The Board of Trustees, General Employees Retirement Plan, recommends the introduction and adoption of the changes to Ordinance 03-57, as presented.
On June 9, 2003, the City Commission adopted Ordinance 03-57, which is a restatement of the City of Leesburg Retirement Plan for General Employees. The attached amendment to this ordinance will increase the Board’s permissible investment in foreign securities. This amendment was recommended by the Board’s investment consultant in order to provide additional flexibility and increase the possibility of greater returns.
The actuary for the Retirement Plan for General Employees has reviewed the proposed amendment. They determined that its adoption will have no impact on the assumptions used in determining the funding requirements of the program. Therefore, there is no additional cost associated with the adoption of this ordinance.
1. Approve the ordinance amendment pertaining to Ordinance 03-57, Section 4, Finances and Fund Management, and repealing conflicting ordinances.
2. Such alternative action as the Commission may deem appropriate
There is no fiscal impact to the City of Leesburg as a result of this change.
Department: __City Manager__________
Prepared by: __Jay M. Evans__________
Attachments: Yes __X__ No _____
Advertised: ____Not Required ______
Attorney Review : Yes _X__ No ___
Reviewed by: Dept. Head ________
Finance Dept. __________________
Deputy C.M. ___________________
City Manager ___________________
Account No. _________________
Project No. ___________________
WF No. ______________________
ORDINANCE NO. 07 -
AN ORDINANCE OF THE CITY OF LEESBURG, AMENDING THE RETIREMENT PLAN FOR THE GENERAL EMPLOYEES FOR THE CITY OF LEESBURG, ADOPTED PURSUANT TO ORDINANCE NO. 03-57, AS SUBSEQUENTLY AMENDED; AMENDING SECTION 4, FINANCES AND FUND MANAGEMENT; PROVIDING FOR CODIFICATION; PROVIDING FOR SEVERABILITY OF PROVISIONS; REPEALING ALL ORDINANCES IN CONFLICT HEREWITH AND PROVIDING AN EFFECTIVE DATE.
BE IT ORDAINED BY THE CITY COMMISSION OF THE CITY OF LEESBURG, FLORIDA:
SECTION 1: That Ordinance No. 03-57, adopting the amended and restated City of Leesburg Retirement Plan for General Employees, as subsequently amended, is further amended to amend Section 4, Finances and Fund Management, subsection 6.B., to read as follows:
6. B. All monies paid into or held in the Fund shall be invested and reinvested in such securities or property wherever situated and whatever kind, as shall be approved by the Board, including but not limited to stocks, common or preferred, bonds, other evidences of indebtedness or ownership, and mutual funds, but there shall be no investment in the following:
(1) Margin Purchases.
(3) Calls or straddles (not including covered call options).
(4) Warrants or other options, except as part of purchase of another security.
(5) Venture Capital.
(6) Any investment prohibited by State or Federal law.
(7) Bonds which are rated less than “BBB” by Standard and Poors and Moodys.
(8) Real property or real estate.
Investments shall be further limited as follows:
(1) The Board shall not invest more than ten percent (10%) of its assets in the common stock, capital stock, or convertible securities of any one issuing company, nor shall the aggregate investment in any one issuing company exceed five percent (5%) of the outstanding capital stock of that company; nor shall the aggregate of its investments in common stock, capital stock and convertible securities at market exceed seventy percent (70%) of the assets of the Fund.
The Board shall not invest more than
percent (20 15 %) of its assets in foreign securities.
The Board shall develop and adopt a written investment policy statement setting forth goals and objectives of investments and setting quality and quantity limitations on investments. The investment policy statement shall be reviewed by the Board at least annually.
SECTION 2: Specific authority is hereby granted to codify and incorporate this Ordinance in the existing Code of Ordinances of the City of Leesburg.
SECTION 3: All Ordinances or parts of Ordinances in conflict herewith be and the same are hereby repealed.
SECTION 4: If any section, subsection, sentence, clause, phrase of this ordinance, or the particular application thereof shall be held invalid by any court, administrative agency, or other body with appropriate jurisdiction, the remaining section, subsection, sentences, clauses or phrases under application shall not be affected thereby.
SECTION 5: That this Ordinance shall become effective upon its adoption.
PASSED AND ADOPTED at a regular meeting of the City Commission of the City of Leesburg, Florida, held on the _________ day of _____________________, 2007.
CITY OF LEESBURG
Approved as to form: