Minutes - 03/28/2013 - Firefighter's Pension Fund BoardMINUTES OF A SPECIAL MEETING OF THE BOARD OF TRUSTEES
OAK BROOK FIREFIGHTERS' PENSION FUND
MARCH 28, 2013
A special meeting of the Board of Trustees of the Oak Brook Firefighters' Pension Fund was held on Thursday,
March 28, 2013 at 9:00 a.m., at the Butler Government Center, West Wing Training Room located at 1200 Oak
Brook Road, Oak Brook, IL 60523, pursuant to notice, to conduct special business.
CALL TO ORDER BY PRESIDING OFFICER
President Michael Erickson called the meeting to order at 9:00 a.m.
ROLL CALL
Upon roll call the following answered:
Present: President Michael Erickson, Secretary John Fagan, Trustee Mark Fleishman, Trustee Timothy
Schlindwein, Trustee George Kouba
Absent: None
Also Present: Treasurer Sharon Dangles, Jason Franken of Foster & Foster; Becky Davis of Lauterbach & Amen,
LLP (L &A)
PUBLIC COMMENT — No public was present and no comment was made.
APPROVAL OF THE PRIOR MEETING MINUTES
The Board reviewed the prior meeting minutes presented in the board meeting packet, and discussed the differences
recorded in the minutes versus the assumptions used in the actuarial report. Mr. Franken indicated that the
adjustments were noted and a revised actuarial report would be provided. A motion was made by Trustee Kouba and
seconded by Trustee Fagan to approve the January 29, 2013 regular meeting minutes as written. Motion carried
unanimously by voice vote.
12/31/2012 ACTUARIAL VALUATION — Foster and Foster
Mr. Franken distributed the 12/31/2012 Actuarial Valuation and reviewed it with the Board. The Board confirmed
the assumptions to be used in the report, and requested a letter of explanation to be drafted to the Village to explain
the changes from the 12/31/2011 Timothy W. Sharpe Actuarial Valuation and the 12/31/2012 Foster and Foster
Actuarial Valuation. The Board affirmed their fiduciary responsibility to the Fund, and to present an accurate and
responsible actuarial recommendation to the Village. A copy of the Illinois Department of Insurance (IDOI) 2012
Tax Levy /Actuarial Valuation will be obtained and distributed to the Board. A motion was made by Trustee
Schlindwein and seconded by Trustee Kouba to direct Mr. Franken to use the following method and assumptions:
Entry Age Normal method with level percentage of payroll; 6.75% Investment Return; 4.25 Salary Increase; 3.25%
Payroll Growth; RP2000 (combined, healthy) Mortality; and female spouses (three years younger) Marital Status.
AYES: Trustees Erickson, Schlindwein, Fleishman, Fagan and Kouba
NAYS: None
ABSENT: None
Mr. Franken indicated that he will provide a narrative with the changes and bullet points regarding the 12/31/2011
and 12/31/2012 actuarial valuations, along with the revised 12/31/2012 Actuarial Valuation by the end of next week.
The Board addressed the Actuarial Services Agreement. A motion was made by Trustee Kouba and seconded by
Trustee Fagan to authorize the Board President and Secretary to sign the Actuarial Services Agreement.
AYES: Trustees Erickson, Schlindwein, Fleishman, Fagan and Kouba
NAYS: None
ABSENT: None
Ms. Davis will distribute a copy of the signed agreement to Mr. Franken and to the Board officers.
Mr. Franken was excused and left the meeting at 11:15 a.m.
FOIA REQUEST PROCESS
The Board discussed a recent Freedom of Information Act (FOIA) request that was processed without proper
procedure or the Fire Pension Fund's knowledge. The Board agreed that all future FOIA requests must be presented
first to the Fire Pension Board FOIA Officer, Board President Michael Erickson, and to the Board Secretary John
Fagan as Mr. Erickson's alternate. A letter will be drafted to inform the Village, L &A and the Board's attorney,
Oak Brook Firefighters' Pension Fund
Minutes of Meeting — March 28, 2013
Page 2 of 2
Reimer & Karlson, LLC of this requirement. Ms. Davis was asked to draft the letter for review by Trustee Erickson
and Fagan, who will sign and deliver the letter to Asst. Village Manager, Mr. Blaine Wing.
Trustee Kouba left the meeting at 11:28 a.m., due to another commitment.
The Board discussed conflicts which affected the next two regular board meeting dates. The following dates were
agreed upon: 07/16/2013 (changed from 07/23) and 10/24/2013 (changed from 10/22). Ms. Davis will provide these
dates to investment advisor, Mr. David Russell to confirm his availability. An alternate date for the July meeting was
also determined — 07/30/2013, in case Mr. Russell was not available on 07/16. Ms. Davis will complete the
arrangements as necessary, and inform the Board as soon as a reply is received from Mr. Russell.
CUSTOMIZED TRUSTEE TRAINING
The Board agreed to defer discussion on this topic until the next Board meeting.
INFORMATIONAL ITEMS AND UNFINISHED BUSINESS
The Board briefly discussed the following topics:
• 04/30/2013 Renewal of Fiduciary Liability Insurance —the 2013 premium came in at $3,855, which was lower
than last year's premium, for the same coverage. Per the Board's prior approval, L &A submitted the invoice for
payment on 03/14/2013.
• Statements of Economic Interest — certificates of completion were submitted by Trustees Schlindwein, Fagan and
Fleishman. All Board members confirmed their completion of the statements.
• Records Retention — approval was received for document destruction from the Local Records Commission, and
the duplicate records held at L &A were destroyed on 03/11/2013.
• Active Member Statements distributed — L &A prepared and delivered the active member statements which
provides the active members with a summary of data to help them plan for retirement, and includes their
accumulated contributions and years of creditable service through 12/31/2012, and a retirement estimate
projection based on their employment history. Any questions or concerns can be directed to the Pension Board
Officers or Ms. Davis at L &A.
CLOSED SESSION — The Board agreed there was no need to hold a closed session
ADJOURNMENT
A motion was made by Trustee Schlindwein and seconded by Trustee Fagan to adjourn the meeting at 11:43 a.m
Motion carried unanimously by voice vote.
Respectfully submitted,
Michael Erickson, President
John Fagan, Secretary
Minutes prepared by Pension Services Administrator, Becky Davis