The URL can be used to link to this page

Home My WebLink About01/23/2018 FFPB MinutesMOUNT PROSPECT FIREFIGHTERS' PENSION FUND Maa'A"M 1111w1wel 112 E. Northwest Highway Mount Prospect, Illinois 60056-3232 I Brian Lambel oe. Fire Chief MINUTES OF A REGULAR MEETING OF THE BOARD OF TRUSTEES TUESDAY, JANUARY 23, 2018 A regular meeting of the Board of Trustees of the Mount Prospect Firefighters' Pension Fund was held on Tuesday, January 23, 2018 at 8:30 am at the Mount Prospect Fire Station, 112 East Northwest Highway, Mount Prospect, Illinois, pursuant to notice. CALL TO ORDER: The meeting was called to order by Trustee Lambel at 8:34 am. ROLL CALL: PRESENT: Trustees Brian Lambel, Joe Knoll, Dave Erb, Sam Baas and Joe Vena ABSENT: None ALSO PRESENT: Mary Nye and Howard Pohl, AndCo Consulting; Cary Collins, Collins & Radja; and Alex Michael, Lauterbach & Amen, LLP (L&A) PUBLIC COMMENT: There was no public comment APPROVAL OF MEETING MINUTES: October 24, 2017 Regular Meeting Minutes: The Board reviewed the minutes from the October 24, 2017 regular meeting. The Board made a motion to approve the October 24, 2017 regular meeting minutes once amended with a correction to the Investment Report section. Motion carried unanimously by voice vote. Semi -Annual Review of Closed Session Meeting Minutes: The Board determined closed session meeting minutes exist and requested that a list of the minutes be completed and submitted to the Board for review at the next regular meeting. TREASURER'S REPORT: Quarterly Financial Report: The Board reviewed the Quarterly Financial Report prepared by Treasurer Erb for the quarter ending December 31, 2017. The total market value of the fund as of Decembe 31, 2017 is $66,225,796 with an unrealized loss of $88,650. The report also included an income statement, a summary of all investment activity, and a detailed schedule of investment holdings for the quarter. A motion was made by Trustee Knoll and seconded by Trustee Vena to accept the Financial Statement for the period ending December 31, 2017, as prepared by Trustee Erb. Motion carried unanimously by voice vote. Presentation and Approval of Bills: The Board was presented with the Vendor Disbursements Report for the period October 1, 2017 through December 31, 2017, for a total disbursement of $28,404. A motion was made by Trustee Knoll and seconded by Trustee Vena to approve the 2 of 88 Mount Prospect Firefighters' Pension Fund Meeting Minutes — January 23, 2018 Page 2 of 4 Vendor Disbursements Report in the amount of $28,404 as presented. Motion carried by roll call vote. AYES: Trustees Knoll, Erb, Baas, Lambel and Vena NAYS: None ABSENT: None Additional Bills, if any: There were no additional bills presented. INVESTMENT REPORT — ANDCO CONSULTING: Quarterly Investment Report: Mary Nye and Howard Pohl from AndCo Consulting presented the Quarterly Investment Report. Howard Pohl discussed the current and projected market conditions. Mary Nye presented the Quarterly Investment Report for the period ending December 31, 2017. As of December 31, 2017, the market value of the portfolio is $66,025,092 and the return on investment is $2,134,078 for the quarter. The portfolio composition is 40.4% in domestic equities, 12.3% in international equities, 34.9% in domestic fixed income, 4.8% in real estate, 0.3% in cash and 7.3% in emerging markets. Total Fund Performance was also discussed with a return of 3.35% for the quarter and a return of 16.48% for the year. Current asset allocations within the equity and fixed income funds were reviewed, as well as individual fund performance, comparative performance and investment fees. All questions were answered by Mary Nye and Howard Pohl. A motion was made by Trustee Lambel and seconded by Trustee Baas to accept the Quarterly Investment Report as presented. Motion carried unanimously by voice vote. Ms. Nye recommended liquidating $500,000 from Harding Loevner and $500,000 from Vitrus to cover the Funds' expenses. A motion was made by Trustee Erb and seconded by Trustee Knoll to accecpt Ms. Nye's recommendation to liquidate $500,000 from Harding Loevner and $500,000 from Virtus to cover operating and pension expenses. Motion carried by roll call vote. AYES: Trustees Knoll, Erb, Baas, Lambel and Vena NAYS: None ABSENT: None The Board discussed reallocating funds into Principal Real Estate queue to meet the Boards' 9% allocation. Ms. Nye informed the Board that positioning $2.7 million into the queue will meet the 9% allocation upon Principal Real Estate accepts the funds. A motion was made by Trustee Erb and seconded by Trustee Vena to reallocate $2.7 million into the queue and the Board will reconfirm the amount once the real estate manager accepts the funds. Motion carried by roll call vote. AYES: Trustees Knoll, Erb, Baas, Lambel and Vena NAYS: None ABSENT: None Review/Update Investment Policy Statement: There were no recommended changes to the Investment Policy at this time. COMMUNICATIONS AND REPORTS: Affidavits of Continued Eligibility: The Board noted that L&A mailed Affidavits of Continued Eligibility to all pensioners in January with a due date of February 5, 2018. A status update will be provided at the next scheduled meeting. 3 of 88 Mount Prospect Firefighters' Pension Fund Meeting Minutes — January 23, 2018 Page 3 of 4 Statements of Economic Interest: The Board noted that the List of Filers must be submitted to the County by the Village by February 1, 2018. Statements of Economic Interest will be sent to all registered filers who will need to respond by the deadline of May 1, 2018. 2018 IRS Mileage Rate: The Board noted that the IRS standard business mileage rate used for reimbursement increased to $0.545 per mile effective January 1, 2018. A motion was made by Trustee Vena and seconded by Trustee Erb to accept the Communications and Reports section. APPLICATIONS FOR MEMBERSHIP/WITHDRAWALS FROM THE PENSION FUND: There were no applications or withdrawals at this time. APPLICATIONS FOR RETIREMENT/DISABILITY BENEFITS: - Rescind the Application for Duty Disability Benefit — Dale Steward: The Board discussed the Duty Disability Application of Dale Steward. A motion was made by Trustee Knoll and seconded by Trustee Erb to accept the rescindment of Dale Steward's Application for Duty Disability Benefits. Motion carried unanimously by voice vote. Approve Regular Retirement Benefits — Dale Steward: The Board reviewed the regular retirement benefit calculation for Dale Steward prepared by the Village of Mount Prospect. Firefighter Steward had an original granted monthly pension of $6,467.57 with a QILDRO amount of $2,540.79 and an originally granted annual pension of $77,610.79. Approve Regular Retirement Benefits — Phil Buffalo: The Board was informed that the regular retirement benefit received by Firefighter Phil Buffalo is, $6,596.97. Approve Regular Retirement Benefits — Ken Dix: The Board was informed that the regular retirement benefit received by Firefighter Ken Dix is, $4,964.02. Approve Regular Retirement Benefits — Kevin Wilson: The Board was informed that the regular retirement benefit received by Firefighter Kevin Wilson is, $7,264.54. A motion was made by Trustee Erb and seconded by Trustee Lambel to approve the pension benefits for Dale Steward, Phil Buffalo, Ken Dix and Kevin Wilson as stated. Motion carried by roll call vote. AYES: Trustees Knoll, Erb, Baas, Lambel and Vena NAYS: None ABSENT: None OLD BUSINESS: Discussion and Possible Amendment to Rules and Regulations: The Board discussed amending the Rules and Regulations to include a procedure pertaining to applications for retirement. Mr. Collins will update the Rules and Regulations to state that when a firefighter wishes to retire they need to file their initial intent to withdraw or retire with the Fire Chief, the Board and Human Resources. Mr. Collins will email the amended Rules and Regulations to the Board. Further discussion will be held at the next regular scheduled meeting. 4 of 88 Mount Prospect Firefighters' Pension Fund Meeting Minutes — January 23, 2018 Page 4 of 4 NEW BUSINESS: Approve Annual cost of Living Adjustments (COLAs) for Pensioners: The Board reviewed the 2017 Cost of Living Adjustments (see attached) as calculated by the Village of Mount Prospect. A motion was made by Trustee Knoll and seconded by Trustee Vena to approve the 2018 Cost of Living Adjustments as required by statute and calculated by the Village of Mount Prospect. AYES: Trustees Knoll, Erb, Baas, Lambel and Vena NAYS: None ABSENT: None Review Trustee Term Expirations and Election Procedures: The Board noted that the active member term currently held by Trustee Lambel and the retired member term currently held by Trustee Baas are expiring in April 2018. Trustees Lambel and Baas expressed their wishes to remain on the Board if nominated. L&A will conduct an election on behalf of the Pension Fund for one of the two active member Trustee positions and the retired member Trustee position. IDOI Annual Statement: The Board noted that completion of the IDOI statement is currently in process. Updates will be provided to the Board as they become available. TRUSTEE TRAINING UPDATE: The Board reviewed the Trustee Training Summary and was reminded to send all training certificates to L&A for recordkeeping. ATTORNEY'S REPORT: Status of Annual Medical Examination —Jim East: The Board noted that Jim East attended his annual independent medical examination and it was determined that he remains disabled at this time. The Board approved to continue the disability benefits of Jim East based on a finding that he remains disabled and subject to further annual examinations until age 50. Status of Application for Duty Disability — Tony Minarcik: The Board noted that Mr. Collins is in the process of obtaining Mr. Minarcik's medical records. A motion was made by Trustee Erb and seconded by Trustee Lambel to direct Mr. Collins to send Mr. Minarcik for his three independent medical exams once all medical reports are received. Further discussion will be held at the next regular meeting. CLOSED SESSION, IF NEEDED: There were no items to discuss in closed session. ADJOURNMENT: A motion was made by Trustee Erb and seconded by Trustee Lambel to adjourn the meeting at 9:56 am. Motion carried unanimously by voice vote. The next regular meeting is April 24"', 2018 at 8:30 am. at 112 East Northwest Highway, Mount Prospect, Illinois. Joseph Knoll, Board Secretary Date Approved by Board Minutes prepared by Alex Michael, Pension Services Administrator, Lauterbach & Amen, LLP 5 of 88