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good morning everyone this is not to call the were the performance in
compensation committee uh... morning everybody sector of the skull role
good morning denmark here
michael bilbrey that darlene shelf orangutan here tearing apart project
jarmstrong
richard costigan
grant working for gil mark here
priya mother
prior or present and accounted for
someone would do it in beginner meeting hamster farm if you could bring us up to
speed undertaken reports thank you good morning to you immortalize chairman with
the committee at this time i'd like to know if kate higgins it chief http
good morning
morning and i'd like to advise the committee members on a contract act
helper staff will be engaging in with mclaughlin
out one of the boards full contact consultants on performance in
compensation and shared a little bit of that information with you altering the
briefings last week
i've in an effort to assemble reinvigorated recruitment plan to sell a
number of the agency's in the investment office industry compensation data is
needed
to allow calpers staff analyzed where we should be targeting our recruitment and
outreach efforts
mclachlan as the industry leader in this area of data collection and we would
like to gauge their services
to provide an existing data collection of quite industry compensation data
uh... that letting concludes my piece of the executive report i'm happy to take
any questions
gives chair that this is my report
the questions for staff on either the that in this race and the use of the
stone throwers
character and then let's proceed to item number three the consent calendar
this point and motion would be in order
to approve the consent agenda and for action items
answer such emotion
it's been moved it twice and seconded
um...
anyhow project that connection here uh... any
arlene second
uh... any questions uh... regards the motion
not all favor signify by saying on
same signed right stain
that's right pre was here pre of stains motion passes
item number four if this is not a dot there's no voter motion required
dispenser anyone who wishes withdrawn item from the concert calendar their
informational only
green on the consent
items that are information we stand and submit it
so it's good to our first action agenda item number five mistaken if you could
bring the serbs speed on our two thousand twelve two thousand thirteen
performance plans for the c_e_o_ poems yet exactly
agenda item five as an action item decided presents for approval the status
reports at the c_e_o_ n_c_i_ job
for the third quarter of the two thousand eleven two thousand twelve
fiscal year
these reports provides amines for informing the committee of progress
towards achieving the quantitative and qualitative measures in the performance
plans
staff recommends the board except the third order status reports
for the c_e_o_ and c_i_o_ which cover the period of january one two march
thirty first
this concludes my report on the site and i'm happy to answer any questions
any questions
at all for stuff on this issue
guesses are third-quarter analysis for mister gearan stoss paul
if not i'll entertain a motion for approval of the three quarter reports
it's been moved and seconded to you
prove the three-quarter status reports on performance plans the chief executive
officer in the chief investment officer any
discussion
perry nine on favor signify by saying i m
deposed
motions unanimously adopted
right item number six
patsy just chillin here for information on
i can speak to you our attention added six
agenda item six is an information i'd and presenting and overview of the
revised here in performance evaluation process
propositions covered under the boards compensation setting at fourteen
these changes to the year and process reflect the court's reasoning adoption
of the powers reserved in revised c_e_o_ delegation
the boards executive compensation policy does not yet reflector boards governance
and delegation changes as presented in this idm
human resources staff is in the process of revising the prop the policy and will
bring the proposed revisions to the committee later this year
i would like to highlight a few of the changes to the approval levels for the
appraisal process which are depicted in the table on page three episodes and
item
at the end of the fiscal year the performance appraisals of the c_e_o_
m_c_i_ l will be brought to the committee and board
for completion and approval
this is a change from prior years in which the appraisal documents at the
chief actuary general counsel
chief operating investment officer and senior investment officers were also
presented for approval
based upon the revised c_e_o_ delegation completion of the appraisals for the
chief actuary general counsel
and the chief financial officer position once fails
will be the responsibility of the c_e_o_
the subsequent performance the words and base salary increases will be reported
to the board with the board retaining final approval or veto a sortie
the appraisals of all investment manager positions other than the c_ i_ l_
will be approved by the c_i_o_ mc ito
the c_e_o_ will approve the performance awards in any the salary increases
a closed session information i'd emal
with a comprehensive summary will be submitted to the committee
reflecting the overall performance ratings performance award amounts and
any base salary increases as approved by the c_e_o_ for all covered positions
the process in scheduled for completion of the c_e_o_ and c_i_o_ performance
appraisals have also been slightly revised as depicted in the table at the
bottom of page three
in previous years meetings were scheduled for the committee and board to
discuss incomplete the appraisals of the board reportable staff
over the course of two months in august and september
this is been streamlined so that both the committee and board meetings are
held in september
the streamlined process still provides an opportunity for all board members to
discuss the performance and ratings of the c_e_o_ and c_i_o_
the table on page four provides the schedule for the year-end activities
approval and review of all other performance appraisal outcomes will also
take place in september
after the quantitative investments performance mish measure calculations
are completed
a comprehensive summary reflecting overall performance ratings performance
award amounts and any base salary increases
as approved by the c_e_o_ will be submitted to the committee at the
september meeting
this concludes my report on this item and i'm happy to answer any questions
so if we do have some questions from senator
and here
silva did u consistent consider
and instead of having this c_e_o_ in seattle appraisals come to different
company
having them come to the full board and just can't
and skipping the performed company de
and it's my understanding uh... that the power reserves and speak specifically to
on their performance in comp
outperforming that function so um...
at this time we have not done that
and and *** to have to have the give you at all look at what's best practices
either at the park in the corporate level or for other pension funds
such as ours which which manage uh...
investments
whether it is to go to a perfume called canadian subcommittee of the border gets
here above board
yes we're going to brussels helper staff yet we're going to start looking at this
hour see what best practices but for today can be consistent with the parties
connection
tinued committee
political to see what ok its neighbors and that we need prove the schedule this
this these changes today a red
than
dissidents information on other things just sizes disinformation item
didn't i do think i don't know what this practice is this an that it does seem
that that leases that the c_e_o_ and c_i_o_ because there are
port directly to the property member board
it might make sense for
the full board tent
to review them
uh... and do the performance appraisals
and that sort that's that's practice i guess
i'm really interested to know that the answer to that question and um...
she could bring that back at a later time if we need to then change the
prices are you would consider doing that but
perhaps this is this practice and then
than all is well
okay and
if i can't be directly to and on page three of four and during the month of
september
the full board does need to approve or modified v committees recommended
ratings
but i do understand that your point of why it is
the committee doing it first rather than the full blood
show raised ages
yeah understand just curious as to what what the
with the best practices isn't
had best get uh... you know full complement of feedback too
uh... dusty park marvels
thank you
just-in-time pointers some clarifications properly described by
staff discover process but rana spent some time talking about this to we do
very much want the board to have trapped in a robust input here so
i think the issue here and again we can continue with the best practices most
but the boards that i work with have you know subcommittee on compensation just
so that you can drill down deeper and look at best practices and look at
enough to bring in consultants and at the full-bore doing that wouldn't have
the time but as far as the actual valuation however c_e_o_ on c_i_a_ o
right now we start here but it's not intended to anyway limit the boards of
somehow
work we follow the c_e_o_ on the rest the borders and they have the right to
say there some concerns here really miss this
uh...
begin a wooden in any way diminish the boards ability but enough there's a
better route to take
uh... offer one availed for support of that and uh... him when that would be
opened up a number of asymmetry clear he wants the full board
to uh... be engaged at this level at some point
but not a question
thank you mister chair in i have a question you said that in september we
would get a report
of the
proves
salary increases and say incentive awards
and you mentioned you would get that in closed session i was just wondering
what's the rationale for doing that closed session cuz i guess my preference
would be that
when that's reported out it's just reported no concession
uh... can
i'd need to check on that and get back to you i'm not familiar with the history
on why that submitted in during class session
the stars for the partner
just want to clarify that that
historically we've uh...
presented those to you enclosed as a personal matter in case there
a personal issues to discuss and then we would rip
once that's concluded we work reported out in open session
and publicly
does that acceptable to you
excel if we disagree with recommendations we can modify them
in private
without having to do that publicly
any other questions regarding this informational item
are trained and
stakes welcome in the back of my
pattern
item number seven uh... cd
mistaken if you can also such as an investment office classification
organization study
funds that actually is act which upon each image and i believe i'm just trying
to get a myself excuse
to understatements more difficult than east because whenever me last more than
fifteen minutes
and hari republican cute
skating disconnect
no i do not only public comment from the support of what public open up a hug
as any color from the real public mister costigan
carrying on
i guess a motion to adjourn would be in order
on fear of attorneys in the public saying i m
we are jurors