(a) Custody and supervision of the fund (and the assets thereof) shall be vested in the Board of Trustees. Payments of benefits and disbursement from the fund shall be made by the Town Manager, but only upon written authorization to make a disbursement from the Board.
(b) Funds and securities of the fund may be commingled with other accounts of the town or held separately; provided always, that accurate records are maintained at all times reflecting the financial composition of the fund, including accurate accounts and entries as regards the following:
(1) Individual, itemized disbursements of the fund, specifying the specific purpose of the disbursement;
(2) Cash investments and realized and unrealized gains or losses;
(3) All interest, dividends and gains or losses attributable to contributions and deposits to the fund;
(4) Such other entries as may be properly required so as to reflect a clear and complete financial report of the fund.
(c) The Board shall have the following investment powers and authority:
(1) The Board shall be vested with full legal title to said fund, subject however and in any event to the authority and power of the Town Commission to amend or terminate this trust; provided, that no amendment or termination shall ever result in the use of any of the assets of this fund, except for the payment of administrative expenses and provision of benefits under this system. All contributions from time to time paid into the fund, and the income thereof, without distinction between principal and income, shall be held and administered by the Board or its agent in the fund, and the Board shall not be required to segregate or invest separately any portion of the fund.
(2) The fund may be invested and reinvested in such securities or property, real or personal, wherever situated and of whatever kind, as shall be approved by the Board of Trustees, including but not limited to stocks, common or preferred, and bonds, and other evidences of indebtedness or ownership. The Board of Trustees is authorized to transfer from time to time to a common, collective, or pooled trust fund maintained by any bank which meets the requirements of Chapter 280, Florida Statutes, all or such part of the trust fund hereunder as the Board may deem advisable, and such part or all of the trust fund so transferred shall be subject to all of the terms and provisions of such common, collective, or pooled trust fund which contemplates the commingling for investment purposes of such trust fund assets with assets of other trust. Pooled investments may not include foreign securities, and no investment of any type may be made in foreign securities or otherwise, unless specifically permitted by state law;
(3) The Board may retain in cash and keep unproductive of income such amount of the fund as it may deem advisable, having regard for cash requirements of the system;
(4) No person or entity stall be liable for the making, retention, or sale of any investment or reinvestment made as herein provided, nor for any loss or diminishment of the fund, except that due to his, her, or its own negligence, willful misconduct or lack of good faith;
(5) The Board is empowered, but is not required, to vote upon any stocks, bonds, or securities of any corporation, association or trust and to give general or specific proxies or power of attorney with or without power of substitutions; to participate in mergers, reorganizations, recapitalizations, consolidations, and similar transactions with respect to such securities, to deposit such stock; or other securities in any voting trust or any protective or like committee with the Trustees or with depositories designated thereby; to amortize or fail to amortize any part or all of the premium or discount resulting from the acquisition or disposition of assets; and generally to exercise any of the powers of any owner with respect to stocks, bonds, or other investments comprising the fund which it may deem to be in the best interest of the fund to exercise;
(6) The Board shall not be required to make any inventory or appraisal or report to any court, nor to secure any order of court for the exercise of any power herein contained;
(7) Where any action which the Board is required to take or any duty or function which it is required to perform, either under the terms herein or under the general law applicable to it as Trustee under the system, can reasonably be taken or performed only after receipt by it from a member of the system, the town or any other entity, of specific information, certification, direction, or instruction, the Board shall be free of liability in failing to take such action or perform such duty or function until such information, certification, direction or instruction has been received by it; and
(8) In any application to or proceeding or action in the courts, only the town and the Board shall be necessary parties, and no member or other person having an interest in the fund shall be entitled to any notice or service or process. Any judgment entered in such a proceeding or action shall be conclusive upon all persons.
(d) Any of the foregoing powers and functions reposed in the Board may be performed or carried out by the Board through duly authorized agents; provided that the Board at all times maintains continuous supervision over the acts of any such agent; provided further, that legal title to said fund shall always remain in the Board of Trustees.
(Ord. 99-05, passed 9-15-99)