2019 December Board Meeting

December 2019 Board Meeting

JOINT MEETING OF THE BOARD OF TRUSTEES AND
INVESTMENT ADVISORY COMMITTEE

Teacher Retirement System Building – Board Room, E513
1000 Red River Street, Austin, Texas 78701

December 10-11, 2019

Tuesday, December 10, 2019

1. Meeting of the ERS Board of Trustees’ Audit Committee

1. CALL TO ORDER

1.1 Call meeting of the ERS Board of Trustees’ Audit Committee to Order

2. MINUTES

2.1 Review and Approval of the minutes to the August 21, 2019 ERS Audit Committee Meeting – (ACTION)

3. AUDIT ITEMS

3.1 Review of External Audit Reports - Incentive Compensation Audit

3.2 Review of Internal Audit Reports - Audit of Profit Share

3.3 Review of Internal Audit Administrative Items - Annual Audit Performance and Quality Review

4. ADJOURNMENT

4.1 Adjournment of the ERS Board of Trustees Audit Committee meeting. Following adjournment of the Audit Committee, the Board of Trustees will take up the remaining Board agenda items.

2. Meeting of the ERS Board of Trustees

1. CALL TO ORDER

1.1 Call meeting of the ERS Board of Trustees to Order

2. MINUTES

2.1 Review and Approval of the minutes to the August 21, 2019 meeting of the Board of Trustees - (ACTION)

3. EXECUTIVE SESSION

3.1 Executive Session - In accordance with section 551.074, Texas Government Code, the ERS Board of Trustees will meet in executive session to deliberate the employment, evaluation and duties of the Internal Auditor of the Employees Retirement System of Texas.  Thereafter the Board may consider appropriate action in open session.

4. RULES OF THE BOARD OF TRUSTEES

4.1 Review, Discussion and Consideration of the Rules of the Board of Trustees, Texas Administrative Code, Title 34, Part IV, Chapter 73.47 (Assignment of Death Benefit for Funeral Services) - (ACTION)

5. GROUP BENEFITS PROGRAM ADVISORY COMMITTEE

5.1 Report of the Group Benefits Advisory Committee Activities
5.2 Appointment of Group Benefits Advisory Committee Members - (ACTION)

6. TEXAS EMPLOYEES GROUP BENEFITS PROGRAM

6.1 Health Insurance Financial Status Update for Fiscal Year 2019 and Outlook for Fiscal Year 2020
6.2 Discussion of the Group Health Benefits Program and Compliance Information

7. VOLUNTARY BENEFIT PLANS

7.1 Update and Compliance Information:TexFlex, Texas Income Protection Plan (TIPP) and Texa$aver
7.2 Review, Discussion and Consideration of Recommended updates to Texa$aver 401(k)/457 Program - (ACTION)

8. ACTUARIAL VALUATION RETIREE HEALTH INSURANCE BENEFITS

8.1 Review and Discussion of the Texas Employees Group Benefits Program: Actuarial Valuation of Retiree Health Insurance Benefits as of August 31, 2019

9 ACTUARIAL VALUATIONS

*9.1 Review of Retirement Program Actuarial Valuations and Financial Status

10. CONTRACT AWARD RECOMMENDATION

10.1 Review, Discussion and Consideration of Contract Award Recommendation for Pension Actuarial Services - (ACTION)

11. AGENCY UPDATE

11.1 Agency Update

  • 86th Legislative Session implementation update
  • 2019 Interim Legislative Committee Charges
  • Staying Connected retiree fairs
  • Other speaking engagements
  • Wellness update (The AMP Project) 
  • Plan Year 2020 Fall Enrollment update
  • FY19 Accomplishments and State of ERS
  • Retirement and Benefits Surveys
  • Board Meeting Management Services
  • State Employee Charitable Campaign update
  • Market update on leasing potential for ERS’ new construction

12. CALENDAR

12.1 Set 2020 Meeting Dates for the Joint Meeting of the ERS Board of Trustees and Investment Advisory Committee, the Meeting of the Board of Trustees, and the Meeting of the Audit Committee

13. EXECUTIVE SESSION

13.1 Executive Session - In accordance with Section 551.072 Texas Government Code, the ERS Board of Trustees will meet in executive session to deliberate the purchase, exchange, lease, or value of Real Property and the ERS building. Thereafter, the Board may consider appropriate action in open session

14. RECESS

14.1 Recess of the Board of Trustees – The Board of Trustees will reconvene as a committee of the whole on Wednesday, December 11, 2019 at 9:00 a.m. with the Investment Advisory Committee to take up the remaining agenda items.


Wednesday, December 11, 2019
 

3. Joint Meeting of the ERS Board of Trustees and Investment Advisory Committee

1. CALL TO ORDER

1.1 Call Meeting to Reconvene the Board of Trustees
1.2 Call Meeting of the Investment Advisory Committee to Order

2. MINUTES

2.1 Review and Approval of the Minutes to the August 21, 2019 Joint Meeting of the Board of Trustees and Investment Advisory Committee - (ACTION)

3. IAC REAPPOINTMENT

3.1 Consideration of Reappointment of ERS Investment Advisory Committee Member with term expiring December 31, 2019 - (ACTION)

4. INVESTMENT PERFORMANCE

*4.1 Review of the Investment Performance for Third Calendar Quarter of 2019

5. RISK MANAGEMENT

5.1 Review and Discussion of the Risk Management Program

6. ETHICS TRAINING

6.1 Discussion and Training Regarding Ethics

7. EMERGING MANAGER PROGRAM

*7.1 Market Update and Program Overview

8. CHIEF INVESTMENT OFFICER'S REPORT

8.1 Chief investment Officer's Report

9. ADJOURNMENT

9.1 Adjournment of the Joint Meeting of the Board of Trustees and Investment Advisory Committee

 
* We are accredited by the State Pension Review Board (PRB) as a Minimum Educational Training (MET) sponsor for Texas public retirement systems. This accreditation does not constitute an endorsement by the PRB as to the quality of our MET program. These agenda items may be considered in-house training provided by ERS to board trustees and the system administrator for purposes of fulfilling the MET program requirements. ERS is an accredited sponsor of MET for its system administrator and trustees.
 
NOTES:   
  1. Persons with disabilities who plan to attend this meeting and who may need special assistance are requested to contact Kelley Davenport at (512) 867-7772 three to five (3-5) working days prior to the meeting date so that appropriate arrangements can be made.
  2. The Employees Retirement System of Texas Board of Trustees will convene as a committee of the whole on Tuesday, December 10, 2019 to take up Audit agenda items from 9:00 a.m. to approximately 10:30 a.m. and Board agenda items from 10:30 a.m. to approximately 4:45 p.m. The Joint Meeting of the Board of Trustees and Investment Advisory Committee is scheduled to meet from 9:00 a.m. to approximately 1:00 p.m. on Wednesday, December 11, 2019, but may hear those items before or after the anticipated time frame. Meetings are tentatively scheduled to follow each other consecutively, but they may start earlier or later than the posted time depending on the length of the discussions within each agenda item and meeting and other circumstances not presently anticipated.  Please note that the estimated times and sequence of agenda items are only approximate, and the time reflected in the posted agenda item, order of meetings or agenda items may be moved or adjusted as necessary.