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Home My WebLink About3. FFPB Minutes 05/11/2015MINUTES OF REGULAR MEETING OF THE BOARD OF TRUSTEES MOUNT PROSPECT FIREFIGHTERS' PENSION FUND MONDAY, MAY 119 2015 A regular meeting of the Board of Trustees of the Mount Prospect Firefighters' Pension Fund was held on Monday, May 11, 2015 at 8:30 am at 112 East Northwest Highway, Mount Prospect, Illinois, pursuant to notice. CALL TO ORDER: The meeting was called to order by Trustee Erb at 8:30am. PRESENT: Trustees Sam Baas, Jim East, Dave Erb and Joe Knoll ABSENT: Trustee John Malcolm ALSO PRESENT: Mary Nye and Howard Pohl, The Bogdahn Group; Sara Williams, Lauterbach & Amen, LLP PUBLIC COMMENT: None APPROVAL OF MEETING MINUTES: The minutes from the regular meeting of January 27, 2015 were reviewed by the Board. A motion was made by Trustee Baas and seconded by Trustee East to approve the minutes of the regular meeting on January 27, 2015 as written. Motion carried unanimously by voice vote. TREASURER'S REPORT: Quarterly Financial Report: The Board reviewed the Financial Statement prepared by Treasurer Erb for the quarter ending March 31, 2015. The total market value of the fund as of 03/31/2015 is $58,552,343. The unrealized gain is $40,248 for the quarter. A list of all vendor disbursements for the quarter was included in the report, totaling $34,059.32. The report also included a summary of all investment activity for the quarter, and a detailed schedule of investment holdings as of 03/31/2015. All questions were answered by Trustee Erb. A motion was made by Trustee East and seconded by Trustee Baas to accept the financial report for the period ending 03/31/2015, as presented by Trustee Erb. Motion carried by unanimous voice vote. A motion was made by Trustee Baas and seconded by Trustee East to approve the vendor disbursements for the third quarter in the amount of $34,059.32. Motion carried by roll call vote AYES: Trustees Baas, East and Erb NAYS: None ABSENT: Trustees Knoll and Malcolm Trustee Knoll arrived to the meeting at 8: 41 am. INVESTMENT REPORT: Mary Nye and Howard Pohl from the Boghdan Group presented the Quarterly Investment Report. Howard Pohl discussed the long term market value of the fund, along with the risk -reward analysis, current and projected market conditions. Mary Nye presented the investment report for the period ending March 31, 2015. As of 03/31/2015, the market value of the portfolio is $57,821,672. Investment return is $1,726,297; 3.08% for the quarter. The portfolio composition is 55.6% in domestic equities, 7.2% in international equities, 34.8% in domestic fixed income, and 2.5% in cash and equivalent. Current asset allocations within the equity and fixed income funds were reviewed, as well as individual fund performance, and investment fees. Page 2 of 12 Mount Prospect Firefighters' Pension Fund Minutes of Meeting Page 2 Ms. Nye recommends to the Board the transfer of $2,500,000 from the Vanguard Morgan Growth fund into the Principal Real Estate fund as previously approved. The Bogdhan Group also recommends the transfer of $500,000 from the AF — Growth equity fund and $1,000,000 from the T Rowe Price equity fund into the EuroPacific equity fund. The Bogdan Group also recommends moving $1,500,000 from the Segall Bryant fixed income portfolio and transferring $1,000,000 into the Gallliard fixed income portfolio and $500,000 into the EuroPacific equity fund. All questions were answered by the representatives from The Bogdahn Group. A motion was made by Trustee Baas and seconded by Trustee East to accept the investment report as presented. Motion carried unanimously by voice vote. Wells Fargo Contract: The Bogdhan Group discussed snaking Wells Fargo the custodian of the Mutual Fund accounts. A motion was made by Trustee East and seconded by Trustee Baas to approve the Wells Fargo contract agreement to become the custodian of the Mutual Fund accounts. Motion carried unanimously by voice vote. Segul BryuntAddendurn: The Bogdan Group discussed the negotiation with Segall Bryant regarding the current fee structure. Segall Bryant has agreed to a lower fee amount, and requires a signature on a contract addendum. A motion was made by Trustee Knoll and seconded by Trustee Baas to allow the Treasure's signature on the Contract Addendum with Segal Bryant as reviewed by Board Counsel. Motion carried unanimously by voice vote. Tom Radja of Collins & Radja arrived to the meeting at 8: 55am COMMUNICATIONS AND REPORTS: Affidavits of Continuing Eligibility: Lauterbach & Amen reported to the Board that two affidavits remain outstanding. The Board directed Tom Radja of Collins & Radja to follow up regarding communication with Pensioner Thomas Reynolds, and Trustee Erb will provide accurate contact information for the Disabled Depended Pensioner at This and That Special Needs Trust. An update of the status of responses will be provided at the next regular meeting. Statements of Economic Interest: The Board was reminded that all Statements of Economic Interest were due to the County no later than May 1, 2015. ADMISSIONS/WITHDRAWALS FROM THE PENSION FUND: Joseph Wysong— Contribution Refund: Joseph Wysong resigned from the Mt. Prospect Firefighters Department on April 13, 2015. Trustee Erb will notify Mr. Wysong of the amount of contributions left with the Pension Fund, and instructions of recovering those funds. A motion was made by Trustee Knoll and seconded by Trustee Baas to remit payment of a contribution refund to Joseph Wysong pending his notification and request. Motion carried by roll call vote. AYES: Trustees Baas, East, Erb and Knoll NAYS: None ABSENT: Trustee Malcolm Trustee Knoll noted the receipt of the Applications for Membership into the Pension Fund of several new hires. Approval of these applications will be conducted at the next regular meeting. Page 3 of 12 Mount Prospect Firefighters' Pension Fund Minutes of Meeting Page 3 RETIREMENT AND DISABILITY APPLICATIONS: Tom Willming — The Board noted that an appeal is pending in the case of Mr. Willming. At the present time, the Board has found that Mr. Willming is not eligible for a benefit. An update of the appeal status will be provided at the next regular meeting. Discussion of Benefit Discrepancies: The Board discussed the Benefit discrepancies uncovered by the 2013 DOI Annual Statement. An update will be provided at the next regular meeting. OLD BUSINESS: Trustee Training Updates: Sara Williams reminded all Trustees to provide any copies of Trustee Training certificates to Lauterbach & Amen for record keeping. Upcoming Trustee Training opportunities were discussed. NEW BUSINESS: Trustee Election Results: Lauterbach & Amen conducted the 2015 Trustee election for the expiring Retired Member Trustee position currently held by Sam Baas. Mr. Baas was elected by acclamation to the position of Retired Member Trustee for a three-year term ending April 30, 2018. A motion was made by Trustee Knoll and seconded by Trustee East to certify the election results electing by acclamation, Sam Baas to the position of Retired Member Trustee for a three year term beginning May 1, 2015 and expiring April 30, 2018. Motion unanimously by voice vote. Board Officer Elections: The Board discussed the election of Board Officers. Election of Officers has been tabled until the next regular meeting. Review Proposals for Legal Counsel: Discussion has been tabled until the next regular meeting. ATTORNEY REPORT: Tom Radja of Collins & Radja discussed with the Board the pending disability case of Firefighter Torrie Takoy. Upon receipt and distribution of the complete medical records, a hearing date will be set. Possible dates were discussed and will be reviewed by all involved individuals. Mr. Radja reviewed recent court cases ruling and legislation pertaining to pension funds. Any activity will be closely monitored by Collins & Radja and reported to the Board at the next regular meeting. CLOSED SESSION: There was no Closed Session needed. ADJOURNMENT: A motion was made by Trustee Baas and seconded by Trustee Knoll to adjourn the meeting at 9:34am. Motion carried unanimously by voice vote. The next regular meeting is scheduled for TUESDAY, JULY 28, 2015 at 8:30am at 112 East Northwest Highway, Mount Prospect, Illinois. Date Approved by Board Joseph Knoll, Board Secretary Minutes prepared by Sana Williams, Pension Services Administrator, Lauterbach & Amen, LLP Page 4 of 12