2011-11-16 Trustee of the Trust Funds Minutes

Trustee of the Trust Funds

Wednesday 16 November 2011

Meeting Minutes

Approved January 11, 2012

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ATTENDANCE: =

= Mary Gleason, John Kachmor, Cindy Ronning, Trustees

ALSO IN ATTENDANCE:

&= nbsp; Judith Noel = ; &= nbsp; &nbs= p; &= nbsp; &nbs= p; VP Citizens Bank

&= nbsp; Ed Gleason = &= nbsp; &= nbsp; &= nbsp; Selectman Liaison

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Meeting Summary

Minutes Review:

The Trustees approved the meeting minutes of 19 October, 2011 as provided.=

Concentration Account Investment:

Prior to the meeting Citizens Bank’s Judith Noel had been contacted and ask= ed to identify investment opportunities for the $1.1M retained in the Concentration Account.

She came to this meeting and presented a proposal which would allow investment = of the $490K of Capital Reserve Accounts (cannot be invested in any portfolio = with Trust Funds) in bonds and a fixed income portfolio (bonds and cash) for the= $616K in other Trust Funds.

The net effect of this approach would result in a total portfolio (Investment, = CRF Bonds, and Fixed income Trusts) of $1,7M with a minimum fee of $10K, but a reduction in management fees from 0.0120% to 0.0060%.

The Trustees will now survey the CFR and Trust stakeholders to determine their = cash flow needs over the next two years, then make a determination on which are eligible for this type of investment.

After further review by the Trustees, Citizens will be contacted to further discu= ss how the Trustees want to proceed in 2012.

Other Business

Sherman Hobbs Trust

Citizens was asked assist in the transfer of $2.2K from the Library Renovation Trust= to the Sherman Hobbs Trust to correct an error identified and discussed during= the last meeting’s minutes. By doing this the required restricted balance= of $5K for the Sherman Hobbs Trust will be restored. Citizens will also emend = the MS-9 accordingly.

Library Renovation Trust

In addition to the forgoing, Citizens was asked to correct an accounting error reflected in the current MS-9 which shows a debit against principal of $3,910.61. In reality, there was a withdrawal in 2006 of $7.9K which brought down the principal to $14K, but for some reason the 2007 MS-9 restored the principal to $22K. Since there is not a restricted principal for this accou= nt the principal should reflect recorded reductions. The total value of the account$18,099 is correct, only the principal is misstated.

Cemetery Maintenance Fund

The Trustees also processed a request from the Cemetery Trustees for $19K from = the Cemetery Maintenance Fund for the clearing of cemetery land. Four of the fi= ve Cemetery Trustees, who are designated agents to expend under the source document, signed the request which satisfies the fund’s requirements.=

After discussion with the Town’s Finance Officer, Cindy Kelley, it was deci= ded the check should be made out the Town for deposit in a Cemetery holding account, not applied the operating budget as requested by the Cemetery Trustees.

Next Meeting

The next scheduled Trustee Meeting is scheduled for 4 January, 2012 in the Poli= ce Community Room at 3:00 PM.

Adjournment: The meeting adjourned at 4:25PM

Respectfully submitted,

Ed Gleason

Acting Secretary= &nb= sp; =

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