2018-05-02
MINUTES
POLICE RETIREMENT COMMITTEE
May 2, 2018
A meeting of the Blair Police Retirement committee was held on May 2, 2018 at 12:00 p.m. in the
Blair Council Chamber. The meeting was called to order by City Administrator Storm.
Present were Chief Joe Lager, Lieutenant Aaron Barrow, Tom Sick, Lee Roy Swanson, Rick
Dhabalt and Chris May with DC Retirement Strategies (DCRS), City Administrator Storm,
Assistant City Administrator Green and Civil Service Secretary Wheeler. Absent: Council
member Ben Hansen.
Motion by Swanson, second by Sick to approve the minutes of the April 19, 2017 meeting as
presented. All members present voted Aye. Motion carried.
Rick Dhabalt stated the purpose of the meeting was for a Fiduciary Investment Review. He noted
that plan contribution requirements, match, vesting, eligibility all remained the same. He then
reviewed the average account balances, total assets, participant deferral, online activity and cash
flows. Dhabalt stated the City of Blair satisfies their fiduciary duty of offering a prudent and
diverse lineup of investment options. He reviewed the MidCap Value III fund using scoring from
RPAG and Principal and returns and percentile rankings for this fund were reviewed in detail as
well. Dhabalt outlined the fund lineup stating it is currently on the R-6 share class and they
recommend switching from the R-6 share class to a Z-Share class for more transparent expenses.
This will allow full disclosure to participants regarding the costs associated with their investments.
DCRS thoroughly explained how the current share class buries funds into the investment expenses.
Discussion was held regarding moving the Principal CIT Target Date funds to Index Funds. These
funds perform almost identical but the costs of managing the funds is lower. DCRS will also be
approaching Principal to discuss a reduction in fees or fee concession for this plan when they make
the switch to Z-Shares. The total plan cost is currently 0.91%. Discussion was held regarding
participant internet usage, record keeping costs and the limitations that exist for day trading.
Motion by Sick, second by Swanson to move CIT Target Date funds to Index Funds. All members
present voted Aye. Motion carried.
Motion by Lager, second by Sick to switch from R-6 share to a Z-Share class. All members present
voted Aye. Motion carried.
DCRS stated the will re-examine funds after the switch to Z-Shares. The Committee would also
like DCRS to conduct 1 on 1 education in late June/early July. The Committee would appreciate
it if the Police could have 1 on 1 meetings separate from the Civilian Plan meetings. Once action
on all items voted for change is completed, they will reach out to schedule a review and 1 on 1
education meetings.
Motion by Swanson, second by Sick to adjourn the meeting at 1:06 p.m. All members present
voted Aye. Motion carried.