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File #: 21-0611    Name: Salary Resolution Amendment
In control: Fresno County Employees Retirement Association
On agenda: 7/13/2021 Final action: 7/13/2021
Enactment date: Enactment #: Salary Resolution No. 21-021
Title: Approve Amendment to the Salary Resolution adding one Principal Accountant allocation for the Fresno County Employees' Retirement Association Org 9200, effective July 26, 2021 as reflected in Appendix D.
Attachments: 1. Agenda Item, 2. Salary Resolution No. 21-021

DATE:                     July 13, 2021

 

TO:                     Board of Supervisors

 

SUBMITTED BY:                     Donald C. Kendig, CPA, Retirement Administrator

                     

SUBJECT:                     Salary Resolution Amendment

 

RECOMMENDED ACTION(S):

TITLE

Approve Amendment to the Salary Resolution adding one Principal Accountant allocation for the Fresno County Employees’ Retirement Association Org 9200, effective July 26, 2021 as reflected in Appendix D.

REPORT

There is no increase in Net County Cost associated with the recommended action. Due to the increased diversification of the Fresno County Employees’ Retirement Association’s (FCERA) portfolio and increased accounting pronouncements, the Accounting unit at FCERA has evolved into a more complex unit needing a manager position to oversee it. This allocation was approved by the Retirement Board, during a public hearing, on June 2, 2021.

 

ALTERNATIVE ACTION(S):

 

Your Board could choose not to approve the Salary Resolution Amendment and the FCERA’s position allocation would remain unchanged. 

 

FISCAL IMPACT:

 

There is no increase in Net County Cost associated with the recommended action.  FCERA employees are considered County of Fresno employees, however FCERA is a legally separate organization and has a budget and Board that is separate from the County of Fresno. All costs are allocated proportionally to sponsors and employees for the administration of the pension plan.

 

DISCUSSION:

 

The Accounting unit of FCERA is a separate major unit of FCERA.  Currently this unit is being managed by a Supervising Accountant.  The duties and responsibilities of this position have developed beyond the Supervising Accountant’s designated job duties.  This position sets divisional goals and communicates and implements these goals within the unit as well as with the FCERA Administration.  The Principal Accountant will plan, manage and direct the accounting staff assigned to the unit.   This position coordinates the operations of the unit with other divisions, division managers, plan sponsors, external financial auditors, actuary, custodial bank and outside agencies.  They are responsible for the interviewing, selection, training, supervising, evaluating, promoting and discipline of all staff within the unit.  This position also develops, implements and evaluates complex analyses and reports including but not limited to the production of the FCERA’s Annual Report, the FCERA annual budget and key financial information for the Actuarial Valuation Report, which is utilized by all five plan sponsors including the County of Fresno.

 

The hiring of an in-house Investment Officer has added new duties including calculating and reporting up to date cost-to-market values of the Plan assets which are approximately six billion dollars.  This specific task has become more complex as Retirement Board decisions have recently led to more variance within the Plan resulting in more complex calculations and monitoring within the alternative investments mandate and corresponding cash management. 

 

Based on this evaluation and related changes, FCERA is requesting the addition of one Principal Accountant, which is a managerial level position, to manage the Accounting Unit of the FCERA. 

 

ATTACHMENTS INCLUDED AND/OR ON FILE:

 

Salary Resolution Amendment - Appendix D

 

CAO ANALYST:

 

Raul Guerra