CITY OF SAN DIEGO RETIRED EMPLOYEE ASSOCIATION

CITY OF SAN DIEGO RETIRED EMPLOYEE ASSOCIATION
BOARD MEETING MINUTES JULY 10, 2007

Ruth Ann Hageman covered for President Nancy Acevedo in July.
Present: Ruth Ann Hageman, Ty Rogers, Carmen Lutes, Virginia Silverman, Maggie Smith, Terry Flynn, Alan Hardtarfer, John Tsiknas, Ross McCollum, Sylvia Tatum, Lynn Swanson, Patricia Karnes.
Past Board Members: Joe Flynn and Bob West, Jean Hughes (Holiday Chair)

Meeting called to order at 9:30a.m.
Minutes for CSDREA Board approved.

COMMUNICATIONS: Ruth Ann Hageman
Request from Tom Ham's restaurant, per Jean Hughes, for December 13th Holiday Party deposit of $500 by July 14th, and an additional $500 in September. The final amount is due two weeks before the event.
Jean said Tom Ham's price is $16 per person, plus 18% service and taxes. Last year the price was $18 with tax and tip included. There is a minimum of 85 people.
We will bring a sheet cake, as the desert table was an additional $16 if Monday-Friday, and $22 if on Saturday and Sunday. Lynn suggested we pay the $2 to cut the cake, plates, serving, and clean-up of the desert,

The Board approved Tsiknas' motion of a price of $18, sending two deposits, and Jean would determine the menu. Consensus by the Board for Jean to look into other locations next year, such as Admiral Kid Club, via Alan's inquiry.

TREASURER'S REPORT- Sylvia Tatum

Grand Total Reserve-Operating Balance on 6/1/07 was $31,576.62
Receipts $2,007.40
Expenditures/Transfers $1,816.27
Operating Fund Ending Balance 6/30/07 was $4,476.75
Grand Total Reserve-Operating Fund on 6/30/07 was $32.687.44
Legal Fund Money Market ending balance on 6/30/07 was $23,140.20

Revised statement for May 31, 2007 due to check #1931, to Souper Bowl under total expenses, typo corrected to $200 from $100. Balances remained the same.
Grand Total Reserve-Operating Balance on 5/1/07 was $30.318.07
Receipts $1,899.38
Expenditures/Transfers $1,549.24
Operating Fund Ending Balance 5/31/07 was $4,285.62
Grand Total Reserve-Operating Fund on 5/31/07 was $31,576.62
Legal Fund Money Market ending balance on 5/31/07 was $22,224.26

ACTION ITEMS: Ruth Ann Hageman
Appointment of Nominating Committee Board Members- Board
The Board approved Ross McCollum and Patricia Karnes as the two Board representatives.

INFORMATION-DISCUSSION ITEMS:

STATUS OF PROPOSED "WATERFALL" REVISION-Virginia Silverman
The Waterfall is still being negotiated. The City Council won't be meeting again until September 4th. Joe thought the City Council would be using outside legal advice on the format of an Ordinance.
Virginia noted that only Ordinances go into the Municipal Code and the IRS requires SDCERS follow the only the Municipal Code, not Resolutions.

RETIREE ISSUES TASK FORCE: Joe Flynn
Ron Moskowitz, from retired Police and Fire, is Chair.
Joe is working with David Arce of SDCERS to send out reminder letters to pre-1980 retirees to submit medical expenses for reimbursement.

RETIREMENT BOARD: Carmen Lutes
Carmen pointed out that SDCERS' new location is 8 blocks away on "WEST A" at the First National Bank Bldg.

Indemnification for SDCERS?
Joe noted that part of the chaos since 2003 was that the City employees are indemnified, but the City doesn't pay for attorney costs if acts are illegal. Those charged, asked the courts to require the City pay. The Courts ruled that the City had to pay the costs, plus court costs. Joe added that because the City reneged on indemification for SDCERS, as it did also for Mayor Murphy, SDCERS is inquiring into Indemnification insurance.

Comprehensive Annual Financial Reports (CAFR)
SDCERS' 2005 CAFR is in final edit and the 2006 CAFR is already started.

What is the official termination date for DROP?
Lynn noted that the date used could change lawsuits due to legal implications. David Arce of SDCERS will be asked to clarify this matter. Lynn noted that it was part of underfunding that DROP was not fully funded.

SDCERS meetings:
Disability is the first Friday of each month. The Audit Committee meets at on July 18th, Business and Governance Committee and Investment Committee meet on July 19th and the full SDCERS Board on July 20th.

COMMITTEE REPORTS:

INFORMATION DISTRIBUTION AD HOC COMMITTEE - Virginia Silverman and Lynn Swanson, with Tsiknas and Alan as technical advisors.
Summary minutes of their meeting was handed out.
Lynn is encouraging newsletter readers to go email, as regular mail costs
$450 per month and email is $15 a month. Currently about 1/3, or 300 retirees receive email newsletters. Ruth Ann and Maggie were concerned that forcing email onto members would cut membership.
John Tskinas discussed the extra work of updating an only email list. Alan added that an outside website would update software regularly and remove questions of continuity and responsibility on individual Board members.

Program Committee- Ruth Ann Hageman
July 10 - Andrew Donohue, Ex. Editor of Voice of San Diego.org
August 14 - "2young2retire"with Al Paton's presentation.
Sept 11 - Tom Hebrank, SDCERS new Board President.
Oct 9 - Veronica Glen, Southern Caregivers Resource Center
Nov 13 - Bill Sheffler, SDCERS Board and private actuary.
Dec 13 (second Thursday)- Holiday Party

Advocacy Committee- Ty Rogers, Virginia Silverman, John Casey, Patti Karnes, Ruth Ann Hageman
Ty and Virginia have been watching and waiting for a decision from Judge Barton's Court involving the one year statue of limitations on the vote for benefit increases.

Brief mention of Aguirre's suggestion for the public to vote for a tax increase to pay benefits.

Several Board members laughed when Patricia noted the Mayor has inquired about a loan from SDCERS to build a new City Hall. They said the City frequently makes proposals during salary negotiations with the Unions.

Joe recommended that we need to get involved in the court calendar and a phone list to activate members to go to City Council.

TREASURER /MEMBERSHIP SERVICES REORGANIZATION- Sylvia Tatum, John Tsiknas, Maggie Smith, and Karen Anderson(membership roster)
Sylvia is watching how the changes are falling into place.

SDCERS Fund Balance , closing as of July 10, 2007, was $5.14 Billion (plus $234 million since last month).

Meeting adjourned at 10:55p.m.
Submitted by P.Karnes August 9, 2007