Philip Qualls

The board meeting agenda includes the review and action on September financials and retirement activity. The meeting will feature a financial audit presentation, an actuarial valuation report, and an investment report covering market performance, real estate education, and an investment manager update. Additionally, the Director's report will address upcoming legislation, a performance review, and the quarterly budget review.

The Board of Trustees meeting included several key actions and discussions. The Board approved financial statements for November and December 2021 and accepted several member retirements, while also reporting on recent retiree deaths. Discussions covered the proposed FY23 contract for actuarial services, which was approved. The Board reviewed the 2021 Actuarial Valuation, receiving recommendations from the Louisiana Legislative Auditor regarding Cost-Of-Living Adjustments (COLAs) and the Investment Return Assumption. Investment reports were presented, noting portfolio performance through December 31, 2021, and outlook for 2022 volatility. The fiscal year 2021 DARS audit, which had no findings, was accepted. Legislative updates concerning HB 20 and HB 24 were disseminated. The Board adjusted its September meeting schedule to avoid conflict with the LAPERS Conference. The draft budget for FY2023 was reviewed, including salary adjustments for staff positions, followed by an executive session to discuss the Director/General Counsel salary, after which the budget was adopted with a specific cost-of-living increase for the Director.

The document contains minutes from multiple Board of Trustees meetings, as well as an Actuarial Valuation Report and informational materials. Key discussions across the meetings included the approval of financial statements for various months, acceptance of several member retirements, and investment portfolio performance analysis, noting appreciation through December 31, 2019, and June 30, 2019. Legislation proposals were reviewed, specifically concerning technical changes to compensation definitions and membership eligibility minimum salary, and action was taken to support or oppose certain bills. The Board addressed compliance regarding the reemployment of retirees, with actions taken to draft policy language and approve a mandatory Reemployment Notice. Furthermore, matters related to trustee conflicts of interest and ongoing litigation were discussed, alongside budgetary amendments, including separating DARS hosting from LDAA and obtaining cyber insurance quotes.

Key topics discussed included the approval of retirements for several members, reporting of recent deaths, and a review of the DARS audit ending June 30, 2019, which identified several significant deficiencies related to investment policy clarity and investment contract documentation access. The Board heard presentations from three potential custodian banks (BNY Mellon, US Bank, and Hancock Whitney) and subsequently voted to retain US Bank as the new custodian. Investment performance updates were provided, alongside a list of key economic focus points for 2020. The Board also approved amendments to the investment policy to address auditor findings, authorized additional authorized signers for DARS documents, and adopted the draft budget for Fiscal Year 2021. Furthermore, the Board tabled a rehire issue involving a former member pending review of all correspondence.

This document outlines the Master Statement of Investment Policies and Objectives for the District Attorneys' Retirement System of the State of Louisiana (DARS). It details the governance, standards for investment managers and custodians, and comprehensive investment guidelines. The plan's core objective is to achieve a target net annualized return of 7.5% to maintain a fully funded status, utilizing a diversified asset allocation strategy with legislatively authorized limits for equities and fixed income, as well as specific ranges for alternative investments. It establishes procedures for performance evaluation, risk management, and reporting requirements for all fiduciaries and service providers.