Minutes - 07/27/2005 - Firefighter's Pension Fund Board2.
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MINUTES OF THE JULY 27, 2005 REGULAR
MEETING OF THE BOARD OF TRUSTEES OF THE
OAK BROOK FIREFIGHTERS' PENSION FUND
APPROVED AS WRITTEN ON OCTOBER 19, 2005.
CALL TO ORDER:
The Meeting of the Board of Trustees of the Oak Brook Firefighters' Pension
Fund was called to order by President Ekkert at 8:37 a.m. in the West Wing
Training Room of the Butler Government Center, 1200 Oak Brook Road, Oak
Brook, Illinois.
ROLL CALL:
Recording Secretary Gonnella called the roll with the following persons
PRESENT: President Clifford Ekkert, Secretary Thomas Stanfa, Trustees Linda
K. Gonnella, Scott Harris, Darrell J. Langlois and Thomas
McEllin.
ABSENT: Trustees James Bodony, Kenneth Kubiesa and Kevin Quinlan.
IN ATTENDANCE: Brian Speers, Merrill Lynch; Vice Presidents Tom
Sawyer and John Falduto, Oak Brook Bank.
APPROVAL OF MINUTES:
a. April 28, 2005
Motion by Trustee Langlois, seconded by Trustee McEllin, to approve the
Minutes of the April 28, 2005 Regular Meeting as presented. VOICE VOTE:
Motion carried.
CONSENT AGENDA:
All items on the Consent Agenda are considered to be routine in nature and will
be enacted in one motion.
Motion by Secretary Stanfa, seconded by Trust
Consent Agenda and authorize expenditures as
VOTE:
Ayes: 6 — President Ekkert, Secretary Stanfa,
Langlois and McEllin.
Nays: 0 — None.
Absent: 3 — Trustees Bodony, Kubiesa and Quinlan.
-le Harris, to approve the
presented. ROLL CALL
Trustees Gonnella, Harris,
Motion carried.
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4. a. Approval of March 1 -31, 2005 Warrants #3074 -3084 and #6191 -9210 in the
total amount of $89,644.30
b. Approval of April 1 -30, 2005 Warrants #3085 -3096 and #6211 -6230 in the
total amount of $90,781.21
c. Approval of May 1 -31, 2004 Warrants #3097 -3118 and #6231 -6251 in the
total amount of $89,474.58
d. Approval of Department of Financial & Professional Regulation- Division
of Insurance FY 2006 Compliance Fee in the amount of $3,653.22
e. Approval of Randall L. Wolff, M.D. invoice in the amount of $250.00
f. Approval of Attorney Richard Reimer's invoices in the total amount of
$308.06
5. ITEMS REMOVED FROM THE CONSENT AGENDA —None presented.
President Ekkert requested that the Board consider addressing Agenda Item
New Business at this time.
Finance Director Langlois asked that the Board first consider addressing the
Board's Investment Policy regarding the balancing of The Fund's investments
between fixed income and equity as is required at the July meeting. He
indicated that the Fund is $450,000 over the statutory limits of equity
investments. He recommended that during the month of July, as soon as
possible, to move $250,000 from the equity investments and another $200,000
in August to adjust to the statutory limitations of this type of investments.
Motion by Trustee Langlois, seconded by Trustee McEllin, that during the
month of July to move $250,000 from the equity investments and $200,000 in
August from the equity investments to adjust closer to the statutory limitations
of equity investments. ROLL CALL VOTE:
Ayes: 6 — President Ekkert, Secretary Stanfa, Trustees Gonnella, Harris,
Langlois and McEllin.
Nays: 0 —None.
Absent: 3 — Trustees Bodony, Kubiesa and Quinlan. Motion carried.
The Board concurred with President Ekkert's recommendation and addressed
Agenda Item New Business at this time.
7. NEW BUSINESS:
a. Oak Brook Bank Investment Presentation
Tom Sawyer, Oak Brook Bank, gave the investment management presentation.
Value added from the investments for the second quarter totaled $273,066, the
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7. a.
money market return was 0.72 %, fixed income 2.76% with a total account
return of 2.74 %.
The fixed income section allocations were U. S. Treasury Securities 25 %, US
Government Agency Notes /Bonds non - callable 31 %, US Government Agency
Notes /Bonds callable 28 %, Taxable Municipal Bonds 9% and US Government
Agency Mortgage backed securities 7 %. Their goal is to keep duration a little
bit short and lengthen out as rates drift back upwards.
b. Approve Investment Transactions
Motion by Trustee Langlois, seconded by Trustee McEllin, to approve the
investment transactions presented in Tab 5 of Oak Brook Bank's Investment
Management Presentation. ROLL CALL VOTE:
Ayes: 6 — President Ekkert, Secretary Stanfa, Trustees Gonnella, Harris,
Langlois and McEllin.
Nays: 0 —None.
Absent: 3 — Trustees Bodony, Kubiesa and Quinlan. Motion carried.
c. Merrill Lynch Investment Presentation
Brian Speers, Merrill Lynch, gave an investment management presentation of
The Fund indicating the balance at the beginning of the quarter was $8,905,990.
The market value of The Fund at the end of the quarter was $9,171,558. The
accumulative return of The Fund since August, 2004 is 16.21%. He noted that
everything is performing in line with its index with the exception of two stock
funds that they continue to watch closely. One is the Allianz Occ Value Fund
and as long as management stays stable they are comfortable with their long-
term performance. The other one that has recovered nicely is the Blackrock
Small /Mid -Cap Growth Fund. They recommended two withdrawals of
$450,000 pro -rata across the board of the entire various asset classes.
d. Approve Investment Transactions — None were presented.
President Ekkert asked to return to the agenda as printed. The Board concurred
with his request.
6. UNFINISHED BUSINESS:
a. Approve Findings of Fact — Scott Harris
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6. a.
President Ekkert asked if any of the Board members had any questions
regarding the change in the Findings of Fact of Scott Harris. Board members
Gonnella and Langlois indicated that the changes were made at their request.
Motion by Trustee Langlois, seconded by Trustee Gonnella, to approve the
Findings of Fact as prepared by Attorney Reimer in the matter of disability
claim of Firefighter /Paramedic Scott Harris. ROLL CALL VOTE:
Ayes: 5 — President Ekkert, Secretary Stanfa, Trustees Gonnella, Langlois and
McEllin.
Nays: 0 — None.
Absent: 3 — Trustees Bodony, Kubiesa and Quinlan. Motion carried.
Trustee Harris recused himself from voting.
President Ekkert indicated that President Ekkert and Secretary Stanfa signed the
original Findings of Fact. A copy will be sent to Scott Harris' attorney.
b. Approval of Dr. Wolff s Medical Evaluation — Sean Smyth
President Ekkert asked if the Board members had any questions regarding the
evaluation. Trustee McEllin explained that he found this physician in Florida
that specializes in fire and police evaluations for the state of Florida.
Motion by Secretary Stanfa, seconded by Trustee McEllin, to approve the
annual disability examination and evaluation of Firefighter Sean Smyth by Dr.
Randall Wolff. ROLL CALL VOTE:
Ayes: 6 — President Ekkert, Secretary Stanfa, Trustees Gonnella, Harris,
Langlois and McEllin.
Nays: 0 —None.
Absent: 3 — Trustees Bodony, Kubiesa and Quinlan. Motion carried.
c. Department of Financial and Professional Regulation — Division of
Insurance — Examiner's Findings
Finance Director Langlois explained that he responded to all of the findings by
the Department of Financial and Professional Regulation. He indicated that it
was mostly housekeeping errors but that there is an error in the final report on
page one of their Summary of Findings. The date of investment holdings is
shown as of April 30, 2004 but it should be December 31, 2003. This was
indicated to them in their response but their final report did not show the date
change. He asked that it be noted for the record, that the date does still exist.
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6. c.
Motion by Trustee Langlois, seconded by Trustee Gonnella, to accept the
Department of Financial and Professional Regulation's Examiner Findings of
the Oak Brook Firefighters' pension Fund. ROLL CALL VOTE:
Ayes: 6 — President Ekkert, Secretary Stanfa, Trustees Gonnella, Harris,
Langlois and McEllin.
Nays: 0 — None.
Absent: 3 — Trustees Bodony, Kubiesa and Quinlan. Motion carried.
President Ekkert asked to return to Agenda Item New Business. The Board
concurred with this request.
7. NEW BUSINESS:
President Ekkert indicated that Firefighter James Zamboni submitted all of the
paperwork. His papers had been misplaced and were completed again for
Board approval.
Motion by Trustee Langlois, seconded by Trustee Harris, to approve James
Zamboni's application for retirement benefits with 30 years of service, salary at
retirement of $63,639.00 with longevity of $600 and paramedic incentive of
$2,000 for an annual pension of $49,679.25 and a monthly pension of
$45139.94. ROLL CALL VOTE:
Ayes: 6 — President Ekkert, Secretary Stanfa, Trustees Gonnella, Harris,
Langlois and McEllin.
Nays: 0 —None.
Absent: 3 — Trustees Bodony, Kubiesa and Quinlan. Motion carried.
8. INFORMATION AND UPDATES:
a. Update of Garry Waktin's Annual Disability Medical Examination
President Ekkert explained that he had sent a letter in June that Firefighter
Watkins have his disability medical examination by Dr. Moison no later than
July 15, 2005. Dr. Moisan's office notified him that his appointment is
scheduled for August 8, 2005.
Trustee Langlois asked if a specialist should examine him for his shoulder
injury. The Board discussed this issue and will wait for Dr. Moisan's report.
b. Discussion of Public Act 94 -28
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[IV
Trustee Gonnella explained as the Village Clerk that this Act now requires
pension board minutes must be posted to the website from January 1, 2005.
This also includes the Foreign Fire Insurance Tax Board.
c. Attorney Robert Trevarthen's Legal Opinion of a New Link Between c.
Pension Boards and Municipal Entities
The Board discussed this issue. The Board discussed the new law that the
Governor signed. The Firefighters' Pension Board will, by law, be required to
hold a new election in 2006. Only five members will serve as the Board. The
third Monday of April, 2006 the new Board will take office. The Village
President appoints new members from the community where the three other
members are elected.
Trustee McEllin noted that Records Management Clerk Linda Andrys inquired
if the Board has an application for disposal of their records from the State of
Illinois Local Records Commission. Secretary Stanfa indicated there was such
an application in the cabinets. The forms must be completed and mailed to the
State for their approval to destroy.
President Ekkert stated that an IPPFA invoice has been received for 2005 for
Trustee Gonnella. Finance Director Langlois thought that this had been paid
and indicated that he would take care of the invoice.
The Board discussed a date for the next quarterly meeting. The Board
discussed the third Wednesday of the month. The date suggested is
Wednesday, October 19th at 8:30 a.m. in the Upper Level Conference Room.
Trustee Harris noted that the annual IPPFA seminar is scheduled for November
4, 2005.
9. ADJOURNMENT:
Motion by Trustee McEllin,
regular meeting at 9:35 a.m.
carried.
Board of Trustees of the Oak Brook
Firefighters' Pension Fund Minutes
seconded by Trustee Gonnella, to adjourn the
to the regular meeting. VOICE VOTE: Motion
Page 6 of 7 July 27, 2005
ATTEST:
Thomas Stanfa
Secretary
Linda K. Gonnella
Recording Secretary
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