AGENDA

MEETING OF THE
STATE BOARD OF ADMINISTRATION

(Contact Person: Dorothy Westwood - (850) 488-4406)
THE CAPITOL
TALLAHASSEE, FLORIDA
May 7, 2002

1. APPROVAL OF MINUTES OF MEETING HELD APRIL 23, 2002. (Att. #1)

2. APPROVAL OF TREASURER GALLAGHER'S RE-APPOINTMENT OF MR. DON BURTON TO THE INVESTMENT ADVISORY COUNCIL.

3. DC STATISTICAL REPORT. (Backup to follow).

4. PEORP BUNDLED PROVIDER STATUS REPORT - Information only. (Backup to follow).

5. PROPOSED TWO-MONTH PAYMENT HOLIDAY.

In keeping with the SBA's practice to maintain a fund balance in the Administrative Expense Trust Fund equal to no more than approximately one year's operating expense, the SBA periodically allows trust fund clients a payment holiday for investment management services. The current estimated end of year fund balance is projected to be *$32.5 million, and the two-month holiday will reduce this balance to $28.7 million. The SBA would like to propose such a payment holiday for the last two months of fiscal year 2001-2002. This will provide an estimated savings of $3.8 million to our trust fund clients. (Att.#5)

*Current projection includes $1.75 million that is set aside for the replacement of the Global Portfolio Valuation System (GPVS) per our 2000-2001 budget request.

6. ALLIANCE CAPITAL MANAGEMENT LITIGATION UPDATE (Backup to follow).

7. REPORT BY THE EXECUTIVE DIRECTOR.

Submitted for information and review is the Fund Activity Analysis report for the month of February 2002. (Att. #7)

8. EXECUTIVE DIRECTOR SUCCESSION.