Police Officers' Pension Plan Board of Trustees Regular Meeting

CITY OF SARASOTA POLICE OFFICERS’ PENSION PLAN BOARD OF TRUSTEES DRAFT MINUTES OF THE REGULAR MEETING OF THE POLICE OFFICERS’ PENSION PLAN BOARD OF TRUSTEES OF SEPTEMBER 24, 2026, AT 8:15 A.M. IN THE CITY COMMISSION CHAMBERS Board Roster: Chair Tyler Rossnagle, Vice Chair Ronnie K. Baty, Secretary/Treasurer Shayla Griggs, Trustee Joseph “Jody” Hudgins, and Trustee Grant Hudgins. Trustees Present: Vice Chair Ronnie K. Baty, Secretary/Treasurer Shayla Griggs, Trustee Joseph “Jody” Hudgins (telephonic), and Trustee Grant Hudgins. Trustees Absent: Chair Tyler Rossnagle. Staff Members Present: Pension Plans Administrator Debra Martin, Pension Specialist Peter Gottlieb. Others Present: Attorney Stuart Kaufman. 1. Call Meeting to Order: Presenter(s): Vice Chair Baty. Chair Baty called the September 24, 2026, regular meeting of the Police Officers’ Pension Plan Board of Trustees to order at 8:18 a.m. 2. Pledge of Allegiance: Presenter(s): Secretary/Treasurer Griggs. Secretary/Treasurer Griggs led the Board and attendees in the Pledge of Allegiance. 3. Code of Conduct: Presenter(s): Vice Chair Baty. Chair Baty stated for the record, “We may disagree, but we will be respectful of one another. We will direct all comments to issues. We will not engage in personal attacks.” 4. Roll Call: Presenter(s): Debra Martin, Pension Plans Administrator.

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September 24, 2026, at 8:15 a.m. in the Sarasota City Commission Chambers Page 2 of 14 Pension Plans Administrator Martin called roll; Trustees Joseph Hudgins appeared telephonically. 5. Public Input: Vice Chair Baty and Secretary/Treasurer Griggs advised that persons who submit public input are each afforded 3 minutes, and the Board does not interact with, nor respond directly to speakers during Public Input, although, outside of the Public Input item, it may address procedural questions. Eric Urbain, President of the Sarasota Police Officers Association (SPOA), appeared before the Board and introduced himself. He advised the Board that SPOA members have requested information regarding the process to dispute Plan decisions, as he was unable to identify the process in the Plan documents. Jamie Glockner, Vice President of the SPOA, advised that an SPOA member who intends to enter the DROP in January 2027 is in the process of disputing an estimated calculation of retirement benefits performed by Pension Administration. Ms. Glockner stated that the SPOA member indicated that they contacted the Plan’s Attorney, who possibly indicated a different calculation could be used however, there has been no change in how Pension Administration interprets City Ordinances. The Board thanked Mr. Urbain and Ms. Gloeckner for their input. 6. Approval of Minutes: 6.1. Approval Re: Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Meeting of June 25, 2026. Presenter(s): Vice Chair Baty. Trustee Hudgins made a motion to approve the minutes of the Board’s Regular Meeting of June 25, 2026; Secretary/Treasurer Griggs seconded the motion. The motion passed unanimously (4-0). 7. Board Elections: 7.1. Appointment Re: Nomination Re: Police Officers’ Pension Plan Board of Trustees Seat PP5, for Term February 1, 2027 – January 31, 2031, Currently Held by Ronnie Baty.

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 3 of 14 Presenter(s): Secretary Griggs. Trustee Grant Hudgins nominated Ronnie Baty to an additional term in Seat PP5, effective February 1, 2027; Secretary/Treasurer Griggs seconded the nomination and Vice Chair Baty accepted the nomination. The Board approved the nomination (3-0), with Vice Chair Baty abstaining. 8. Retirement Requests: 8.1. Approval Re: The Vested Deferred Retirement Request of Brian Arnold. Presenter: Debra Martin, Pension Plans Administrator. Pension Plans Administrator Martin advised that Mr. Arnold had separated from employment on January 3, 2015, and maintained his participation in the Plan; he now requests a vested deferred retirement benefit based on 12.65 years of service, and he selected the 100% to Joint Annuitant. Trustee Grant Hudgins made a motion to approve Mr. Arnold’s retirement as requested; Secretary/Treasurer Griggs seconded the motion. The motion passed unanimously (4-0). 8.2. Approval Re: The DROP Retirement Request of Michael Schwieterman. Presenter: Debra Martin, Pension Plans Administrator. Pension Plans Administrator Martin advised that Mr. Schwieterman requests to enter the DROP at age 52, after 26.51 years of service; he selected the Lifetime Only option. Trustee Grant Hudgins made a motion to approve Mr. Schwieterman’s request to enter the DROP; Secretary/Treasurer Griggs seconded the motion. The motion passed unanimously (5-0). 9. Investment Performance Review: 9.1. Presentation and Discussion Re: Allspring Global, Performance Report for Period Ending June 30, 2026.

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 4 of 14 Presenter(s): Ozo A. Jaculewicz, CFA, Associate Portfolio Manager, Senior Portfolio Specialist (Telephonic); Dann Smith, Senior Director, Institutional Client Group; Allspring Global. Dann Smith of Allspring Global (Allspring) appeared before the Board in person, and Ozo Jaculewicz of Allspring appeared telephonically, and introduced themselves. Mr. Smith provided a brief overview of their presentation and reviewed page 2 of the materials. The firm has continued to grow since its separation from Wells Fargo Asset Management approximately 5 years ago. While there have been no changes in personnel, Allspring is acquiring GIA Partners, LLC (GIA), which is an emerging markets debt manager located in New York; the GIA team will not be involved in the strategy in which the Plan is invested. Mr. Jaculewicz provided a portfolio review. The Plan is invested in Allspring’s premier equity growth strategy, which has approximately $1.6 billion in assets under advisory, and there have been no changes in the investment team, strategy, or philosophy. Mr. Jaculewicz began his discussion on the page titled Premier Growth: Balance across market cap. The portfolio has exposure, albeit in meaningfully underweight positions, to a concentration of mega-cap technology companies (Mag 7) which have dominated the market in recent years. The strategy is, instead, leaning towards into the mid-cap space as those companies have more attractive valuations and more potential for growth as a group than the mega-cap stocks. The page titled, Exposure to a differentiated universe, shows the declining weightings to the Mag 7; the current exposure to the Mag 7 is approximately 25%, and the portfolio has been rewarded as the market broadens away from that concentration. Approximately 55% of the portfolio index, the Russell 1000 Growth, is concentrated in 10 companies, and it is with this context that the portfolio’s performance, as shown on the pages titled City of Sarasota Police Officers’ Pension Plan, and Portfolio attribution March 31, 2026 to June 30, 2026, and Portfolio Attribution June 30, 2025 to June 30, 2026, must be viewed. Year-to-Date in 2026, the portfolio is approximately 2% relative to the index because the market is beginning to reward the artificial intelligence (AI) companies in which the Mag 7 and other AI hyperscalers have been investing. The portfolio trails relatively over the 1-year primarily due to the portfolio not having positions in Apple and Google; over the 3- year, the portfolio’s performance ranks in the top third amongst all large cap growth managers in the eVestment Alliance database. The Calendar Returns page shows the portfolio’s historical performance; the portfolio has been in the top 50 th percentile ranking amongst its peer group for the last 3 years. To Trustee Grant Hudgins’ questions, Mr. Jaculewicz advised that the portfolio lagged over the 5-year period for 2 reasons. First, the portfolio’s underweight positions in the

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 5 of 14 Mag 7 were detrimental. Second, growth stocks tend to be sensitive to rapid interest rates hikes, and short-term interest rates rocketed up in 2022. Mr. Smith added that the strategy’s emphasis on risk management factored into its deliberate underweight positions in the Mag 7, and it essentially traded short-term gains for longer-term stability. The Board thanked Mr. Jaculewicz and Mr. Smith for their presentation. 9.2. Presentation and Discussion Re: National Investment Services, Performance Review for Period Ending August 31, 2026. Presenter(s): Mark Anderson, CFA, Chief Strategy Officer (Telephonic); Ray Caprio, Director, Institutional Sales; Frank DeFalco, Director, Institutional Sales; National Investment Services. Ray Caprio and Frank DeFalco appeared in person and Mark Anderson appeared telephonically from National Investment Services (NIS) and introduced themselves and their presentation. Mr. Caprio provided a brief firm and strategy overview. NIS is a high-grade, core and intermediate fixed income manager, and the Plan has been invested in NIS’s Core Fixed Income strategy for approximately 10 years. The firm continues to steadily grow, and it exceeded $19.4 billion in assets under management as of June 30, 2026. He briefly reviewed the Representative Client List page of the materials. Mr. Anderson began his review on the Performance History page of the materials. While the recent challenges in the bond market have generally reflected changes in interest rate policies and political environments, both domestically and abroad, higher interest rates in response to inflation have generally muted fixed income returns. Even though the Board had approved NIS to invest in BBB grade securities to generate returns, NIS has not found acceptable investments in that grade yet; instead, and in response to the underlying uncertainty in the market, NIS has been increasing the portfolio’s credit rating and liquidity over the last 8 to 12 months. Mr. Anderson noted that the Performance Overview page does not reflect the portfolio’s lower-than- benchmark volatility. On the Sector Overview page, Mr. Anderson explained that the portfolio has had an intentional, long-term, relative underweight to treasuries due to the US government’s questionable balance sheet and political discord. NIS is constructive on the broader domestic economy, which is reflected in its overweight positions in Asset Backed, Corporates, and Mortgages. NIS is confident in the labor market and consumer debt, and companies are enjoying solid margins; this should result in extra yield to the

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 6 of 14 portfolio over the long term. That notwithstanding, NIS has been adding yield conservatively considering the speculative nature of AI datacenter buildouts; the portfolio is generally neutral relative to the index in this space. Mr. Anderson reviewed the Portfolio Characteristics page. The portfolio remains conservative and highly rated with less than 10% in BBB. NIS will likely venture farther into BBB, however valuations in that grade remain well inside their historic averages. Under the Weighted Averages chart, the portfolio’s Average Yield as of September 24, 2026, is 5.27%, which may be a prediction of future yields, although the rising interest rate environment caused by sticky inflation may test investors’ patience. The portfolio is underweight duration relative to the benchmark, which should reward the portfolio if rates continue to rise. Mr. Anderson provided a market outlook starting on the pages titled Second Quarter, 2026 Investment Review. The bond market has been relatively steady so far in Q3 2026. Corporate and asset-backed bonds have rewarded the portfolio and broader fixed income market. Declining Nonfarm Payrolls over the last 5 years rebounded somewhat in 2026; as these exceeded expectations, the Federal Reserve (Fed) may reconsider raising interest rates. Mr. Anderson noted that the volume of shipping traffic through the Strait of Hormuz is a barometer of oil prices; although traffic ticked up significantly in June 2026, it has since dropped to single digits, which suggests oil prices will remain elevated. This will continue to inflate the prices of diesel fuel, gasoline, and most household goods. NIS will continue to position the portfolio conservatively. The Board thanked Mr. Anderson, Mr. Caprio, and Mr. DeFalco for their presentation. 9.3. Presentation and Discussion Re: Burgess Chambers and Associates, Quarterly Performance Review for Period Ending June 30, 2026. Presenter(s): Frank Wan, Senior Consultant; Burgess Chambers and Associates. Frank Wan of Burgess Chambers and Associates (BCA) appeared before the Board and introduced himself. Starting on the page of the materials titled Investment Performance – Net, Mr. Wan noted that the preliminary returns show the portfolio returned 10.8% for the quarter, and had an ending market value, for the first time, above $400 million; the final returns, which have not been released yet, are higher. Additionally, over the One-Year term, the portfolio dramatically outperformed the California Public Employees’ Retirement System, which is the largest defined benefit pension fund in the US.

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 7 of 14 Mr. Wan reviewed the Total Fund page of the materials. The portfolio has had top relative performance amongst its peer group 100% of the time in the 5 years Rolling Percentile Ranking – 5 Years, and 75% of the time over the last 10-year period. Over the 3-year period, the portfolio exceeded its benchmark most of the time despite the dominance of the Mag 7. The Growth of Investments page shows, as the Total Fund and Net Cash Flow lines diverge, that most of the portfolio’s growth has been from investment earnings. The Peer Universe Quartile Ranking page shows the portfolio outperformed the index over all shown periods, and its peer rankings have been steadily improving. On the pages titled, Asset Allocation & Performance – Net, Mr. Wan explained that 65% of the portfolio is invested in equities, and 35% are in bonds and bond alternatives. Page 13 shows the equities, or “risk-on” assets, and page 14 shows “risk-off” assets. He discussed some of the significant market events in the quarter. In 2026, the market has broadened away from its concentration in the Mag 7, which has rewarded active managers and suggests more sustainability than previous market cycles. There remains significant investor exuberance for AI, as seen in the Initial Public Offerings (IPOs) of emerging technology companies. For example, SpaceX’s IPO, in late Q2 2026, took the company from $800 billion to $2 trillion. Because Google had invested significantly in SpaceX, Google saw on-paper gains as a result of SpaceX’s IPO. Corporate profits will likely continue to be marked up as more emerging open AI companies go public. This bodes well for the portfolio and broader market. Additionally, the Russell Index underwent a significant reconstitution. Russell Indexes had categorized Amazon, Apple, and Microsoft, as exclusively growth companies; on June 27, 2026, Russell shifted half of each company to also be listed in the Rusell’s value index. This has caused additional efforts for the active managers which adhere closely to style mandates; the portfolio’s 3 large cap managers are faring well for the quarter. A similar shift occurred as 42 companies lifted out of the small-cap space and into large-caps; Frankin Templeton (Franklin) Small Cap Growth has asked for the Board’s permission to expand its definition of capitalization. These index shifts complicate the analysis of performance reviews as managers’ target allocations change. In International Equities, which are influenced both by both the investment price and the exchange rates between US and local currencies, American Funds has outperformed most of its peers due to its exposure to South Korea. The South Korean AI builder, SK Hynix, which American Funds holds as an international investment, has issued a domestic IPO on the NASDQ Exchange. The domestic IPO boosted the value of international ordinary shares, and the stock was one of the largest contributors to American Funds’ performance; BCA recommends holding American Funds rather than divesting.

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 8 of 14 To Trustee Grant Hudgins’ questions, Mr. Wan explained that the political tensions between Taiwan and China do yet rise to a level of concern. Despite China’s infiltration of Hong Kong, it has been less successful in Taiwan, which continues to operate as an independent state. Additionally, the US has asserted it will continue its alliances with both Japan and Taiwan. Secretary/Treasurer Griggs left the meeting at 9:17 a.m. and returned at 9:19 a.m. Convertibles have continued to outperform because of the amounts of new corporate issuance continue to be favorable. Convertible bond offerings generate money faster for companies than conventional bonds or equities, and that has rewarded the portfolio; anecdotally, Google now offers a 100-year bond. In bond alternatives, BCA estimated Cohen & Steers’s performance to be close to that of its benchmark, the NCREIF Fund Index-ODCE; the final 1-year return will be 5.8%. Mr. Wan noted that the bond sector in Q3 2026 to date performance has been negative, and therefore the Board is being rewarded for its decision to shift out of bonds and into real estate. None-the-less, each bond manager is performing as intended, with Garcia Hamiton having the most risk and NIS the least; as each manager is acting in compliment to each other, BCA has no recommendations for changes to the portfolio. All items on the Investment Summary compliance check list are positive. To Trustee Jody Hudgins’ question, Mr. Wan confirmed that the portfolio ranked, both for the quarter- and year-to-date, in the top 25 th percentile of the monitored universe. Trustee Jody Hudgins noted that the portfolio’s fortunate performance has afforded some room for any potential corrective issue that may arise. The Board thanked Mr. Wan for his performance update. Pension Plans Administrator Martin noted that the new placement with Cohen & Steers may take as much as 75 days after the close of period for final performance data to be issued, which may cause cascading timing issues for the Plan’s actuarial valuation, then financial statements, and then City’s financial statements. Mr. Wan advised that BCA is encouraging Cohen & Steers to issue final performance data within 60 days or possibly issue a separate statement by the 45th day, although as a new product, obtaining final performance is a work in progress. The Plan has an approximate 5% to 6% exposure to private real estate, while many of BCA’s other clients range up to 35% exposures; BCA continues to engage with Cohen & Steers to resolve the issue as quickly as possible. 10. Unfinished Business: None.

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 9 of 14 11. New Business: 11.1. Presentation and Discussion Re: Addendum to Investment Policy Statement: Franklin Templeton. Presenter(s): Frank Wan, Senior Consultant; Burgess Chambers and Associates. Mr. Wan explained that Franklin, as a small cap growth investor, has been limited to companies which have capitalizations under $5 billion. As the small cap growth index now reaches $12 billion, Franklin has asked to be allowed to expand its capitalization range to match that of the Russell 2000 Growth Index at the time of purchase. Trustee Grant Hudgins made a motion to amend Franklin Templeton Small Cap Growth’s capitalization range to match that of the Russell 2000 Growth Index at the time of purchase; Secretary/Treasurer Griggs seconded the motion. The motion passed unanimously (4-0). At Attorney Kaufman’s request, Vice Chair Baty called item 12.1. 12. Attorney Matters: 12.1. Presentation and Discussion Re: Advent Capital Management Fee Proposal and Human Trafficking Amendment. Presenter(s): Stuart Kaufman, Klausner, Kaufman, Jensen and Levinson. Attorney Kaufman advised that Advent Capital (Advent) has proposed a fee reduction from 0.80% to 0.72% on assets above $15 million; the Plan currently has $24.7 million allocated to Advent. Secretary/Treasurer Griggs made a motion to accept the Addendum to the Advent Capital Management contract; Trustee Grant Hudgins seconded the motion. The motion passed unanimously (4-0). The Board thanked Mr. Wan for his presentation. 11. New Business: 11.2. Presentation and Discussion Re: Audit Engagement Letter.

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 10 of 14 Presenter(s): Daniel Anderson, CPA and Partner; Jennifer Trotter, CPA and Director; Mauldin & Jenkins. Daniel Anderson of Mauldin & Jenkins appeared before the Board and introduced himself. Mr. Anderson presented the audit engagement letter. There are no new auditing standards from previous years or any GASB pronouncements which need to be implemented and could affect the Plan or the financial statements; the format, but not the substance, of the engagement letter has changed. He anticipates a comparable timeframe to prior years’ audits. He noted that receiving final return data for Cohen & Steers by December 15 would allow a small window to review and audit the information before presenting the initial audit to the actuary. Many of Mr. Anderson’s clients have similar placements, and Mauldin & Jenkins can optimize its processes to accommodate. Alternatively, some plans record a balance as of June 30, and Mauldin & Jenkins can separately evaluate the difference in values from June 30 to September 30. If the changes are immaterial, Mauldin & Jenkins can confirm the financial statements are free of misstatements as of June 30; if the change is material, Mauldin & Jenkins will ask for an adjustment to the balance as of September 30. To Attorney Kaufman’s question, Mr. Anderson confirmed that Mauldin & Jekins’ fee increased from $15,000 for the 2025 audit to $16,000 for the 2026 audit. Trustee Grant Hudgins made a motion to approve engagement with Mauldin & Jenkins for audit services as of the fiscal year ending September 30, 2026; Secretary/Treasurer Griggs seconded the motion. The motion passed unanimously (4-0). 12. Attorney Matters: Attorney Kaufman advised that the Pangallo formal hearing is scheduled for Wednesday, October 21, 2026, immediately following the conclusion of the Firefighters’ Pension Plan Board of Trustees meeting. He has requested all parties submit their exhibit and witness lists and documents by October 1, which should allow the Trustees approximately 3 weeks prior to the hearing to review. In a formal hearing the Board serves as judge and jury. Mr. Pangallo’s attorney will present his case, including any expert witness testimony and evidence, and the Plan’s advocate may cross-examine; the Plan’s advocate will then be afforded the same. Each side issues closing statements, and the Board then renders a decision. Attorney Kaufman will be available throughout the hearing to advise the Board on the process and with any rulings needed during the proceedings; he will provide the Chair a script to follow.

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 11 of 14 13. Other Matters: 13.1. Presentation and Discussion Re Administrative Budget Analysis as of June 30, 2026. Presenter(s): Debra Martin, Pension Plans Administrator. Pension Plans Administrator Martin presented the Administrative Budget Analysis for the specified dates; the Board had no questions. 13.2. Presentation and Discussion Re: Check Register for April 1, 2026, through June 30, 2026. Presenter(s): Debra Martin, Pension Plans Administrator. Pension Plans Administrator Martin presented the Check Register for the specified dates; the Board had no questions. 11.3. Presentation and Discussion Re: 2027 Board Meeting Calendar (Proposed). Presenter(s): Debra Martin, Pension Plans Administrator. Pension Plans Administrator Martin presented the proposed 2027 Board meeting schedule; she noted that there is no meeting scheduled in August. Further, Pension Administration is developing a schedule of presenters and there are currently no fund managers for June, October, or December. Should no fund managers be scheduled and no Board business is required on a specific meeting date, that meeting may not be held. All meetings are scheduled for Thursdays at 8.15 a.m. in Commission Chambers. The Board approved the 2027 Board Meeting Calendar by consensus. At Attorney Kaufman’s request, the Trustees confirmed they will be available to attend the Pangallo hearing either in person or telephonically. Pension Plans Administrator Martin noted that 2 of the Trustees are active Police Officers. At Secretary/Treasurer Griggs’ request, the Board addressed the Public Input. Trustee Grant Hudgins asked for any discussions and decisions regarding pension calculations be deferred until the entire Board is present, either at a regular meeting or a special meeting; Vice Chair Baty agreed. Attorney Kaufman proposed the matter be added as an agenda item for the Board’s October 22, 2026, regular meeting.

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 12 of 14 Regarding Mr. Urbain’s request for the process to dispute a Plan decision, Attorney Kaufman advised that the Summary Plan Description, item 15, Claims Procedures Before the Board, which is authorized by Section 24-82 of City Ordinances, provides a process for members, retirees, beneficiaries, and other affected persons, to dispute a Plan decision. The Plan’s Operating Rules, Rule 14- Claims Procedures similarly outlines the administrative process by which the Board grants an administrative hearing. While the member at issue intends to enter the DROP in January 2027, if the member makes a written request on the matter to the Board, the Board could conduct an initial hearing. Alternately, the Board could authorize Attorney Kaufman to write a legal opinion to be presented at the October 22, 2026, regular meeting; a legal opinion would review all applicable Plan documents and procedures and address all actuarial and legal issues. Trustee Grant Hudgins expressed support for authorizing Attorney Kaufman to issue a legal opinion; to his question, Attorney Kaufman advised that, should the Board amend the Plan’s calculation process after the member at issue enters the DROP, the Board could authorize that member’s benefit to be retroactively cured to the amended process. Vice Chair Baty expressed concern that any potential change in the calculations of benefits may not comport with existing contracts between the SPOA and City; further, any change in process which does not comport with the controlling ordinance(s) must be approved by the City Commission before the change could be implemented. Secretary/Treasurer Griggs advised that, should the Board direct Attorney Kaufman to draft a legal opinion, she as City Auditor and Clerk will be required to ask the City Attorney for a legal opinion on the matter; this will involve the City’s Manager’s, Finance, and Human Resources offices. The Board and Attorney Kaufman discussed the Board’s responsibility to apply and administer the existing City Ordinances as written and make interpretive determinations under the Plan as needed. Vice Chair Baty noted that the Board may not make assumptions in its application of Plan provisions. Attorney Kaufman advised that a legal opinion may clarify and protect the Board’s actions; alternately, the Board could wait for the member at issue to bring a claim to the Board, although considering the member has not received a final calculation of benefits, a claim may be premature for submission. Pension Plan Administration Martin noted that Pension Administration has performed more than 12 estimated calculations for the member at issue and will perform the final calculation after the member submits an application for retirement benefits. She asserted that Pension Administration has consistently applied the controlling

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 13 of 14 provisions during her tenure as Plan Administrator, as well as before her employment, based on her review of Pension records. Attorney Kaufman reiterated that a formal legal opinion from the Plan’s attorney would protect the trustees as Plan fiduciaries. Trustee Grant Hudgins acknowledged that obtaining a legal opinion from Plan counsel will escalate the issue to several other City departments but asserted that a legal opinion would be necessary. Trustee Grant Hudgins made a motion to direct Attorney Kaufman to draft a legal opinion regarding the matter; Trustee Jody Hudgins seconded the motion. The motion passed (3-1) with Secretary/Treasurer Griggs dissenting. Secretary/Treasurer Griggs advised the Board that she will notify the aforementioned departments as well as the appropriate collective bargaining units; Vice Chair Baty reiterated his concerns that changes to existing Plan provisions may contradict current collective bargaining contracts and that changes may be subject to City Commission approval. Secretary/Treasurer Griggs and Attorney Kaufman agreed that Pension Administration has been calculating benefits in accordance with the current City ordinances. To Trustee Jody Hudgins’ question, Attorney Kaufman advised that the Board is entitled to an, “executive session,” during which it contemplates a matter in private, only while it is considering active and pending litigation; all other Board business must be conducted in public. 12. Adjourn: Vice Chair Baty adjourned the meeting at 9:50 a.m.

Draft Minutes of the Police Officers’ Pension Plan Board of Trustees Regular Board Meeting September at 8 a.m. in the Sarasota City Commission Chambers24, 2026, :15 Page 14 of 14 ________________________________ Chair Tyler Rossnagle ___________________________________ Secretary/Treasurer Shayla Griggs

Police Officers' Pension Plan Board of Trustees Regular Meeting

POLICE OFFICERS' PENSION PLAN BOARD OF TRUSTEES REGULAR MEETING

07:30 a.m. September 24, 2026

MEETING NOTICE AND FINAL PUBLISHED AGENDA

Click to View the Meeting Notice and Final Published Agenda.

1.

CALL MEETING TO ORDER: Presenter(s): Vice Chair Baty.

2.

PLEDGE OF ALLEGIANCE: Presenter(s): Secretary/Treasurer Griggs

3.

PLEDGE OF CONDUCT: Presenter(s): Vice Chair Baty.

"We may disagree, but we will be respectful of one another. We will direct all comments to issues."

4.

ROLL CALL: Presenter(s): Debra Martin, Pension Plans Administrator.

5.

PUBLIC INPUT:

Click to View Public Comment Cards

6.

APPROVAL OF MINUTES:

6.1.

Approval Re: Minutes of the Police Officers' Pension Plan Board of Trustees Regular Meeting of June 25, 2026. Presenter(s): Vice Chair Baty.

Click to View Backup Materials.

7.

BOARD ELECTIONS:

7.1.

Nomination Re: Police Officers' Pension Plan Board of Trustees Seat PP5, for Term February 1, 2027 - January 31, 2031, Currently Held by Ronnie Baty. Presenter(s): Secretary/Treasurer Griggs.

8.

RETIREMENT REQUEST(S):

8.1.

Approval Re: The Vested Deferred Retirement Request of Brian Arnold. Presenter: Debra Martin, Pension Plans Administrator.

Click to View Backup Materials.

8.2.

Approval Re: The DROP Retirement Request of Michael Schwieterman. Presenter: Debra Martin, Pension Plans Administrator.

Click to View Backup Materials.

9.

INVESTMENT PERFORMANCE REVIEW:

9.1.

Presentation and Discussion Re: Allspring Global, Performance Report for Period June 30, 2026. Presenter(s): Ozo A. Jaculewicz, CFA, Associate Portfolio Manager, Senior Portfolio Specialist (Telephonic); Dann Smith, Senior Director, Institutional Client Group; Allspring Global.

Click to View Backup Materials.

9.2.

the conference number. Please enter your access To complicate you. Interviewed them about these ran to your access code. For the first party to join the call. want change special. This is to be have that. of We'll see if it turns into something. >> It's going to sell. lot of sense. ? ? >> Thank you for calling me the conference number. Please enter your access You're the first party to join the call. >> he said just Do you got the beach this morning? >> I'm sure I drove this the way for 15. Just pulled in I'm like. James The calling the Grant is on its way okay. Okay. >> have a couple minute delay because our 3rd members on the way and now I think you work last night. So Will team? With this Sorry the has and you work less than I this little and so. You know where your ways. >> So much this going. >> started Call to order the Sarasota police officers who mention board trustees 9/24/2026 first on the agenda will be the Pledge of Allegiance. Air. >> Republic for which stands nation under God, indivisible, with liberty and justice for all. >> Next would be the code conduct. We may disagree but we will be to one another. We will direct all our comments to issues. We will not engage in >> next, the roll call >> Chair or a snake Vice Chair Beatty president Secretary Greg President trust Gertie Hagins. >> Credit mark telephone. >> Trustee, Grant Hudgens president. Next on the agenda with the public and put his or any public We do okay. Would you come down? can come together like? You should get 3 minutes. Whoever was the first introduce yourself for the record. >> My name is Eric are the president of the Union that represents the. and sergeants of this Sarasota Police Department. Just have a couple basically appealing pension figures that were brought to our attention with recent developments. How does the process of appealing a pension figure work if some were to basically go? >> You know, questions public comment know. >> It's just when you try to calm religious It. If someone could address how that process would as I look through. The summary plan description and the pension fund that's not clearly laid out and members of trying to find that. And we're looking for direction and asked me to come and get guidance on that. So if that is in writing somewhere or there is guidance on that, they would like that or information on where to find that. And then the other questions will be where they would find the description of how that process works. And then what that appeal to the pension board would look like. And that's basically all we have. You're looking for some collaboration or discussion on that. But office not any back and forth. And that's all the questions or comments that we have. And just so I can dress I want to make sure all know during public comment, don't go back and forth that we can address. It will adjust as a board later. >> Just just so, you know, I just want to see you think that we will talk about it at all. We just don't do that during the public comment process. This is your time to speak. We'll let you speak and we don't interrupt. So that's don't you think that we're going to ignore no presentations Yeah. You have. >> Did you have your own separate the vice president for the same >> We represent the officers, the sergeants and crime scene. We have been in communication with all the tenants as well. So Lieutenant Jeff Steiner, who represents all the lieutenant of the police department, it was brought to our attention that. Somebody that is looking to go into the drop in January, had his numbers were off, according to his calculations. So I started digging into why the numbers were different from what he thought it was going to be. Turns out he did different. Then the way I guess pensions normally does calculations. There's conversation from my understanding that ended up resulting in him consulting with the attorney. Of the pension board and possibly had a different recommendation. And then there was no change in how the city court city code. interpret it. So we're just trying to get clarification if there was a recommendation, why are we so going forward the same way? you know, nothing else. know, I can think that. Thank you. Thank you. All >> Next on the agenda will be the approval of the minute. The regular meeting of June 20 failed 2020 >> I still live approval of the I'll second. Goal. >> Vice chair baby. Yes, secretary Treasurer, Greg's yes, trustee, Jodi Hagins. Trustee, Grant Hutchins. Yes. of us. >> Next on the agenda will be born election Police officers, pension board trustees PP 5 for a term of February. First 2027 to January 31st. 2031. >> So that this this is your seats that this is up nominations and will open up the floor of the nomination. >> I'd like to run dating. I was like to concur with that as If you have, if you want to all except. >> Okay. So on that note, we have the nomination. I'm on the floor for to reappoint Mister renovated to the police officers pension board. Can we get a roll call vote. Vice chair of a committee vote. know, okay. Haha. >> Secretary Treasurer Greg as trustee, Jodi Hudgens. Trustee, Grant coaches. Yes. >> Motion 30 so far So and I've been through, I don't know how many board members. So I always said I would stay as long as they wanted me to where I was capable of doing the job. >> appreciate you. the had a birthday another year down. Thank Thank Next would be retiring request. The investment deferred Time request of Brian. >> Ryan, separated from the city 1/3/2015, he left his funds and the plan hasn't. And now he is requesting a dip for benefit. He had 12.6, 5 years of service and he has selected the 100% to join a new election. You have a motion make a motion to approve. have a motion and a second. Vice chair of 80. Yes, secretary Treasurer, trustee, Jodi Hagins. >> Trustee Grant Jones. Yes. >> Good next will be approval of the drop request. By Michael. I think it's short sermon okay. Denver. >> It's officer Schwieterman on at the age of 52 has requested to enter into the drop after 26 point 5 years of service. He did. He was not interested any of the joint annuitant options. So he is just requesting the the lifetime only benefit. >> I'd like to make a motion to approve. I'll second we have a motion a second roll call. >> Vice Chair Beatty. Yes, secretary Treasurer Greg trustee, Jodi Hagins. Trustee, Grant Hudgens. Yes. Motion carries unanimously. >> Next on agenda with the investment performance review presentation and discussion Allspring global. Good morning. You have 15 when identify yourself for the record, please. Yes, sir. And more. >> Dan Smith, senior director of the Institutional Client Group at Allspring Global Investments. I actually did ask my zooming live edge. use of joining us toll on plate. as that, you can just quickly confirm you can hear us so we can hear you. you are >> Good morning to the board is to I can hear you. >> As we get it wonderfully. We greatly appreciate the opportunity to come and visit with you today. >> I'm just real quickly. at 30,000 What's happening with all spring? We are coming up on our 5th anniversary of our our separation from Wells Fargo and launching as an independent company on Page 2, the presentation material that we provided to you things are going very, very well for 642 billion dollars total assets under management as a high watermark for us as an organization, no example of The success we've had a as an independent company is that continue to grow and continue to do well on that front. No, no to the to the firm firm. Up from a personal perspective, we're still 1250 investment professional strong. We did announced earlier this year the acquisition of a fixed income company in New York called G I a adding to our capabilities. They are emerging markets. Debt managers, not right. Not germane to what we do for you, but just kind of an example of how we're continuing to grow both organically and work and in organically and we'll continue to look for the right opportunities on that front. So really, no other no other changes to speak of. from perspective. We're just checking a lot. We're going to be celebrating a all spring day here in November, which is our annual Independence Day. So it I joined as always the Pelley of the asset Management business because I can't say his last name very well. I struggle with it for some asked him to join real quickly. Just to give 1000, a quick update of what's going on with the itself and not kind of what we're doing for Please ask questions as you go along as you see fit. >> Thank you, Dan. What again? Good morning to the It's a pleasure to have a chance to provide an update. The city of Sarasota police. My name so you have leave up to you. So cheap or and for the girl. Back with team. We manage what's called a firm near Growth equity strategy. More from near Grove portfolio on your behalf that portfolio in totality. And I'm not 1.6 billion in total across all of our clients. And then my team, my co-workers, other portfolio manager, we manage just over 13 billion with and all sort about how sort of investment within the and there have been no changes to the person. Now. Managing your portfolio or the investment. A lot of people in the process. Everything been steady from execution standpoint. There I'm going jump around to a couple of slides to cover the topic this morning and are there are few slides. Help provide some context to the performance. So the board to first look at flight number 14, the title at the top said balance across market cap. reason I wanted to highlight this it for that it's many of you may know U.S. large cap growth in the last couple years. I've become very concentrated. In a small number of stock, often referred to it. The magnificent 7 or sometimes the mag 8 and those stocks have become very enormous parts of the benchmark part of our universe. The premier a little bit you manage for you does have exposure for some of those megacap stocks among big stocks like Microsoft, Google and others. But we are meaningfully underweight. You can see on the left of the slide. We have 33% of your portfolio in those big void, if you will. And that significantly lower than the benchmark at 55%. We are taking a dedicated and intentional that. On mid cap stocks. If you move to the right of the slide, you will see that we have 20% of your portfolio allocated to stocks between 50 100 Billion. We call those mid to large cap stock. And then we have 19% of your portfolio allocated 2 stocks between 10 50 billion market cap. But that is the unintentional sort of structure of the bond of the portfolio. We believe mid cap stocks. Very attractive growth. And they're not as crowded. They don't have quite as high valuations as a group. Some of the cap stock. We are manager. We have killed. Or does cap in fact, on slide 12 of the materials. You can see that we've actually been reducing in recent years, the way in the portfolio to those magnificent 7 stocks. It's been coming down. It's currently around. 25% your portfolio. We have, you know, wins or the portfolio. But market brought out. From just a narrow group of stocks that are driving the One last thing about the you may be aware of already. I want to point out. The benchmark, the Russell 1000 growth index. Now has around 55% of the portfolio of the in evening intend stocks. The index itself has become non diversified. We are choosing to remain diversified in your portfolio. We between and 70 stocks in the portfolio. And we're not allowing, you know, the name the top names of the portfolio to become 10, 12, 15% of your portfolio like they are in the index. The index actually fail the roles for diversification. You have to keep that in mind when looking at performance, we're now in an environment where the Russell 1000 growth is largely driven or dictated. I very small number of stocks. Again, about stocks kind of run the show. just jump on track to explain performance, which is on slide 7. The materials. Out make couple comments. The highlight what's been going on with performance. And that will cause to keep the board of the new questions. This is snapshot of the performance for June of this year. Through You're today more fun with pop around 7.4%. And the benchmark was up 5.3%. So we were about 2% ahead of the index. The middle of this year. So far this year. What's been driving the portfolio? We have a slide show that the next slide slide. 8. This slide is highlighting what role? What health the fun in the 2nd quarter. We had a very good 2nd quarter. The of over 18%. And if you look at the stocks that drove to the returns in the portfolio. Really? It's almost all connected to eye. The market environment in so far this year 2026, it's basically been a icebox. And everything else. Every to rallied a bit because of the war in Iran. But outside of that. What's been really driving the market? And stocks connected to the build out. They are and the infrastructure. What's very interesting to look at the list of stocks on flight a Micron and the scale I e gate. These are semiconductor companies. What's happening in the stock market is. It's broadening trained. The big hyperscale are like Amazon, Google. Microsoft are spending a huge amount of capital the build out a I and for a number of years, their stock price to me there. Stock prices rising. They were investing more. That trend changed this year. year. It's the picks and shovels. It's the company that are benefiting from all of that spending started to leave the market. And that's what's really been the key driver performance in the 1st half of the year. There are parts of the stock market generally have lagged for the most part. Now of course, there are some locations month to month. But the main theme of this year has been a I. And everything Well, that's what helped the bond. We have been positioned or the winner of that spending. We are bullish on the build out of AI. We believe it's going to be a long-term growth trend. Now, the one year performance flipping back to slide 7. a high UV index. Your about 12.6% for the trailing 12 Month. The index to about 17.7%. When you unpack the underperformance over past year, it really boils down to our conditioning around those megacap stocks. You can see that on slide 9. The fact that we were underweight or did not own Apple. And out of that, which is Google. Almost explain the entire amount of underperformance and the trailing 12 months. And I put on a year so make it count. Stocks, huge impact on the index. And for to make some good decisions to not own all of them. And create tracking there. Or variability performance. First of the index because Apple and Alphabet had a good year and we were on the way those 2 stocks. It was a drag on performance. There's a couple of other laggards over the past year. But in the interest of time. What would want really go through those too much? Finally, my last comment on the 3 year performance, the 3 year performance is quite strong for the through June. The bond was up. 23% compounded returns. But the index, which will that 22.5, 8% that 3 year performance of your pond ranked in the top 3rd of all large cap growth managers in the investment alliance, state of things. The last 3 years we've outperformed roughly 70%. Our peers managed portfolios similar to ours. We've got quite well. We're we're on. We're on a pretty good run of performance. One of the slides in the DEC flight 15 break out the performance of the strategy. Year-by-year each calendar year. You can go back and see how we did that person is the benchmark going back over 20 plus years? We are. our 3rd year in a row of performing in the top half versus our peer group. 2020 for 2025 and so far in 2026. The fog. is reporting in a very competitive position. We're competing against an index that's very top heavy and not diversified. And we're making very intentional that. Particularly I and a few other teams that we have expressed the portfolio and to the board. I'd like to their out there. If there are any questions. >> Good morning us. My name is Grant Hudgens. I just had a to go back to slide. 7 as it relates to your 5. Would you attribute missing the benchmark on your 5? Also to the under way on megacap stocks. >> Yes, thank you for the question. I did not address a lot of 5 year performance. There's there's 2 factors that had that impacted the difficult 5. Your number. Yes, the first is your observation. The fact that we were underweight megacap stocks that frankly have been dominating up until recently in the last 5 years has been a drag owning anything else in small cap for cap stocks generally been a source of the traction across the industry across the stock market. If you have really does walk and mega cap stocks and on to play golf, you probably would have done better. But then there's another factor. We had a difficult period in 2022. 2021. 2022 reported difficult years. The 2022 in particular with challenging because that was a very rapid rise in interest rates in 2022, that's when you play. inflation shocks started. And one of the reasons I mention that is that rising interest rates and rising inflation remain a challenge today. We are not down. Investors need stay fully invested in growth. Stocks. But if interest rates continue to shoot out for ticket will get that go up quickly that no. Greater challenge from portfolio. Growth stocks are often considered long duration in the sense that their their earnings growth for profits often out years into the future. Growth stocks are some time sensitive. changes in interest rates. That's what hurt the fund in 2022. And then we had the last couple of months, a little bit of both repeat of some of that condition. And we're hopeful that, you know, it will improve inflation should come down and hopefully come down. But I appreciate your question because it does slide or risk the market environment we're in right now. But those are the 2 main reasons answer question of why the 5, your numbers behind benchmark. And for the question. >> Just to add a little bit color to that quickly, if I risk management is a big part success right? And and I I don't want to give the idea of mansion Apple and Google. We own those in the morning 6% position on Apple. I think it's like 4, 5%, on roll only earning less than and X-rays. That is a decision that you can make is a risk management decision that the team is made as far as just having first bite. This is a sure. So we've you know what we might have gained in the short term for some stability that that would be Yes, absolutely. The is perhaps the stocks are going to the moon forever when they come back down. What makes sense for sure. >> Joe, do you have any questions? >> I do not want thank you. All right. >> Thank you for presentation. Absolutely. Thank you very much. But I think that the board, thank you very much for your Thank you, gentlemen. >> Next on the agenda will be presentation and discussion. A national investment services. Please introduce yourself for the record. Please. Good morning. my real from a national investment based in Chicago. On the sales and marketing client service team alongside me is a new addition are from Frank De Falco. Who are recently retired Miramar police officer, former a trustee and chairman of the punishment for many, many years as significant, a 10 year law enforcement will be handling a marketing and client service process. Well, in the southeast area alongside me. Joining us today is Mark Anderson on the on the phone market is our chief strategy officer on Milwaukee. Just confirmed. Can you hear us? >> Good morning. Yes, Mark Anderson, thank you. weekend here. OK, thank you. >> Appreciate the the annual update. Once again, we've just reached 10 year anniversary. Managing a core fixed income portfolio for the Sarasota Police Pension Fund. So thank you for the opportunity to serve serve the members. I'm just really quick and the material on Page 4, I'll go through kind of who we are. As a reminder what we do we've been doing for the pension fund and then I'm Mark Anderson is going to go through the performance of the portfolio. Our position in the characteristics and fixed income. It's been a very exciting. You're in fixed income and how what we're seeing moving forward. So very briefly out again, we've been in business for over 30 years as a fixed income manager, mostly high grade portfolios in court and intermediate. So we've been doing that for many, many We don't have any other crimes have been fixed. Income fixed income only for entire a 10 years as a van. And you're in the market. From a 10,000 foot view, a new milestones of the company reached 19.4 billion in assets as of 6.30. 26. So we had a nice steady growth and our client base We've done a lot of reinvesting in the company over those years with technology, compliance, staffing. We've added for investment professional star team in Milwaukee over the last 5 years. So it really trying to keep our consistent philosophy, the stability. We know our role in your portfolios to mainly maintain liquidity, stability and be the anchor your pension fund allocation. And try to build an incremental yield as well along the way. And what has been up until recently, a very low and low yield environment. So now we're seeing higher yields in the portfolio. How higher yields in the marketplace and so forth. Pretty pretty confident. Moving and what we're doing. I'm really quick on Page 5 is just a snapshot of represent clients. We have 20 Florida institutional clients now for a little over 300 million dollars. And within the public fund sector in general, we have 32 total public funds across the country for 1.2 billion dollars. The strategy that we've been managing for the fund for the last 10 flagship product core fixed income. We have a little over 8 billion dollars in that product. I'll have more start to discuss the performance on Page 7 in the results that we've been able to achieve. This is through August 31st of 2026. both gross and net of fees. And so, Mark, I'll let you take it over from here. >> Thank you, Ray. Thank the Mark Anderson chief strategy officer at and I For the record my presentation starts on Page 7. That's great. Indicated. Yeah. year to it's been a little challenging in the bond the bond market, it's really up for a long letter for what is going on in Washington, is far the interest rate policy. The end it's reflective in foreign policy as well as what's going on in the Middle East. That and with tariffs have certainly pressure the inflation market and the bond market that just that with higher interest rates, which is not a bad thing moving forward, but going through the higher rate environment means need return or bond. Investors like UPS. What we so you can see the year to date. Number 3, August is roughly flat. And at the same time we're flat with the index. We have been taking. A relative approach to bond the board gave us a little more latitude in our ability to Triple B security with our overall credit rating. We have not taken advantage of that because we haven't found that to be the sweet spot in the Quite the contrary, we've been trying to up our look we put it to be an overall rating in the portfolio over the better part of 8 to 12 months because of all all of the underlying uncertainties. Now, what's not depicted on Page 7, but what is, you know, inherent in the returns tree and that we're generating for the plan is likely lower volatility and the index. Our goal at an eye out. It's really too, you know, outperform the index with lower volatility. Year to date. You. it. She being in line numbers would be ended, but the lower volatility. So that's something that, you know, we're trying to put the yield in the portfolio every day. But cognizant of the uncertainty in the marketplace right now. And that's been evident in the new Fed chair and how