RESOLUTION NO. 2022-06-6689
A RESOLUTION OF THE CITY COUNCIL OF THE CITY OF SIGNAL HILL, CALIFORNIA, APPROVING AN AMENDMENT TO THE INVESTMENT POLICY STATEMENT FOR THE OPEB/PENSION SECTION 115 TRUST FUND WHEREAS, the Governmental Accounting Standards Board (GASB) revised its accounting rules, referred to as GASB 75, to require local governments to recognize, cost and disclose future obligations for providing Other Post-Employment Benefits (OPEB); and WHEREAS, the City of Signal Hill provides OPEB in the form of retiree health care coverage; and WHEREAS, the City established an OPEB Investment Trust and an OPEB Investment Trust Policy Statement (Policy Statement) that was adopted by the City Council in 2009 for the purpose of pre-funding pension obligations and/or OPEB obligations; and WHEREAS, the City of Signal Hill is eligible to participate in a tax-exempt trust performing an essential governmental function within the meaning of Section 115 of the Internal Revenue Code, as amended, and the Regulations issued thereunder, and is a tax-exempt trust under the relevant statutory provisions of the State of California; and WHEREAS, the City Council has prudently set aside funds for the OPEB liability and pre-funding pension obligations; and WHEREAS, at the May 10, 2022 City Council meeting, Council approved the transfer of administration of the OPEB/Pension Section 115 Trust to Shuster Advisory Group, LLC; and WHEREAS, Shuster Advisory Group, LLC has set forth an Investment Policy Statement for the OPEB/Pension 115 Trust to ensure fiduciaries involved in the plan take prudent and careful action to maintain the investment portfolios goals and objectives while maintaining liquidity and risk tolerance; and WHEREAS, Shuster Advisory Group, LLC is recommending amending the Investment Policy Statement changing the investment allocation from balanced to moderate growth with a 60/40 asset allocation of equity to fixed income investments to achieve the investment objectives within the current capital markets.
NOW, THEREFORE, BE IT RESOLVED, that the City Council of the City of Signal Hill, California, hereby approves the amendment to the Investment Policy Statement for the OPEB/Pension Section 115 Trust, effective July 8, 2022 and attached here to as Exhibit A.
PASSED, APPROVED, AND ADOPTED at a regular meeting of the City Council of the City of Signal Hill, California, on this 28th day of June, 2022. ________________________________ KEIR JONES
MAYOR
ATTEST:
____________________________
CARMEN R. BROOKS
CITY CLERK
STATE OF CALIFORNIA )
COUNTY OF LOS ANGELES ) ss.
CITY OF SIGNAL HILL )
I, CARMEN R. BROOKS, City Clerk of the City of Signal Hill, California, do hereby certify that Resolution No. 2022-06-6689 was adopted by the City Council of the City of Signal Hill, California, at a regular meeting held on the 28th day of June, 2022, and that the same was adopted by the following vote:
AYES: MAYOR KEIR JONES, VICE MAYOR TINA L. HANSEN, COUNCIL MEMBERS ROBERT D. COPELAND, EDWARD H.J. WILSON, LORI Y. WOODS NOES: NONE
ABSENT: NONE
ABSTAIN: NONE
________________________________
CARMEN R. BROOKS
CITY CLERK
Resolution No. 2022-06-6689
June 28, 2022
Page PAGE \* Arabic \* MERGEFORMAT 4 of NUMPAGES \* Arabic \* MERGEFORMAT 4