►
Description
City of San José, California
Police & Fire Department Retirement Plan Board of September 7, 2023
This public meeting will be held at San José City Hall and also accessible via Zoom Webinar. For information on public participation via Zoom, please refer to the linked meeting agenda below.
Agenda: https://sanjose.legistar.com/View.ashx?M=A&ID=1119437&GUID=0A74CC0C-C0E9-4273-9D9C-D9110A9807F7
A
B
A
A
A
A
D
D
Dave
Wilson
Here
Andrew
here
dick
and
just
dealing
Quantum
here.
D
For
orders
of
the
day
we
have
a
September
7th
joint
governance
meeting
that
was
canceled
and
then
for
waving
Sunshine.
We
have
item
1.5
B2,
which
is
approval
of
a
trustee
travel
and
reimbursement
memo,
and
then
we
are
going
to
head
into
closed
session
with
an
estimated
exit
time
around
9
30.
A
A
A
B
B
B
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
B
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
A
H
And
that's
with
just
for
the
record
item
1A
of
the
closed
session
and
there's
no
reportable
action
of
an
item.
A
one
b.
H
I
J
J
K
B
K
K
And
just
as
I
always
do
report
on
fiscal
year-to-date
performance,
this
is,
of
course,
just
been
a
couple
of
months
this
year,
but
the
the
pension
plan
is
down
nine
basis
points
and
the
healthcare
trust
is
flat.
That's
this
current
fiscal
year
this
morning
we
have
our
6
30
performance,
review,
presentation
by
Newberg
government
and
Makita,
and
then
we
will
have
one
item
on
a
legal
contract
after
that.
With
that
I'm
happy
to
take
any
questions.
M
Okay,
can
everyone
see
I
think
should
be
up
yeah.
So
thank
thank
you
for
having
me.
We
appreciate
the
opportunity
to
present
quarterly
and
and
keep
the
board
apprised
of
Investments
we're,
making
and
and
and
the
investment
pace
and
how
the
portfolio
has
been
doing
so.
I'll
start
out
on
the
first
page,
which
I'm
sure
you
all
recognize
just
going
through
some
high
level
statistics
on
the
newberger
Strategic
partnership.
M
You
can
also
see
here
on
the
left
column,
the
Legacy
portfolio
and
how
those
two
combine
really
from
Q4
to
q1,
and
this
report
is
actually
as
a
q1.
M
There
was
not
a
lot
of
change,
so
the
the
portfolio
went
basically
par
from
quarter
to
quarter,
and
that
is
really
just
taking
a
moment
to
step
back
and
look
at
the
market,
the
private
private
Market.
That
really
was
how
the
markets
were
in
general
for
private
Equity,
realizations
and
exits
in
2023
have
slowed,
as
as
people
are
being
a
little
bit
more
cautious
with
elevated
inflation
and
high
interest
rates
in
in
some
of
the
public
market
volatility.
We've
we've
seen
deal
activity
pull
back
not
completely.
M
So
we
did
not
see
a
lot
of
distributions
within
the
portfolio
in
q1.
That
doesn't
mean
anything
bad.
It's
just
kind
of
the
nature
of
the
how
the
market
moves
within
private
Equity
so
as
of
q1
a
net
multiple
of
1.8
times
and
a
net
irr
of
23.8.
M
As
a
reminder,
we
are
continually
investing,
so
these
numbers
include
Investments
that
have
just
been
made
that
are
still
being
held
at
cost,
so
continue
to
see
strong
portfolio
performance
within
this
partnership
and
as
a
reminder,
we
we
have
been
investing
since
May
2017,
so
we've
just
kind
of
moved
over
the
six-year
Mark
of
of
investing.
L
P
There
a
way
for
the
future
we
can
get
for
compared
to
the
prior
quarter,
just
because
every
time
I
get
this
I
always
had
to
look
to
see.
You
know
what
happened
in
the
last
quarter.
To
compare
to
this
quarter.
Is
there
a
way?
I
know
you
do
that
a
little
bit
at
the
end?
Was
there
a
way
to
get
on
slide?
Two,
a
prior
quarter
on
netir
and
multiple.
P
M
Yes,
yeah
and
to
be
super
specific,
why
don't
we
go
to
the
last
page
and
just
highlight?
So
if
you
look
very
specifically,
the
net
tvpi
is
1.75
for
for
q1
at
Q4
it
was
1.77,
so
q1
was
I,
guess
down
very
slightly,
but
pretty
much
on
par.
And
so,
when
you
look
at
at
page
nine,
we
are
looking
at
the
performance
of
the
investment
type,
so
we're
investing
into
primary
funds
a
little
bit
of
secondaries.
M
We
have
only
about
five
percent
of
the
portfolio
within
secondaries
and
then
about
25
of
the
portfolio
in
co-investments
or
direct
company
Investments,
and
you
can
see
here
how
each
of
the
investment
types
are
generating
performance
and
how
that
contributes
to
the
overall
performance.
Co-Investments
have
been
doing
very
well
and
and
really
exactly
what
we
would
expect
them
to
do
within
the
portfolio.
They're,
very
specific
exposures
and
tend
to
generate
returns
a
little
bit
quicker
than
primaries
where
primaries
are
investing
Capital
over
time.
M
So
it
just
takes
a
little
bit
more
time
to
see
some
of
that
return
come
through
when
you
look
at
your
portfolio
on
a
benchmarking
analysis
and
comparing
it
to
peers,
we
Benchmark
against
the
Vintage
of
the
fund,
so
this
is
a
2017
vintage
and,
as
a
reminder,
we
are
continually
investing.
So
even
though
we
started
investing
in
2017
and
we're
comparing
to
2017
funds,
we
are
still
actively
investing.
However,
the
quartiling
still
looks
pretty
positive,
with
a
first
quartile
based
on
irr
and
a
second
quartile
for
net
tvpi
for
q1.
M
Those
are
just
kind
of
the
high
level
points
that
I
wanted
to
make,
but
I'm
happy
to
answer
any
further
questions
or
go
into
any
kind
of
more
Market
questions.
If,
if
there's
any
from
your
side,.
D
K
L
L
I'll
go
ahead
and
just
start
off
talking
about
the
private
markets
program.
So,
as
you
know,
you
have
four
programs:
private
debt,
real
assets,
real
estate
and
Venture
Capital,
the
private
debt
and
real
estate
programs
are
quite
mature.
They
have
both
have
current
allocations
that
are
above
their
target
allocations,
whereas
the
real
assets
program
and
especially
Venture
Capital,
are
still
in
the
investing
stage.
I
will
note
that
all
of
your
private
markets
programs
are
currently
exceeding
our
measures
for
public
market
equivalence
benchmarks.
L
So
the
way
we
we
calculate
a
public
Market's
equivalent
Benchmark,
is
to
take
the
cash
flows.
As
you
know,
these
individual
funds
call
Capital
and
distribute
it
based
on
their
own
schedule,
and
so
we
we
calculate
the
public
markets
equivalent,
which
is
the
far
right
column,
assuming
that
the
same
amount
of
cash
have
been
contributed
into
that
public
markets
Benchmark
and
then
withdrawn
at
the
same
time
that
the
managers
are
doing
so.
L
If
we
skip
ahead
to
slide
five
and
take
a
look
at
the
individual
funds
in
your
program,
again,
I
will
slide
over
to
the
far
right
to
take
a
look
at
the
internal
rate
of
return
for
each
fund
relative
to
the
peer
Median
on
the
left.
You
can
see
the
name
of
the
fund
and
also
its
vintage
year
so
vintage
year.
Diversification
is
very
important
in
this
area.
We
never
know
exactly
what
vintage
years
are
going
to
perform
the
best.
L
So
therefore,
it
makes
sense
to
have
a
pacing
plan,
as
you
do,
for
each
asset
class
and
commit
over
time
on
the
next
slide.
You
can
see
the
most
recent
commitments
in
2021
and
2022.
Sorry
back
one
slide
to
six,
and
these
are
all
not
meaningful
yet
in
terms
of
performance,
because
they
are
still
in
the
initial
investing
period.
L
The
next
program
that
we'll
take
a
look
at
two
slides
ahead
on
page
eight
is
the
real
assets
program.
I
mentioned
that
this
one
was
a
bit
more
immature
than
a
private
debt
and
real
asset
or
I'm.
Sorry,
private
real
estate
currently
has
a
2.2
percent
allocation
of
the
total
retirement
plan
versus
a
four
percent
Target,
and
this
program
has
a
14
irr,
so
has
really
benefited
from
the
run-up
and
commodity
prices,
in
particular,
over
the
last
several
years,
skipping
two
slides
ahead.
L
L
You
know
pretty
wildly
different
returns
by
vintage
year,
both
for
the
peer
group
and
the
individual
program,
and
so
this
is
why
it's
so
important
to
commit
regularly
to
make
sure
that
you
take
advantage
of
those
years
like
2019
and
2021,
where
you
have
a
you,
know,
25
percent
or
better
return,
and
and
continue
to
not
miss
any
of
those.
Those
vintage
years.
L
E
2020
seems
to
be
remarkably
lower
for
us
than
the
pure
arrow.
Is
there
some
manager
that
didn't
do
well?
If.
L
You
look
at
the
next
slide
on
11
the
there's
just
two
Investments
that
were
2020
vintage
years,
so
they're
Global
infrastructure
partners
for
has
a
3.8
percent
irr
and
then
there's
an
energy
co-investment
that
is
still
pretty
young
in
its
life
and
so
I
would
expect
that
these
funds
will
change
their
their
irrs
over
time.
So
there's
a
lot
of
you
know
manager,
specific
influence
on
each
year's
return
in
this
area.
L
Foreign
that
we'll
take
a
look
at
on
page
14
is
real
estate.
It's
a
mature
program
with
4.4
percent
of
the
overall
asset
allocation
relative
to
a
four
percent
Target
and
an
irr
of
12.7
percent.
You
can
see
starting
on
page
17,
the
individual
funds
in
the
program.
This
has
been
a
very
successful
program.
In
particular,
you
can
see
quite
strong
returns
from
the
dra
funds,
which
your
staff
continues
to
commit
to,
in
particular,
dra,
9
and
2017,
with
quite
a
strong
return.
Dra
10
at
a
22.3
percent
irr
a
piso.
L
L
And
then
the
last
program
I'll
discuss
on
page
20
in
your
private
markets
program
is
venture
capital
So.
The
plan
so
far
has
committed
115.7
million
to
14
Venture
Capital
funds
and
that's
about
a
one
percent
allocation
right
now,
based
on
called
Capital
relative
to
a
four
percent
Target.
There
were
two
new
funds
on
the
next
slide
that
we're
committed
to
during
the
quarter
that
we're
looking
at
the
first
quarter
of
2023,
Crosslink
and
Sierra,
and
given
the
you
know,
individual
fund
risk
in
this
area.
L
The
commitment
sizes
are
smaller
than
some
of
the
other
private
markets.
Programs
I
mean
you
can
see
a
full
listing
of
the
funds
in
this
program
on
page
23,
not
much
meaningful
performance.
Yet
in
the
program,
These
funds
are
still
in
the
J
curve,
where
they're
calling
fees
but
haven't
realized
Investments.
Yet
so
I
would
not
put
too
much
stock
in
the
irr
numbers
here
yet,
but
the
program
continues
to
develop.
E
L
Among
Makita
clients,
we
generally
see
people
stay
in
the
course
in
terms
of
their
pacing
plans
and
their
commitments
over
time.
We
are
seeing
more
challenges
in
real
estate.
I
know
this
has
come
up
at
past
meetings
around.
You
know
many
of
us
not
being
back
in
offices
regularly.
You
do
see,
write,
Downs,
Real
Estate
is
varied
in
terms
of
multi-family
and
Industrial,
and
other
areas
that
can
somewhat
offset
some
of
the
weakness
in
areas
like
office
and
Retail,
but
we
do
continue
to
see
write
Downs
in
real
estate.
L
As
you
probably
see
in
the
headlines,
venture
capital
is
an
area
where
you
know
you
had
incredibly
strong
returns
for
a
period
of
time.
A
few
years
ago
we
saw
a
lot
of
Foundations
and
endowments
that
committed.
You
know,
a
huge
part
of
their
of
their
assets
to
venture
capital
have
really
outsized
returns,
but
that
area,
as
you
all
know
in
this
area
geographically,
has
come
back
to
earth
a
bit
and
you
see
more
layoffs
in
those
areas
and
and
whatnot.
L
But
you
know,
I
did
want
to
point
out
the
important
importance
of
the
Vintage,
your
diversification,
because
generally
our
clients
who
are
most
successful
in
their
private
markets,
programs
have
a
pacing
plan
that
they
put
in
place
and
they
commit
regularly
over
time
and
there
will
be
vintage
years
that
are
not
as
strong,
but
in
general.
Private
markets
typically
can
deliver
a
premium
over
the
long
term
over
the
public
markets.
K
I
would
just
add
on
on
VC.
A
lot
of
funds
have
actually
postponed
their
fundraise
the
next
year,
the
next
calendar
year
and
it's
partly
because
of
the
denominator
effect
for
a
lot
of
plants
and
then
also
because
of
what's
happened
in
the
market.
The
fact
that
we
have
a
lot
of
dry
powder,
I
think
is
is
a
plus
for
us
in
this
and
next
to
integer.
Q
Oh
Lord,
just
a
quick
question:
any
change
in
Outlook
on
direct
lending
just
because
you
hear
so
much
money
flowing
and
squeezing
expect
to
return.
Just
now,
I
was
trying
to
get
a
censor.
Your
thoughts
sure.
L
Going
forward
yep
direct
lending
is
not
the
highest
conviction
area
that
Makita
has
or
that
I
think
your
internal
investment
team
has
in
terms
of
private
debt.
There
are
other
attractive
areas
of
the
private
debt
Market,
but
direct
lending,
one
of
the
chief
investment
officers
I
work
with
was
joking
a
few
years
ago
that
she
was
getting.
You
know
direct
lending
funds
in
Saskatchewan
Canada.
You
know
they
were
they
were.
They
were
really
proliferating,
quite
a
bit
and
really
I
think
reached
down
sometimes
into
the
retail
market
and
whatnot,
but
most
institutional
investors.
L
We
do
see
a
bit
more
talk
about
it
now,
but
less
from
a
perspective
of
you
know
needing
to
unload
funds
and
more
from
a
perspective
of
wanting
to
clean
up
sort
of
their
current
portfolios
and
and
take
some
money
back,
maybe
for
future
opportunities,
just
looking
at
what
might
be
out
there.
So
you
know
a
lot
of
institutional
investors
now
have
been
investing
in
private
markets
for
decades
and
when
you
get
to
that
point,
sometimes
you
end
up
with
some
little
sub
pieces
that
maybe
you
don't
have
as
much
conviction
in
anymore.
L
So
we
are
seeing
some
of
our
clients
seek
to
go
out
on
the
secondary
Market.
Of
course,
there's
some
challenges,
because
usually
what
you'd
like
to
get
rid
of
is
the
less
attractive
funds
in
the
portfolio
and
sometimes
needs
to
be
packaged
with
more
attractive
funds
to
go
out
and
get
bids.
So
it
varies
based
on
asset
class,
how
attractive
the
bid.
Market
is
right
now
and
there's
some
challenges
for
institutions
where
you
know,
if
you
were
to
go
out
to
the
secondary
Market
get
bids,
how
does
the
board
evaluate
those
from
a
fiduciary
perspective?
L
All
right,
great,
so
good
news
on
the
fiscal
year
performance,
the
pension
plan,
outperformed
the
Actuarial
rate
of
return,
expectation
and
also
broadly
benchmarks
and
peers.
I'll
take
a
look
at
page
five
on
this
report,
just
to
sort
of
walk
back
a
little
bit
to
June
30th
and
look
at
performance.
So
if
you
take
a
look
at
2022
on
the
left,
you
see
that
there
was
only
one
major
index
that
was
positive:
the
Bloomberg
commodity
index.
Everything
else
was
negative,
the
year
to
date
through
June
30th.
So
on.
L
The
on
the
right
here
is
the
first
six
months
of
2023
is
almost
a
mere
image
where
the
Bloomberg
commodity
index
was
the
only
negative
major
asset
class
and
you
saw
riskier
asset
classes
like
Global
equities,
be
the
most
positive
since
June
30th
things
have
been
a
bit
more
challenged
in
the
market,
as
your
CIO
mentioned,
with
with
the
fiscal
year-to-date
estimates
being
about
flat.
So
this
quarter
through
yesterday,
you
see
the
msci
all
country
World
index,
so
Global
equities
are
down
about
0.1
percent.
L
Since
June
30th,
there
are
a
couple
of
asset
classes
since
June
30th
that
you
have
in
your
portfolio
like
high-yield
Bonds,
were
added
within
the
last
few
years.
High-Heeled
Bonds
were
one
of
the
few
positive
asset
classes
since
June
30th
up
1.2
percent.
Also,
hedge
funds
have
been
positive
since
June
30th,
so
you
do
have
some
diversifying
asset
classes
that
have
been
doing
well
in
the
recent
Market
environment.
L
But
if
you
take
a
look
at
this
year-to-date
period
through
June,
30th
and
and
what
I'll
show
you
for
the
full
fiscal
year,
you
see
quite
positive
returns.
We
did
see
some
negative
returns
recently
for
for
bonds
with
the
rate
environment,
but
equities
were
generally
positive
through
through
the
end
of
June
I'll
skip
ahead
to
your
specific
portfolio,
Okay.
E
L
Period
we
do
have
other
slides
in
here
in
particular,
page
26..
L
You
can
see
the
one-year
number
in
the
second
column
here
it's
a
bit
of
an
eye
chart,
but
if
you
have
it
up
on
your
on
your
screen,
you
can
see
that
the
one
year
returns
here,
that's
the
same
as
your
fiscal
year,
so
the
acquia
IMI
eye
up
16.1
percent
emerging
markets
were
weaker
at
1.7
percent
and
then,
if
we
look
under
fixed
income
about
halfway
down,
you
can
see
that
the
Barclays
Global
aggregate
was
down
for
the
year
1.3
percent.
So
this
is
just
another
graphical
representation
of
the
indexes
over
various
time
periods.
E
L
Actually,
the
next
page
here
two
pages
ahead
is
28
and
where
I
was
going
to
start
my
comments
on
asset
allocation,
so
you
can
see
the
current
allocations
relative
to
policy.
The
total
market
value
of
your
fund
was
up
from
the
first
quarter.
There
were
71
million
in
net
outflows,
but
investment
gains
of
144
million
During
the
period
from
March
31st
to
June
30th
on
page
29.
The
next
slide
you
can
take
a
look
at
the
high
level
performance
for
your
total
fund.
L
So
you
can
see
that
the
fund,
ranked
in
the
top
quartile
of
the
peer
group
for
all
of
or
I'm
sorry,
the
top
half
of
the
peer
group
for
all
of
the
trailing
time
periods,
with
the
exception
of
the
10-year.
So
when
we
were
sitting
here
recently,
we
did
see
the
the
longer
term
returns
like
the
five-year
peer
group
ranks,
often
below
the
90th
percentile,
but
now
comfortably
above
median.
L
If
you
take
a
look
at
individual
asset
classes
and
the
next
few
slides
as
you'd
expect
without
performing
benchmarks,
the
individual
asset
classes
are
outperforming
they're
underlying
benchmarks
as
well.
I
won't
go
through
each
one
in
detail,
but
will
make
a
couple
of
comments
in
particular.
Public
Equity
has
done
quite
well.
If
you
take
a
look
on
page
33,
we
get
into
individual
managers
in
public
equity
for
the
fiscal
year
period.
L
Public
Equity
was
up
17.3
percent
an
incredibly
strong
return
on
an
absolute
basis,
but
also
on
a
relative
basis
that
outperformed
the
public
Equity
Benchmark
of
15.6
percent.
So
public
Equity,
it's
a
bit
harder,
sometimes
to
outperform
net
of
fees
over
a
period
of
time.
But
your
team
has
managed
to
do
that
and
I
know.
There's
going
to
be
in
your
investment
committee
meeting
a
bit
later
more
of
a
deep
dive
into
public
markets.
E
This
eight
point:
I'm
sorry
I
know
you
you
look
at
this
a
lot.
If
we
look
at
early
once
or
three
couple
of
months,
I
guess
the
Inception
since
Inception
number
eight
point
three
percent,
that's
pretty
accurate.
L
E
L
Before
I'll
just
point
out
under
U.S
Equity
that
burgundy
U.S
small
cap
is
a
new
manager
hired
to
replace
Cove
Street
Coast
Street
struggled
quite
a
bit
in
recent
years,
but
you
all
went
out
on
a
high
note
selling
High
when
they
had
recently
come
back
a
bit
and
burgundy
was
funded
in
June
in
terms
of
other
new
managers
on
page
37
you
can
see,
unify
India
was
funded
in
April
2023
ranks
in
the
first
quartile
of
the
Emerging
Markets
peer
group,
since
you
funded
them
and
I'll
point
out.
L
You
know
Emerging
Markets
as
a
whole
for
this
quarter
that
we're
looking
at
were
up
1.6
percent.
You
can
see
that
UniFi
was
up.
13.1
percent
and
kotek
India
was
up.
12
percent,
so
I
know
that
we've
had
some
conversations
around
how
your
Emerging
Markets
is
positioned
around
how
China
has
struggled
and
is
a
large
part
of
the
Emerging
Markets
Arena,
but
your
investment
team
has
chosen
to
implement
part
of
the
Emerging
Markets
program
through
dedicated
Indian
managers
and
thus
far
that's
paid
off
in
performance.
L
I
will
skip
ahead
to
to
page
42
I,
believe
your
investment
team
wanted
to
explain
something.
R
Thanks
Laura,
a
quick
comment
on
the
second
line
item
on
page
42,
real
assets,
co-invest
one
so
usually
on
private
markets.
Investments.
We
point
you
to
the
private
markets
performance
reports.
Those
are
reported
on
a
money
weighted
return
basis,
so
irrs
versus
this
report,
which
is
time
weighted,
so
each
month,
has
the
same
weight
in
terms
of
returns,
but
for
private
markets.
The
managers
actually
control
the
timing
of
cash
flows
and
capital
calls
and
distributions,
so
that's
usually
more
appropriate.
There
is
one
thing:
that's
noteworthy
here:
the
negative
96.2
percent
return
for
this
particular
investment.
R
So
this
the
details
of
this
investment
were
shared
with
the
members
of
the
investment
committee.
This
is
a
2020
investment
in
a
venture-backed
company
at
the
time
had
a
very
high
growth
profile.
Interesting
risk
return
profile
with
elevated
risk,
since
it
was
an
unprofitable
company
that
was
doing
something
that
was
disruptive
and
interesting.
However,
the
the
company
failed
to
meet
its
growth
targets
had
to
raise
Capital
at
a
difficult
time.
We
is
unprofitable.
R
Venture
funds
were
pulling
back
in
terms
of
making
new
Investments,
so
this
investment
has
been
written
down,
so
it
was
originally
1.8
million
down
to
68
000,
as
of
April.
So
you'll
see
this
in
next
quarter's
private
markets
report,
but
just
wanted
to
share
that
this
is
one
of
only
two
direct
co-investments
we
made
so
the
second
line
item
Crestline
co-investment
two
is
the
other
one.
So
this
was
a
3.2
million
dollar
co-investment
which
has
done
well,
so
that's
increased
to
5.6
million
since
2021.
L
R
L
I'll
wrap
up
my
comments
on
page
59.
Taking
a
look,
you
know,
we
talk
a
lot
about
returns
of
your
plan
but
like
to
look
at
risk
in
the
plan
as
well,
at
least
as
we
measure
it
in
terms
of
volatility,
so
for
the
three-year
trailing
period,
ending
June
30th,
you
can
see
on
the
left
here.
The
annualized
return
is
well
above
median
of
the
peer
group
and
the
second
column.
Here
you
can
see
the
annualized
standard,
deviation
or
measure
of
volatility.
L
The
total
fund
standard
deviation
was
nine
percent
and
that's
below
the
peer
group
median
of
9.6
for
return.
We
want
above
median
for
standard
deviation
or
volatility.
We
want
below
median
so
doing
well
on
both
of
those
metrics
and
those
feed
into
the
third
graphic
here,
which
is
the
sharp
ratio
which
is
a
measure
of
risk-adjusted
return.
L
So
we
want
a
higher
sharp
ratio
and
you
can
see
that
the
the
sharp
ratio
for
the
plan
over
the
past
three
years
has
been
above
median
and
pretty
close
to
the
top
tile
of
the
peer
group
on
a
risk-adjusted
basis,
foreign.
So,
congratulations
on
meeting
the
Actuarial
assumed
rate
of
return
and
we'll
try
to
do
it
again.
Next
year.
Q
Yeah
good
job,
good
job,
good
job,
Laura
question
about
the
ass
allocation.
Has
it
been
pretty
much
steady
at
70
throughout
the
year.
B
Q
K
Q
L
The
healthcare
trusts
I
will
be
quick
on.
You
have
representation
from
the
same
managers
that
at
least
those
that
are
liquid
as
the
pension
fund.
So
I
will
take
a
look
first
at
page
26,
which
shows
the
asset
allocation
relative
to
targets,
so
this
fund
stood
at
over
290
million.
It's
about
6
million
higher
at
the
end
of
June
than
it
was
at
the
end
of
March.
There
were
net
cash
outflows
during
the
quarter
of
about
a
million
and
a
half
in
investment
gains
of
7.3
million.
L
But
well
ahead
of
this
peer
group
here
and
ranking
around
the
top
quartile
and
as
you
know,
this
fund
is
mainly
implemented
through
through
public
products,
index
funds
and
a
sampling
of
the
the
strategies
in
the
pension.
So
I
don't
have
anything
else.
To
mention
on
the
healthcare
trust
but
I'm
happy
to
take
questions.
A
K
S
Good
morning
an
impact
of
a
memo
regarding
handsome
Bridget's
contract
Amendment
Hansen
Bridget
has
been
providing.
S
Investment
investment
related
Legal
Services
since
2008
in
2011
and
2020.,
we
conduct
another
RFP
and
they
were
rehired.
The
current
agreement
expires
in
2025,
however,
we're
coming
close
to
the
maximum
budgeted
amount
of
600
000..
Has
some
bridges
assists
the
investment
staff
in
with
legal
reviews
of
contracts,
as
well
as
other
legal
items
that
come
up
investment
related
legal
items
that
come
up?
We
are
recommending
adding
another
300
150
per
year
for
the
next
two
years
to
the
budgeted
item.
E
The
RFP
that
went
out
was
2008.
well.
S
I
believe
we
tend
to
conduct
an
RFP
every
five
years
or
so
on.
Legal
Services.
E
E
Sorry,
let
me
let
me
get
my
thoughts
together,
I'm
wondering
if,
before
we
increase
the
contract,
are
we
obligated
under
any
policy
of
ours
to
have
a
new
RFP
I.
O
Can
address
that
issue?
Excuse
me.
No,
we
are
not
obligated
I
think
what
the
staff
indicated
is
that
we
have
a
practice,
whether
it's
illegal
or
whether
it's
any
other
consultant.
We
issue
rfps
about
every
five
years,
or
so
it's
just
a
practice
that
we
follow,
and
in
this
particular
case
the
last
RFP
was
2020.
L
B
O
Getting
close
to
reaching
the
the
total
limit,
and
so
we
are
extending
asking
an
increase
in
that
figure,
understanding
that
we
still
have
time
left
on
that
contract
and
so
there's
no
requirement.
We
could
go
back
to
an
RFP
if
we
wanted
to,
but
there's
not
inquiry
for
us
to
do
that.
O
Again,
that's
based
some
practice.
We
can
go
back,
including
25
and
and
do
other
FP
for
Legal
Services.
Just
as
a
matter
of
discussion,
we
are
going
to
be
issuing
an
RFP
for
actual
services
this
year.
Our.
Q
B
O
L
O
For
the
plan
is
every
five
to
seven
years
so
again,
the
last
one
we
did
for
legal
purpose.
It
was
2020.
by
the
way
we
do
try
to
staff.
Correct
me
if
I'm
mistaken,
when
we
do
an
RFP,
we
try
to
combine
different
services,
so
not
just
in
general
counsel
and
Military
Council
for
the
board,
but
tax,
Council
and
also
disability
Council.
So
we
do
have
other
legal
services
for
those
and,
in
fact,
I
believe
at
a
prime
meeting
we
also
extended
or
increased
the
amount
for
the
legal
services
for.
O
O
I
I
can't
say
that
we're
going
by
any
City
practice
or
anything
like
that.
I
just
know
that
it's
it's
good
business
to
check
with
those
Services
every
so
often
and
he
seemed
to
us
at
the
five-year
term-
is
a
reasonable
one.
K
K
Investment
consultant,
for
example,
later
this
year
and
that's
been
what.
T
Attic
Mr
chairman
question.
Thank
you.
Ron
are
the
legal
fees
associated
with
each
contract
expensed
against
the
performance,
the
the
return
of
each
investment,
the
way
the
manager's
fees
are
netted
and
are
they
is
the
net
shown
in
our
performance
reports?
No.
K
K
K
L
J
Chairman
I
have
a
quick
question
just
and
help
me
understand.
The
contract
is
going
to
go
for
another
two
years,
but
we're
already
maxing
out
was
that
just
because
we
utilized
it
more
than
we
thought
or
we
didn't
budget
it
correctly.
S
R
And
perhaps
to
share
some
specific
examples
within
private
markets:
The
Venture,
Capital
asset
classes
when
we've
spent
more
time
on
and
in
particular
2022
was
higher
than
expected
as
we
negotiated
two
strategic
Partnerships
and
those
are
more
one-off,
but
that
did
take
up
more
budget
than
we
had
expected.
Okay,.
B
D
D
H
So
if
I
may,
our
previous
designated
a
labor
negotiator
for
the
CEO
was
a
chair.
Atlanta
will
not
be
president
for
the
next
two
board
meetings
and
is
out
until
November
as
we
understand
it,
and
so
because
of
that
and
to
keep
the
process
moving,
we
will
need
to
re-vote
on
designating
a
new
labor
negotiator
in
his
stead
and
with
that
I
turn
it
back
to
you.
H
D
D
D
You
know,
as
Vice
chair
I,
think
Franco
as
the
head
negotiated
for
the
CEO
okay,
we
have
a
motion.
We
have
a
second
all.
Second,
a
second
Wilson,
those
in
favor.
H
Back
back
to
me
so
item
three
B
is
a
report
out
of
closed
session
from
the
June
1st
2023
board,
meeting
I'm
reporting
out
two
settlements
relating
to
the
overpayments
made
to
two
individuals
who
retired
with
service
connected
disability
without
meeting
the
minimum
eligibility
requirements
for
a
service
retirement,
and
these
two
individuals
had
a
separate
account
divorce
relation
orders
known
as
sadros.
In
both
cases,
ORS
had
paid
the
individual,
their
50
average
final
average
salary
and
then
paid
their
alternative
payee,
also
known
as
their
former
spouse.
H
Their
share
on
top
of
the
members
50,
thereby
exceeding
what
would
be
paid
to
the
member
alone,
which
violates
San
Jose,
Municipal,
Code,
3.36,
10
20..
If
the
board
remembers,
there
was
a
lot
of
discussion
around
the
the
sodros
and
how
to
calculate
those
benefits
for
members
who
were,
who
retired
before
had
received
that
sort
of
retirement
of
service-connected
disability
and
had
a
sadro
when
looking
into
those
matters,
we
determined
that
we
overpaid
two
members
and
that's
how
it
became
to
our
attention
earlier
this
year,
because
of
that
overpayment.
H
H
In
light
he
had
during
our
settlement
discussions
he
had
revealed
that
he
had
extensive
medical
bills,
severe
disability
and
no
other
earning
capacity
and
ex
extreme
financial
hardship.
This
individual
did
come
before
the
board
at
our
May
meeting
to
address
those
issues
before
the
board
and
the
board
took
that
into
consideration
when
structuring
the
settlement
agreement
we
reached
with
him.
H
So
in
light
of
those
factors,
the
board
entered
and
approved
a
settlement
agreement
with
Mr
Campbell
with
the
following
settlement
terms:
effective
July,
1st
2023,
the
plan,
perspectively,
adjusted
Mr
Campbell's,
current
monthly
retirement
benefit
amount,
including
colas,
from
seven
thousand
ninety
seven
thousand
and
ninety
seven
dollars
and
87
cents
to
five
thousand
dollars:
five
thousand
seventy
dollars
and
fifty
two
cents
to
account
for
the
deduction
of
two
thousand
and
twenty
seven
dollars
and
thirty
five
cents
pay.
Two
is
an
alternative
pay
as
a
result
of
has
required
under
San
Jose
Municipal
Code
3.36.3360.
H
So
this
was
to
respectively,
correct
and
deduct
the
alternative.
Payee's
amount
from
the
members
portion
of
his
service-connected
disability
retirement
benefit.
H
Now,
with
regards
to
the
cycle,
the
second
settlement
that
involved
a
member
named
Joe
Fleming
Mr
Fleming's
circumstances
were
different
from
Mr
Campbell's.
He
is
currently
remarried
currently
is
unemployed,
but
his
wife
is
gainfully
employed.
His
total
base
living
expenses
is
about
four
thousand
dollars
and
58
cents
per
month.
We
took
that
in
account
when
structuring
our
settlement
agreements,
because
we
didn't.
We
took
that
as
a
the
measure
of
where
it
would
get
into
the
territory
of
our
national
hardship.
H
In
light
of
this
information,
the
board
entered
and
approved
settlement
agreement
with
Mr
Fleming
with
the
following
settlement
terms:
effective
July,
1st
2023,
the
plan
prospectively,
adjusted
Mr
Fleming's,
current
monthly
retirement
benefit
amount,
including
colas
from
six
thousand
dollars,
six
thousand
five
hundred
and
eighteen
dollars
and
sixty
seven
cents
to
five
thousand
dollars.
H
Two
hundred
and
twenty
three
five
thousand
two
hundred
twenty
three
and
ninety
three
cents
to
account
for
the
deduction
of
two
thousand
and
twenty
seven
dollars
and
thirty
five
cents
paid
to
this
alternative
payee,
as
required
on
the
San
Jose
Municipal
Code.
Again,
we
are
prospectively
reducing
the
amount
of
their
alternative
pays
payment
from
the
members
50
amount
that
they
were
owed
well,
as
of
Mr
Campbell.
All
future
colas
will
apply
to
these
new
amounts
and
will
be
unaffected.
H
And
Mr
Fleming
agreed
to
repay
the
plan.
Twenty
thousand
dollars
in
overpayments
in
a
36
month
month,
36
monthly
installments,
to
be
deducted
from
his
monthly
retirement
benefit
that
further
reduce
the
amount
from
five
thousand
twenty
to
five
thousand
two
hundred
twenty
three
dollars
and
ninety
three
cents
to
four
thousand
six
hundred,
sixty
eight
dollars
and
thirty
six
cents,
subject
to
all
future
colas
during
the
36
month,
repayment
period,
Mr
Fleming
also
agreed
not
to
dispute
the
prospective
application
or
the
repayment
of
the
twenty
thousand
dollars
to
the
plan.
I
O
Last
time
we
had
your
board
meeting,
the
city
was
going
through
some
issues
with
some
bargaining
units
and
a
potential
for
a
strike
that
strike
was
averted
and
the
City
of
Rich
agreements
with
the
marketing
units.
So
I
just
wanted
you
to
be
aware
of
that.
We,
the
city
averted
strike,
and
we
didn't
have
any
issues
with
that.
I
didn't
have
to
put
into
place
any
any
contingency
plans.
O
We
also
want
to
let
you
know
that
the
health
open
enrollment
is
in
progress,
the
plan
for
it,
the
operative
roaming,
takes
place
from
November
1st
to
November
30th
for
next
calendar
year.
Health
selections
on
November,
8th,
we're
gonna,
have
the
retired
rehealth
fair
at
the
Landing
center
from
10
a.m,
to
2
p.m.
Here,
in
San,
Jose
and
November,
9th
staff
open
enrollment
presentation
at
the
association
of
retire
San,
Jose
police
officers
and
firefighters,
the
executive
assistant
recruitment
is
on
their
way
and
interviews
will
be
conducted
in
the
coming
weeks.
O
The
benefits,
analysts,
recruitment,
disability,
recruitment
is
underway
and
interviews
will
also
be
conducted
later
this
month.
We
are
also,
we
also
completed
the
recruitment
for
the
benefit
Health
analyst
Trav
in
and
she
will
study
her
role
in
early
October
and,
lastly,
our
office
will
be
closed
in
observance
of
indigenous
peoples
they
on
Monday
October
9th.
That
concludes
oh
no.
I
have
one
more
apologies.
We
do
have
a
new
accountant
that
is
going
to
start
on
with
our
Accounting
Group.
O
F
Great
thank
you
chair
just
a
couple
of
things
following
up
on
the
announcement
that
we
have
reached
successful
negotiations
with
our
bargaining
units
and
that
comes
to
Council
next
week
for
approval,
the
bargaining
units
have
approved
it
and,
of
course,
Council
authorized
that
a
few
weeks
ago,
so
I
I
was
really
happy
to
see
that
we
reached
that
conclusion
and
avoided
a
strike.
It
really
shows
our
employee
groups
that
we
value
them
they're
important
to
us,
and
we
want
to
compensate
them
appropriately.
F
Having
said
that,
it
does
put
us
in
a
bind
fiscally
this
year,
because
we,
when
the
budget
was
prepared
at
the
end
of
June,
it
did
not
include
pay
increases.
It
made
some
assumptions,
but
the
assumptions
were
not
high
enough,
so
we're
going
to
have
to
find
about
three
million
dollars
in
cuts
to
our
budget.
F
That
comes
to
Council
next
week,
and
it
includes
several
things,
but
one
thing
shouldn't
affect
programs
too
much
this
cycle
next
year
around
it
may
in
a
bigger
way,
because
the
the
Gap
that
we
have
to
fill
next
year
is
potentially
much
larger,
but
it
really
depends
on
the
economic
condition.
F
So,
there's
a
lot
to
know
and
figure
out
between
now
and
and
then
I
do
want
to
mention
that
I
will
be
submitting
a
memo
to
modify
staff
recommendation,
because
I
think
it's
really
important
that
Council
offices
bear
some
of
the
burden
in
reducing
the
expenses.
So
my
memo,
along
with
other
members
of
my
brown
act,
will
include
a
reduction
of
our
district
office
staff
budget
and
the
mayor's
budget
as
well.
So
that
way,
it's
not
just
our
programs
that
may
be
affected.
F
It's
city,
council,
district
offices,
that
will
be
reducing
their
budgets
and-
and
none
of
that
will
affect
the
programs
and
services
we're
able
to
offer
to
our
constituents,
but
I
think
it's
really
important
that
we
as
council
members
and
the
mayor
have
skin
the
game
in
the
reduction
in
balancing
the
budgets
and
it's
not
all
the
burden
is
on
our
residence
or
all
the
burden
is
on
our
employees
too.
I
just
wanted
to
share
that.
F
O
That's
the
salary
range
recommendation
for
the
CEO
CIO
and
the
investment
officers
positions
I
I.
My
meeting
yesterday
at
the
CD
agenda
review
I
requested,
if
possible
and
I,
think
it
was
just
because
of
those
committee.
If
the
item
could
be
move
up
in
the
presentation
so
that
trustees
that
will
be
in
attendance,
don't
have
to
sit
there
for
potentially
a
few
hours
before
the
island.
I,
don't
know
if
it
was
approved
by
the
rules
committee
or
not.
If
the
question
was
even
asked.
F
F
L
O
There's
going
to
be
a
combination
of
both
boards
and
members
and
in
the
past
everybody
said:
I
asked
that
this
morning
yesterday,
at
the
meeting
in
the
past,
we
have
all
the
issues
that
trustees
have
been
there
present
for
presentation
and,
as
you
know,
items
that
the
city
council
can
take
sometimes
hours
so
that
they
have
been
there
in
fact
had
to
have
leave
and
not
presented,
because
they
couldn't
wait.
So
just
a
request.
So
it
would
be
really
appreciative
if
the
rules
committee
can
consider
that.
F
F
The
the
agenda
next
week,
too.
I
Through
the
chair,
I
want
to
say
thanks
Pam
for
the
work
you
guys
did
for
the
labor,
but
maybe
next
time
you
could
take
care
of
Nick
Bosa.
D
H
We've
designated
you
as
a
labor
negotiator
in
light
of
Jews
absence:
okay,.
O
Yeah
well
so
I
I
just
saw
that
this
understood
I
have
spoken
to
by
share
battle
before
with
understanding
that
he
may
be
selected.
O
The
next
meeting,
then
it
go
past
the
process
at
the
city
and
instead
of
October
we're
looking
at
February
of
2024
for
any
payroll
processing
by
the
city.
So
I
was
hoping
we
didn't.
We
couldn't
have
to
wait
four
or
five
months
for
that
I
I
share
with
trustee
battle.
My
comments
and
discussions
on
that
yesterday,
so
he's
weren't,
aware
of
it.
I
just
want
to
put
it
on
the
table.
Obviously
your
board
gets
to
decide
how
you
want
to
proceed.
O
H
O
O
O
O
U
O
T
And
the
two
boards
need
to
instruct
the
each
their
labor
negotiators
to
meet
with
each
other
and
with
you
and
the
CIO
and
we're
not
there
yet
to
be
able
to
do
that
just
by
the
passage
of
the
clock,
so
I'm
I
don't
know
how
we
can
resolve
that
the
because
there's
no
action
this
board
can
take
today.
H
This
moment
at
this
point,
I
mean
as
an
alternative
for
the
chair,
and
the
rest
of
the
board
to
consider
is
that
if,
if
the
labor
negotiators
are
successful
in
reaching
consensus
with
the
Federated
labor
negotiators,
we
could
schedule
a
special
meeting
in
advance
of
the
deadline
just
to
address
this
very
issue.
So
it's
not
without
pale,
but
I
appreciate
you
raising
the
issue
for
payroll.
So
we
can
consider
that
once
we've
had
a
chance
to
confer
with
our
current
parts.
T
T
H
B
U
Hundred
thousand
dollars
a
month
in
expenses
which
included
their
general
counsel,
invoices,
as
well
as
their
hourly
and
fiduciary
invoices.
As
you
can
see
in
the
memo
for
the
past
two
fiscal
year
past
two
years,
the
total
expenses
per
fiscal
year
have
been
close
to
four
hundred
thousand
dollars
which
increased
the
annual
average
for
the
past
three
years
of
the
contract
to
three
hundred
thousand
dollars.
The
increase
is
mainly
due
to
unanticipated
services
such
as
the
felony
forfeiture
and
Municipal
Code
provision
services
for
domestic
relations
orders.
B
U
Original
contract
and
after
the
the
original
contracts
the
contract
expires
in
two
years,
then
we
will
most
likely
be
back
to
either
issue
an
RFP
or
to
extend
the
term
and
add
more
funds
to
the
contract.
I
B
D
Okay,
we've
got
I'm,
sorry
did.
U
P
U
H
2022
one
of
the
miscellaneous
items
is
there
was
the
Medicare
mandate
enforcement
actions
that
we
had
taken
with
the
city
to
work
through
that
and
making
sure
all
of
our
members
were
had
the
opportunity
to
enroll
again.
J
D
Aye
opposed
okay
or
E
discussion
and
presentation
by
Cortex,
Consulting.
G
Outlining
the
requirement
to
do
a
board
self-assessment,
it's
a
fairly
straightforward
process
done
once
every
two
years
we
did
one
last
year
for
the
other
fund
Federated.
That
simply
requires
you.
Responding
to
an
online
survey
request
that
comes
from
me,
I'll
send
that
tomorrow
each
one
of
you
will
get
an
individual
survey.
Template
that
you
can
fill
out
should
take
less
than
30
minutes
goes
through
things
like
you
know
you
get
along
well
with
your
colleagues,
you're
focused
on
the
right
things.
It's
strategic!
It's
policy
as
opposed
to
operations.
G
That
kind
of
thing
so
there's
about
20,
Questions,
tick,
the
Box,
you
agree,
disagree
I
think
we
should
do
have
more
meetings,
fewer
meetings,
the
length
of
the
meetings
are
fine.
They
should
be
shorter
and
there's
rooms
for
you
to
put
your
perspectives
things
you
think
work
well
things
that
could
be
improved
Etc.
So
it's
fairly
straightforward
should
take
30
minutes
the
timeline.
There
suggests
that
maybe
you
could
have
a
week
to
do
it.
If
we
slip
a
few
days.
That's
fine
you'll
get
a
nudge
from
me
when
you
get
the
email
from
me.
G
Just
please
respond
just
to
make
sure
we've
got
you
it's
easy
to
get
lost
in
the
volume
that
you
get
and
then,
if
you
feel
it's
necessary
to
have
a
call
with
Federated
most
of
the
trustees
decided,
they
did
want
to
have
a
call
either
to
expand
on
something
they
weren't
comfortable,
writing
down
and
again
everything's
confidential
I'm
I'm,
the
only
one
who
sees
it.
I,
won't
name.
Anybody
by
name
we'll
just
give
broad
feedback
like
the
length
of
the
meetings
are
fine,
Etc
and
I'll
play
that
back
in
a
report
next
month.
G
How
they
operate
versus
youth,
it's
interesting.
My
biggest
sample
is
Canadian
funds
and
the
big,
the
big
thing
that's
different
is
these
are
all
open
forums.
So
that's
the
big
difference.
I,
don't
have
enough
samples
to
say
specifically
what
what
an
experience
with
this
particular
board
to
say
that,
but
I'm
happy
to
think
about
it.
I
can
talk
to
Tom.
My
former
colleague
provide
some
high-level
comments.
I'll
put
some
thought
to
that
for
next
meeting.
Yeah.
H
G
Gun
I'm
happy
to
do
that.
Colleen's
here,
yeah
I
speak.
You
know
as
a
calipers,
where
some
of
your
colleagues
have
been
and
I'll
I'll
reflect
back
at
some
of
the
things
that
you
know.
Good
governance
and
strong
boards
should
focus
on
like
focus
on
strategies
I'm
happy
to
bring
those
talking
points
to
it
and
and
share
I'll
see
if
I
can
share
that.
Some
of
that
material
with
the
committee
of
Interest
happy
to
do
so.
G
G
Yeah
yeah
well,
you're.
You
know
it's
good
to
hear
your
own
self-assessment
and
I'll
reflect
on
and
I'll
talk
to
the
other
I
think
it's
in
the
public
domain.
So
we
can.
We
can
also
share
the
the
other
board's
perspective.
Federated
and
we
have
we
do
have
I
can
do
a
comparison
from
the
prior
survey.
Of
course,
there's
turnover
in
the
committee
membership.
But
the
questions
are
the
same.
So
we'll
see
what
areas
are
we
do?
The
committee
members
this
year
as
compared
to
two
years
ago,
feel
were
getting
better
worse,
Etc
and.
N
D
H
H
Vision,
that
required
the
board
to
employ
an
independent
medical
panel
to
determine
eligibility
of
disability
retirements.
This
board
has
issued
rfps
and
have
been
unable
to
fulfill
that
mandate
and,
however,
the
board
has
a
fiduciary
duty
to
continue
to
adjudicate
those
applications
and,
as
a
part
of
our
policy
review
and
true
UPS.
We've
noticed
that
we
wanted
to
memorialize
a
disability
committee
Charter,
which
we
have
included
with
your
backup
materials.
The
disability
committee
Charter
outlines
the
committee
operations
as
well
as
the
committee
responsibilities.
N
Can
I
ask,
is
it
possible
to
because
we
say
here
two
regular
members
and
two
alternates,
and
we
know
that
it's
tough
to
sometimes
have
these
meetings?
Can
we
have
more
members
as
alternates
just
so
there's
more
flexibility
in
terms
of
getting
these
meetings
done
well.
H
H
Could
but
there
is
one
complicating
Factor
there
is
that
these
disability
committee
responsibilities
are
very
difficult.
You
have
to
do
about
I,
don't
know.
Was
it
six
hours
of
training
to
be
on
the
committee
to
understand
how
to
review
the
the
packets
and
stuff
like
that?
So
it's
up
to
the
board
if
they
want
to
add
that
and
go
through
all
that
training
for.
O
O
N
O
O
The
alternates,
so
we
had
the
two
members
which
are
Drew
and
trustee
Santos,
and
then
there
are
four
earthquets
two
alternates
that
are
plant
members
and
two
alternates
that
are.
O
H
So
the
way
the
the
charter
is
ran
here
and
there
there
would
be
round
act
violations
if
we
were
to
have
the
alternates
as
well,
because
it
would
be
four
committee
members
out
of
the
I'm,
sorry
more
if
we
had
more
than
four
committee
members,
because
there
would
be
majority
of
the
board
on
that
committee.
H
But
so,
though,
so
the
the
way
the
current
committee
Charter
is
written
in
terms
of
the
membership
is
that
the
disability
committee
shall
consist
of
two
regular
members
and
two
alternate
members.
So
a
total
of
four
yeah
two
right
and
the
alternates
would
be
either
one
of
the
membership,
either
retired
or
active,
and
then
one
of
the
regular
members.
So
there's
only
four
here.
So
are
you
saying
that?
Currently
we
have
two
public
members
and
two
retirees
as
our
alternates
as.
L
O
Are
never
more
than
two
members
at
a
time,
I
think
you're,
the
attorney
I'm,
not
I,
don't
want
any
regulations
to
the
brown
Act,
but
obviously
the
depression
that
solonas.
We
only
have
two
members
attending
the
meeting.
H
So
we're
gonna
pull
this
and
and
readdress
this,
because
we
had
originally
thought
there
was
only
one
alternate
from
each
the
membership
and
the
public
side
or,
alternatively,
if
we
wanted
to
address
this
so
we'll
go
ahead
and
do
that.
O
H
The
director
for
the
request
here
is
to
have
more
than
four
alternates.
What
is
the
discussion
of
the
board.
J
J
To
pull
from
should
the
two
sitting
members
not
be
available
and
then
I
just
had
another
question
that
would
have
helped
on
Monday
I.
Don't
know
what
the
rule
is
right
now.
It
is
that
they
have
to
be
in
person
to
have
the
Quorum,
Franco
and
I
were
both
available,
but
only
by
zoom,
and
they
said
that
wouldn't
qualify
as
the
Quorum.
So
I
don't
know
how
that
works
out
legally
right.
T
N
N
T
If
I
may
Mr
chairman,
there
is
a
bit
of
of
potential
legal
and
the
and
a
logistical
issue
when
material
and
it's
voluminous
per
each
disability
applicant.
T
That
material
before
a
meeting
has
to
go
to
not
only
the
two
regular
members,
but
it
has
to
go
to
all
the
alternates
as
well
so
they're
prepared
if
at
the
last
moment
a
regular
member
says
I
can't
attend,
they
need
to
be
prepared.
They
need
to
have
read
all
the
material
had
asked.
Whatever
questions
that
sort
of
thing,
if
we
have
the
entire
board
having
to
do
that,
I
doubt
there
are
too
many
board
members
who
want
to
take
on
that
additional
burden
for
the
disability
committee.
T
The
other
problem
is:
is
that,
because
all
that
material,
the
disability
committee
does
not
make
a
final
decision.
It
makes
a
recommendation
to
the
full
board
if
more
than
a
quorum
of
the
board
has
already
deliberated
over
the
disability
application.
You
have
a
real
potential.
Brown
act
problem
there.
So,
if
that's
the
wish
of
the
board,
we
need
to
take
that
back
and
and
do
what
we
do
best,
which
is
make
sure
we're
not
exposing
you
to
a
potential
Brown
act
violation.
But
there
is
that
practical
issue.
T
L
T
H
Right
strike,
a
compromise
is
that
if
we
were
to
designate
everybody
on
the
board
as
alternates
to
the
two
sitting,
members,
we
would
set
a
schedule,
and
everyone
would
know
in
advance
like
which,
week
or
a
month
or
whatever
the
disability
meeting
would
be,
and
that's
your
designated
time,
and
we
would
know
that
alternate's
stepping
in
for
a
sitting,
member
and
rotate
through
I
mean
that's
an
alternative
to
satisfy
the
issue.
So
there's
much
more
clarity,
so
I
leave
it
to
the
board's
Direction.
How
how
you
would
like
to
structure
the
charter.
H
I
would
recommend
that
we
have
a
rotation
schedule
and
have
everything
in
advance
just
to
have
more
clarity
on
it,
because
the
issue
is
even
with
an
alternative.
If
someone
decides
last
minute,
they
can't
make
it
that's
five
binders
worth
of
materials
that
you
would
need
to
read
through
for
the
meeting
so
I
put
that
out
there
for
discussion.
O
We
could,
but,
as
as
were
indicated
and
many
of
them
know,
this
is
a
very
complicated
committee.
There's
a
lot
of
data
to
go
through
just
from
experience.
I
would
strongly
suggest
not
to
rotate
them
because
it
takes
I
mean
we
could,
but
it
takes
a
lot
of
your
time
at
the
training
that
you
have
to
go
through.
So
obviously,
is
the
board
productive
here,
whatever
the
world
decides
we're
fine
with
it
from
experience?
If
you
want
to
know
more
about
it,
you
can
talk
to
dig.
This
is
a
very
innuming
to
those
meetings.
J
I
H
Yeah,
yeah
and-
and
there
is
a
lot
of
training
that
goes-
that
will
be
involved.
Barbara
has
recorded
them
for
for
everyone's
benefit,
so
with
that
I'll
go
ahead
and
bring
back
the
disability
Charter
to
reflect
the
current
situation,
which
is
two
alternates
I'm.
Sorry
for
alternates
too,
from
the
membership
too,
from
the
the
public.
I
D
H
There's
no
there's
no
motion
we're
just
doing
action.
Okay,.
D
D
I
I
I
D
I
mean
the
same
thing.
Thank
you
for
your
service
and
enjoy
your.
I
J
J
O
T
Chairman
in
light
of
the
fact
that
the
city
has
now
reached
agreement
with
its
unions
for
increased
salaries,
Base
building
salaries
that
are
much
greater
than
what
the
actuary
has
been
assuming
I
would
recommend
that
we
consider
requesting
the
actuary
to
either
advise
the
board
on
the
impact
of
those
salary
increases
on
the
unfunded
liability
of
the
system
or
and
possibly
do
an
interim
valuation,
because
those
increases
are
in
a
compound
off
into
the
future.
O
A
O
Know
as
as
I
don't
want
to
speak
for
the
actuary,
but
as
they
will
remind
you
that
all
these
estimates
at
a
long
long
term.
So
the
fact
that
just
like,
when
you
have
an
increase
when
the
investment
staff,
a
new
board,
earn
almost
30
percent
two
years
ago,
didn't
cost
you
to
increase.
You
assume
rate
return
somewhere
similar
with
the
with
the
set
of
increases.
You
may
guess
on
highs
that
are
increases
not
because
of
inflation,
but
all
the
years,
maybe
zero
may
be
very
limited
and
people
don't
get
increases
every
year.
O
A
long
long
term,
but
having
said
that,
I'm,
not
an
actuary
I
think
council
is
correct.
They
will
take
that
into
consideration
when
they
do
the
experience
story
and
they
will
discuss
that
with
you
more.
Thank
you.
Thank.