Police & Fire Pension Board Meeting

Summary

Meeting Overview

The Lexington Fayette Urban County Police and Fire Retirement Fund Board convened on February 14, 2024, at 9:00 AM with Mayor Gorton presiding. The board addressed two agenda items during the session, focusing on fund-related presentations and financial reporting. The meeting included a presentation by Greg Hosbein and Daniel McCormack, which served an informational purpose for the board members. The board also reviewed and approved the Treasurer's Report as part of their regular oversight responsibilities. The board conducted two votes during the meeting and heard no public comments from attendees.

Attendance

The following officials were present for the meeting on February 14, 2024:

Present: • Mayor Gorton • Chief Wells • Daniel McCormack • Greg Hosbein

Absent: • Tommy Hancock

No officials arrived late to the meeting.

Votes and Decisions

The meeting included two motions that were both approved by voice vote.

Fee Agreement with Jennison 2:30:00 A Commissioner made a motion to accept the new fee agreement with Jennison. The motion was seconded and passed by voice vote. No individual vote counts or roll call votes were recorded for this decision.

J.P. Morgan Strategic Property Fund Redemption 2:45:00 Chief Wells made a motion to enter into the redemption queue for a full redemption from J.P. Morgan Strategic Property Fund. The motion was seconded and passed by voice vote. Like the previous motion, no individual vote tallies were recorded.

Both motions were conducted as voice votes rather than roll call votes, so specific voting positions by individual members were not documented. The identity of the individuals who seconded each motion was not recorded in the meeting materials.

Budget and Financial Actions

The meeting addressed one financial item related to document management services.

The board considered a contract for shredding of scanned files in the amount of $750. No specific vendor information or resolution number was provided in the available meeting materials for this contract action.

*Note: Transcript timestamps are not available for this meeting's financial discussions.*

Contested Items

The meeting featured one primary area of contention regarding the city's real estate investment strategy.

Real Estate Investment Redemption Timeline

Community members expressed significant concerns about the projected timeline for redeeming investments from the J.P. Morgan Strategic Property Fund. The disagreement centered on the lengthy redemption period, with officials indicating that the process could take anywhere from 6 to 12 quarters to complete.

The opposition focused on the extended timeframe required to access these invested funds, raising questions about liquidity and the city's ability to respond to immediate financial needs. Community members appeared troubled by the uncertainty inherent in such a wide timeline range, spanning from 18 months to 3 years for full redemption.

While the specific individuals involved in raising these concerns were not identified in the available materials, the nature of the opposition suggests broader community unease with the investment strategy's accessibility and flexibility. The substantial time commitment required to withdraw funds from the strategic property fund became a focal point of debate during the proceedings.

The outcome of this contested item was not clearly resolved in the available information, indicating that the concerns may require further discussion or consideration by city officials before a final determination is made regarding the investment redemption strategy.

Presentation by Greg Hosbein and Daniel McCormack

5:00

Greg Hosbein and Daniel McCormack delivered a presentation focused on the investment strategy and performance of the Police and Fire Retirement Fund. The presentation centered on their firm's specialized approach to managing fixed income portfolios within the retirement fund's investment structure.

The speakers outlined their investment methodology and provided an overview of how they handle fixed income securities as part of the broader portfolio management strategy. Their presentation included details about their firm's approach to managing these assets and the performance metrics associated with their management of the Police and Fire Retirement Fund investments.

Hosbein and McCormack discussed their fixed income portfolio management techniques and shared insights into their investment philosophy as it relates to retirement fund management. The presentation appeared to be part of a regular reporting process to update stakeholders on the fund's investment performance and strategic direction.

This was an informational presentation with no formal action items or decisions required from the meeting participants. The session provided attendees with an update on the current state of the Police and Fire Retirement Fund's fixed income investments and the management strategies being employed by Hosbein and McCormack's firm.

The presentation served as a routine briefing to keep stakeholders informed about the investment performance and management approach for this specific component of the retirement fund's portfolio.

Treasurer's Report

3:00:00

Daniel presented the treasurer's report, providing an update on the fund's financial status. The report highlighted positive performance, with Daniel noting an increase in the fund's overall value since the previous reporting period.

The presentation included details on: • Cash flows during the reporting period • Current investment portfolio status • Overall fund performance metrics

Daniel outlined the fund's investment activities and provided analysis of the financial position. The treasurer's report covered both incoming and outgoing cash flows, giving board members a comprehensive view of the fund's financial health.

The report was approved following Daniel's presentation, indicating board satisfaction with the fund's financial management and performance during the reporting period.