Agendas, reports and minutes

Pensions Committee and Board

Date: Thursday, 28 February 2019

Minutes: Read the Minutes

Minutes of Meeting of the Pensions Committee and Pension Board held in the Council Chamber, Council Headquarters, Glenurquhart Road, Inverness on Thursday 28 February 2019 at 10.30 am.
 
Present:
 
Pensions Committee:-Mr R Bremner (by Video Conference);Mrs H Carmichael;Mr C Fraser;Mr R Gale;Mr A Jarvie;Mr B Lobban;Mr D Louden;Mr P Saggers;Mr B Thompson (by Video Conference);
 
Pension Board:- Mrs C Caddick, Highland Council;Mr G Cruickshank, Highland Council;Mr C Nicolson, Comhairle nan Eilean Siar;Mr R Fea, representative for other Employers;Mr D Macdonald, Unison; Mr E Macniven, GMB; Mr D Main, Unite/Ucatt
 
Officials in attendance:
 
Mr E Foster, Head of Corporate Finance and Commercialism, Corporate Resources Service
Mr J Gibson, Joint Secretary (Trade Unions’ Side)
Mr C MacCallum, Payroll & Pensions Manager, Corporate Resources Service
Mr S Lorimer, Assistant Payroll & Pensions Manager, Corporate Resources Service
Mrs M Grigor, Finance Manager (Corporate Budgeting, Treasury and Taxation)
Mrs L Dunn, Principal Administrator, Chief Executive’s Service 
Mr A MacInnes, Administrative Assistant, Chief Executive’s Service
 
Also in attendance:-
 
Mr J Boyd, Grant Thornton (External Auditor) (by telephone conference)
Mr P Riedel, Hymans Roberston
Mr A McKerns, Hymans Roberston
 
An asterisk in the margin denotes a recommendation to the Council.  All decisions with no marking in the margin are delegated to the Committee.
 
Mr R Gale in the Chair
 
1. Apologies for Absence
    Leisgeulan
 
An apology for absence was intimated on behalf of Ms L MacKay, Unison.
 
2. Declarations of Interest
    Foillseachaidhean Com-pàirt
 
There were no declarations of interest.
 
3. Pension Fund Contributions and Administration
    Tabhartasan agus Rianachd Maoin Peinnsein
 
There was circulated Report No. PC/1/19 by the Head of Corporate Finance & Commercialism.
 
The Committee NOTED the details of the report.
 
4. Administration Strategy Statement/Discretionary Policies/Overpayment of Pension
    Aithris Ro-innleachd Rianachd/Poileasaidhean Fo Ùghdarras/Tar-phàigheadh Peinnsein
 
There was circulated Report No. PC/2/19 by the Head of Corporate Finance & Commercialism.
 
The Committee:-
 
i.   APPROVED the Administration Strategy Statement, including the schedule of charges;
ii.  APPROVED the Discretionary Policy report; and
iii. AGREED the proposal for recovering overpayment of pension on death of a member.
 
5. Risk Management Update
    Fios às Ùr mu Rianachd Chunnairt
 
There was circulated Report No. PC/3/19 by the Depute Chief Executive/Director of Corporate Resources Service.
 
The Committee:-
 
i.  NOTED the updated risk register extract and compliance with the Pension Fund Regulator requirements; and
ii. APPROVED the updated risk management strategy and policy.
 
6. Annual Audit Plan 2018/19 (External Audit Report) 
    Plana Sgrùdaidh Bliadhnail 2018/19 (Aithisg Sgrùdaidh bhon Taobh A-muigh)
 
There was circulated Report No. PC/4/19 by Grant Thornton which presented their annual audit plan setting out the work they plan to undertake as part of the audit of the pension fund.
 
In particular, it was explained that external audit fee pooled costs would cover external audit fees to support the administration of the audit process.  These fees were calculated in accordance with guidance issued by Audit Scotland. 
 
The Committee NOTED the report.
 
7. Investment Sub Committee: Minutes of Meeting
    Fo-chomataidh Tasgaidh: Geàrr-chunntas na Coinneimh
 
The Minutes of meeting of the Investment Sub-Committee held on 31 August 2018 and 30 November 2018 were circulated for confirmation and APPROVED.
 
Arising from the Minutes of meeting of 31 August 2018, it was explained that as agreed by the Pensions Committee in its Statement of Investment Principles, consideration was being given to changing the balance of investments in the Pension Fund. As part of this review, an investment in infrastructure was being considered.  Lothian Pension Fund had worked with other Pension Funds in Scotland to make infrastructure investments.    Representatives of Lothian Pension Fund had made a presentation on this matter to the Investment Sub Committee. This was one option that the Fund could potentially acquire an infrastructure investment.
 
The Committee NOTED the position.
 
8. Membership of Investment Sub-Committee
    Ballrachd na Fo-Chomataidh Tasgaidh
 
The Committee AGREED to the following change to the membership of the Investment Sub-Committee:-
 
Mr R Gale to replace Mrs C Caddick
 
 
 
The meeting ended at 10.45 a.m.