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HomeMy WebLinkAbout05.a.1) Update on Contra Costa County Employees’ Retirement Association (CCCERA).Central Contra Costa Sanitary District November 9, 2011 TO: HONORABLE BOARD OF DIRECTORS VIA: JAMES M. KELLY, GENERAL MANAGER FROM: RANDALL M. MUSGRAVES, DIRECTOR OF ADMINISTRATION I&A SUBJECT: CONTRA COSTA COUNTY EMPLOYEES' RETIREMENT ASSOCIATION (CCCERA) 10/26/2011 AND THE 11/9/2011 BOARD MEETINGS Attached is a copy of the October 26 and November 9, 2011 CCCERA Board meeting agendas. There were no significant issues discussed affecting the District. The following is provided for your information. Staff from Milliman, CCCERA's contracted investment advisors, provided a presentation and recommendation regarding the interview groups for Value Added and Opportunistic Real Estate investors. There was nothing significant impacting the District. A presentation was made by the new CCCERA Accounting Manager regarding the attached Cash Flow spreadsheets. The Cash Flow reports the receipts and Disbursements only. The administrative costs are paid by interest income prior to interest allocated to the pension fund. The report indicates that $240,490 outflow of cash has occurred through June 30, 2011. A significant amount of cash from pre -paid employers in July will be reflected in the next Cash Flow report. Staff will be available to answer any questions the Board may have. Employees' Retirement Association 1355 willow way suite 221 concord ca 94520 925.521.3960 fax 925.646.5747 RETIREMENT BOARD MEETING SECOND MONTHLY MEETING 9:00 a.m. October 26, 2011 Retirement Board Conference Room The Willows Office Park 1355 Willow Way Suite 221 Concord, California THE RETIREMENT BOARD MAY DISCUSS AND TAKE ACTION ON THE FOLLOWING: 1. Pledge of Allegiance. 2. Accept comments from the public. 3. Approve minutes from the October 12, 2011 meeting. 4. Consider and take possible action on Value Added and Opportunistic Real Estate semi- finalist list from N illiman. 5. Consider and take possible action to set date for Special Meeting for Value Added and Opportunistic Real Estate finalist interviews. 6. Presentation of the Cash Flow report through June 30, 2011. CLOSED SESSION ** 7. The Board will go into closed session under Gov. Code Section 54957 to consider recommendations from the Medical Advisor and/or staff regarding the following disability retirement applications: Member a. Paul Rangel b. Roger Breeding c. Stephen Rodgers Type Sought Service Connected Service Connected Service Connected Recommendation Service Connected Service Connected Service Connected 8. The Board will continue in closed session under Gov. Code Section 54956.9(c). OPEN SESSION The Retirement Board will provide reasonable accommodations for persons with disabilities planning to attend Board meetings who contact the Retirement Office at least 24 hours before a meeting 9. Consider authorizing the attendance of Board and/or staff: a. Public Fund Boards Forum, IIR, December 11— 13, 2011, New Orleans, LA. b. Public Funds Summit, Opal Financial, January 10 — 12, 2012, Scottsdale, AZ. 10. Miscellaneous a. Staff Report b. Outside Professionals' Report c. 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Q L. a CA- p o O v ti O c a O C5 a � � 3 o `o = -O 9 �' • � o G .-r 4I Q d ` V � V � N W o c m L. °o o° 0 o° o° d O ti N N N N N Q L V O O ¢ L Cj > to a 40 H w obi c�i v e % ? Q L. a CA- _i'ti cool Employees' 1355 willow way _ 925.52 RETIREMENT BOARD MEETING FIRST MONTHLY MEETING =11 November 9, 2011 Fbtirement Association suite 221 concord ca 94520 1.3960 fax 925.646.5747 Retirement Board Conference Room The Willows Office Park 1355 Willow Way Suite 221 Concord, California THE RETIREMENT BOARD MAY DISCUSS AND TAKE ACTION ON THE FOLLOWING: Pledge of Allegiance Accept comments from the public. Approve minutes from the October 20 and 26, 2011 meetings. 4. Routine items for November 9, 2011. a. Approve certifications of membership. b. Approve service and disability allowances. c. Accept disability applications and authorize subpoenas as required. d. Approve death benefits. reicoly"P TASY OM ** 5. The Board will go into closed session under Gov. Code Section 54957 to consider recommendations from the Medical Advisor and /or staff regarding the following disability retirement applications: Member a. John Sambrailo b. Gloria Salazer c. Robert Duncan Type Sought Service Connected Service Connected Service Connected Recommendation Service Connected Non - service Connected Service Connected The Board will continue in closed session under Gov. Code Section 54956.9(c). The Retirement Board will provide reasonable accommodations for persons with disabilities planning to attend Board meetings who contact the Retirement Office at least 24 hours before a meeting OPEN SESSION 7. Consider and take possible action on recommendation from the ad -hoc audit committee for an outside independent auditing firm for the three year period beginning January 2012. Consider and take possible action on the 2012 Administrative Budget. 9. Consider and take possible action on meeting calendar for 2012. 10. Miscellaneous a. Staff Report b. Outside Professionals' Report c. Trustees' comments The Retirement Board will provide reasonable accommodations for persons with disabilities planning to attend Board meetings who contact the Retirement Office at least 24 hours before a meeting °"ICS DATE Date: November 9, 2011 NO 0 9 20H To: CCCERA Board of Retirement A IT EM �_ . From: Auditor RFP Ad Hoc Committee Subject: Recommendation of External Auditor for CCCERA The Auditor RFP Ad Hoc Committee, comprised of Board. members Debora Allen, Brian Hast, John Phillips,. and Russell Watts, and staff members. Vickie Kaplan, Rich Koehler, and Marilyn Leedom issued an RFP for Professional Auditing Services on September 30, 2011 to five interested firms as well as posted the RFP on CCCERA's Website. The deadline for responding to the RFP was October 28, 2011. CCCERA received four completed RFP responses that were evaluated by the Committee to determine the responding firms' abilities to meet the mandatory criteria and their response to the technical proposal. The technical proposal consisted of (1) the audit planning and approach, (2) the bidding firm's experience and capabilities and (3) the assigned professional personnel's experience and qualifications. After the mandatory and technical aspects were evaluated, each Sealed Bid Cost Proposal was opened, reviewed and compiled with the overall evaluation. The Committee met on November 2, 2011 to compare evaluations; rate and rank the respondents and after discussion, select the most qualified firm to recommend to the full Board. Brown Armstrong CPA's, from Bakersfield, California, was the top choice of the Committee and is contingent upon contract negotiation. The Committee was impressed with the thorough and professional response made by Brown Armstrong CPA's, their extensive experience in auditing 1937 Act Retirement Systems (currently audit 1, l of the 20 "37 Act" systems) as well as the comprehensive work plan provided to meet CCCERA's required deadlines. It should also be noted that only one of the 11 audits is for a '37 Act system with the same December 31 year -end as CCCERA. After the presentations and discussion, it is the recommendation of the Auditor RFP Ad Hoc Committee that Brown Armstrong CPA's be retained as the Auditor for CCCERA for the 2011 Financial Audit and enter into a three (3) year contract with an option to renew for another three (3) years, subject to legal contract review. 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