With respect to the fund, the Board shall have the following
powers, rights and duties, in addition to those vested in it elsewhere
in the plan or by law, unless such duties are delegated to a named
fiduciary:
A. To retain in cash so much of the fund as it deems advisable and to
deposit any cash so retained in any bank or similar financial institution
(including any such institution which may be appointed to serve as
trustee hereunder), without liability for interest thereon.
B. To invest and reinvest the principal and income of the fund and keep
said fund invested, without distinction between principal and income,
in securities which are at the time legal investments for fiduciaries
under the Pennsylvania Fiduciaries Investment Act, or as the same
may be subsequently modified or amended.
C. To sell property held in the fund at either public or private sale
for cash or on credit at such times as it may deem appropriate, to
exchange such property, and to grant options for the purchase or exchange
thereof.
D. To consent to and participate in any plan of reorganization, consolidation,
merger, extension or other similar plan affecting property held in
the fund and to consent to any contract, lease, mortgage, purchase,
sale or other action by any corporation pursuant to any such plan.
E. To exercise all conversion and subscription rights pertaining to
property held in the fund.
F. To exercise all voting rights with respect to property held in the
fund and in connection therewith to grant proxies, discretionary or
otherwise.
G. To place money at any time in a deposit bank deemed to be appropriate
for the purposes of this plan no matter where situated, including,
in those cases where a bank has been appointed to serve as trustee
hereunder, the savings department of its own commercial bank.
H. In addition to the foregoing powers, the Board shall also have all
of the powers, rights, and privileges conferred upon trustees by the
Pennsylvania Fiduciaries Investment Act, or as the same may be subsequently
modified or amended, and the power to do all acts, take all proceedings
and execute all rights and privileges, although not specifically mentioned
herein, as the Board may deem necessary to administer the fund.
I. To maintain and invest the assets of this plan on a collective and
commingled basis with the assets of other pension plans maintained
by the Board and/or City, provided that the assets of each respective
plan shall be accounted for and administered separately.
J. To invest the assets of the fund in any collective commingled trust
fund maintained by a bank or trust company, including any bank or
trust company which may act as a trustee hereunder. In this connection,
the commingling of the assets of this plan with assets of other eligible,
participating plans through such a medium is hereby specifically authorized.
Any assets of the plan which may be so added to such collective trusts
shall be subject to all of the provisions of the applicable declaration
of trust, as amended from time to time, which declaration, if required
by its terms or by applicable law, is hereby adopted as part of the
plan, to the extent of the participation in such collective or commingled
trust fund by the plan.
K. To make any payment or distribution required or advisable to carry
out the provisions of the plan, provided that if a trustee is appointed
by the Board, such trustee shall make such distribution only at the
direction of the Board.
L. To compromise, contest, arbitrate, enforce or abandon claims and
demands with respect to the plan.
M. To retain any funds or property subject to any dispute without liability
for the payment of interest thereon and to decline to make payment
or delivery thereof until final adjudication is made by a court of
competent jurisdiction.
N. To pay, and to deduct from and charge against the fund, any taxes
which may be imposed thereon, whether with respect to the income,
property or transfer thereof, or upon or with respect to the interest
of any person therein, which the fund is required to pay and to contest,
in its discretion, the validity or amount of any tax, assessment,
claim or demand which may be levied or made against or in respect
of the fund, the income, property or transfer thereof, or in any matter
or thing connected therewith.
O. To appoint any persons or firms (including but not limited to accountants,
investment advisors, counsel, actuaries, physicians, appraisers, consultants,
professional plan administrators and other specialists) or otherwise
act to secure specialized advice or assistance, as it deems necessary
or desirable in connection with the management of the fund; to the
extent not prohibited by applicable law, the Board shall be entitled
to rely conclusively upon and shall be fully protected in any action
or omission taken by it in good faith reliance upon the advice or
opinion of such persons or firms, provided such persons or firms were
prudently chosen by the Board, taking into account the interests of
the members and beneficiaries and with due regard to the ability of
the persons or firms to perform their assigned functions.
P. To retain the services of one or more persons or firms for the management
of (including the power to acquire and dispose of) all or any part
of the fund assets, provided that each of such persons or firms is
registered as an investment advisor under the Investment Advisors
Act of 1940, is a bank (as defined in that Act), or is an insurance
company qualified to manage, acquire or dispose of pension trust assets
under the laws of more than one state (an "investment manager"); in
such event, the employer shall follow the directions of such investment
manager or managers with respect to the acquisition and disposition
of fund assets but shall not be liable for the acts or omissions of
such investment manager or managers, nor shall it be under any obligation
to review or otherwise manage any fund assets which are subject to
the management of such investment manager or managers. If the Board
appoints a trustee, the trustee shall not be permitted to retain such
an investment manager except with the express written consent of the
Board.
The Board shall not be required to make separate investments
for individual members or to maintain separate investments for each
member's account but may invest contributions and any profits
or gains therefrom in common investments.
If a trustee or custodian is appointed, the fund shall be evaluated
annually, or at more frequent intervals, by the trustee or custodian
and a written accounting rendered as of each fiscal year end of the
fund, and as of the effective date of any removal or resignation of
the trustee or custodian, and such additional dates as requested by
the Board, showing the condition of the fund and all receipts, disbursements
and other transactions effected by the trustee or custodian during
the period covered by the accounting, based on fair market values
prevailing as of such date.
All determinations as to the value of the assets of the fund,
and as to the amount of the liabilities thereof, shall be made by
the Board or its appointed trustee, whose decisions shall be final
and conclusive and binding on all parties hereto, including the members,
the beneficiaries and their estates. In making any such determination,
the Board or trustee shall be entitled to seek and rely upon the opinion
of or any information furnished by brokers, appraisers and other experts
and shall also be entitled to rely upon reports as to sales and quotations,
both on security exchanges and otherwise as contained in newspapers
and in financial publications.