Live reporting by
Amy Senese
The new retirement system website is late and over budget; the board is considering selling an investment property in Hawaii; and the work records used to calculate the amount owed by retirees to the bankruptcy-era "clawback" have all been destroyed. Only one spreadsheet remains.
amy k senese π
@amysenese
Good morning Detroit! I'll be live-tweeting the 10am Detroit General Retirement System Board of Trustees meeting for @DetDocumenters
#DetDocumenters media partners: @BridgeDet313 @chalkbeatDET @freep @metrotimes @michigan_public @media_outlier @PlanetDetroit @wdet @wxyzdetroit
#DetDocumenters media partners: @BridgeDet313 @chalkbeatDET @freep @metrotimes @michigan_public @media_outlier @PlanetDetroit @wdet @wxyzdetroit
06:22 AM May 15, 2024 CDT
This meeting is held at 500 Woodward Ave, Suite 3000, Detroit.
More information on the General Retirement System can be found at the website:
rscd.org/member_resourcβ¦
More information on the General Retirement System can be found at the website:
Here's some documentation from the last time #DetDocumenters covered the Board of Trustees on Oct. 18, 2023
documenters.org/assignments/boβ¦
I arrived to the meeting a couple minutes late. I'm having trouble hearing in the small room everyone speaking without mics. I'm going to try to move around to hear better.
There's a motion on the floor, I will try to catch up.
There's a motion on the floor, I will try to catch up.
I'm not sure what's happening now. No one is speaking, but they seem to be trying to load the virtual meeting on the screen.
The virtual meeting link is live now. They are passing out packets of info.
There are 11 people in the room, mainly around the board table, with a few sitting behind. There are 12 + people online.
They are calling the roll now.
There is a quorum.
They are calling the roll now.
There is a quorum.
Now I understand. There was a previous meeting for employee benefits that was wrapping up when I and another documenter employee walked in.
They are voting to accept "receipts for acknowledgement", minutes for distribution, and minutes for approval.
Now, public comment is open. π¨
#1 Kathleen--upcoming pension conference in Atlanta, today is the last day for the discounted hotel rates.
#1 Kathleen--upcoming pension conference in Atlanta, today is the last day for the discounted hotel rates.
No in-person comments.
Request from the library department. The President of the library commission wants to get access to the retiree list for everyone who retired from 1/1/2020 to the present.
Request from the library department. The President of the library commission wants to get access to the retiree list for everyone who retired from 1/1/2020 to the present.
There's a discussion about keeping this information confidential. It sounds like the library commission wanted to congratulate library staff retirees.
There is talk of asking them to assemble something for a mailing, but they are cautioning against releasing information. They don't want to make an exception for one particular group.
More on DPL: They are paid through the city's payroll system, part of the pension plan. They have their own HR. When the retirement systems receive the city's payroll, do they scrutinize it to find out if everyone is contributing to the pension plan?
Does the library accept people who are not contributing?
The man speaking said that payroll brought this to his attention.
Answer: they check whether anyone on the payroll is contributing. Some seasonal people are not required to provide the mandatory deduction.
The man speaking said that payroll brought this to his attention.
Answer: they check whether anyone on the payroll is contributing. Some seasonal people are not required to provide the mandatory deduction.
Part-time employees also do not contribute to the pension plan.
Question: does our document on this make everything really clear?
Question: does our document on this make everything really clear?
Prior to the bankruptcy, there were various ways to contribute to the pension fund. Now, everything is more uniform.
Part-time and seasonal employees of the library do not pay into the pension.
Part-time and seasonal employees of the library do not pay into the pension.
They were concerned that some people weren't paying into the pension funds that should be.
They seem concerned because DPL has a different HR department. Someone could be classified as part-time when they are full-time, and they could receive a benefit without paying into it.
They seem concerned because DPL has a different HR department. Someone could be classified as part-time when they are full-time, and they could receive a benefit without paying into it.
There are people all over the city who are not contributing to the pension fund; there are various positions like this.
Here's a Pension Board Resource Guide for explanations of terms and discussions.
docs.google.com/spreadsheets/dβ¦
The contribution for this year will happen in early June. They would like the money to come quarterly.
They are buttering up fiscal year 24.
As this is my first time covering this meeting, I'm trying to keep up and make sure I understand what they're talking about.
They are buttering up fiscal year 24.
As this is my first time covering this meeting, I'm trying to keep up and make sure I understand what they're talking about.
They need to go back to the bankruptcy court to find out if people can pre-pay their pension contribution balance, so there's a question of how to calculate this number.
They spoke about this with the City Council during budget talks. They need to get the correct data.
They spoke about this with the City Council during budget talks. They need to get the correct data.
Now, the CIO Report and Hawaii property update. It sounds like there's a sale of property in Hawaii. They might have to go into a closed session if they go into financial details.
Lou (not sure of last name) is online to present.
He's only going to speak in generic terms without numbers.
He's only going to speak in generic terms without numbers.
There is contact with a broker to potentially list the price of the land; the broker provided a listing agreement. There's also potential for an effort to get greater national exposure for the parcel.
They have a proposal from the previous broker, Kevin McCain. They should wait to make a determination on the listing.
They are working with a national firm to get their feedback. In 2-4 weeks, they will have information on the tax appeals.
They are working with a national firm to get their feedback. In 2-4 weeks, they will have information on the tax appeals.
The board all knows what they are talking about, they are being careful to speak in generic terms.
They are talking about property tax appeals and the local government.
I'm wondering how much land in Hawaii they are talking about and how it was acquired.
They are talking about property tax appeals and the local government.
I'm wondering how much land in Hawaii they are talking about and how it was acquired.
Another member is wondering if there is local interest for this land to be put into a land trust to prevent development.
They have been trying to find out options, things like a long term land lease.
They are looking at every possible alternative.
They have been trying to find out options, things like a long term land lease.
They are looking at every possible alternative.
There is an issue of water rights.
This might have changed since they first got involved in this investment.
The land apparently came to the board after some kind of investment.
This might have changed since they first got involved in this investment.
The land apparently came to the board after some kind of investment.
They voted to receive a letter about this, I think, but I'm not sure.
Now Kevin Leonard is presenting online.
Now Kevin Leonard is presenting online.
Trailing annual index performance.
Looking at the YTD column.
I'm assuming these are performances of companies the pension fund invests in.
Looking at the YTD column.
I'm assuming these are performances of companies the pension fund invests in.
Total equity numbers, domestic equity, international equity, total fixed income, cash, diversifying strategies, real assets/commodities.
They are moving through these numbers quickly.
They are moving through these numbers quickly.
Out of order, here's what was received earlier at the beginning of the meeting.
They are speaking about specific liquidations now, but I'm not understanding exactly what they are talking about.
They are seeing more volatility in the market.
These are returns at EOB last Friday.
They are seeing more volatility in the market.
These are returns at EOB last Friday.
The AG is up 1.4%, and equity markets are strong. Volitility in April. Global events and inflation contribute to results.
Someone new has joined the room; they have not picked up the meeting yet and are having side conversations.
Presentation from UHY.
Talking about their budget and where they stand.
Talking about their budget and where they stand.
Continued. Additional reporting for payroll and various departments. Developed 120 different reports internally for the year-end reporting process. They are 95% there.
These are older. There are 3 pages. When they started this process there was one page.
They're getting a lot of usage in the system. No degradation. No major issues with the system.
Most of these processes are pending a final review.
Next, they need to update all the deaths in the system.
Then, disability and divorce roll out.
Next, they need to update all the deaths in the system.
Then, disability and divorce roll out.
They are adding more functionality to the system for users. They have been waiting to make things more secure so hackers can't break in. They will start rolling out email and text verification.
Member Communications:
Registration letters to all outstanding members, postcards, notifications to departments, website blogs and emails, training webinars...
Registration letters to all outstanding members, postcards, notifications to departments, website blogs and emails, training webinars...
Question: Timeline. If we are over budget, what is the schedule? This board member is concerned about funding.
Answer: They are doing these final reviews and realizing that new requirements have popped up that they need to integrate into the system.
Answer: They are doing these final reviews and realizing that new requirements have popped up that they need to integrate into the system.
They are essentially moving into a new system for managing retiree benefits and the pension fund.
Requirements and functionality have changed. What is the original budget, and how much is it over?
Answer: They are slowly trickling over, but I don't have an exact number.
Requirements and functionality have changed. What is the original budget, and how much is it over?
Answer: They are slowly trickling over, but I don't have an exact number.
The member asking says they keep having this answer, and she would like a clear answer.
She said there is a lack of accountability on UHI's side.
They've had review sessions and new developments that have changed things out of the new requirements.
She said there is a lack of accountability on UHI's side.
They've had review sessions and new developments that have changed things out of the new requirements.
These are retiree dollars. Not some big fund we get to play with. She finished by saying she wanted to know exactly how much the budget was.
Who is responsible for cyber security?
They did some testing with the tools for vulnerability. They need to talk to Dave to get more information. John Chapman is the IT guy.
They did some testing with the tools for vulnerability. They need to talk to Dave to get more information. John Chapman is the IT guy.
I'm lost, they didn't talk about the General Counsel's Report, they went into old and new business, but I couldn't understand what they were talking about.