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Ord 44-01ORDINANCE NO. 44-01 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA AMENDING CHAPTER 33, "POLICE AND FIRE DEPARTMENTS", SUBHEADING "PENSIONS", OF THE CODE OF ORDINANCES OF THE CITY OF DELRAY BEACH, FLORIDA BY AMENDING SECTION 33.66, "FINANCES AND FUND MANAGEMENT," SECTION 33.66(E)(2)(b), TO MODIFY THE TIME PERIOD FOR REBAI_ANCING PENSION FUND ASSETS; PROVIDING A GENERAL REPEALER CLAUSE, A SAVING CLAUSE, AND AN EFFECTIVE DATE. WHEREAS, the City and the Board of Trustees of the Police and Firefighter Retirement Plan desire to modify the period within which pension fund assets must be rebalanced. NOW, THEREFORE, be it ordained by the City Commission of the City of Delray Beach, Florida as follows: Section 1. That Section 33.66, "Finances and Fund Management", Subsection E(2)(b) be and is hereby amended to read as follows: (b) The Board of Trustees shall not invest more than five percent (5%) of Trust Fund assets in the common or capital stock of any one issuing company, nor shall the aggregate investment in common or capital stock in one company exceed five percent (5%) of the outstanding common or capital stock of that company; nor shall the aggregate of the Fund's investments in common or capital stock using the market value method exceed seventy percent (70%) of the Fund's assets, as measured on the last business day of each quarter. The Board of Trustees shall rebalance the Fund's assets by the last business day of the following quarter, unless the Board determines that it would not be economically feasible because rebalancing would cause an economic loss, in which case the Fund's assets shall be rebalanced as soon as it is economically feasible to do so. Section 2. That all ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. Section 3. That should any section or provision of this ordinance or any portion thereof, any paragraph, sentence, or word be declared by a Court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereof as a whole or part thereof other than the part declared to be invalid. .Section 4. and final reading. That this ordinance shall become effective upon its passage on second d ayofPASSED~/A~I'D ~ADOP~ED in regular2001, session on second and final reading on this the MAYOR City Clerk First Reading 7'/~ ~/~/ Second Reading ~____~//~/ 2 ORD. NO. 44-01 MEMORANDUM TO: FROM: SUBJECT: DATE: NykYOR AND CITY COMMISSIONERS ~CITY MANAGER AGENDA ITEM #10~. REGULAR MEETING OF AUGUST 7, 2001 ORDINANCE NO. 44-01 (POLICE AND FIRE PENSION PLAN) AUGUST 3, 2001 This is second reading and a public heating for Ordinance No. 44-01 which amends Chapter 33, "Police and Fire Departments", Subheading "Pensions", Section 33.66, "Finances and Fund Management~', and Section 33.66(E)(2)Co), to modify the nme period for re-balancing pension fund assets. The ordinance provides that investments in excess of the investment standard are to be continued until is economically feasible to dispose of such investments m accordance wxth investment parameters and meets the requirements of F.S. 112.661(5)(b) and F.S. 112.66(5)(b). At first reading on July 24, 2001, the City Commission passed the ordinance by unanimous vote. Recommend approval of Ordinance No. 44-01 on second and final reading. Ref Agmemol50rd 44-01 Pohce & F~re Pensmn 08 07 01 CITY OF DELRI:I¥ BEACH CITY ATTORNEY'S OFFICE 1993 DATE: July 17, 2001 TO: FROM: SUBJECT: 200 NW 1st AVENUE · DELRAY BEACH, FLORIDA 33444 TELEPHONE 561/243-7090 · FACSIMILE 561/278-4755 Wnter's Direct Dne: 561/243-7091 MEMORANDUM City Commission David T. Harden, City Manager Susan A. Ruby, City Attorney Ordinance No. 44-01, Police and Fire Pension Plan Attached please find the above ordinance, which modifies the Police and Fire Pension Plan to conform with the Division of Retirement's concerns that the previously adopted ordinance did not meet the requirements of F.S. §112.661(5)(b). F.S. §112.66(5)(b) provides that investments in excess of the investment standard are to be continued until it is economically feasible to dispose of such investments in accordance with investment parameters. This ordinance has been reviewed by the City Police and Fire Pension Board. Please place this ordinance on the next regular City Commission agenda for Commission action. Attachment CC: Barbara Garito, Acting City Clerk Joseph Safford, Finance Director Bill Adams, Assistant Fire Chief Stephen Cypen, Esq. James W. Linn, Esq. ORDINANCE NO. 44-01 AN ORDINANCE OF THE CITY COMMISSION OF THE CITY OF DELRAY BEACH, FLORIDA AMENDING CHAPTER 33, "POLICE AND FIRE DEPARTMENTS", SUBHEADING "PENSIONS", OF THE CODE OF ORDINANCES OF THE CITY OF DELRAY BEACH, FLORIDA BY AMENDING SECTION 33.66, "FINANCES AND FUND MANAGEMENT," SECTION 33.66(E)(2)(b), TO MODIFY THE TIME PERIOD FOR REBALANCING PENSION FUND ASSETS; PROVIDING A GENERAL REPEALER CLAUSE, A SAVING CLAUSE, AND AN EFFECTIVE DATE. WHEREAS, the City and the Board of Trustees of the Police and Firefighter Retirement Plan desire to modify the period within which pension fund assets must be rebalanced. NOW, THEREFORE, be it ordained by the City Commission of the City of Delray Beach, Florida as follows: Section 1. That Section 33.66, "Finances and Fund Management", Subsection E(2)(b) be and is hereby amended to read as follows: (b) The Board of Trustees shall not invest more than five percent (5%) of Trust Fund assets in the common or capital stock of any one issuing company, nor shall the aggregate investment in common or capital stock in one company exceed five percent (5%) of the outstanding common or capital stock of that company; nor shall the aggregate of the Fund's investments in common or capital stock using the market value method exceed seventy percent (70*/,) of the Fund's assets, as measured on the last business day of each quarter. The Board of Trustees shall rebalance the Fund's assets by the last business day of the following quarter~ unless the Board determines that it would not be economically feasible because rebalancing would cause an economic Ioss~ in which case the Fund's assets shall be rebalanced as soon as it is economically feasible to do so. Section 2. That all ordinances or parts of ordinances in conflict herewith be and the same are hereby repealed. Section 3. That should any section or provision of this ordinance or any portion thereof, any paragraph, sentence, or word be declared by a Court of competent jurisdiction to be invalid, such decision shall not affect the validity of the remainder hereof as a whole or part thereof other than the part declared to be invalid. Section 4. reading. That this ordinance shall become effective upon its passage on second and final of PASSED AND ADOPTED in regular session on second and final reading on this the ~ 2001. day MAYOR ATTEST: City Clerk First Reading Second Reading 2 ORD. NO. 44-01 MyRorida. com www MyFionda.com DS~T~;Wr OF M~^~£~'s'r Post Office Box 3010 Tallahasscc, FL 3231:5-3010 SERVICES Fax 850-921-2161 JEB BUSH, GOVERNOR CYNTHIA A HENDERSON, SECRETARY. August 30, 2001 Chief William S. Adams, Chairman Delray Beach Police Officers' & Firefighters' Pension Fund 501 West Atlantic Avenue Delray Beach, Florida 33444 Dear Chief Adams: This is to acknowledge receipt of final ordinances #16-01, #36-01 and g44-01, for the Delray Beach Police and Firefighter Retirement Plan. We would like to invite the board members and others involved in the administration of your plan to the Division's 33'a Annual Police Officers' and Firefighters' Pension Conference on October 24, 25 & 26, 2001. It will be held at the Sheraton Safari Hotel in Orlando. The first'day is designed for new trustees and the next two days represent the regular program. This program is offered as a public service by the Division of Retirement to help keep the Board members, plan participants and others involved in the adminislration of the plans up to date on issues and concerns specific to the Chapters 175 and 185 pension plans. Check out our website at www.frs.state.fl.us/frs/mpf to find a copy of the Conference program and reservation information. Thank you for your cooperation and assistance in this matter. If you have any questions, please contact our office at (850) 922-0667. Sincerely, Palrieia F. Shoemaker Benefits Administrator Municipal Police Officers' and Firefighters' Retirement Trust Funds PFS/mjm CC: fi`Barbara Garito, City Clerk Susan A. Ruby, City Attorney Stephen H. Cypen, Plan Attorney I. Stephen Palmquist, Plan Actuary Charles Slavin, Actuary, Division of Retirement RECEIVED 1 1o, crrY CLEI K