Agenda and minutes

The Head of Pensions announced that Tim Jackson, employer body representative, who had been a long standing member of the Committee, was leaving the Wiltshire Pension Fund Committee.

The Chairman thanked Mr Jackson for his work on the Committee. The Head of Pensions went on to announce that there were now two vacancies on the Committee for an employer representative from an admitted body and Educational Scheduled bodies and that he had written to the relevant bodies asking for representatives, and the 23 June was the closing date.  Applications would be shortlisted and invited to interview with the Chairman and Vice-Chairman with the recommended appointments being reported back to this Committee. 

Cllr Bill Moss was in attendance.

Apologies of absence was received from:

Cllr Sheila Parker

Cllr Roy While

Cllr Brian Ford

Cllr Des Moffatt

To confirm the minutes of the meeting held on 6 March 2014 (copy attached).

The minutes of the meeting held on 6 March 2014 were presented for consideration. It was;

Resolved:

To APPROVE and sign the Minutes of the previous meeting as a true and correct record.

·       Members Training

·       Baillie Gifford Meal

·       Replacement latest on LC

The Chairman gave the following announcements:

Members Training

A Members’ investment review day would take place on 1^st July at County Hall and all members were encouraged to attend including substitutes as this would provide a useful review of our current investment position and provide an introduction to options and opportunities that will be discussed at future Committee meetings.  .

Baillie Gifford will also present a review of their mandate and to commemorate 20 years of working with the Wiltshire Pension Fund Committee, will host refreshments at the end of the session. 

Other Announcements

The Chairman welcomed Roz Vernon who was new to the Pensions Team filling the role of Pension Fund Accountant on a secondment basis.

The Chairman expressed he concern on attendance numbers and encouraged members to appoint substitutes if they would not be able to make the meetings.

The Chairman updated the Committee on the Pension Conference which focused on the LGPS. It was noted that the Wiltshire Pension Fund appeared well positioned in terms of governance.

The Committee was informed that the Wiltshire Pension Fund was a finalist in the Professional Pensions for Communications (Public Sector)awards, which reflects how well the Committee had worked in respect of the LGPS 2014 scheme.

To receive any declarations of disclosable interests or dispensations granted by the Standards Committee.

There were no declarations of interest.

The Council welcomes contributions from members of the public.

Statements

If you would like to make a statement at this meeting on any item on this agenda, please register to do so at least 10 minutes prior to the meeting. Up to 3 speakers are permitted to speak for up to 3 minutes each on any agenda item. Please contact the officer named above for any further clarification.

Questions

To receive any questions from members of the public or members of the Council received in accordance with the constitution. Those wishing to ask questions are required to give notice of any such questions in writing to the officer named above, no later than 5pm on 29 May 2014. Please contact the officer named on the first page of this agenda for further advice. Questions may be asked without notice if the Chairman decides that the matter is urgent.

Details of any questions received will be circulated to Committee members prior to the meeting and made available at the meeting and on the Council’s website.

There were no questions or statements submitted.

Treasurer to the Pension Fund presents the internal audit report for the Wiltshire Pension Fund for members’ to note.

The members noted the internal audit report and thanked the team for their work.

A report presents the Fund’s outturn statement for the last financial year.

The Strategic Pension Manager updated members on the Fund’s outturn statement for the last financial year and it was noted that the money which had been saved had been reinvested in the Fund.

A verbal update from the Head of Pensions on the latest positions on the LGPS reforms.

The Head of Pensions gave a verbal update on the LGPS 2014 reforms noting that the scheme officially started on the 1 April 2014. The main points of the update focused on: the continuation of communications, implementation of software, review of benefits and the in-depth summer review.

A question was asked about the number of members joining the Pension Fund. It was identified that it was more important to monitor numbers leaving the scheme. At present there had been no major changes with a slight increase identified.

It was also mentioned that future audits would factor in the changes to processes resulting from implementing the LGPS 2014 scheme.

The Head of Pensions presents the report that outlines the Government response to the Call for Evidence and the current consultation.  Members are asked to approve the draft response which will be circulated prior to the meeting.

The Head of Pensions presented the report which outlined the Government’s response to the Call for Evidence along with the current consultation and discussed the draft response which had been drafted by the Head of Pensions, noting the deadline to submit the response of the 11 July 2014.

The members debated the draft letter noting that the letter should be as simplistic as possible, and include more details around stress testing the consultation proposals, emphasis on the deficit long term from the impact of reduced active management and concern that all the work surrounding this was not material in terms of benefits.  There was concern that too much control was been eroded from local decision making and that the work being undertaken was distracting from the key issue of improving governance and addressing the pension funding gap.  It was;

Resolved:

To delegate the approval of the formal response to the consultation to the Head of Pensions after consultation with the Chairman and Vice Chairman taking into considerations the points raised at the meeting.

The Head of Pensions presents a report that outlines the next steps in developing the Members Training Plan.

The Head of Pensions referred to the members training plan which needed setting for 2014-2016, highlighting that a self assessment questionnaire to identify knowledge gaps would be issued to the Committee this month and form the basis for developing the new training plan.  The recommended training plan would be bought to the Committee for approval.

An update from the Head of Pensions on the Wiltshire Pension Fund Risk Register is circulated for Members’ consideration.

The Head of Pensions drew attention to the risk register noting there had been no major changes. PEN006 A/B had reduced from amber to green following the implementation of new employer contribution rates from the 2013 Triennial Valuation. Three amber risks remained which related in part to the implementation of the new LGPS 2014 scheme.

To note that the next regular meeting of the Committee will be held on 7 July 2014.

The date of the next formal meeting would be the 17 July 2014 and the members training on the 1 July 2014.

There were no urgent items.

To consider passing the following resolution:

To agree that in accordance with Section 100A(4) of the Local Government Act 1972 to exclude the public from the meeting for the business specified in Item Numbers 17 - 19  because it is likely that if members of the public were present there would be disclosure to them of exempt information as defined in paragraph 3 of Part I of Schedule 12A to the Act and the public interest in withholding the information outweighs the public interest in disclosing the information to the public.

Resolved

To agree that in accordance with Section 100A(4) of the Local Government Act 1972 to exclude the public from the meeting for the business specified in Minute Numbers 46 to 48 because it is likely that if members of the public were present there would be disclosure to them of exempt information defined in paragraph 3 of Part 1 of the Schedule 12A to the Act and the public interest in withholding the information outweighs the public interest in disclosing the information to the public.

Paragraph 3 – information relating to the financial or business affairs of any

particular person (including the authority holding that information).

Two confidential reports from the Fund Investment & Accounting Manager and Mercers will be circulated updating the Committee on the generic performance of the Fund’s investment managers.

The Strategic Pension Manager reported on the key issues of the Fund’s investment performance as at 31 March 2014.

Resolved

That the Committee noted the report.

A confidential Annual Report from Baillie Gifford is attached and Members are asked to consider this along with the verbal report at the meeting.

Tim Garratt and Rosemary Shannon gave a verbal update on the annual report for the Pension Fund, and took questions from the Committee on the progress and future plans for that mandate. Following which it was,

Resolved

To thank the representatives from Baillie Gifford for their attendance and noted the update.

A confidential Annual Report from Legal & General is attached and Members are asked to consider this along with the verbal report at the meeting.

Mark Vickery gave a verbal update on the annual report for the Pension Fund, and took questions from the Committee on the progress and future plans for that mandate. Following which it was,

Resolved

To thank the representative from Legal & General for his attendance and noted the update.