Agenda and minutes

There were no declarations.

Mr Brian Toms was elected Chairman of the Local Pension Board for a period of 12 months, effective from 26^th October 2015.

The minutes of the previous meeting were agreed and signed by the Chairman.

In agreeing the minutes further consideration was given to the number of Board meetings considered necessary.

Both Brian Toms and Jane Harding confirmed that they had attended the meeting of Pensions Investment Sub-Committee (PISC) on 23^rd September 2015 and had participated in that meeting. Brian Toms had also attended General Purposes and Licensing Committee (GP&L) on 17^th September 2015.  Both now considered that the Board would not request an amendment to the current Terms of Reference, which provide for one annual meeting of the Board supported by attendance at both PISC and GP&L. This was also agreed by Lesley Rickards. Additionally, the Board agreed amongst themselves that they may wish to hold ad-hoc “discussion and liaison” meetings, if considered necessary to support their work plan, but that these would be on an informal basis involving Board Members only and would require no support from Council officers or Members. 

To Follow

Draft minutes of the General Purposes and Licensing Committee meeting held on 17^th September 2015 were available.

The Chairman had attended the meeting and reported that he had enquired whether Board members would be granted general indemnity against any issues related to the work of the Board. The Chairman received confirmation at that meeting that as Board members were appointed by the Council, and the Board was conducting Council business, it was covered under the Council’s existing insurance arrangements.

To Follow

Apologies were also given that it was not possible to present minutes of the Pensions Investment Sub-Committee meeting held on 23^rd September 2015. These would be circulated to Board Members when available (ACTION: Democratic Services).

Members considered the areas of work the Board could usefully look at in line with its primary remit for assisting the Administering Authority in ensuring compliance with regulations. Options considered for future work included:

·  reviewing the monthly Liberata performance report;

·  reviewing compliance in regard to admitted bodies;

·  reviewing compliance on governance in line with considerations such as the Statement of Investment Principles, perhaps looking at some reports to the Pensions Investment Sub Committee;

·  reviewing communications from the employer side;

·  considering internal/external audit reports; and 

·  considering the Council’s statutory accounts and annual report for the Pension Fund.

The Council has an internal disputes and resolution procedure for dealing with complaints and this could provide an indication of complaints concerning the Pension Fund. The monthly Liberata performance report also included a section on complaints and compliments. Liberata were the first point of contact for L B Bromley scheme members having any concern related to their pension. At Pension Manager meetings held with other local authorities a standard item is considered of cases submitted to the Pensions Ombudsman. Where appropriate, such cases, although for other Administering Authorities could be highlighted to the Board for consideration, where there may be a potential impact for the Bromley Fund.

The Chairman felt that the Board’s work needed to avoid duplication. It was also necessary to take a top down approach, the Board not having the resources to look into line by line detail. Board Members were reminded that their key role was that of assisting the Administering Authority in ensuring compliance with regulations e.g. undertaking checks to ensure that statutory requirements of the relevant regulations were being met. There was no remit for the Board on policy making. The Chairman saw a role for the Board in asking key questions relating to existing procedures. The Pensions Manager offered to circulate a Code of Practice published by The Pension Regulator which could be of interest to Board Members (ACTION: Pensions Manager). 

It was also suggested that the Board focus on areas where there might be the greatest risk of things going wrong, particularly where there is something new, which needs to be implemented.

In refining the Board’s Work Plan the Chairman felt the Board could also look at:

·  Pension Fund Investment Strategy; and

·  the actuarial valuation methodology. 

The Chairman also suggested that the Board may assist in reviewing the terms on which other employers join or leave the Fund. It was suggested that the Board’s Work Plan could include a review of bodies admitted into the Fund and compliance with the terms of their admission.

The Pensions Manager confirmed that he would produce a draft work-plan and send to the Chairman who may then, following consultation with other Board members suggest any additions, deletions or amendments the Board felt necessary.   

Members were presented with a copy of the L B Bromley Pension Fund Annual Report and Statutory Accounts for 2014/15.

The Chairman suggested that it may be helpful for the Annual Report to separately identify the cost to the Fund of WM’s performance measurement service along with the investment advice provided by AllenbridgeEpic Investment Advisers.

An enquiry was also made on whether it was necessary for the Actuary to provide an intermediate funding statement for the Fund each year. The Pensions Manager agreed to make relevant enquiries and inform Board members (ACTION: Pensions Manager). 

A number of generic training events were available but some were cost prohibitive and there were questions about their usefulness. Some were also time consuming with one course lasting three days.

At another London borough general training was undertaken for 60 or 30 minutes prior to a Local Pension Board meeting. It was agreed that a similar approach would be taken at Bromley. Additionally some online training has been developed by The Pensions Regulator and will be made available for Board Members to use.

The Chairman suggested that Board Members visit a Pensions Committee meeting in adjacent boroughs. This may help to provide benchmarking and the Pensions Manager agreed to discuss further with colleagues at LB Croydon and LB Bexley to establish whether this was possible. It was thought the meetings would be open to public attendance and details would be available on websites for the two authorities (ACTION: Pensions Manager).

Board Members were encouraged to attend the Pensions seminar on

11th November 2015.

The Chairman enquired of the procedure for claiming travel expenses related to work of the Local Pension Board and the Pensions Manager offered to confirm the position (ACTION: Pensions Manager).

The Chairman to move that the Press and public be excluded during consideration of the items of business referred to below as it is likely in view of the nature of the business to be transacted or the nature of the proceedings that if members of the Press and public were present there would be disclosure to them of exempt information.

To Follow

Please see minute for item 5 above.