HomeMy WebLinkAboutO-08207ORDINANCE NO.
8207
AN ORDINANCE AMENDING CERTAIN SUB-
SECTIONS OF THE MIAMI CITY EMPLOYEES'
RETIREMENT SYSTEM (ORDINANCE NO. 2230,
DECEMBER 6, 1939, AS AMENDED) AND THE
MIAMI CITY GENERAL EMPLOYEES' RETIRE-
MENT PLAN (ORDINANCE NO. 5624, MAY 2,
1956, AS AMENDED), AS APPEARING IN
CODIFIED FORM AS A PART OF CHAPTER NO.
2 OF THE CODE OF THE CITY OF MIAMI,
FLORIDA, 1957, AS AMENDED, MORE PARTICULAR-
LY BY REPEALING SECTION 2-95 AND BY REPEAL-
ING SUBSECTIONS 2-96(3) AND 2-111(3) AND
SUBSTITUTING THEREFOR NEW SUBSECTIONS 2-95(3),
(4), (5), (6) and (7) APPOINTING A SUCCESSOR
TRUSTEE FOR THE CITY EMPLOYEES' RETIREMENT
SYSTEM TRUST, DESCRIBING THE TRUST PROPERTY,
PRESCRIBING THE RECORDS TO BE MAINTAINED, THE
DUTIES, RESPONSIBILITIES AND INVESTMENT
AUTHORITY OF THE SUCCESSOR TRUSTEE SO AP-
POINTED, AND SUBSTITUTING NEW SUBSECTIONS 2-111(3),
(4), (5), (6) and (7), APPOINTING A SUCCESSOR
TRUSTEE FOR THE MIAMI CITY GENERAL EMPLOYEES'
RETIREMENT PLAN TRUST, DESCRIBING THE TRUST'S
PROPERTY, PRESCRIBING THE RECORDS TO BE MAIN-
TtiINED, THE DUTIES, RESPONSIBILITIES, AND IN-
VESTMENT AUTHORITY OF THE SUCCESSOR TRUSTEE,
SO APPOINTED, CONTAINING A SEVERABILITY CLAUSE.
WHEREAS; the members of the Retirement Board, administer-
ing the Miami City Employees' Retirement System and the Miami City
General Employees' Retirement Plan, acting jointly and in concert
with the Investment Committee supervising the investments of the
Retirement System and Plan Trusts, acting jointly and in concert,
have conducted extensive studies of the administration of the Trusts
for the Miami City Employees' Retirement System and the Miami City
General Employees' Retirement Plan and determined that a change in
Trustees and Investment Policy followed by the Trustees for the
System and the Plan, is in the best interest of the City of Miami
and the Members of the Retirement System and Plan; and
WHEREAS, the Retirement Board, administering
the Retirement System and the Retirement Plan, acting jointly
and in concert with the Investment Committee supervising
the investments of the Retirement System and Plan, have
recommended that successor Trustees be appointed to adminis-
ter The City Employees' Retirement System Trust and The
Miami City General Employees' Retirement Plan Trust, and
that the investment authority exercised by the successor
Trustee be expanded to allow for a more diversified invest-
ment policy; and
WHEREAS, neither Ordinance No. 2230, adopted
December 6, 1939, as amended, creating The Miami City
Employees' Retirement System nor Ordinance No. 5624, adopted
May 2, 1956, as amended, creating The Miami City General
Employees' Retirement Plan were included as a portion of
the new Code of the City of Miami, Florida, effective
September 1, 1967, as adopted by Ordinance No. 7585, July 25,
1967; and
WHEREAS, said System and Plan now both exist in
accordance with the codified form as appears in Chapter 2
of the Code of the City of Miami, Florida, 1957, as amended,
in addition to basic ordinance form; and
WHEREAS, any addition or amendments to either
said System or said Plan can thus be made by reference
to the section designations as they appear in said Chapter 2
of the Code of the City of Miami, Florida, 1957, as amended;
-2-
NOW, THEREFORE, BE IT ORDAINED BY THE COMMISSION
OF THE CITY OF MIAMI, FLORIDA:
Section 1. Section 2-95 of The Miami City Employees'
Retirement System and The Miami City General Employees' Retirement
Plan (Ordinance No. 2230, December 6, 1939 and Ordinance No.
5624, May 2, 1956) as said Ordinances, as amended, appear in
codified form as a part of Chapter 2 of the Code of the City
of Miami, Florida 1957, as amended, is repealed.
Section 2. Subsection 2-96(3) of The Miami City
Employees' Retirement System and The Miami City General Employees'
Retirement Plan (Ordinance No. 2230, December 6, 1939 and
Ordinance No. 5624, May 2, 1956) as said Ordinances, as amended,
appear in codified form as a part of Chapter 2 of the Code of the
City of Miami, Florida, 1957, as amended, is amended, by
repealing the said Subsection 2-96 and substituting therefore new
Subsections of 2-96 as follows:
(3) Appointment of Successor Trustee
1. The Miami City Employees Retirement System Trust is an
irrevocable trust established by Ordinance. The City Com-
mission of the City of Miami, having retained that right, does
hereby appoint a successor Trustee to administer the trust
thereby created. The successor Trustee, designated as the
Board of Trustees of the Miami City Employees Fetirement System,
shall consist of eleven (11) members, or as otherwise provided
in Paragraph 3 of this subsection. Two (2) members shall be
qualified and acting City Commissioners and nine (9) members
shall be qualified and acting members of the Retirement Board.
2. Members of the City Commission serving on the Board of
Trustees shall serve at the pleasure of the City Commission
and only during their incumbency in office. The members of
the Retirement Board shall serve on the Board of Trustees only
during the time they are acting members of the Retirement Board
of the Miami City Employees' Retirement System, The first
Board of Trustees hereby appointed shall consist of those
personnel constituting the Investment Committee appointed
pursuant to the previously existing Trust Agreement.
3. The City Commission reserves the right to increase the number
of members on the Board of Trustees by not more than two (2) and
to remove those two Trustees appointed hereunder either indi-
vidually or collectively, and appoint successor Trustees as
provided hereunder.
4
4. The Board of Trustees shall elect from its membership
a Chairman and a Vice -Chairman, and shall appoint an
Executive Secretary, who may, but is not required to, be
a member of the Board of Trustees. A majority of the members
of the Board of Trustees shall constitute a quorum for the
purpose of meeting and transacting business; providing how-
ever, that no recommendation or proposition submitted to the
Board of Trustees may be passed or acted upon, except upon
the affirmative vote of a majority of the entire membership.
5. Each Trustee shall take an oath of office and make a
written acknowledgment of his acceptance of the duty,
responsibility and authority of a Trustee. A Trustee
shall serve without compensation, but shall be reim-
bursed for any expense incurred as a result of a service
as a Trustee.
6. The Board of Trustees shall hold regular meetings
at least quarterly in each year and special meetings at
such times as the Chairman or a majority of the Board
may deem necessary.
7. The Board of Trustees, hereinafter referred to as
the Trustee, subject to the approval of the Commission,
may employ persons or firms, including, but not limited
to Attorneys, Auditors, and Investment Advisers or
Counsellors, to advise or assist the Trustee in the
performance of Trustee's duties. The Trustee may act
without independent investigation upon the advice of
the advisers so retained and may employ one or more
Agents to perform any act of administration, which
the Trustee is authorized to perform.
5
8. The Trustee is authorized to prosecute or defend actions,
claims, or proceedings of any nature or kind for the protec-
tion of trust assets and of the Trustee in the performance
of the duties of the Trustee.
(4) Trust Property
1. The trust property to be administered by the successor
Trustees appointed hereby shall consist of all cash, securities,
and other property which shall have been heretofore accumulated
by the predecessor Trustee on behalf of the trust administered
for the Miami City Employees Retirement System together with
such other cash, securities, or other property, which the
Trustee may at any time hold or acquire from or on behalf of
the City or members of the Retirement System and the accruals
thereto. The trust property, hereinafter referred to as the
Fund, shall be held by the Trustee in trust hereunder and
invested and applied by it as hereinafter provided.
2. The Trustee shall be vested with full legal title to
the Fund, which shall be held as an irrevocable retirement fund
to be applied from time to time in accordance with the directions
of the Retirement Board of the Miami City Employees Retirement
System and as otherwise herein set forth. All contributions
from time to time paid to the Trustee by the City, by members
of the System and all assets whatsoever of the Fund and the
income thereof without distinction between principal and income,
shall be held and administered by the Trustee in one single
trust fund. The Trustees may, but shall not be required to,
segregate or invest separately any portion of the Fund.
- 6-
3, The Trustee shall cause any property, investments, se-
curities, or accounts acquired or maintained by it to be
registered, titled, or listed to reflect ownership by the
Board of Trustees and the books and records of the Trust
shall at all times show that all investments are part of the
Fund.
(5) Records to be maintained
1. The Trustee shall require that any Agent retained or
employed and having custody or control of any Trust Property
shall keep accurate and detailed accounts of all investments,
receipts, disbursements, and other transactions hereunder
and all accounts, books, and records relating thereto shall
be open to inspection and audit at all reasonable times by
the City, the Trustee, the Retirement Board or their designee.
2. The Trustee shall also keep accurate and detailed accounts
of all investments, receipts, disbursements, and other trans-
actions hereunder, and all accounts, books, and records relating
thereto shall be open to inspection and audit at all reasonable
times by the City, the Retirement Board Members of the System,
or their designee.
(6) Duties and Responsibilities of Trustee
1. The Trustee shall take possession of, hold, manage, control
and safeguard the trust property.
2. The Trustee shall disburse monies from the Fund to the
Director of Finance of the City of Miami for Retirement System
purposes, upon written request drawn upon the Trustee by the
City Finance Director. Payments by the Trustee to the Director
of Finance may be made out of principal or income or out of
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both principal and income. The Trustee shall pay out monies
from the trust upon such written requisitions and shall not be
concerned with the application of such monies by the Director
of Finance. His receipt thereof shall constitute a full
acquittance to the Trustee.
3. The Trustee shall cause all assets of the Fund to be kept
productive of income, having regard for the disbursement
requirements of the trust.
4. The Trustee may buy, sell, convert, redeem, exchange,
or otherwise dispose of any property held by it at any public
or private sale without notice or advertisement for cash or
upon credit with or without security, without obligations on
the part of any person dealing with the Trustee to see the
application of the process of or inquire into the validity,
expediency or propriety of any such disposition and may make,
execute, acknowledge and deliver any and all contracts, as-
signments, waivers, or other instruments. In the event that
any of the acts listed above are performed on behalf of the
trust by agents appointed by the Trustee, the Trustee may
delegate the authority granted by this Subsection to such agents.
5. The Trustee is empowered, but is not required, to vote upon
any stocks, bonds, or securities of any corporation, association,
or trust, and to give general or specific proxies or powers
of attorney with or without power of substitution; to participate
in mergers, reorganizations, recapitalizations, consolidations,
and similar transactions with respect to such securities; to
deposit such stock or other securities in any voting trust or
any protective or like committee or with depositories designated
by the Trustee, subject to the approval of the Commission; to
-8-
amortize or fail to amortize any part or all of the premium
or discount resulting from the acquisition of disposition of
assets; and generally, to exercise any of the powers of an
owner with respect to stocks, bonds, or other investments,
comprising the Trust Fund which it may deem to be to the
best interest of the Trust Fund to exercise.
6. The Trustee shall not be required to make any inventory
or approaisals or report to any court, nor to secure any
order of court for the exercise of any power herein contained.
7. The Trustees, individually and collectively, shall not be
liable for the making, retention or sale of any investment or
reinvestment made by it as herein provided, nor for any loss
to or diminishment of the Fund, except that due to said Trustees
own negligence, wilful misconduct or lack of good faith. The
Trustee shall not be liable for any loss incurred in connection
with the selection or performance of Fund investments made
by or at the direction of Investment Counsel. However, the
Trustee shall have a continuing duty to observe and evaluate
the performance of any Investment Counsel retained. If, in the
sole discretion of the Trustee, it is determine that the
Investment Counsel is not performing in a manner satisfactory
to the Trustee, then the Trustee shall do whatever may be
necessary to improve the performance of the Investment Counsel
or to terminate the employment of such Investment Counsel,
subject to the approval of The City Commission of The City of
Miami.
-9-
(7) Investment Authority
The Trustee shall have the following powers and authority in
the investment and administration of fund assets:
1. Trust funds shall be invested and reinvested in such security
or in such property, real or personal or mixed, wherever situated
as the Trustee shall deem advisable. In the acquisition, in-
vestment, reinvestment, exchange, retention, sale and management
of property for the benefit of the fund, the Trustee shall
exercise and require that persons or firms retained to act as
Investment Counsel, Investment Advisors or money managers,
exercise all judgment and care under the circumstances then pre-
vailing which men of prudence, discretion and intelligence
exercise in the management of their own affairs not in regard to
speculation, but in regard to the permanent disposition of their
funds, considering the probable income as well as the probable
safety of their capital.
Trust funds may be invested as follows:
(1) Without limitation in:
(a) Bonds, notes or other obligations of the
United States or those guaranteed by the United
States or those guaranteed by the United States
or for which the credit of the United States is
pledged for the payment of the principal and
interest or dividends thereof.
(b) Certificates of deposit of any bank incorporated
under the laws of this State or any national bank
organized under the laws of the United States to
-10-
do business and situated in this State to the
extent that such savings accounts are insured
with the Federal Government or an agency
thereof and if the Certificates of Deposit are
secured by the deposit of securities of the
United States Government.
(2) Not more than ten percent (10%) of the fund may be in-
vested in any one entity of the categories listed below:
(a) Common stock, preferred stock, and interest
bearing obligations of corporations having
an option to convert into common stock, issued
by a corporation organized under the laws of
the United States, any state or organized
territory of the United States and the District
of Columbia, provided the aggregate investment
of the fund in any one issuing corporation shall
not exceed three percent (3%) of the outstanding
capital stock of that corporation.
(b) Notes secured by first mortgages on real property,
insured or guaranteed by the Federal Housing
Administration or the Veterans' Administration.
(c) Interest bearing obligations with a fixed maturity
of any corporation within the United States,
provided such obligations are rated by at least
two nationally recognized rating services in any
one of the four highest classifications approved
by the Comptroller of the currency for the invest-
ment of funds of national banks or if only one
nationally recognized rating service shall rate
-11-
such obligations, then such rating service
must have rated such obligations in any one
of the three highest classifications
heretofore mentioned.
Within the limitations of the foregoing standard, the Trustee
is authorized to acquire and attain every kind of property,
real, personal or mixed, and every kind of investment
specifically included, but not by way of limitations, bonds,
debentures and other corporation obligations and stocks,
preferred or common, which men of prudence, discretion
and intelligence acquire and attain for their own account
and within the limitations of the foregoing standard may
retain property properly acquired without limitation as to
time and without regard to its suitability for original
purchase.
Section 3. Subsection 2-111 (3) of the Miami
City Employees' Retirement System and the Miami City General
Employees' Retirement Plan (Ordinance No. 2230, December 6,
1939, and Ordinance No. 5624, May 2, 1956) as said Ordinances,
as amended, appear in codified form as a part of Chapter 2
of the Code of the City of Miami, Florida, 1957, as amended
is amended, by repealing the said Subsection 2-111(3) and
substituting therefore new Subsections 2-111 as follows:
- 12 -
(3) Appointment of Successor Trustee
1. The Miami City General Employees Retirement Plan Trust is an
irrevocable trust established by Ordinance. The City Commission
of the City of Miami, having retained that right, does hereby
appoint a successor Trustee to administer the trust thereby
created. The successor Trustee, designated as the Board of
Trustees of the Miami City General Employees Retirement Plan,
shall consist of eleven (11) members, or as otherwise provided
in Paragraph 3 of this subsection. Two (2) members shall be
qualified and acting City Commissioners and nine (9) members
shall be qualified and acting members of the Retirement Board.
2. Members of the City Commission serving on the Board or
Trustees shall serve at the pleasure of the City Commission
and only during their incumbency in ottice. The members of
the Retirement Board shall serve on the Board of Trustees
only during the time they are acting members of the Retirement
Board of the Miami City General Employees Retirement Plan. The
first Board of Trustees hereby appointed shall consist of those
personnel constituting the Investment Committee appointed pur-
suant to the previously existing Trust Agreement.
3. The City Commission reserves the right to increase the number
of members on the Board of Trustees by not more than two (2) and
to remove those two Trustees appointed hereunder either indi-
vidually or coiiectively, and appoint successor Trustees as
provided hereunder.
4. The Board of Trustees shall elect from its membership
a Chairman and a Vice -Chairman, and shall appoint an
Executive Secretary, who may, but is not required to, be
a member of the Board of Trustees. A majority of the members
of the Board of Trustees shall constitute a quorum for the
purpose of meeting and transacting business; providing how-
ever, that no recommendation or proposition submitted to the
Board of Trustees may be passed or acted upon, except upon
the affirmative vote of a majority of the entire membership.
5. Each Trustee shall take an oath of office and make a
written acknowledgment of his acceptance of the duty,
responsibility and authority of a Trustee. A Trustee
shall serve without compensation, but shall be reim-
bursed for any expense incurred as a result of a service
as a Trustee.
6. The Board of Trustees shall hold regular meetings
at least quarterly in each year and special meetings at
such times as the Chairman or a majority of the Board
may deem necessary.
7. The Board of Trustees, hereinafter referred to as
the Trustee, subject to the approval of the Commission,
may employ persons or firms, including, but not limited
to Attorneys, Auditors, and Investment Advisers or
Counsellors, to advise or assist the Trustee in the
performance of Trustee's duties. The Trustee may act
without independent investigation upon the advice of
the advisers so retained and may employ one or more
Agents to perform any act of administration, which
the Trustee is authorized to perform.
8= The Trustee is authorized to prosecute or defend actions,
claims, or proceedings of any nature or kind tor the protec-
tion ot trust assets and ot the Trustee in the performance
ot the duties ot the Trustee.
(4) Trust Property
1. The trust property to be administered by the successor
Trustees appointed hereby shaii consist ot all cash, securities,
and other property which shall have been heretofore accumulated
by the predecessor Trustee on behalt of the trust administered
tor the Miami City General Employees Retirement Plan together
with such other cash, securities, or other property, which the
Trustee may at any time hold or acquire from or on behalt of
the City or members ot the Retirement Plan and the accruals there-
to. The trust property, hereinafter referred to as the Fund, shall
be held by the Trustee in trust hereunder and invested and applied
by it as hereinafter provided.
2. The Trustee shall be vested with full legal title to the Fund,
which shall be held as an irrevocable retirement fund to be ap-
plied from time to time in accordance with the directions ot the
Retirement Board of the Miami City General Employees Retirement
Plan and as otherwise herein set forth. All contributions from
time to time paid to the Trustee by the City, by members of the
System and all assets whatsoever of the Fund and the income
thereof without distinction between principal and income, shall
be held and administered by the Trustee in one single trust fund.
The Trustees may, but shall not be required to, segregate or in-
vest separately any portion ot the Fund.
- 15 -
3. The Trustee shall cause any property, investments, se-
curities, or accounts acquired or maintained by it to be
registered, titled, or listed to reflect ownership by the
Board of Trustees and the books and records of the Trust
shall at all times show that all investments are part of the
Fund.
(5) Records to be maintained
1. The Trustee shall require that any Agent retained or
employed and having custody or control of any Trust Property
shall keep accurate and detailed accounts of all investments,
receipts, disbursements, and other transactions hereunder
and all accounts, books, and records relating thereto shall
be open to inspection and audit at all reasonable times by
the City, the Trustee, the Retirement Board or their designee.
2. The Trustee shall also keep accurate and detailed accounts
of all investments, receipts, disbursements, and other trans-
actions hereunder, and all accounts, books, and records relating
thereto shall be open to inspection and audit at all reasonable
times by the City, the Retirement Board Members of the Plan
or their designee.
(6) Duties and Responsibilities of Trustee
1. The Trustee shall take possession of, hold, manage, control
and safeguard the trust property.
2. The Trustee shall disburse monies from the Fund to the
Director of Finance of the City of Miami for Retirement Plan
purposes, upon written request drawn upon the Trustee by the
City Finance Director. Payments by the Trustee to the Director
of Finance may be made out of principal or income or out of
- 16 -
3. The Trustee shall cause any property, investments, se-
curities, or accounts acquired or maintained by it to be
registered, titled, or listed to reflect ownership by the
Board of Trustees and the books and records of the Trust
shall at all times show that all investments are part of the
Fund.
(5) Records to be maintained
1. The Trustee shall require that any Agent retained or
employed and having custody or control of any Trust Property
shall keep accurate and detailed accounts of all investments,
receipts, disbursements, and other transactions hereunder
and all accounts, books, and records relating thereto shall
be open to inspection and audit at all reasonable times by
the City, the Trustee, the Retirement Board or their designee.
2. The Trustee shall also keep accurate and detailed accounts
of allinvestments, receipts, disbursements, and other trans-
actions hereunder, and all accounts, books, and records relating
thereto shall be open to inspection and audit at all reasonable
times by the City, the Retirement Board Members of the Plan
or their designee.
(6) Duties and Responsibilities of Trustee
1. The Trustee shall take possession of, hold, manage, control
and safeguard the trust property.
2. The Trustee shall disburse monies from the Fund to the
Director of Finance of the City of Miami for Retirement Plan
purposes, upon written request drawn upon the Trustee by the
City Finance Director. Payments by the Trustee to the Director
of Finance may be made out of principal or income or out of
- 16 -
both principal and income. The Trustee shall pay out monies
from the trust upon such written requisitions and shall not be
concerned with the application of such monies by the Director
of Finance. His receipt thereof shall constitute a full
acquittance to the Trustee.
3. The Trustee shall cause all assets of the Fund to be kept
productive of income, having regard for the disbursement
requirements of the trust.
4. The Trustee may buy, sell, convert, redeem, exchange,
or otherwise dispose of any property held by it at any public
or private sale without notice or advertisement for cash or
upon credit with or without security, without obligations on
the part of any person dealing with the Trustee to see the
application of the process of or inquire into the validity,
expediency or propriety of any such disposition and may make,
execute, acknowledge and deliver any and all contracts, as-
signments, waivers, or other instruments. In the event that
any of the acts listed above are performed on behalf of the
trust by agents appointed by the Trustee, the Trustee may
delegate the authority granted by this Subsection to such agents.
5. The Trustee is empowered, but is not required, to vote upon
any stocks, bonds, or securities of any corporation, association,
or trust, and to give general or specific proxies or powers
of attorney with or without power of substitution; to participate
in mergers, reorganizations, recapitalizations, consolidations,
and similar transactions with respect to such securities; to
deposit such stock or other securities in any voting trust or
any protective or like committee or with depositories designated
by the Trustee, subject to the approval of the Commission; to
- 17 -
II II IIIIIIIIIIIIIIIIIUII I II1I I ■IIIIII IIIIIII I II
amortize or fail to amortize any part or all of the premium
or discount resulting from the acquisition of disposition of
assets; and generally, to exercise any of the powers of an
owner with respect to stocks, bonds, or other investments,
comprising the Trust Fund which it may deem to be to the
best interest of the Trust Fund to exercise.
6. The Trustee shall not be required to make any inventory
or appraisals or report to any court, nor to secure any
order of court for the exercise of any power herein contained.
7. The Trustees, individually and collectively, shall not be
liable for the making, retention or sale of any investment or
reinvestment made by it as herein provided, nor for any loss
to or diminishment of the Fund, except that due to said Trustees'
own negligence, wilful misconduct or lack of good faith. The
Trustee shall not be liable for any loss incurred in connection
with the selection or performance of Fund investments made
by or at the direction of Investment Counsel. However, the
Trustee shall have a continuing duty to observe and evaluate
the performance of any Investment Counsel retained. If, in the
sole discretion of the Trustee, it is determined that the
Investment Counsel is not performing in a manner satisfactory
to the Trustee, then the Trustee shall do whatever may be
necessary to improve the performance of the Investment Counsel
or to terminate the employment of such Investment Counsel,
subject to the approvalof the City Commission of the City of
Miami.
- 18 -
(7) Investment Authority
The Trustee shall have the following powers and authority in
the investment and administration of fund assets:
1. Trust funds shall be invested and reinvested in such security
or in such property, real or personal or mixed, wherever situated
as the Trustee shall deem advisable. In the acquisition, invest-
ment, reinvestment, exchange, retention, sale and management of
property for the benefit of the fund, the Trustee shall exercise
all judgment and care under the circumstances then prevailing
which men of prudence, discretion and intelligence exercise in
the management of their own affairs not in regard to speculation,
but in regard to the permanent disposition of their funds, con-
sidering the probable income as well as the probable safety of
their capital.
Trust funds may be invested as follows:
(1) Without limitation in:
(a) Bonds, notes or other obligations of the
United States or those guaranteed by the United
States or those guaranteed by the United States
or for which the credit of the United States is
pledged for the payment of the principal and
interest or dividends thereof.
(b) Certificates of deposit of any bank incorporated
under the laws of this State or any national bank
organized under the laws of the United States to
- 19 -
do business and situated in this State to the
extent that such savings accounts are insured
with the Federal Government or any agency
thereof and if the Certificates of Deposit are
secured by the deposit of securities of the
United States Government.
(2) Not more than ten percent (10%) of the tund may be invested
in any one entity of the categories listed below:
(a)
Common stock, preterred stock, and interest
bearing obligations of corporations having
an option to convert into common stock, issued
by a corporation organized under the laws of
the United States, any state or organized
territory ot the United States and the District
ot Columbia, provided the aggregate investment
ot the tund in any one issuing corporation shall
not exceed three percent (3%) of the oustanding
capital stock of that corporation.
(b) Notes secured by first mortgages on real property,
insured or guaranteed by the Federal Haousing
Administration or the Veterans' Administration.
(c) Interest bearing obligations with a tixed maturity
ot any corporation within the United States,
provided such obligations are rated by at least
two nationally recognized rating services in any
one of the four highest classitications approved
by the Comptroller ot the currency tor the invest-
ment ot funds of national banks or if only one
nationally recognized rating service shall rate
such obligations, then such rating service
must have rated such obligations in any one
of the three highest classifications
heretofore mentioned.
Within the limitations of the foregoing standard, the Trustee
is authorized to acquire and retain every kind of property, real,
personal or mixed, and every kind of investment specitically
included, but not by way of limitations, bonds, debentures and
other corporation obligations and stocks, preferred or common,
which men of prudence, discretion and intelligence acquire and
retain for their own account and within the limitations of the
foregoing standard may retain property properly acquired without
limitation as to time and without regard to its suitability tor
original purchase.
Section 4. All Ordinances, code sections or parts
thereof in conflict herewith, insofar as they are in conflict,
are hereby repealed.
PASSED ON FIRST READING BY TITLE ONLY this 25th
day of October , 1973.
PASSED AND ADOPTED ON SECOND AND FINAL READING BY
TITLE ONLY this 21st day of November , 1973.
MAURICE A. FERRE
MAYOR
ATTEST:
H.P. SOUTHERN
CITY CLERK
PREPARED AND APPROVED BY:
FRANK H. WESTON
ASSISTANT CITY ATTORNEY
REVIEWED BY:
JOHN S. LLOYD
ASSISTANT DIRECTOR OF LAW
APPROVED AS TO FORM AND CORRECTNESS:
ALAN H. ROTHSTEIN - CITY ATTORNEY
t a
CITY OF M1AMI. FLORIDA
INTER -OFFICE MEMORANDUM
TO:
FROM:
H. D. Southern
City Clerk
John S. Lloyd
ity)4ttorn
DATE:
December 11, 1973 FILE:
sUF7 JET. T. Ordinance No. 8207
P EFEFIENCES:
ENCLOEURES (22)
Reference is made to your memorandum, addressed to John Lloyd,
City Attorney, dated November 28, 1973, same subject.
We are forwarding herewith originals of the twenty-two (22)
pages of the above subject Ordinance.
JSL:FHW:nla
Enclosures (22)
PREPARED AND APPROVED BY:
FRANK H. WESTON
ASSISTANT CITY ATTORNEY
c-)
•
•
1111111111111111 11111111 111111
CITY OF MIA1411. PLORIDA
INTER -OFFICE MEMORANDUM
to,
Mr John Lloyd, city Attorney
Dept of Law
PPoM: H D Southern, City Clerk
By: Deputy
DAtt:
iUSJtCT:
11EirtR1_NCtit
ENCLOIUREh
28 November 73
Ordinance No.8207
Reference is made to Ordinance No. 8207 adopted November
21st, copy enclosed.
This ordinance can not be reproduced in its present form.
There are 14 pages of this 22 page ordinance so poorly
prepared they can hardly be read. Your attention is called
to Page 3, Page 8 and Page 19 as specific examples. The
Copy Center has informed the Manager's office that the copy
they were sent to reproduce was so bad they could do no
better. There is no point in attempting to reproduce from
these copies for distribution to City Commissioners and
others concerned with this very important ordinance. It
will have to be re -prepared in a legible form. Some of
the words are impossible to read, and only the one who
originally prepared it would be able to decipher it.
Secondly, we note the title does not agree with the title
passed on first reading on October 25th, as you will note
in our Minutes of said meeting. Extra words have been added
to the title for second reading. The ordinance was adver-
tised pursuant to the new State law prior to its decond and
final reading, using the title passed on October 25th.
Your attention is also called to the fact that the title
of the ordinance on second reading states "dispensing with
the requirement of reading this ordinance on two different
days by a vote of not less than four -fifths of the members
of the Commission." Please note that on Page 22, there is
no such section stated, and that the ordinance shows it was
passed on two separate days (October 25th and November 21st).
We await your advise in this matter.
MiAMI REVIEW
AND DAILY RECORD
Published Daily except Saturday, Sunday and
Legal Holidays
Miami, Dade County, Florida.
STATE OF FLORIDA
COUNTY OF DADE:
Before the undersigned authority personally ep•
peered Martha Drobnle, who on oath says that she
s the V.P., Legal Ads of the Miami Review and
Daily Record, a daily (except Saturday, Sunday and
Legal Holidays) newspaper published at Miami In
Dade County, Florida; that the attached copy of adver•
tisement. being a Legal Advertisement or Notice In
the matter of
City of Miami, Florida
Re: Adoption of Ordinance
No. 8207
etc.
In the XxX Court.
was published In sald newspaper In the Issues of
November 29, 1973
Affiant further says that the said Miami Review
and Daily Record Is a newspaper published at Miami,
in said Dade County, Florida, and that the said news•
paper has heretofore been continuously published In
said Dade County Florida, each day (except Saturday,
Sunday and Legal Holidays) and has been entered as
second class mail matter at the post office in Miami,
in said Dade County, Florida, for a period of one year
next preceding the first publication of the attached
copy of advertisement; and affiant further says that
she has neither paid nor promised any person, firm
or corporation any discount, rebate, commission or
refund for the purpose of securing this advertisement
for publication In the said newspape
•
•
( Swortl to` -and subscribed before me this
29th November A.0. 19 73
t '�7 r
-
Notary Public. Stets of'•flodda et Large.
(SEAL) 7 ,.
My CoArh fission exp ri es- Aplii ..1S, 1977.
('iTV Of MIAMI
D.ADE ('Ot'NTY, is LORIDA
LEGAI. NOTICE
{ All interested will take notice
that r•n the 21st day of Novem-
ber, 1973 the Commission of the
City of Miami, Florida adopted
an ordinance entitled—
AN ORDINANCE AMEND-
ING CERTAIN SUBSEC-
TIONS OF THE MIAMI
CITY EMPLOYEES RETIRE-
MENT SYSTEM (ORDI-
NANCE NO. 223f1, DE' EM-
BER 6, 1939, AS AMENDED)
AND TIIE MIAMI CITY
GENERAL EMPLOYEES'
RETIREMENT PLAN 'iO1:-
DINANCE NO. S024. MAY
2. 1956, AS AMENDED). AS -
APPEARING IN CODIFIED
FORM AS A PART OF
CHAPTER NO. 2 OF THE
CODE OF TIIE CITY OF
MIAMI, FLORIDA 1957. AS
AMENDED, MORE PARTiC-
ULARLY BY REPEALING
SECTION 2-95 AND BY RE-
PEALLNG SUB -SECTIONS 2-
96'3) AND 2-111(3) AND
SUBSTITUTING T H E II E -
FOR NF:w SUB -SECTIONS
2 9 (31, (4), (51. (6) AND
(7) APPOINTING A SUC-
CESSOR TRUSTEE FOR
T II E CITY EMPLOY-
EES'-l;MT1 REMENT SYS-
TEM TRUST, DESC111131N(.
THE TRUST PROPERTY.
PRESCRIBING THE REC-
ORDS TO BE MAINTAINED.
TIIE DUTIES. RESPONSI-
BILITI}S AND INVEST-
M E N T AUTHORITY OF
TiHE SUCCESSOR TRUSTEE
SO APPOINTED, AND SUB-
STITUTING NEW SUB-SEC-
TIE'NS 111(3(, (4). 15). (6)
AND 7. APPOINTING A
SUCCESSOR TRUSTEE FOR
THE MIAMI CITY GEN-
E R AL EMPLOYEES' RE-
TIP-EMENT •-LAN TRUST.
DESCRIBING TIIE TRUST'S
PP.OPF.RTY, PRESCRIBING
THE RECORDS TO BE
bMAINTAINED, T 1T E DU-
TIES, R9SPONSIBILITIES.
A N T) INVESTMENT AU-
THORiTY OF TIIE SUC-
CESSOR TRL: S 1 EM. SO AP-
POINTED, CONTAINING A
SE VEP.AEILITY CLAUSE.
DISPENSING W I T THE
REQUIREMENTS OF READ-
ING THIS ORDINANCE ON
TWO DIFFERENT DAYS
BY A VOTE OF NOT I.F.SS
TITAN FOUR -FIFTHS OF
THE MEMBERS OF TIIE
COMMISSION.
•r:!.I.9t 1s designat..d Ordinance
No. S_07. '
11. I). FOUTHEP,N
City Cie: lc
City of :d':ami, Florida
Pu1;ll.;.t ion of this notice on
the 1th day of November. 1973.
• ,Ad No. 111296
40 8 I 7
ORDINANCE NO. 4
AN , RDINA:iCE AMENDING CER1IN SUB -SECTIONS OF THE MIAMI
C'I _ ::•IPLOYLES RET=EMENT S':STEM (ORDINANCE NO. 2230,
DECEi•I3ER 6, 1939, AS :-2,LENDED1 AND THE £11A 4i CITY GENERAL
E l LOYEES ' RETIREMENT PLAN (ORDINANCE NO. 5624, MAY 2,
1956, AS AMENDED) , AS APPEARING IAT CODIFIED FORM AS A
PART OF CHAPTER ii0. 2 OF :':i CODE OF TEE CITY OF MIAMI,
FLORIDA 1957, AS AMENDED, MORE PARTICULARLY BY REPEAL-
ING SECTION 2-95 AND BY REPEALING SUB -SECTIONS 2-96(3)
AND 2-111(3) AND SUBSTITUTING THEREFOR NEW SUB -SECTIONS
2-95(3), (4) , (5) , (6) AND (7) APPOINTING A SUCCESSOR
TRUSTEE FOR THE CITY EMPLOYEES' RETIREMENT SYSTEM TRUST,
DESCRIBING THE TRUST PROPERTY, PRESCRIBING THE RECORDS
TO BE MAINTAINED, THE DUTIES, RESPONSIBILITIES AND IN-
VESTMENT AUTHORITY OF THE SUCCESSOR TRUSTEE SO APPOIND,
AND SUBSTITUTING NEW SUB -SECTIONS 2-111 (3) , (4), (5), (6)
AND 7, APPOINTING A SUCCESSOR TRUSTEE FOR THE MIAMI CITY
GENERAL EMPLOYEES' RETIREMENT PLAN TRUST, DESCRIBING THE
TRUST'S PROPERTY, PRESCRIBING THE RECORDS TO BE MAINTAINED,
THE DUTIES, RESPONSIBILITIES, AND INVESTMENT AUTHORITY OF
THE SUCCESSOR TRUSTEE, SO APPOINTED, CONTAINING A SEVER -
ABILITY CLAUSE, DISPENSING WITH THE REQUIREMENTS OF
READING THIS ORDINANCE ON TWO DIFFERENT DAYS BY A VOTE
OF NOT LESS THAN FOUR -FIFTHS OF THE MEMBERS OF THE COMMISSION.
WHEREAS, the members of the Retirement Board,
administering the Miami City Employees' Retirement System
and the Miami City General Employees' Retirement Plan, acting
jointly and in concert with the investment Committee super-
vising the investments of the Retirement System and Plan
Trusts, acting jointly and in concert, have conducted
extensive studies of the administration of the Trusts for
the.Miami City Employees' Retirement System and the Miami
City General Employees' Retirement Plan and determined that
a change in Trustees and Investment Policy followed by the
Trustees for the System and the Plan, is in the best
interest of the City of Miami and the Members of the Retire-
ment System and Plan; and
-1-
th
(3)* Appointment of Successor Trustee
1. The Miami City Employees Retirement System Trust is an
irrevocable trust established by Ordinance. The City Com-
mission of the City of Miami, having retained that right, does
hereby appoint a successor Trustee to administer the trust
thereby created. The successor Trustee, designated as the
Board of Trustees of the Miami City Employees Retirement System,
shall consist of eleven (11) members, or as otherwise provided
in Paragraph 3 of this subsection. Two (2) members shall be
qualified and acting City Commissioners and nine (9) members
shall be qualified and acting members of the Retirement Board.
2. Members of the City Commission serving on the Board of
Trustees shall serve at the pleasure of the City Commission
and only during their incumbency in office. The members of
the Retirement Board shall serve on the Board of Trustees only
during the time they are acting members of the Retirement Board
of the Miami City Employees` Retirement System. The first
Board of Trustees hereby appointed shall consist of those
personnel constituting the Investment Committee appointed
pursuant to the previously existing Trust Agreement.
3. The City Commission reserves the right to increase the number
of members on the Board of Trustees by not more than two (2) and
to remove those two Trustees appointed hereunder either indi-
vidually or collectively, and appoint successor Trustees as
provided hereunder.
4
lab
1.7
Cha_rman anc 1 '.-i_::-'^„d t, :.!:1 . _ -L .!JJuL _
'L'1C i :- r e .._ ,
! t. e
n_. ' _ioa_.:.i or .._ :.ir:'�'.s .,.13Li _::7nstL.,_._3 l quorum =0 ^.�
p'...r JoSb°...;i _n`ss . how-
72v, at no _, ::o7rmenc:a'f-'on suJmit ed to tne
Board ot Trustees :".av be passed or act?d upon, except upoonl
Lhe affirmative vote of a majority of the entire mecbership.
5. Each Trustee shall take an oath of office and make a
written acknowledgment of his acceptance of the duty,
responsibility and authority of a Trustee. A Trustee
shall serve without compensation, but shall be reim-
bursed ursed for any exo nse incurred a result of d service
as a Trustee.
6. The Board of Trustees shall hold regular meetings
at least quarterly in each year and special meetings at
such ttimes as the Chairman or a majority of the Board
r-.y deem necessary.
7. The Board of Trustees, hereinafter referred to as
the Truritee, subject to the approval of the Commission,
may emplom persons or firms, including, but not limited
to Attorneys, Auditors, and Investment Advisers or
Counsellors, to advise or assist the Trustee in the
performance Of Trustee's duties. The Trustee may act
without independent investigation upon tha advice of
the ac vi sers so retained and tnav -employ- orie or more
: 3^ts to perform ony act of administration, which
the Trustee is snt7 -7_ i:"7;s to nerEorri.
4ali{fi a(�`�
det ta? s
s reetior►.s
ions
11
it a
..... -..,� ... _41-
2.4) .. .f
re:,!!•L: r.en J of th
44 *"` h e - - :i s t y a r'.! a'1 b' i!
..-:2ftu o •J 'Y
i
nt:"a--°4iis C. s',�Ose of a''s' 'i va s"!'; 1 3'1=` u ii O •c ,. v .va
or private sai3 without' rioti G. o" =d7o iss ant
or
l.iv� 1 e edj t with or without sac a iiii
__...t `i , without Ob:.1iai '�- i3 on
thp.^.rsoi? u.ea1it'g :vith the _rUstee t, O saft the
aOol-ication of the process of or inc ire into the validity,
xe- : ci cr p c ri tv a. _ di s osition and mav
,
execute, uCi.:2G',di ;,d..e an-1 C:? i 1 J?:' a`'_`•% and all CrJ_'ltr"yr.,i..i as-
4
s a t! pia
r o ner i:"_st"T.:...e s. In the event that
an;; GT tc e acts listed abo`' a are formed on behalf oJ. the
trust by a rjents 3p oir Led bv the Trustee, the Trustee *itaV
delegate thn authority g_-inted bv znis Subscti on to such a eilt.^a
The Trus is impowered, but is not r C'Uied, to vote upon
a ni' stocks, bonds, or securities of
a-' corporation, association,
or trust, and to give general - o_ specific Droxies or Dowers
a it 1
c14. Ors:YV .,1tr! O.r with _z power
Substitution: to pa ticiD "_
reorganizations, recapitalizations conso illation.
r ilar trees -ctionS .;. ,.., to -c ►.a, to
G:tir.')'i?.t Such stoc% or o`ha,r "sec''"1- a -t o ! tngtrust or
bv
L.
1..rurt e, - )j Ct to c.o.a a' pr!,v11 oe t'na Coms'�'f•eo$LO ;
e
•
•__CJ
.....:._.. _:ice.
J • - -' = to .:,a:tea 7,:i l._ve: or _-
0: appraisals
o t
r "O7 a_`rt c3'..__r, nor `.O 3er'..."3 ra_T
anv
7- 'Ella Trustees, and t i 7 l1 1, t •i.^i -
liable =0r the akinq. : e =ear.icr? o; sale e of env investment or
reinvestment ment ..
.i. _ .J3 herein n J:_o ided, nor for al lv is z
to . sir :;.....ertt o tt V _ i:.":C�. r �._=30` that clue. to said Trust
own il.'.,411 •2: C0r ,llf:i1 :'.1_^_Jrd cz lack 0= good faith.
'_ v :.st'2e shall no-- 'a i ._able =0_ anv 1033 incurred in COnnecti
:Jel.: r ? en ;:1. 7?l f:7_-.:ai'C, -'..'.::d 4 nvP 3tn e_.te r ade
;J'" O: Invest_''.'' CO:i 3 . However, th
shall i'3.a continuing- G:__zO observe and evaluate
1J:.'.ri:orrnancc of any T nvest e:?t Counsel retained. If, in t .
5C7 a SCreti rt of the 'Trustee, , it. is dctert!11ned that the
1 i1V'st"'• ±r?t Counsel is not oer'Orr::l^; in a :'1anna= satin actory
to Cho Trustee, then the Trustee s'nall do w.natever may be
i2:.: ens a_ v co improve the -erfori1__ncs of the investment Counsel
to -;:,::11- ;11na _e the emlo ment of s-_'t:. Investment Col,ns 1
.. r
t'o j. C:i_ to tha a ^p:O1u1 of T.1_2 lam_ CU "_'.i531J": of The City of
1
_"1
:.. I -=_ . _'.
ac.11j.
s 31e
jn-
=r.c ..'..�'. lLag=me~1.
of property for the .,;e%a: - - of the fund, _rustee shall
and r ecui..re t.h? 1. -tersons Cr firms = e =eined to act as
Investment Counsel, investment Advisors to "on?TT managers,
s,
e 3 ? d *me ? e T.. `.er `fie c_, ,-=m3tenC3: :.h.n
x rc�s all �...�,...-rc nd car Z -
veiling which man of prudence,
exercise in the is ana..gernent. of their own affairs not in .rega. d to -
speculation, but in regard to the permanent disposition of their
funds, considering the probable income as `:.e11 as the probable
safety of their capital.
Trust funds may be invested as Follows:
(1) Without limitation in:
(a) Bonds, notes or other obligations of the
United States or those guaranteed eed by the United
Stat9s or those guaranteed by the United States
or for which the credit of the United States is
pledged for the payment of the pr' ne pal and
interest ori vi &nd th?_ `•
(b) Certificates of deposit of any Hank i ncornorated
under the laws of t:iis State Cr any national bank
organized under the laws of the United ted States to
-10-
(2) .;fit more th n t3:2
Malt
n
n -
astZC in anv one entity of cha Ca ocori3s listed below:
(:.)) Common stock, stock, and _nterest
bearing obligations of corno_a=ions having
a_7 option to convert i r_o c.._"^ton stock, issued
by a corporation i _e under the laws o;
Scats, �.717 o= 0=7 n_:ad'
rritor O' tie C:r_-tad St.,i=e3 and the- District
of Columbia, pr o' lded the aggragate investment
of the fund iri a._✓ one issuing cornoratior1 shall
not '::c2 d c..rae :e_cer.t (3;) o_ the outstanding
" a ..g
ca'7: tal stock of that corporation.
(b) Not_s secured bv first ro_tgages on real proterty,
r
insured or Guaranteed bv the =aderal Housing
Administration or the Veterans' Administration.
(c) Interest bearing obligations with- a fixed maturity
of any corporation within the United States,
nrov' red such ob'_ic tior:s a=a r at3C by at leas=
tSwo nationally V recognized rating services in env
one of chi four highest classifications at?:o'•13d
by Fh:' Cc"Otrol l a, of `_...P rumen :» for the i ve t-
i-3rt of funds of national banks or if only one
nationally rc.cogni tad rating sarvice •3hall rate
ine
a..:tnorited _o _ retain = _ -_c-2= i'=
.c; not Ov .;ay c=
coroo a Lai oOligations and stocs, p_8e_:.`G or c===on,
.i''?ich of prude^.c2 , c i c= 3 =_on and ___'e_t genc= ace :tir r and
for than o'...n account and ',,;__:din limitations c :'=^^
retainfor - their -
'a7 =' a-- _- -.�. aC^__:aG I......��_
limitation as to i=e an ••i'_ o,.t . regard to its S?..._=a i i it_♦•' for
original nu ch a 5a .
Section 3 uosec ,-ior 2-1 1 1 (3) 214?71i City
b eat'_-.? r?i:'ent System ?t_d.
Emn' ova.as' P t? r2^._:.t .Lan (v.1-d4 !a^z. No. 2230, .-7-ecembar
i
39, .-id C_d`_ranc_ _,c7. 562 � , V i �5.^.? a3 said
r
n s i='_ cod1=4.d 'c_':
33
art of Chapter 2 c=
C3cth C: of c�i�"'' , Or.^'', 1 37r :s-id 4_5
�. 3 .. b ;J
he J? ..(i '' _ 1 1 1 '
_h._'1_o_e Subs.ic 1'i.1s ? •111 ._]
(3) Appointment of Successor Trustee
1. The Miami City General Employees Retirement Plan Trust is an
irrevocable trust established by Ordinance. The City Commission
of the City of Miami, Having retained that right, does hereby
appoint a successor Trustee to administer the trust thereby
Created. The successor Trustee, designated as the Board of
Trustees of the Miami City General Employees Retirement Plan,
shall consist of eleven (11) members, or as
in Paragraph 3 of this subsection.
Two
qualified and acting City'Commissioners
(2)
and
otherwise provided
members shall be
nine (9) members
shall be qualified and acting members of the Retirement Board.
2. Members of the City Commission serving on the Board of
Trustees s:1a11 serve at the pleasure of the City Commission
and only during their incumbency in office. The members of
the Retirement Board shall serve on the Board of Trustees
only during the time they are acting members of the Retirement
Board of the Miami City General Employees Retirement Plan. The
first Board of Trustees hereby appointed shall consist of those
personnel constituting the Investment Committee appointed pur-
suant to the previously existing Trust Agreement.
3. The City Commission reserves the right to increase the number
of members on the Board of Trustees by not more than two (2) and
to remove those two Trustees appointed hereunder either indi-
vidually or collectively. and appoint successor Trustees as
provided hereunder.
- 13 -
s-a_i Tact ,for. its -e bers'�_2
�.,'r ari and a _e-Chair-^.a.^,-nd she Ll a000:.nt aft
3xecut?ve Secretary, '.i O rya•/ but ts not required to, :7e
a memberOL h Beard of rz�;i s: es . ` ~.a jo, _tt: of the iC;e:'_^.=
of the Board cf Trustees s::a_i :o-:stitutc d quo,u;,1 for the
ourrose of 7"eeti nq ind transactir1 ,;s i _tress , ozovidinc •:o:J-
ever, that no r'ecOT•.-:andat_1J^ or p_ O7O31t ; Or submitted to t '
d.
Board of Trustees mai be passed or acted upon, e:{.^.ent upon MN
the affirmative vote of a majority of the entire mertioershi n a
5. Each Trustee shall take an oath of office and make a
written acknowledgment of his acceptance of the duty,
responsibility and authority of a Trustee. A Trustee
shall serve without compensation, but shall be reim—
bursed for any expense incurred as a result of a service
as a Trustee.
'6. The Board of Trustees shall hold regular meetings
at least quarterly in each year and special meetings at
such times as the Chairman or a majority of the Board
may deem necessary.
7. The Board of Trustees, hereinafter referred to as
the Trustee, subject to the approval of the Commission,
may employ persons or firms, including, but not limited
to Attorneys, Auditors, and Investment Advisers or
Counsellors, to advise or assist the Trustee in the
performance of Trustee's duties. The Trustee may act
without independent investigation ucon the advice of
the advisers so retained and rav e-.nloy on`or :core
Agents to perform any act of administration, which
the Trustee is authorized to perform.
-14-
1
3. Th:I'rustee is authorized to prosecute or defend actioas,
claims, or proceedings of any nature or kind for the nrotac•-
Lion of trust assets and of the Trust in ?-!i,o p_r for ;tcinc
of ;:ha duti.;:s of the Trustee.
() Trust Property
1. the The trust . ..1 L
pt0p8•r.L. co be d,�':11:11SL�e=?d b�% h? successor
Tr•.istees appointed hereby shall consist of all cash,
securities, and other property :which shall have been here-
tofore accumulated by the predecessor Trustee on behalf of
the trust administered for the Miami City General E::iplovees
Retirement Plan together with such other cash, securities,
or other property, which the Trustee may at any time hold
or acquire from or on behalf of the City or members of the
Retirement Plan and the accruals thereto. The trust property,
hereinafter referred to as the Fund, shall be held by the
Trustee in trust hereunder and invested and applied by it
as hereinafter provided.
2. The Trustee shall be vested with full legal title to
the Fund, which shall be held as an irrevocable retirement
fund to be applied from time to time in accordance with
the directions of the Retirement Board of the Miami City
General Employees Retirement Plan and as otherwise herein
set forth. All constributions from time to time paid to
the Trustee by the City, by members of tine_ System and all
assets whatsoever of the Fund and the income thereof
without distinction between principal and income, shall
be held and administered by the Trustee in one single
trust fund. The Trustees may, but shall not be required
to, segregate or in•Yest separately any portion of the
.Fund.
-15-
- a l
C �t -=.71 -1 =nt -teired or
.1n7 ov=d and he :rig _us _au i c= control a_ an-1 ?_ opert
shall -ep accurate and detailed accounts o= =l1 i :'1';estm nt ,
receints, disbursements, card other transactions ['.?reun_ _
and all accounts, bo0 .s, and records relating thereto shall
be open to J.._s ection and audit at all reasonable ;" es
the City, tTrustee,Z e �the Retirement `oard or their designee
>. 'trustee shall also keen accurate and detailed accounts
o= investments, rPCe_in.s, Ci5: "ien_:, 0than
actionsaccounts, +`-
h?r, nunde= , and all acc_o . nts , t'ooks , and a: ecOrds relatin•_:
Li,-3tO shall to open to inspection and audit at all reasorla'ole
times by the City, the Retirement -:;Card .ie^.^.er3 0= ...'.e Plan_
or their desicnee.
(6) Duties and ?esno:^s_a_ii ties of Trustee
1 1= u3t.ee shall take possession of, hold, manage, control
nd safeguard the truss.. property.
'1 ;he _:uz' ee Shall di s3:rse monies -r::'. =he E't' nd to the
0= 1n_nnCe 0.- :l'e tiraman plan
7'.1,^7See, re :1:=3C cra'.,-: ".J: '..e Trustee by he
i Finance D:.roctor_ p-'-.e,ts 'j''
. sn,.8 to the
eCCOr
07 _'ina1 =e .-'--' ba made out "". 'a.rii.. :..fin Or out
7:17nr, .. •? F.ti a- i1✓'ln
... J v L .� �.J is J .. ') •.... c n i e l
J_ i..?..cc. TYs
_ ... s ,-.M'r ze all J :fie tJ J
•
4. The Trustee `lay,exchange,
'Lad3?'t, excange,
buy, sell, co..•,
or otherwise dispose of env pro ert_ held by it at any nub is
or private Sale without notice or advertisement for cash or
upon credit with or without security, without obligations on
the part of any person dealing with the Trustee to see the
application or the process of or ina _re into the Validity
eexnediencv Or prooriety of any such dismosition and may Blake,
execute, acknowledge and deliver env and all contracts, as-
signments, '.waivers, Or otr19Y i nstrurtints. Iri the event that
any of the acts listed above are performed on behalf OL' the
trust by agents appointed by the Sr.sstae , the Trustee may
delegate the authority granted by his Subsection to such agents
5. The Trustee is iIilpowered, but is not required, to vote upon
anv stocks, bonds, or securities of any corporation, association
or trust, and to give general or stec =ic proxies or powers
of attorney with th or without power of substitution; to participat
in ...3rgers, r eorganiations, rec ni a1izat.? ors, consolidations,
and similar transactions v i _h respect to such securities; to
c po3it such stock or other securities in a.i ' voting trust or
� "'✓ protective or like ct�.T_^.,i zeee or with dep +-i a at er
,. _ L :J o 1. c O.. e S � S i .., :1._ �.,..
bv the Trustee, subject to t `1 appro''al of e Commission; to
-17-
ID
~.3 1....41.- fail ...1:. .._..z _.. ^ice 4 .I I UY t'n,, 7.1~� ..1
.ems? _3 and '--3r71 1 :-= - _:'` .•��r'_ - 0.=
c_ 7�: 1r,_. .? _•. :.3t __. _ _. =7 :? :_ _ 3
.. -..�.. _�...�'.. 1> s'1,a._.1
..._.. 1.to .7a.l.e.... -
or appraisals repo:- to -^ too:.._-, no- to s�cu_re. anv
Order or COii. t _`or the 2::erci se of anv L:O:ver ::ere; n contained.
7. The Trustees, individually and collectively, shall not 7e
liable ab i e for the making, reteintio:^_ or sale of env investment or
reinvestment made b'T it as herein '7rov? dad, r.or for any loss
to or diminishment of the Fund, e:.ceot that due to said Trustees
own negligence, wilful misconduct or lack of good faith. The
T;ust?e sna11 not be 1 _able for anv loss incurred in connection —
with the selection or uerforC'.ance of Fund investments made
b; or at the direction Of Investment Counsel. However,the
Trustee shall have a continuing City to observe and evaluate
the performance ce of any Investment Counsel retained. I i , in the
sole discretion of the Trus4-se, determined that the
investment Counsel is not performing in a manner satisfactory
o the Trustee, than the Trustee s all :o whatever may be
necessary yperformance t'Investmentun a1
t C....5:3aY' Co improve the 0= ..fi... CO Ste_
O. to t2rm; r. Live e::,.o1o_":!`-'.t of such investment Counsel,
sub j:EI:t to ' ha approval tr= '7-ne -,+ _Co7-7;ssion f T a CitV
-19-
4
tt
•
-=Nc.-.:tge , 3a17 and m=n. Vr
of pr00e: __! "'or t.''.= , .n. r=±z irusi.ae shall
and _wqu that pei o0_Z3 o= =ir s ,tain=d to act as
i nvestiten t Counsel, investment Ad7LS0 s or money managers,
exercise all judgment and care under ^a circumstances tT�i
pra-
vailing which men of prudence, discretion and intelligence
exercise in the menagement of their own af; a : s not in regard to
speculation, but in regard to the
disposition Of their
funds, considering the probable income as well as the probable
safe-y of their capital.
Trust funds ray be invested as follows:
(1) Without limitation in:
(a) Bonds, notes cr other obli-=-ions of the
United ted States or those g'.:ar ar.teed by the United
States or those guaranteed c-- the United States
or for which the credit of the United States is
pledged for the payment of the principal and
interest or dividends thereof.
('J) Cyr of icates of deoo.it of any ban: incorporated
under tha laws of this State cr .nv national ban!:
organized under the laws c `the
-19-
•
•
J _111 ..na3J S a .- t7 the
"-^_-= -' a 0_ . "1-c_i_
_ -,nns t.J J........... i ....e s of
:Jot 77ore than = Icertent ( :i) .3 _.. _ :'�:. ?.�:ia=
;estmod in env one entiz-: of the categories listed below!
( ) Common stock,
8err?d stOc,c, and interest
bearing obligations of corporations having
an option to convert into common stock,
53`2cd
by a corporation organized under the laws of
the United States, any state or organized
territory of the United States and the Dist=ict
of Columbia, provided the aggregate investment
of the fund in any one issuing corporation shall
not e::cead three percent (3%) of the outstanding
capital stock of that cor po ? tion.
(b) Notes secured by first mortgages on real oroparty,
insured Or guaranteed by the Federal Housing
Administration or the Veterans' Administration.
nistration.
(c) Interest bearing obligations with a fixed maturity
of any cormo= ati on within the United States,
provided such obligations are rated by at ?east
t; o nationally recognized _aging services in any
one of l.ha four highest classifications approved
by the Comptroller of the currency for the invest-
ment of funds o- national b3n::3 of if only one
nationally recognized rating service shall rate
I a�`svu1
$sTi.6 ir�li rrix cs liis'4[��' ,il`s,/�4.%, tjy'x .s §{�i'9's'�t{'jyl�t'�y�' *y. 1��y[ yj1
'x♦1 'a `YYxt tr is6 S`pteib icall ►
��y,', y, `,e:�"y z�'c J.c,•
imitations, GC oeiy""G j and
corpora ioyDylij bons and
stocks, pit ;ered or common,
I
l>L�+h' tti or: prudence, d7 zr-4A vion ond intelligence
taxit1 ±o:: their own account And within I4mitotions 61: the
s}
property- properly
ll aLu tj S� without
,,stationas t time
and without regard :o i t suita"oilitv
c•
'..U: in con .let
f ! 1.ct, are jler,s2J'.
_ ! r. : :,j ,'1 -
E, SS .D OJ !..IPST r.::ADT_'_ `'., 3— TT:: '1'7 : this A
da,7 cyr O I w4EA. 4- 3
PASS_D : iD AJOPTLD CT
31 TITLE ONLY t' i wide
n7,3
ATTEST:
lu
CITY Cr.TRK
PREPARED AND APPROVED BY:
REVIEWED BY:
.y
._ .ZL
:iav o
ate. DING
,.t Y O R
Frank H. Weston
Assistant City Attorney
John S. Lloyd
Assistant Director cf Law
APPROVED AS TO FOPM ;ND CORRECTNESS:
Alan H. Rothstein
City Attorney