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HomeMy WebLinkAboutMINUTES - 10071997 - C41 ,A )+e TO: BOARD OF SUPERVISORS 5.... Contra \. FROM: Leslie T. Knight, Director of Human Resources i` !f► Costa County DATE: October 7, 1997 SUBJECT: Approval of Amendment to The Hartford Group Annuity Contract (No. 60002) SPECIFIC REQUEST(S)OR RECOMMENDATION(S)3 BACKGROUND AND JUSTIFICATION RECOMMENDATION: Authorize the Director of Human Resources, on behalf of the County and Special Districts in the County Deferred Compensation Plan, to execute an amendment agreement to the Group Annuity Contract No. 60002 with The Hartford increasing the investment choices for participating plan members. The new investment options are: PUTNAM INTERNATIONAL NEW OPPORTUNITIES ACCOUNT This option focuses on long term capital appreciation and invests in foreign stock investment options with fast-growing companies that have superiorcompetitive positions within their industries. There are no geographical boundaries and targets both established and emerging markets. JANUS WORLDWIDE ACCOUNT This option focuses on foreign and domestic issuers. It typically invests in issuers from at least five different countries including the United States and has the flexibility to invest in companies and organizations of any size. PUTNAM VISTA ACCOUNT This option focuses on mid cap growth investment options by investing in midsized companies believed to offer above-average growth potential. JANUS TWENTY ACCOUNT This option focuses on long-term growth of capital by concentrating investments in a core position of 20-30 common stocks. v CONTINUES ON PAGE CONTINUED ON ATTACHMENT: _2LYES SIGNATURE: RECOMMENDATION OF COUNTY ADMINISTRATOR RECOMMENDATION OF BOARD COMMITTEE APPROVE OTHER SIGNATURE (S): ACTION OF BOARD ON October APPROVED AS RECOMMENDED OTHER VOTE OF SUPERVISORS XI HEREBY CERTIFY THAT THIS-IS A TRUE UNANIMOUS(ABSENT III AND CORRECT COPY OF AN ACTION TAKEN AYES: NOES: AND ENTERED ON THE MINUTES OF THE BOARD ABSENT: ABSTAIN: OF SUPERVISORS ON THE DATE SHOWN. Originating Department: Human Resources Department(Benefits Unit) October 7 , 1997 CC: ATTESTED County Administrator's Office PHIL BATCHELOR,CLERK OF THE BOARD OF Auditor-Controller County Counsel's Office SUPERVISORS AND COUNTY ADMINISTRATOR Human Resources Department BY 1,� �li�/Z/ DEPUTY M382 (10/88) PAGE TWO--Approval of Amendment to The Hartford Group Annuity Contract (No. 60002 SKYLINE SPECIAL EQUITIES H ACCOUNT This fund focuses exclusively on investing in undervalued small companies (small cap values) that have above-average growth potential. FIDELITY ADVISOR GROWTH & INCOME ACCOUNT This fund focuses on new large cap blend investment options and seeks a high total return through a combination of capital appreciation and current income from equity securities. AMERICAN CENTURY INCOME & GROWTH ACCOUNT This fund focuses on large cap value investment options and seeks dividend growth, current income and capital appreciation by investing primarily in United States common stocks. SCUDDER GROWTH & INCOME ACCOUNT This fund focuses on large cap blend investment options and seeks long-term growth and income from stocks paying high-dividend yields relative to the S & P 500. It is a that is designed for both up and down markets. AMERICAN CENTURY VALUE ACCOUNT This fund focuses on mid cap value investment options and seeks long-term capital growth with income as a secondary objective. Typically at least 80% of its assets are invested in equities of well-established medium and large-sized companies. FINANCIAL IMPACT There is no financial impact to the County. Participants electing to participate in all of the above accounts will be charged 0.85% mortality and expense fee per investment options selected. BACKGROUND The Deferred Compensation Advisory Committee had requested that Hartford include more investment options to the County'.s current deferred compensation program allowing employees more flexibility in meeting their investment strategy objectives. In addition to reviewing some of the Committee's recommended investment options, Hartford also included reviewing other mutual funds comparing performance, experience, ratings and investment styles before deciding on the current options. The Deferred Compensation Advisory Committee, after review and discussion, recommended that the above fund options be made available to participants in the Deferred Compensation Plan. This contract amendment will allow interested plan members the ability to elect any or all of these additional options.