(a) There is created in cities of the first class or cities of the second class a board of trustees which shall consist of the mayor, city clerk, city treasurer, city health officer, and municipal judges of the city.
(b) The board shall receive and administer the funds collected under the provisions of this subchapter and shall have the power to make necessary rules therefor.
(c)
(1) The board shall have the authority to invest such funds as are not necessary for immediate use for payment of retirement benefits in interest-bearing securities of the State of Arkansas or certificates of the United States or any or all such securities.
(2) Subject to subdivision (c)(3) of this section, a city having a municipal judges' and clerks' pension plan with assets in excess of one hundred thousand dollars ($100,000) shall have full power to invest and reinvest the moneys of the plan and to hold, purchase, sell, assign, transfer, or dispose of any of the investments so made, as well as the proceeds of the investments and moneys. Such authority shall be implemented by the mayor and the city treasurer.
(3) The investments and reinvestments shall be made only in accordance with the prudent investor rule set forth in §§ 24-3-417 — 24-3-426 [repealed].
(4) A city having a municipal judges' and clerks' pension plan with assets in excess of one hundred thousand dollars ($100,000) may employ an investment advisor as its agent to make investment recommendations and to invest the assets pursuant to a written board investment policy, subject to the terms, conditions, limitations, and restrictions imposed by law upon investments of state retirement systems, as set forth in §§ 24-3-417 — 24-3-426 [repealed].
(5) The investment policy shall not limit the investments to interest-bearing bonds.
(6) A city, mayor, or city treasurer who complies with the requirements of § 24-3-425(a) [repealed] is not liable to the beneficiaries or to the trust for the decisions or actions of the agent to whom the function was delegated.
(7) By accepting the delegation of a trust function from the trustees of a trust that is subject to the law of this state, an agent submits to the jurisdiction of the courts of this state.
(d)
(1) The city treasurer shall be the treasurer of the board. At the direction of the board, he or she shall deposit the funds paid into the board in some suitable depository and shall draw and sign all necessary checks at the direction of the board.
(2) He or she shall execute a bond in a sum fixed by the board to guarantee his or her good faith in the handling of the funds coming into his or her hands under the provisions of this subchapter.
(e) The city clerk shall be the secretary of the board.
(f) The board shall constitute one (1) of its members as chair, who shall serve for a period of two (2) years.
(g) Meetings of the board may be called by the chair or by a majority of the members in a manner established by the board.
(h)
(1) The city clerk shall receive the sum of ten dollars ($10.00) for each and every meeting attended but shall not be paid more than fifty dollars ($50.00) in any one (1) year.
(2) All other members shall serve without pay.