Minutes - 10/24/2007 - Police Pension Fund BoardMINUTES OF THE OCTOBER 24, 2007 REGULAR
MEETING OF THE BOARD OF TRUSTEES OF THE
OAK BROOK POLICE PENSION FUND APPROVED AS
WRITTEN ON JANUARY 30, 2008
1. CALL TO ORDER
The Regular Meeting of the Board of Trustees of the Oak Brook Police Pension
Fund was called to order by President Birdsall at 7:07 p.m. in the Upper Level
Conference Room of the Butler Government Center, 1200 Oak Brook Road,
Oak Brook, Illinois.
2. ROLL CALL
President Birdsall called the roll with the following persons
PRESENT: President Robert Birdsall, Vice President Michael Hall, Secretary
Alan Feldman, Trustees Richard Badowski and Susan
Templeton.
ABSENT- None.
IN ATTENDANCE: Darrell J. Langlois, Finance Director; Brian Wildman and
Doug Madigan, MB Financial.
3. APPROVAL OF MINUTES
a. Board of Trustees Regular Board Meeting Minutes of July 25, 2007
Motion by Trustee Badowski, seconded by Trustee Templeton, to approve the
Minutes of the Regular Meeting of July 25, 2007 as presented.
VOICE VOTE: Motion carried.
b. Board of Trustees Special Board Meeting Minutes of September 18, 2007
Motion by Secretary Feldman, seconded by Vice President Hall, to approve the
Minutes of the Special Meeting of September 18, 2007 as presented.
VOICE VOTE: Motion carried.
4. CONSENT AGENDA
All items on the Consent Agenda are considered to be routine in nature and will
be enacted in one motion.
Motion by Trustee Templeton, seconded by Vice President Hall, to approve the
Consent Agenda and authorize expenditures as presented.
ROLL CALL VOTE:
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Ayes: 5 - President Birdsall, Vice President Hall, Secretary Feldman, Trustees
Badowski and Templeton.
Nays: 0 - None.
Absent: 0 - None Motion carried.
a. Approval of July 1 -31, 2007 checks in the total amount of $125,245.83
b. Approval of August 1 -31, 2007 checks in the total amount of $138,673.13
c. Approval of INSPE Associates, Ltd. invoices in the total amount of
$6,35000
d. Approval of Dr. Marie - Claude Rigaud's invoice in the amount of $4,550.00
e. Approval of Attorney Richard Reimer's invoices in the total amount of
$1,083 94
f. Approval of Pension Clerk Gonnella's invoices in the total amount of
$518.80 for the months of July through September, 2007
g. Approval of King Delivery Service, Inc. invoice in the amount of $43.00
h. Approval of OfficeMax invoice in the amount of $37.52
5. ITEMS REMOVED FROM CONSENT AGENDA - None presented.
6. UNFINISHED BUSINESS
a. Ratify Donald Malec's Application for Duty Disability Members Pension
Benefits
Motion by Secretary Feldman, seconded by Trustee Templeton, to ratify
Donald Malec's Application for Duty Disability Members Pension Benefits.
ROLL CALL VOTE:
Ayes: 5 - President Birdsall, Vice President Hall, Secretary Feldman, Trustees
Badowski and Templeton.
Nays: 0 - None.
Absent: 0 - None. Motion carried.
7. NEW BUSINESS
a. MB Financial Investment Management Presentation
Brian Wildman, Group Manager, for MB Financial informed the Board that
their former representatives, Tom Sawyer and John Falduto, have left their
company. He stated that Loren Miller and Bob Thompson will now be
working with their pension board clients. He then gave their investment
management presentation.
The value added from investments for the third quarter was $681,065 and
year to date $1,860,894. The money market return for the third quarter was
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1.31 %, fixed income return was 3.61 %, equity return was 1.06% with a total
account return of 2.44 %.
The current portfolio allocation of The Fund for money market was 1%,
fixed income securities were 55% and the equity securities was 44 %. The
equity sector allocation for large capitalization US stocks was 60 %, small
capitalization US stocks was 19 %, international stocks was 17% and REIT
Fund was 4 %.
Since inception the annual long -term portfolio performance was 6.48 %,
stocks 5.95 %, bonds 5.59% and T -bills 3.63 %.
Mr. Madigan gave a brief quarterly economic and market commentary on the
economy, fixed income and equities.
The Board then discussed the reallocation of the portfolio according to the
Board's Investment Policy. Finance Director Langlois will review this
further with MB Financial.
b. Approval of Investment Transactions
Motion by Trustee Templeton, seconded by Secretary Feldman, to approve
the investment transactions indicated on Tab 5 of MB Financial's Investment
Performance Report from July 1, 2007 through September 30, 2007 as
presented.
ROLL CALL VOTE:
Ayes: 5 - President Birdsall, Vice President Hall, Secretary Feldman,
Trustees Badowski and Templeton.
Nays: 0 - None.
Absent: 0 - None. Motion carried.
c. Discussion of Investment Managers of The Fund
Trustee Templeton explained that she worked with Director Langlois in
drafting a Request for Proposal (RFP) for Investment Managers of The Fund.
A copy will be sent to all of the Board members for their review and to
forward any recommended changes to Director Langlois. He will then send
the RFPs to companies. The Board concurred that Director Langlois,
Secretary Feldman and Trustee Templeton will for a subcommittee for this
The Board discussed the consideration of one investment manager for the
fixed income side of the portfolio and one for equity investments.
d. Discussion of 2008 Actuarial Study of The Fund
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Motion by Secretary Feldman, seconded by Trustee Badowski, to continue with
the services of Actuary Timothy Sharpe for an actuarial study of The Fund.
ROLL CALL VOTE:
Ayes: 5 - President Birdsall, Vice President Hall, Secretary Feldman, Trustees
Badowski and Templeton.
Nays: 0 - None.
Absent: 0 - None. Motion carried.
Finance Director Langlois will contact Actuary Sharpe in this regard.
8. INFORMATION AND UPDATES
President Birdsall informed the Board of Trustees that Michael Ciolino should
be contacted for his annual medical examination as a disabled officer of The
Fund.
It was a consensus of the Board of Trustees that a letter be sent to Michael
Ciolino requesting that he contact Dr. Moisan for his annual medical
examination.
President Birdsall noted that the Village, by law, must publish an annual
meeting notice of all Village of Oak Brook Board, Commission and Committee
meetings. He recommended that the meetings as published prior of the Board
of Trustees be changed to "meet as needed ". It was a consensus of the Board of
Trustees to concur with his recommendation.
The Board discussed the next meeting date of January 30, 2007 to be held at
7:00 p.m. in the Upper Level Conference Room. Pension Clerk Kane will
contact all the Board members to confirm the date.
9. ADJOURNMENT
Motion by Vice President Hall, seconded by Trustee Badowski, to adjourn the
meeting at p.m. VOICE VOTE: Motion carried.
ATTEST:
Alan Feldman /s/
Secretary
Rosemary A. Kane /s/
Recording Secretary
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