Retirement Board Governance

UPDATE:  The City Administration has issued an Information Memorandum dated October 6, 2009, that provides an update on the retirement board governance stakeholder outreach.  Please see the link below. 

Retirement Board Governance

The City is reviewing recommendations for changes in the governance model for the City’s two retirement plans. The City recently retained Cortex Applied Research, consultants with expertise in the management of pension funds, to review the fiduciary governance models of the Federated City Employees’ Retirement System and the Police and Fire Department Retirement Plan. The consultants reviewed relevant documentation, interviewed various stakeholders, and researched industry best practices. Based on this work, Cortex has concluded that the governance models of the retirement plans do not support the long-term effective management of the plans and therefore do not effectively serve the interests of the key plan stakeholders, i.e. members, retirees, and taxpayers.

Documents/Resources

October 5 Information Memorandum

1. Summary of August 26th and August 27th Stakeholder Meetings
2. Survey of Retirement Board Structures
3. Cortex Revised Report
4. Excerpt from the September 15, 2005, City of San Diego Pension Reform Committee

August 27 online video.  Click here to watch it now.

• Click here to view the PowerPoint presentation from the meeting.

August 26 online audio file.  Click here to launch.

Initial Cortex Applied Research Report and Recommendations

June 18 Council Memo

Next Steps
The City Administration will continue discussions with various stakeholders.  This item will be brought forward to the City Council with recommendations on the governance of the retirement boards.  It is anticipated that this item will come back to the City Council by the end of the calendar year; however, the City Administration will continue to provide updates.