Download February Minutes

ACCE Benefit Trust
Conference Call
February 14, 2017
11:00 am Eastern Time
Minutes
Present: Mike Neal, Bill Miles, Gary Toebben, Tara Barney, Betty Capestany, Michael Dalby, Tracey
Osborne, Bill Connors
Staff: David Huntley, Stacey Breslin, Mick Fleming, and Jacqui Cook
Minutes
Mike Neal called the meeting to order and asked for a review of the Benefit Trust and Policy Trust
minutes from the November 2016 meeting. Gary Toebben noted a quick correction on page 2 of the
minutes. Bill Miles made a motion to accept the minutes with the corrections noted and Gary Toebben
seconded it. Motion passed.
Mike shared the news about Bob Quick’s recent diagnosis and treatment plan. Everyone shared their
warm comments and prayers for a complete recovery. Mike then handed the floor to Jacqui for the
financials update.
Financial Report
Jacqui Cook provided a review of the December 31, 2016 financials. She went over the balance sheet
and pointed out that the cash is lower than in November because she processed a true-up on the due-to
for FBI. Overall, we have a very strong cash flow with a total change in net assets over last year at
$107,680. Moving onto the statement of revenue and expenses, Jacqui highlighted the expenses that
varied from the projected budget and noted that the result is an excess of approximately $14,000 for
the year. With no further discussion or questions regarding the financials, Bill Miles made a motion to
accept the financial report as presented. Gary Toebben seconded it. Motion passed.
Mike handed the floor to Dave Huntley for a review of the investments.
HR Investment Report
Dave Huntley was pleased to share that with the strong year-end market all the 401k plan investments
have positive annual returns. The 4th quarter returns were a bit choppy with only 8 funds outperforming
their benchmarks. However, the target dates funds saw 6 of 7 up on an actual basis and a relative basis
to their peer group. The only investment that Dave put on the watch list was the mid-cap value fund due
to its 3-year and 5-year returns.
All indications that the trustees’ decision to move to a zero-revenue share environment continues to be
positive. Mick asked Dave his thoughts about a potential market bubble due to the recent market
performance. Dave commented while these types of movements should continually be monitored, the
US stock earnings reports indicated a remaining positive climate. Of course, China is a continued
concern due to its size, and the low interest rate environment could soon be changing.
Moving onto the latest updates regarding the DOL fiduciary rule, Dave let the group know that the latest
hold on enforcement will postpone any potential effects on us. He and Stacey will continue to monitor
with Groom and provide updates as they become available.
Finally, Dave and Stacey shared their latest activity regarding the development of the “member to
member” plan which included preliminary calls and meetings with Securian and Pinnacle. The trustees
can expect further updates in May, but expectations are a decision won’t be necessary until this
summer.
Additional Business
Mike let the group know that we are aiming for a west coast destination for the fall meeting which will
take place on either November 6-7 or November 7-8, depending on property availability. We are also
working on property locations for 2018 and hope to have updates for the group at the next meeting.
Mike thanked everyone for their time and looks forward to seeing all in May.
Meeting adjourned.