhausted. At the direction of the participant, the account balance can be used to purchase an annuity to be paid monthly, the first payment to be made upon approval by the board of trustees. The annuity must be purchased from an insurer licensed to sell such annuities in the state. &$4j-Any form of payment selected by a police officer must comply with the minimum distribution requirements of the IRC 40l(A)(9), and is subject to the requirements of subsection 50-132- e.g. payments must commence by age 70%. @)(E+The beneficiary of the DROP participant who dies before payments from the DROP begin shall have the same right as the participant in accordance with subsection 17 of the IRC 401(A)(9). SECTION 11. Codification of this Ordinance is hereby authorized and directed. Page 24 of 25 1 SECTION 12. This Ordinance shall become effective immediately upon 2 adoption 3 4 5 6 and final hearing. 7 CITY OF PALM BEACH GARDENS FOR AGAINST ABSENT PASSED this - day of PASSED AND ADOPTED this - day of , 2009, upon first reading. ,2009, upon second 8 BY: 9 10 11 12 13 14 15 16 17 18 19 - - - Joseph R. Russo, Mayor __ - - David J. Levy, Vice Mayor - - - Eric Jablin, Councilmember __ - - Jody Barnett, Councilmember 20 21 Bert Premuroso. Councilmember - - 22 23 24 ATTEST: 25 26 27 BY: 28 Patricia Snider, CMC, City Clerk 29 30 31 LEGAL SUFFICIENCY 32 33 BY: 35 36 APPROVED AS TO FORM AND 6 34 Keith Davis, City Attorney H:\PBG 0003\Plan Docs\Amend\2008-2009\HEART 8 538.wpd BSJladl - October 19. 2009 Page 25 of 25 COMPLEXITY DEFENSIVE e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e a e e e a PALM BEACH GARDENS POLICE PENSION FUND Investment Review Quarter Ending September 30,2009 e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e 0 e e e 0 e e e e 0 e 0 PALM BEACH GARDENS POLICE PENSION FUND Table of Contents Quarter Ending September 30,2009 I Palm Reach Gardens Police Pension Fund Fixed Income I Palm Beach Gardens Police Pension Fund Growth ,. ,. . '. ... .. .. .... .... ... .... .......... .. ICC Capital Management, Inc. PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME Investment Review Quarter Endmg September 30,2009 a a a e a e a a a a a ICC Capital Management, Inc. ~ .. . , ,. ... ... .. ... . . . . . . . .. .! 0 0 0 0 Investment Performance Report 0 Quarter Ending 0 September 30,2009 PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME 0 0 0 0 0 0 0 0 Portfolio Allocation Investment Performance by Asset Category Fixed-Income Analysis Purchases & Sales Realized Gains/Losses Portfolio Summary 0 0 0 0 0 0 0 0 0 a 0 0 0 0 0 0 ICC Capital Management, Inc. ~ PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME Total Return Summa y Quarter Ending September 30,2009 Starting Vu lue Ending Value $12,695,@8 Difference $909,783 Net Contribu tiom/ (Withdrawals) $535,5% GainJLoss)fiom Investments $374,184 $12,695,048 $507,316 ($593,692) $12,695,048 $5,886,620 $3,544,293 $1,101,008 $2342,327 TOTAL RETURN I 3.14O/( 9.52% 24.74% I ANNUALIZED TOTAL RETUkN 1 4.52% I ICC Capital Management, Itic. 1 PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME Portfolio Allocation at Market Quarter Ending September 30,2009 Asset Allocation: OAOO (Mkt) Market Value as of 06/30/09 CASH/EQUIVS 15.0% , FIXED INCOME Market Value as of 09/30/09 CASH/EQUIVS 13.1% FIXED INCOML 86.9% 0 0 0 0 0 0 0 0 0 0 0 0 0 2 ICC Capital Management, lnc. PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME Investment Performance by Asset Catego y Quarter Ending September 30,2009 puarter ACCOUKT W BCAG 12.00 3.75 3.74 3.14 3.74 8.00 BONDS TOTAL One Year .ACCOUNT W BCAG 1 1 12.00 16.00- 12.00~ 8.00~ 10.56 9.52 10.56 0.00 4.00~ BONDS TOTAL W ACCOUNT H BCAG Five Years Annualized - 16.00- 12.004 ... .. .. 'I., . . . . . . . . I/ ' I .. . .. .. .. 4.93 5.13 0.00 BONDS TOTAL The red total bar represents the Barclays Capital Aggregate Index. 0 0 0 0 e 3 ICC Capital Management, Inc. e e e 0 e e e e e e e e 0 0 e e 0 e 0 e 0 e e e e e e e 0 0 e e 0 e e e e e e e PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME Fixed Income Analysis (Page 1 of 3) Quarter Ending September 30,2009 Average Quality - AA Average Duratibn - 4.08 Cuwent Yield - 4.87 Mortgage Backed 18.3% - Corporate Bonds 51.1% Average Quality - AA Average Duratibn - 5.34 Cuwent Yield - 4.19 3arclays Capital Governrnen4/Credit Index Corporate Bonds 32 6% - -- Government Sponsored 22 9% US Treasuries 44.8% Average Quality - AA Average Duradon - 4.43 Cuwent Yield - 4.59 Barclays Capital Amregate - Index US MBS 37.8% US Treasuries 26.0% Government Sponsored 13.4% ABS CMBS Corporate Bonds 0.4% 3.3% 19.1% 0 ICC Capital Management, Inc. 0 4 PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME Fixed Income Analysis (Page 2 of 3) Quarter Ending September 30,2009 Sectors and Market Indices Performance VS. Core Fixed Income Portfolio 3009 12.70 Government Sponsored Bonds Coupon Maturity SbP Rating Moody's Rating Freddie Mac 4.000% 9/30/2016 AAA Aaa Freddie Mac 5.900% 6/15/2022 AAA AAA Fannie Mae 5.625% 11/15/2021 AAA AAA Fannie Mae 5.500% 12/14/2022 AAA Aaa Federal Home Loan Bank 1.250% 9/ 29/ 201 1 AAA AAA Fannie Mae 6.000% 4/28/2021 AAA AAA Freddie Mac 3.375% 8/18/2014 AAA AAA FhlmC 3.000% 6/25/2013 AAA AAA Fannie Mae 3.200% 8/5/2014 AAA Aaa Us Treasury 4.500% 5/15/2038 AAA AAA ICC Capital Management, lnc. 5 e e e e e e e e 0 e e e e e e e e e e e e e e e e e 0 e PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME Fixed Income Analysis (Page 3 of 3) Quarter Ending September 30,2009 e e ~i I@ le e e e e e 0 1 AGGRESSIVE 1.8% - 1.4% ~- NEUTRAL I 1 1.0% kP--C DEFENSIVE I 0.6% ~- 0.2% 7 9/30/2OO7 12/ 31 /ZOO7 3/ 31 / 2008 6/ 30/ 2008 9/ 30/ 2008 12/ 31 / 2008 3/31 / 2009 6/ 30/ 2009 9/30/ ZOO9 ICC Capltal Management, lnc. h ICC Capital Management PURCHASE AND SALE PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME From 06-30-09 To 09-30-09 Trade Seitle Unit Date Date Quantity Security Price Amount PURCHASES 07-23-09 07-28-09 07-23-09 07-28-09 09-10-09 09-24-09 07-16-09 08-05-09 09-1 1-09 09-29-09 08-04-09 08- 18-09 09-09-09 09-30-09 09-1669 09-21-09 09-10-09 09-23-09 08-1969 08-27-09 08-19-09 08-27-09 07-07-09 07-09-09 09-09-09 09-1 1-09 09-16-09 09-29-09 SALES 08-11-09 08-11-09 07-06-09 07-06-09 09-20-09 09-20-09 08-20-09 08-25-09 07-15-09 07-20-09 45,000.000 BANK OF AMERICA COW 15,000.000 BOEING CO 6.500% Due 08-01-16 4.875% Due 02-15-20 6.138%Due 12-01-39 3.200% Due 08-05-14 245,000.000 FEDERAL HOME LOAN BANK 1.250% Due 09-29-1 1 135,000.000 FREDDIE MAC 3.375% Due 08-18-14 375,000.000 FREDDIE MAC 4.000% Due 09-30-16 185,000.000 GENERAL ELEC CAP COW 4.375% Due 09-21-15 155,000.000 NOVANT HEALTH INC 5.850% Due 11-01-19 6.270% Due 05-15-31 6.270% Due 05-15-31 200,000.000 US TREASURY N/B 4.250% Due 05-15-39 325,000.000 US TREASURY N/B 4.500% Due 08-15-39 4.554% Due 07-01-24 125,000 CHICAGO ILL BRD ED 10,000.000 FANNIE MAE 125,000 UNIVERSITY OF CALIFOW 85,000 UNIVERSITY OF CALIFORNIA 125,000 UTAH ST 99.95 144,926.05 98.96 113,801.70 100.00 125,000.00 100.00 110,000.00 100.00 245,000.00 100.00 135,000.00 100.00 375,000.00 99.66 184,363.60 99.98 154,975.20 99.93 124,911.25 100.20 85,170.00 97.95 195,890.60 102.56 333,328.13 100.00 125,000.00 270,000.000 FANNIE MAE 300,000.000 FREDDIE MAC 1.650% Due 05-1 1-11 6.000% Due 07-06-17 80,000.000 GENERAL ELECTRIC CAP CROP 8.300% Due 09-20-09 5.250%Due 10-15-11 0.000% Due 08-15-10 125,000.000 HARTFORD FINL SVCS GRP 200,000 000 LEHMAN BROTHERS HLDG 2,452,366.53 100.00 270,000.00 100.00 300,000.00 100.00 80,000.00 99.62 124,531.25 16.00 32,000.00 ICC Capital Management PURCHASE AND SALE PALMBEACH GARDENS POLICE PENSION FUND FULED INCOME From 06-30-09 To 09-30-09 Trade Settle Date Date Quantity Security 07-3 1-09 08-05-09 115,000.000 MICROSOFT COW 4.200% Due 06-01-19 08-04-09 08-06-09 200,000.000 US TREASURY KB 4.250% Due 05-15-39 08-04-09 08-06-09 120,000.000 US TREASURY NiB 4.250% Due 05-15-39 09-11-09 09-15-09 325,000.000 US TREASURY NB 4.500% Due 08-15-39 PRMCIPAL PAYDOWNS 07-01-09 07-15-09 3,177.240 FGCI #G12205 08-01-09 08-15-09 2,387.000 FGCI #G12205 09-01-09 09-15-09 1,552.420 FGCI #G12205 07-01-09 07-15-09 37.790 FGCIN#B13455 08-01-09 08-15-09 91.010 FGCIN#B13455 09-01-09 09-15-09 66.620 FGCI N #B13455 07-0 1-09 07- 15-09 199.940 FGCI N #G12323 08-01-09 08-15-09 162.690 FGCI N #G12323 09-01-09 09-15-09 102.920 FGCI N #G12323 07-01-09 07-15-09 4,555.860 FGLMC #GO2268 07-01-09 07-15-09 15,546.050 FGLMC #GO2268 08-01-09 08-15-09 3,949.922 FGLMC #GO2268 08-01-09 08-15-09 13,478.378 FGLMC #GO2268 09-01-09 09-15-09 2,386.301 FGLMC #GO2268 09-01-09 09-15-09 8,142.809 FGLMC #GO2268 07-01-09 07-15-09 3,863.910 FNCI M #254371 4.500% Due 06-01-21 4.500% Due 06-01-21 4.500% Due 06-01-21 4.500% Due 04-01-19 4.500% Due 04-01-19 4.500% Due 04-01-19 4.500% Due 08-01-21 4.500% Due 08-01-21 4.500% Due 08-01-21 6.500% Due 08-01-36 6.500% Due 08-01-36 6.500% Due 08-01-36 6.500% Due 08-01-36 6.500% Due 08-01-36 6.500% Due 08-01-36 5.500% Due 07-01-17 Unit Price Amount 100.64 115,7;8.30 98.06 196,125.00 98.06 117,675.00 106.33 345,566.41 1,581,635.96 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 3,177.24 2,387.00 1,552.42 37.79 91.01 66.62 199.94 162.69 102.92 4,555.86 15,546.05 3,949.92 13,478.38 2,386.30 8,142.8 1 3,863.91 e 0 e e 0 0 e e 0 e 0 0 0 0 ICC Capital Management PURCHASE AND SALE PALM BEACH GARDENS POLICE PENSION FCINI) FEED INCOME From 06-30-09 To 09-30-09 Trade Settle Date Date Quantity Security 08-0 1-09 08- 15-09 09-0 1-09 09- 1 5-09 07-01-09 07-15-09 08-01-09 08-15-09 09-01-09 09-15-09 07-01-09 07-15-09 07-01-09 07-15-09 08-01-09 08-15-09 08-01-09 08-15-09 09-01-09 09-15-09 09-01-09 09-15-09 07-01-09 07-15-09 08-01-09 08-15-09 09-01-09 09-15-09 07-01-09 07-15-09 08-01-09 08-15-09 09-01-09 09-15-09 07-01-09 07-15-09 08-0 1-09 08- 15-09 09-01-09 09-15-09 07-01-09 07-01-09 08-01-09 08-01-09 1,547.560 FNCI M #254371 1,455.140 FNCI M if254371 1,280.900 FNCI N X.255888 322.290 FNCI N 8255888 3 1 1.650 FNCI N #255888 49.914 FNCI N #725445 1,607.966 FNCI N #725445 51.818 FNCIN#725445 1,669.332 FNCI N #725445 43.505 FNCI N #725445 1,401.515 FNCI N #725445 342.980 FNCI N #825335 1,516.470 FNCIN#825335 373.810 FNCIN#825335 1,847.680 FNCI N #829053 784.070 FNCI N #829053 567.690 FNCI N #829053 5.500% Due 07-01-17 5.500% Due 07-01-17 4.000% Due 08-01-20 4.000% Due 08-01-20 4.000% Due 08-01-20 4.500% Due 05-01-19 4.500% Due 05-01-19 4.500% Due 05-01-19 4.500% Due 05-01-19 4.500% Due 05-01-19 4.500% Due 05-01-19 4.000% Due 05-01-20 4.000% Due 05-01-20 4.000% Due 05-01-20 4.000% Due 08-01-20 4.000% Due 08-01-20 4.000% Due 08-01-20 6.500% Due 09-01-36 6.500% Due 09-01-36 6.500% Due 09-01-36 6.000% Due 07-20-38 6.000% Due 07-20-38 14,641.690 FNCL # 256394 15,290.400 FNCL # 256394 10,125.930 FNCL # 256394 7,226.820 G2 POOL# 4195 6,350.310 G2 POOL# 4195 " Unit Price - 100.00 100.00 100.00 100.00 100.00 99.99 100.00 100.00 100.00 100.01 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 100.00 Amount 1,547.56 1,455.14 1,280.90 322.29 311.65 49.91 1,607.97 51.82 1,669.33 43.51 1,401.51 342.98 1,5 16.47 373.81 1,847.68 784.07 567.69 14,641.69 15290.40 10,125.93 1,226.82 6,350.31 a e e e a a a a a e e a e a e a e a e a e e a 0 a e 0 a a e e a e a e a e * e a a e ICC Capital Management PURCHASE AND SALE PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME From 06-30-09 To 09-30-09 Trade Settle Unit Date Date Quantity Security Price Amount 09-01-09 09-01-09 07-01-09 07-15-09 08-01-09 08-15-09 09-01-09 09-15-09 07-01-09 07-15-09 08-01-09 08-15-09 09-01-09 09-15-09 07-01-09 07-15-09 08-01-09 08-15-09 09-01-09 09-15-09 5,654370 G2 POOL# 4195 6.000% Due 07-20-38 6.000% Due 07-15-16 6.000%Due 07-15-16 6.000% Due 07-15-16 6.000% Due 04-15-32 6.000% Due 04-15-32 6.000% Due 04-15-32 6.000% Due 06-15-32 6.000% Due 06-15-32 6.000% Due 06-15-32 725.220 GNJO M#781313 574.180 GNJOM#781313 407.490 GNJO M #781313 264.060 GNSF M #552509 304.880 GNSF M #552509 265.830 GNSF M #552509 62.250 GNSF M #582153 65.960 GNSF M #582153 69.180 GNSF M #582153 100.00 5,654.37 100.00 725.22 100.00 574.18 100.00 407.49 100.00 264.06 100.00 304.88 100.00 265.83 100.00 62.25 100.00 65.96 100.00 69.18 136,903.72 e e e e e e e e a e e e e e e e e 0 e 0 e e e e e e 0 e e e e a 0 e e e e e e e 0 e ICC Capital Management REALIZED GAINS AND LOSSES PALMBUCH GARDENS POLICE PENSION FUhD FIXED WCOME From 06-30-09 Through 09-30-09 Gain Or Loss Open Close Cost Date Date Quantity security Basis h-ocrrds Short Term Loog Term ~~ ~ 12-15-06 01-08-07 02-21-07 08-24-06 09-0864 05-23-02 09-08-05 01-08-07 09-15-04 01-29-07 09-08-05 08-23-05 06-13-02 07-22-08 04-15-02 07-02-02 07-23-07 03-18-08 06-15-09 12-15-06 01-08-07 02-21-07 08-24-06 09-08-04 05-23-02 09-08-05 01-08-07 07-01-09 07-01-09 07-01-09 07-01-09 07-01-09 07-01-09 07-01-09 07-01-09 07-01-09 07-01-09 07-01-09 07-01-09 07-01-09 07-01-09 07-0169 07-01-09 07-0649 07- 15-09 07-3 1-09 08-01-09 08-01-09 08-01-09 08-01-09 08-01-09 08-01-09 08-01-09 08-01-09 4,555.860 FGLMC #GO2268 15,546.050 FGLMC #Go2268 6.500% Due 08-01-36 6.500% Due 08-01-36 4.500%Due 06-01-21 4.500% Due 08-01-21 4.500% Due 04-01-19 3,117,240 FGCl #GI2205 199.940 FGCI N #GI2323 37.790 FGCIN#B13455 3,863.910 FNCIM U254371 5.500% Due 07-01-17 1280.900 FNCl N #255888 4.000% Due 08-01-20 6.500% Due 09-01-36 4.500% Due 05-01-19 4.500% Due 05-01-19 4.000% Due 05-01-20 4.000% Due 08-01-20 6.000% Due 06-15-32 14,641.690 FNCL # 256394 49.914 FNCI N U725445 1,607.966 FNCI N #T25445 342.980 FNCl N #a25335 1,847.680 FNCI N #a29053 62.250 GNSF M #582153 7226.820 G2 POOL# 4195 6.000% Due 07-20-38 264.064 GNSF M #552509 6.000% Due 04-15-32 6.000% Due 07-15-16 725.220 GNJO M #781313 300.000.000 FREDDIE MAC 6.000% Due 07-06-17 200,000.000 LE"i BROTHEm HLMi 0.000%Due 08-15-10 ll5,ooo.ow MICROSOFT cow 4.200% Due 06-01-19 3949.922 FGLMC #GO2268 6.500% Due 08-01-36 6.500% Due 08-01-36 13,478.378 FGLMC #Go2268 2287.000 FGCI #GI2205 4.500% Due 06-01-21 162.690 FGCI N #GI2323 4.500% Due 08-01-21 4.500% Due 04-01-19 5.5OO%Duc 07-01-17 4.000% Due 08-01-20 6.500% Due 09-01-36 91.010 FGCIN#B13455 1,547.560 FNCIM f7.54371 322.290 FNCIN#255888 15,290.400 FNCL # 256394 4,650.54 15,869.12 3,065.54 191.69 31.68 3,847.01 1.24648 14,934.53 49.95 1,543.15 333.16 1,792.25 62.14 7,218.91 260.80 747.88 259,490.00 197,938.00 111,863.95 4,032.01 13,758.48 2,303.08 155.98 90.74 1.540.79 313.63 15,596.21 4,555.86 15,546.05 3,177.24 159.94 37.79 3,863.91 1280.90 14,641.69 49.91 1,607.97 342.98 1,847.68 62.25 7,226.82 264.06 725.22 300.000.00 32,000.00 115,738.30 3,949.92 13,478.38 2,387.00 162.69 91.01 1.547.56 322.29 15,290.40 -94.68 -323.07 111.70 8.25 0.11 16.90 34.42 -292.84 -0.04 64.82 9.22 55.43 0.11 3.26 -22.66 510.00 -165338.00 -82.09 -280.10 83.92 6.71 0.27 6.71 8.66 -305.81 ICC Capital Management REALIZED GAINS AND LOSSES PALMBEACH WENS POLICE PENSION FUND FLXED INCOME From 06-30-09 Through 09-30-09 Gain Or Lo= Open Clar cost Date Date Quantity Security Basis Proceeds Short Term Long Term -__ 0915-04 01-29-07 09-08-05 08-23-05 06-13-02 07-22-08 04-15-02 07-02-02 07-07-09 05-21-09 04-24-09 06-18-08 12-15-06 01-08-07 02-21-07 08-24-06 0948-04 05-23-02 09-08-05 01-08-07 099-1544 01-29-07 09-08-05 08-23-05 06-13-02 07-22-08 04-15-02 08-01-09 51.818 FNCIN#72545 4.5W0%Due 05-01-19 4.5W0% Due 05-01-19 4.000% Due 05-01-20 4.004% Due 08-01-20 6.000% Due 06-15-32 08-01-09 1,669.332 FNCIN #72545 08-01-09 1,516.470 FNCIN#825335 08-01-09 784.070 FNCIN #a29053 08-01-09 65.960 GNSF MU582153 08-01-09 6,350.310 G2 POOL# 4195 6.000% Due 07-20-38 08-01-09 304.880 GNSF M#552509 6.000% Due 04-15-32 08-01-09 574.180 GNlOM#781313 6.000%Due 07-15-16 08-04-09 200,000.000 US TREASLRY NB 4.250% Due 05-15-39 08-04-09 120,000.000 US TREASURY NB 4.250% Due 05-15-39 08-11-09 270,000.000 FANNE MAE 1.650% Due 05-1 1-11 08-20-09 125,000,000 HARTFORD FINl SVCS GRP 5.250%Due 10-15-11 6.500% he 08-01-36 6.500%Due 08-01-36 4.500%Due 06-01-21 4.500%Due 08-01-21 4.500%Due 04-01-19 5.500%Due 07-01-17 4.000% Due 08-01-20 6.500% Due 09-01-36 4.5W%Due 05-01-19 09-01-09 2386.301 FGLMC #GO2268 09-01-09 8,142.809 FGLMC #GO2268 09-01-09 1,552.420 FGCIffi12205 09-01-09 102.920 FGCIN#G12323 09-01-09 66.620 FGCIN#B13455 09-01-09 1.455.340 FNCIM #254371 09-01-09 311.650 FNCINb'255888 09-01-09 10,125.930 FNCL# 256394 09-0 1-09 43.505 FNCI N #725445 09-01-09 1,401.515 FNClN#725445 09-01-09 373.810 FNClNM25335 4.500% Due 05-01-19 4.000%he 05-01-20 4.000% Due 08-01-20 09-01-09 567.690 FNCI N #a9053 W-ol-09 69.180 GNSFM#582153 .. 6 000%Due06-15-32 09-01-09 5.654370 G2POOL#4195 6.000% Due 07-20-38 6.000% Due 04-15-32 096149 265.830 GNSF M #552509 51.86 1,602.04 1,475.71 760.55 65.85 6,343.36 301.12 592.12 195,890.60 118.875.00 270,000.00 123,085.00 2,435.89 8,312.03 1,497.84 98.67 66.42 1,448.77 303.27 10328.45 43.54 1,345.02 363.76 550.66 69.06 5,648.18 262.55 51.82 1,669.33 1,516.47 784.07 65.96 6,350.31 304.88 574.18 196,125.00 117,675.00 270.000.W 124.531.25 2,386.30 8,142.8 1 1,552.42 102.92 66.62 1,455.14 311.65 10,125.93 43.51 1,401.51 373.81 567.69 69.18 5,654.37 265.83 -0.04 61 29 40.76 23.52 0.11 6.95 3.76 -17.94 234.40 -1200.00 0.00 1,446.25 -49.59 -169.22 54.58 4.25 0.20 6.37 8.38 -202.52 -0.03 56.49 10.05 17.03 0.12 6.19 3.28 e e e e e e e e e e 0 0 e e e e e e e e e e 0 e 0 0 e ICC Capital Mana, oement REALIZED GAINS AND LOSSES PALMBEACH GARDENS POLICE PENSION FUND FEED INCOME From 06-30-09 Through 09-30-09 Gain Or Loss Open close Cost Date Date Quantity Security Basis Proceeds Short Term Long Term ~~ 0762-02 09-01-09 407.490 GNJO M $781313 6.000% Due 07-15-16 09-09-09 09-11-09 325,000.000 US TREASURY N/B 4.500% Due 08-15-39 01-30-06 09-20-09 80,000.000 GEN€RAL ELECTT(IC CAP CROP 8.300% Due 09-2049 TOTAL GAINS TOTAL LOSSES TOTALREALEED GAINROSS -158,589 92 420.22 407.49 333,328.13 345,566.41 88,629.60 80,000.00 -12.73 12,238.28 -8.629.60 16,354 94 2,616 13 -1,200 00 -176,420 99 1877,129.60 1,718,539.68 15,154.94 -173,744.86 0 e 0 e 0 e 0 e e e ICC Capital Management PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOMh September 30, 2009 PORTFOLIO SUMMARY Security Type Total Cost Market Value Cash & Equivalents CASH AND EQUIVALENTS Fired Income CORPORATE BONDS h4UNICIPAL BONDS GOVERNMENT BONDS MORTGAGE POOLS GOVERNMENT SPONSORED BOND Accrued Interest 1,658,773.04 Pct. Cur. Est.Annua1 4ssets Yield Income __~ 1,658,773.04 13.1 0.1 1,592.42 ~__ 1,658,773.04 1,658,773.04 13.1 0.1 1,592.42 5,273,93 1.80 570,081.25 789,041.75 1,894,595.06 1,996,079.50 5,579,586.35 595,827.75 678,037.50 2,OO 1,792.52 2,063,286.00 117,744.94 10,523,729.36 11,036,275.06 TOTAL PORTFOLIO 12,182,502.40 12,695,048.10 44.0 4.8 4.7 5.6 5.3 4.2 15.8 5.6 16.3 4.3 269,586.25 33,3 12.40 28,350.00 112,626.30 88,370.00 0.9 ~~ 86.9 4.9 532.244.95 100.0 4.2 533,837.38 e e e e e e e e 0 e * ICC Capital Management PORTFOLIO APPRAISAL PALM BEACH GARDENS POLICE PENSION FLih!D FEED INCOMk September 30, 2009 Markt Pct Cnr. AsefS Yield ~- Price Value Unit Total Quantity Security Cost Cost CASH Ah9 EQUIVALEXCS CASH & CASH EQUIVALENTS 1,658,773 04 1,658,773.04 13.1 0.1 1,658,773.04 304.525.20 134,879.85 124.936.25 119,947 20 124,881 25 124,853.75 195,640.00 200,592.00 134,789.40 83,674.00 133,971.30 124,702.50 124.972.50 124,410.00 124,452.50 119,454.00 144,541.80 224,669.25 134,958.20 119,581 20 1,658,773 04 13.1 2- 1 1 1 1 I 1 I 1 0.7 1.3 1.1 11 0. I .. CORPORATE BONDS 280,000.000 JF'MORGAN CHASE & co 7.875%Due 06-15-10 135,000.0W MORGAN STANLEY 2.000% Due 09-22-1 1 104.55 101.62 102.96 105.66 104.23 101.79 102.80 106.62 108.89 106.16 114.00 113.77 107.43 109.61 104.09 103.64 105.95 105.91 108.75 106.46 292,734.40 137,187.00 125.703.75 126,787.20 130290.00 127243.75 205,602.00 213240.00 146,996.10 WJ37.70 153,900.00 142212.50 124287.50 137,007.50 130,112.50 124,363.20 153,623.15 238299.75 141,380.20 127 753.20 108.76 99.91 99.95 125,000.000 NEW YORK COMMUNITY BANK 3.000?hDue 12-16-11 co 4.250% Due 02-24-12 125,000.000 KEY BANK NA 3.200% Due 06-15-12 125,000.000 PNC FLNDWG COW 2.300% Due 06-22-12 120,000.000 HEWLET-PACKARC 99.96 e 99 90 99.88 97.82 100.30 99.84 200,000.000 GOLDEN WEST F"L 200.W0.000 AT&T WC 4.750YoDue 10-01-12 4.950%Due 01-15-13 135,WO.OOO NATIONAL RW UTIL COOP e e e e e e e e e e e e e e e e e 0 e 0 5.1 5.500% he 07-01-13 85.0M1.WO GOLDMAN SACHS 98.44 99.24 99.76 99.98 4.9 5.7 5.7 4.3 5.250% Due 10-15-13 6.500% Due 10-15-13 6.500% Due 11-15-13 co 4.600%Due 01-15-14 135,000.000 IBM COW 125,000.000 BAKERHUGHES INC 125,000.000 PROCTER BL GAMBLE 125,000.000 GENERAL DYNAMICS COW 99.53 5.250%Due 02-01-14 125,WO 000 HONEYWELL ~RNATIONAL 99.56 3.5 4.1 4. I 3.875%Duc 02-15-14 3.625% Duc 03-15-14 120,WO.OOO COCACOLA CO 99.54 99.68 99.85 I .2 145,000.WO PRAXAlR WC 225.000.000 GLAXOSMlTHKLINE 4.375%Duc 03-31-14 CAP WC 4.375% Due 04-15-14 GROW WC 130,000.000 GOLDMAN SACHS 103.81 6 000%Due05-01-14 120.W0.000 MORGAN STANLEY 99.65 6.WO% Due 05-13-14 ICC Capital Management PORTFOLIO APPRAISAL PALM BEACH GARDENY POLICE PENSION FUW FIXED INCOME Quantity Security 100,000.000 GMRAl ELEC CAP cow 5.500% Due 06-04-14 45,000.000 BEAR STEARNS - ip MORGAN 5.700%Due 11-15-14 5.125% Due 01-15-15 65,OW.OOO MLDMAN SACHS 185.W0.000 GENERAL ELEC CAP cow 4.375% Due 09-21-15 225.000.000 AT&T INC 5 625%Due06-15-16 145,000 000 BANK OF AMENCA cow 6.500% Due 08-01-16 150.000.000 MCDONALD'S COW 5.300% Due 03-15-17 COMMUNICATIONS 115,000.000 VERRON 5.500% Due 04-01-17 1W,W.000 NATIONAL RURAL LTL COOP ~ ~~~ ~ ~ ~ 5.450% Due 04-10-17 225.000.000 MCWNALDS COW 5.800%Due 10-15-17 NY 115,WO.WO CONS EDJSON CO OF 5.850%Due 04-01-18 120.WO.WO AMGEN INC 5.700%Due 02-01-19 4.950%Due 02-15-19 125,WO.OOO CJSCO SYSTEMS INC 115,WO.OOO CHEVRON COW 125,000.000 JOHNS HOPKNS 4.950% Due 0343-19 UNIVERsrrr 5.250% Due 07-01-19 155.000.000 NOVANT HEALTH INC 5.850%Due 11-01-19 120,WO.OOO CONCCOPH[UJPS 115.WO.000 BOEING CO 6.000% Due 01-15-20 4.875% Due M-15-20 Accrued interest MUNICIPAL BONDS I10,WO KENTUCKY ST PF'TY & BLDGS COMMN REVS 6.164%Due 08-01-23 125,000 UTAHST 4.554% Due 07-01-24 September 30, 2009 Unit Total Cost Cost 99.86 97.40 99.74 99.66 101.36 99.95 98.90 102.45 99.68 102.47 99.96 99.78 98.81 99.97 98.99 99.98 101.29 98.96 100.00 100.00 99,856.00 43,829.55 64,829.10 184,363.60 228.07 1.25 144,926.05 148,348.50 117,812.90 99,680.00 230,555.25 114,949.40 119.732.40 123.5 18.75 114,964.35 123,741.25 154,975.20 121,54440 113,801.70 5.273.931.80 110,000.00 125,000.00 6 MarBt PEt. Cur. Assets Yield ___ Price Valve 105.61 107.11 104.50 99.04 107.58 105.11 107.99 106.57 105.61 112.11 109.00 109.93 105.12 106.74 106.99 102.61 110.82 103.15 103.90 102.26 105.61 2.00 48,199.05 67,926.95 183.21 6.60 242,046.00 152,416.75 161,986.50 122,550.90 105,614.00 252,245.25 125,353.45 131,912.40 131,397.50 122,749.85 133,742.50 159,039.30 132,990.00 118,625.95 0.8 5.2 __ C' c I 1 I 1 1 0 2 I IY 5.2 1.0 4.7 1.0 4.6 1 4.9 1 I." 5.4 0.9 4.7 73,188.32 0.6 5,652,774.67 44.5 4.8 114,293.30 0.9 5.9 127.826.25 i e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e 0 e e e e e e e e e e e ICC Capital Management PORTFOLIO APPRAISAL PALM BEACH GARDENS POLICE PENSION FUND FIXED INCOME September 30,2009 Unit Total )Market Pct Cur. Asseu Yield ~- Quality security cost Cost Price Value 210,000 UNIVERSTYOF CALIFORNIA 6.270% Due 05-15-3 I 125.WO CHICAGO ILL BRD ED 6.138% Due 12-01-39 Accrued lnteresl GOVERNMENT BONDS 630,000.000 US TREASURY 4.500% Due 05-15-38 Accrued Merest MORTGAGE POOLS 27,470.850 GNJOM#781313 71.105.080 FNCl M #254371 6.00PAle 07-15-16 5.500% Due 07-01-17 4.500% Due 04-01-19 4.500%Due 05-01-19 4,548.650 FGCI N #B13455 82,448.050 FNCl N #725445 47,451.110 FNCIN#825335 49,409.990 FNCI N #255888 4.0W%Due 05-01-20 4.000% Due 08-01-20 4.000% Due 08-01-20 4.500% Due 06-01-21 4.500% Due 0841-21 6.000%Due 04-15-32 6.000%Due 06-15-32 40,078.490 FNCI N #829053 103,297.120 FGCI #G12205 5,687.412 FGClN #GI2323 116,834.210 GNSF M #552509 30,466.MO GNSF M#582153 602388,872 FGLMC #GO2268 6.500% Due 08-01-36 526,590.840 FNCL # 256394 6.500% Due 09-01-36 175,813.982 G2 WOW 4195 6.000% Due 07-20-38 Accrued lnterm GOVERNMENT SPONSORED BOND 245,000.000 FEDERAL HOME LOAN BANK 1.250% Due 09-29-1 1 3.000%Due 06-25-13 3.200%Due 08-05-14 120,000.000 FHLMC 110,000.000 FANNIE MAE 135,M)o.OOO FREDDIE MAC 3.375% Due 08-18-14 100.04 210.081.25 100.00 125,000.00 5 70,08 I .25 789,041.75 789,041.75 125.24 103.12 99.56 99.71 96.09 97.31 97.31 97.00 96.48 95.88 98.77 99.83 102.08 102.00 99.89 28,329.31 70,794.00 4,535.24 79226.32 46,175.86 48,082.10 38,876.14 99,665.58 5,452.81 115,392.04 30,413.66 614,907.70 537,122.84 175,621.48 1,894,595.06 100.00 245.000.00 100.00 120,000.00 100.00 110,000.00 100.00 135,000.00 7 104.47 219.380.70 1.7 6.0 107.46 134,327.50 1.1 5.7 2,576.25 ~- 0.0 598,704.00 4.7 5.6 107.62 107.40 107.15 105.26 105.32 102.01 102.01 102.0l 104.70 104.70 106.72 106.72 106.75 107.11 105.99 100.03 101.63 101.16 101.15 678.037.50 5.3 4.2 10.631.25 0.1 688.668.75 5 ' ~- 29,503.97 76,187.67 4,787.95 86,836.76 48,405.35 50,403.62 40,884.47 108,150.02 5,954.61 124,684.30 32,5 13.03 643,074.22 564,052.51 186,354.03 9,072.67 !.010,865.19 245,075.95 121,962.00 111,271.60 136,555.20 0 0.6 0.0 0.7 0 0 0 09 0.0 1.0 0 5 4 1.5 0.1 15.8 - 1.9 I." 0.9 I. 5.6 5.1 4.3 4.3 3.9 3.9 4.3 4.3 5.6 5.6 5.7 - 5.6 1.2 3.0 3.2 3.3 ICC Capital Management PORTFOLIO APPRAISAL PALM BEACH GARDENS POLICE PE;\I;SION FLND FlXED INCOME Quantity Security 375,000.000 FREDDIE MAC 200,000.000 FANNE MAE 265,000.000 FANNE MAE 300,000.000 FREDDIE 4zAC 255,000.000 FANNE MAE 4.000% Due 09-30-16 6.000% Due 04-28-21 5,625%Due 11-15-21 5.9W% Due 06-15-22 5.500% Due 12-14-12 Accrued htere~t TOTAL PORTFOLIO September 30. 2009 colt Total Cost Cost 100 00 375,000 00 99 20 198,394 00 99 32 265,198 00 98 63 295,890 00 99 a5 253.597 50 1,996,079.40 Market Pct cur. Asseb Yield 100.16 375,618.75 3.0 4.0 105.7s 211.j62.00 1.7 5.: 106.69 282,723.20 2 107 07 321.20700 2 100.91 257,310.30 1.U >> ~- Price Value 21,976.44 0.2 ~~ 2,085.262.44 16.4 J.3 12,695,048.10 100.0 4.2 PALM BEACH GARDENS POLICE PENSION FUND GROWTH Investment Review Quarter Ending September 30,2009 e e e e Investment Perjformance Report e Quarter Ending e September 30,2009 PALM BEACH GARDENS POLICE PENSION FUND GROWTH e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e e 0 I t ves fmen t Resrr Its Total Return Summary P Portfolio Allocation Page ...... 1 Page ...... 2 Investment Performance by Asset Category Portfolio Sector Diversification Investment Performance by Sectors Portfolio Attributes Brokers Commission Page ...... 3 Page ...... 4 Page ...... 5 Page ...... 6 Page ...... 7 IPurchases & Sales Page ...... 8 Realized Gains/Losses Portfolio Summary Page ...... 9 Page ...... 10 IPortfolio Appraisal Page ...... 11 ICC Capital Management, Inc. e - e e e e e e 0 e e e e PALM BEACH GARDENS POLICE PENSION FUND GROWTH Total Return Summa y Quarter Ending September 30,2009 e e e e e e e e e e e e e e e e e e e e e e e e e e Starting Value Ending Value Difference Net Contributions/ (Withdrawals) GaitJ(Loss)@m Investments $4,9W6 $1,939,240 $1,122,983 $816,257 ~l,LUU,UUU $4,954,316 S3,754,316 $3,941,100 ($186,784) TOTAL RETURN I 18.94% 17.25% -10.81% ANNUALIZED RETURN I -4.33% ICC -tal Management, Inc. e 1 e e 0 e 0 e e e e e e e e e e e e e 0 e e e e e 0 I, I, I, I, 0 0 0 0 0 0 0 0 e e e PALM BEACH GARDENS POLICE PENSION FUND GROWTH Portfolio Allocation at Market Quarter Ending September 30,2009 Market Value as of 06/30/09 Asset Allocation: 1 OO/O (Mkt) CASH/ EQUIVS 4.1% Market Value as of 09/30/09 CASH/ EQUIVS 5.8% rl A EQUITY 94.2% ICC Capital Management, Inc. e 2 PALM BEACH GARDENS POLICE PENSION FUND GROWTH Investment Performance by Asset Category Quarter Ending September 30,2009 Quarter ~CCOUNT WINDEX m I-- i 18.94 19.81 - 13.98 30’00j 20.00 10.00- 0.00 1 A EQUITY TOTAL One Year I 30.00 20.00 10.00 0.00 -10.00 17.25 -L=Lr -1.85 -1.85 1’ TOTAL -20.00 - EQUITY iince Inception Annualized (M8/ 07 - 9/30/09) ACCOUNT .INDEX -4.33 -5.00 -5.27 -5.27 -6.02 0 0 0 0 0 0 0 0 3 ICC Capital Management, Inc. -lO.OO] I -15.00 A ~. EQLJITY TOTAL The red total bar represents the Russell 1000 Gruuith Index 0 0 0 PALM BEACH GARDENS POLICE PENSION FUND GROWTH 0 Portfolio Sector Diversification Quarter Ending September 30,2009 0 0 0 0 Top - Ten Holdings 0 Security 96 of equitie Return for Quarter 0 MARVELL TECHNOLOGY GROUP 4.41 % 39.09% 4.20% 18.74% 0 TARGET CORPORATION 4.08% 8.77% 0 MICROSOFT CORP. CERNER CORP. 4.00% 20.08% BROADCOM CORP. 3.88% 23.80% EQm INC. 3.75% 26.48% THOMAS & BETTS CORP. 3.42% 7.63% APPLE COMPUTER INC. 3.38% 30.13% 0 0 KOHLS CORP. 3.17% 33.45% 0 BRISTOL MYERS SQUIBB COMPANY 2.85% 12.60% 0 Sector Contribution 0 0 0 ab of Portfolio Return for Quarter 6.81% 13.950’0 Industrials 9.37% 26.08% Telecommunications 1.63% 15.45% 0 Consumer Discretionary 10.89% 20.60% 0 Consumer Staples 5.57% 9.66% 0 Energy 4.38% 8.27% 7.21 % 14.63% 0 Financials 17.03% 12.97% 0 Healthcare Information Technology 32.95% 29.71 % 4.14% 7.42% utilities Sector Materials 0 0 0 0 0 0 0 0 0 0 ICC Cnpitni i\/liiringerrrivif, Irii-. 0 1 a PALM BEACH GARDENS POLICE PENSION FUND GROWTH Investment Performance by Sectors Quarter Ending September 30,2009 Index Sector Returns for 3009 20.0 10.0 0.0 Sector Diversification Relative to the Russell 1000 Growth Index 0 -10.0- -10.5 5 0 0 0 PALM BEACH GARDENS POLICE PENSION FUND GROWTH 0.0 9/30/2w9 6/30/2009 3/31/Zw9 12131I2M8 0 0 e 0 R1- - 0 CAPJTALJZAnON 0 ICC - 0 0 0 em 0 0 0 0 OF- 0 0 0 om 0 ICC - 0 R1- - 0 0 0 0 ICC - 0 0 0 0 ICC - 0 R1-- e 0 0 ICC - Rlm - YlELD 0 RlW - 12 MONTH EPS GROWTH 0 RlWOC - 0 SKEAREPSGROWTH Growth Portfolio Attributes Quarter Ending September 30,2009 ~ 6/30/2009 9/30/2009 3/3W09 12/31/2008 441 40 5 38 3 49 4 71 4 68 0 66 3 76 5 9/30/2009 6/30/2009 3/31/2009 12/31/2008 1.01 1.01 1.02 1.01 1.00 l.W 1.00 1.00 9/30/2009 6/WW 3/31/2009 12/31/2008 1.08 1.20 1.66 1.72 1.72 1.90 2.14 1.99 6/30/2009 9/30/2009 3/3l/Z009 12/33/2008 20.2 18.7 19.7 15.2 16.8 16.1 14.4 13.7 9/3OfZOO9 6/30/2009 3/33/2009 12/31/2008 24 0 25 0 15 8 12 0 84 18 0 18 6 24 0 MARKET CAPITALlZATION 9/34/2009 6/30/2mS 3/31/1009 12/31/2008 1.50 BETA1 9/30/2009 6/30/2w9 3/31/2004 12/31/2oOS I 9/34/2009 6/30/2009 3/3112w9 12/31/2oOS PRICVEARNINGS 30.0 9/30/2w9 6/34/2009 3/31/2w9 12131/2008 12 MONTH EPS GROW 0 0 0 0 Broker Commission Summary Report 0 Quarter Ending 0 September 30,2009 PALM BEACH GARDENS POLICE PENSION FUND GROWTH 0 0 Total: Donaldson & Co. - Donaldson $9.70 1 $0.m 0 Date Trans Ticker Security $Amount Shares Price Comm PerSh 0 Donaldson & Co. - Donaldson 9/14/2009 Sell EM Taiwan Semiconductor Mfg 59.70 1 $10.60 50.00 0 The Griswold Company 530,939.60 1200 $25.74 $48.00 50.04 0 8/18/2009 Buy TNB Thomas&BettsCorp 9/18/2009 Sell MU Micron Technology Inc 57,370.63 900 $8.23 $36.00 50.04 9/18/2009 Sell MU Micron Technology Inc 513,103.34 1600 $8.23 $64.00 $0.04 532,758.35 4000 $8.23 5160.00 50.04 0 9/18/2009 Sell MU Micron Technology Inc 9/18/2009 Sell MU Micron Technology Inc 517,198.13 2100 $8.23 $84.00 $0.04 0 Edgetrade2 8/18/2009 Buy NEM Newmont Mining Corp 527,445.11 700 $39.20 $7.00 $0.01 9/17/2009 Sell NEM Newmont Mining Corp 518,277.05 400 545.70 $4.00 50.01 9/17/2009 Sell LUV Southwest Airlines Co. $85,376.28 8800 59.71 $88.00 $0.01 $73,108.20 1600 545.70 516.00 $0.01 0 9/17/2009 Sell NEM Newmont Mining Corp 9/17/2009 Sell NEM Newmont Mining Corp 518,277.05 400 545.70 54.00 $0.01 0 9/22/2009 Buy BEN FranklinResInc 5102,361.20 1000 $102.35 510.00 $0.01 $324,844.89 12,900 $129.00 $0.01 0 Total: Edgetrade 2 9/18/2009 Sell MU Micron Technology Inc $818.96 100 $8.23 $4.00 $0.04 0 Total: The Griswold Company $102,1eg.m 9.900 $396.00 $0.04 0 0 0 0 a 0 0 0 0 0 0 0 0 0 0 0 0 0 7 0 ICC Capital Managenletit, lnc. ICC Capital Management PALM BE4CH GARDENS POLICE PENSION FUND GROWTH From 06-30-09 To 09-30-09 PURCHASE AND SALE Trade Settle Date Date Quantity PURCaASES 09-22-09 09-25-09 08-18-09 08-21-09 08-18-09 08-21-09 SALES 09-18-09 09-23-09 09-18-09 09-23-09 09-1 8-09 09-23-09 09-18-09 09-23-09 09-1 8-09 09-23-09 09-17-09 09-22-09 09-17-09 09-22-09 09-17-09 09-22-09 09-17-09 09-22-09 09-14-09 09-14-09 Unit Security Price Amount 1,000.00 FR4NKLIB RES INC 1,200.00 THOMAS & BETTS COW 700.00 NEWMONT MINING CORP 2,100.00 900.00 1,600.00 MICRON TECHNOLOGY INC MICRON TECHNOLOGY INC MICRON TECHNOLOGY INC 4,000.00 MICRON TECHNOLOGY INC 100.00 MICRON TECHNOLOGY INC 1,600.00 NEWMONT MINING CORP 400.00 NEWMONT MINING COW ~~ ~~ 400.00 NEWMONT MINING CORP 8,800.00 SOUTHWEST AIRLINES CO. 0.9 1 TAIWAN SEMICONDUCTOR MFG 102.36 102,36 1.20 39.21 27,445.1 I 25.78 30,939.60 160,745.91 8.19 17,198.13 8.19 7,370.63 8.19 13,103.34 8.19 32,758.35 8.19 818.96 45.69 73,108.20 45.69 18,277.05 45.69 18,277.05 9.70 85,376.28 10.60 9.70 266,297.69 ICC Capital Management REALIZED GAIXS AND LOSSES ?&MBEACH GARDENS POLICE PENSION FW GROWTH From 06-30-09 Through 09-30-09 Gain Or Lou Open Close Cost Date Date Quantity security Buis Proceeds Short Term Long Term __~ 08-1449 09-14-09 0.91 TAlWAN SEMICONDUCTOR MFG 08-1948 Wl749 1.600 10 SEWMO?;: M!AlSGCORP 04-0749 09-1749 400 M) SEWMOST MIMUG COW 04-2349 09-1’-09 4OU M SEWOLiT MlNRG COW 12-16-08 W-I’-39 8,800 30 SOLXES’TMUIMS 10-10-07 09-18-09 ?.IN 00 .WCRON TECW0LOC.Y 10-304’ 09-18-09 900 W MICRON TECHNCLOCY 01-2848 09-18-09 1.630 30 MICRON TECWOLOOY 026648 09-1849 4.WO 10 .WCKCN TECHNOLOCY 03-14-08 W-IS-09 100 M MICRON TECHiiOLOCY TOTAL GmS TOTAL LOSSES TOTAL RL\LIZEDGAlKlLOSS 23.075 21 co MC INC NC NC NC 0.00 68,867.84 16,984.00 69,153.92 22,626.66 9,180.00 10,550.08 29,632.80 618.14 15,609.04 243.222.48 9.70 73,108.20 18,277.05 18,277.05 85.316.28 17,198.13 7,370.63 13,103.34 32,758.35 818.96 9.70 4240.36 1,293.05 2.668.01 16i222.36 -5,428 53 -1.80937 2,553 26 3,125 55 200 82 10.1 19 99 -7,237 90 2$8209 ICC Capital Management PORTFOLIO SUMMARY PALM BEACH GARDENS POLICE PEVSION FUND GROWTH September 30, 2009 Pet. Cur. Est.Annua1 Security Type Totai Cost Market Value Assets Yield Income ~~ Cash & Equivalents CASH AND EQUIVALENTS 287,825.42 287,825.42 5.8 0 276.3 1 ____ 287,825.42 287,825.42 5.8 0.1 276.3 1 Equities COMMON STOCK MATERIALS 212,435.92 MDUSTRIALS 455,846.30 TELECOMMUNICATIONS 83,294.00 CONSUMER 5 19,325.50 DISCRETIONARY CONSUMER 284,312.78 STAPLES ENERGY 242,924.82 FINANCIALS 339,553.28 HEALTHCARE 749,52 1.08 INFORMATION 1,432,60635 TECHNOLOGY UTILITIES COMMON STOCK 31 43 I: __.50 37.00 76,440.00 508,442.00 259,918.00 204,675.00 336,327.00 794,640.50 1,537,912.66 6.4 I .9 8.8 1.2 1.5 0.0 10.3 0.6 5.2 2.1 4.1 1.6 6.8 1 .o 16.0 1.6 31.0 0.4 5,90021 5,049.40 0.00 3,208.00 5,345.00 3,192.00 3,332.00 12,368.00 6,694.37 193,176.00 3.9 3.2 6,249.00 4,602,277.38 4,666,490.66 94.2 1.1 51,337.98 4,602,277.38 4,666,490.66 942 1.1 51,337.98 ~~ 182,456.85 ____ $OTAL, PORTFOLIO 4,890,102.80 4,954,316.08 100.0 1.0 51,614.29 ICC Capital Management PORTFOLIO APPRAISAL PALMBEACH GARDENS POLICE PENSIONFUW GROWTH September 30, 2009 Pet. Cur. .Assets Yield Market Price VllW ~- Unit Total Quantity Security Cost Cost CASH AND EQUIVALENTS CASH & CASH EQUIVALENTS 287,825.42 287,825 42 287,825.42 5.8 0.1 287,825.42 5.8 0.1 COMMON STOCK X4TERJAI.S 2,200.00 NEWMONT MINING cow 44.02 96,84400 i 0.9 47.01 131,628.00 2.7 3.0 23.13 89.050.50 1.8 1.2 317,522.50 6.4 1.9 39.08 85,979.01 42.63 119.354.72 Y82 107,102.19 312,435.92 2,800.00 NUCOR COW 3,850.00 V4LE SA INDusms 4,900.00 GENERAL ELECTRlC co. 16.42 9.60 30.08 56.47 60.93 80,458.00 1.6 2.4 98,880.00 i 159,424.00 i 62,117.00 1 36,558.00 0.7 2.5 22.40 7.32 30.23 69.38 56.86 109,778.48 75,432.08 160,202.38 76,316.39 34,116.91 10200.00 SOUTHWEST AIRLINES co 5,300.00 THOMAS 8r BETS 1,100.00 L"ED PARCEL SVC cow NC 600.00 LJ TEcmoLoGIEs cow. ~- 437,437.00 8.8 1.2 455,846.30 39.66 36.40 TELECOMMcTNlCATIONS 2.100.00 AMENCAN TOWER 83,294.00 76,440.00 15 00 76,44000 15 00 __- CORPORATION 83.294.M CONSUMER DISCRETIONARY 103,201.30 68,287.26 55.32 26.47 57.05 46.68 ~~ 2.200.00 DEVRY, WC. 1.600.00 GAMESTOP CORP-CL 46.91 42.68 121,704.00 2.5 0.3 42,352.00 0.9 0.0 148,330.00 3.0 0.0 196,056.00 4.0 1.5 508,442.00 10.3 0.6 __- A 2,600.00 KOHLS CORP 4200.00 TARGET 45.28 54.79 117,720.92 230,116.02 CORPORATION 519225.50 CONSUXER STAPLES 37.3 I 34.61 63,425.00 89,974.00 1,700.00 ARCHER DAMELS 2.600.00 US CAREMARK MIDLAND co 29.22 49,674.00 1.0 1.9 35.74 92,924.00 1.9 0.9 58.66 117220.00 2.4 3.1 259,918.00 5.2 2.1 cow 2,000.00 PEPSICO WC 65.46 130.913.78 284.312.78 ENERGY 1,900.00 EXXON MOBILE 72.89 138,488.12 68 61 130,359.00 : COW 0 0 ICC Capital Management PORTFOLIO APPRAISAL PALMBEACH GARDENS POLICE PENSION FW GROWTH September 30, 2009 Unit Total Quantity Security cost cost Market Pet. Cur. Assets Yield __- Price VSlUC - 1.5 0.0 4.1 1.6 _- 0 3.6 2 0.3 2.2 0.8 1.6 0.6 6.8 1.0 -- 1.5 3.2 2.7 1.9 1.7 0.0 2.1 5.5 3.8 0.0 2.0 0.1 1.6 0.0 16.0 1.6 -- 3.2 0.0 3.7 0.0 1.3 0.0 3.5 0.0 2.6 0.0 1.6 0.0 4.2 0.0 2.5 0.0 3.8 2.0 1.8 0.0 1.7 3.3 1.1 0.0 31.0 0.4 -- 2.0 3.0 3,300.00 SUPERJOR ENERGY SERVICES WC 22.52 74,316.00 204,675.00 31.65 104,436.70 242.924.82 FINANCIALS 1700.00 FEDERATED -1.19 102.36 148.88 36.025.96 102,361.20 89,325.24 26.37 100.60 184.35 44,829.00 100,600.00 110,610.00 ~. NVESTOFS WC-CL B 1.000.00 FRANKLIN RES wc 600.00 MLDMAV SACHS 2.600.00 MORGAN STANLEY GROW WC. 30 88 80,288 00 336.321 00 43.02 111,840.88 339,553.28 HEALTHCARE 1.500.00 ABBOT LAB COM 52.35 67.47 60.96 22.86 52.00 78,52 I. W 128.202.45 49.41 69.75 74.205.00 132,525.00 85,884.00 132,868.00 1:900.00 BECTON DICKINSON & co 103,625.97 134,869.48 130.010.14 50.52 22.52 1700.00 BICGEN INC 5:900.00 BRlSTOL MYERS SQLlBB COMPANY 74.80 28.09 187,000.00 101.124.00 2,500.00 CERNER COW 3,600.00 ClGNA COW 30,350.00 SUPERGEN INC 18.25 651717.27 3.58 108.574.77 749,521.08 2.67 81i034.50 794,640.50 IMORMATION TECHNOLCGY 850.00 APPLE COMPUTER 5,900.00 BROADCOM COW 3,800.00 EMC COW 1,900.00 EQW INC 3,600.00 HEWTI WC ASSOCIATES wc-CL 136.08 29.75 15.32 67.55 29.17 115,664.10 175,550.23 58202.97 128342.29 105,025.97 185.35 30.69 17.04 92.00 36.43 157.547 50 181,071.00 64,752.00 174,800.00 131,148.00 A 10,900.00 IDS UNIPHASE COW 12,700.00 MARVELL TECHNOLOGY 12.46 12.71 135,842.71 161,376.20 7.11 16.19 77,499.00 205.613.00 GROUP TECHNOLOGY mc 15.100.00 MICRON 8.20 25.12 26.68 10.96 123,820.00 190,328.00 89.378.00 85,718.16 5.76 29.49 26.21 9.78 87,008.20 218,234.26 88,003.07 76,452.01 7,400.00 MlCROSOFT COW. 3350.04 NETAPP INC 7,821.00 TAlWAN SEMICONDUCTOR MFG A 1,400.00 WARE INCCLASS 59.22 82,904.84 40.11 56238.W 1,537,912.66 1,432,606.85 39.09 99,687.60 10.22 82,769.25 182,456.85 12 UTILITIES 2,550.00 CALIFORNIA WATER 8,100.00 NV ENERGY INC SERVICE GRP 38.94 99,297.00 93,879.00 1.9 3.5 193,176.00 3.9 3.2 11.59 ICC Capital Management PORTFOLIO APPRAISAL PALMBEACH GARDENS POLICE PENSION FUND GROWTH September 30, 2009 Unit Total Maarkrt Pet. 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