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Minutes - 07/28/2022 - Police Pension Fund BoardMINUTES OF A REGULAR MEETING OF THE OAKBROOKPOLICEPENSIONFUNDBOARDoFTRUSTEES JULY 28,2022 A regular meeting of the Oak Brook Police Pension Fund Board of Trustees was held on Thursday, July 2g,;022 at 6:15 p.m. in the Upper-Level Conference Room at the Butler Govemment Center located at 1200 Oak Brook Road, Oak Brook, Illinois 60523, pursuant to notice' CALL TO ORDER: Trustee Torlo called the meeting to order at 6:17 p.m. ROLL CALL: PRESENT: ABSENT: ALSO PRESENT: Trustees Velia Torlo, Ed Caspers and Reid Foltyniewicz None Ian Acosta, Taiber Kosmala and Associates, LLC; Molly weslow, Lauterbach & Amen, LLP (L&A); Finance Director Marilyn Fumero, village of oak Brook; Alan Feldman, Member of the Public PUBLIC COMMENT: There was no public comment. AppRovAL OF MEETING MINUTESz April 21 , 2022 Regular Meeting: The Board reviewed the April 2l,2022regular meeting minutes. A motion was made by Trustee Foltyniewicz and seconded by Trustee Caspers to ipprove the,{pril 21,2022 regular meeting minutes as written. Motion carried unanimously by voice vote. Semi-Annual Review of Closed Session Meeting Minutes: There were no closed session meeting minutes for review. ACCOUNTANT'S REPORT _ LAUTERBACH & AMEN, LLPZ MONIhIY F\NANC\AI RCPOTT ANd presentation and Approval of Bills: The Board reviewed the Monthly Financial Repgrt for the six-month period ending lune -:0, 202) prepared by L&A. As of June 30, 2022, the net position held in trust for pension benelfits is $46,724,2+g.06 fot a decrease of ($9,1 13,829.76). The Board also reviewed the Cash Analysis Report, Revenue Report, Expense Report, Member Contribution Report, Payroll Journal and the Vendor check Report for th! period April 1, 2022 ttrough June 30, 2022 for total disbursements of Sl g7,3g7.gg. A motion ** tnud^" by TruJtee Caspers and seconded by Trustee Folty to accept the Monthly Financial Report as presented and to approve the disbursements shown on the Vendor Check Report in the amount of $187,387.88. Motion carried by roll call vote. AYES: Trustees Torlo, Caspers and Foltyniewicz NAYS: None ABSENT: None Additional Bills, if any:There were no additional bills presented for approval. II\WESTMENT REPORTSz Taiber Kosmala and Associates, LLC: Mr. Acosta presented the Quarterly Investment Report for the period ending June 30, 2}22.Mr.Acosta reviewed the Overall Portfolio, Market Indexes, Bond Portfolio, iquities and Transaction Ledger. As of June 30, 2022, the quarter-to-date net return is (10.6g%) for an ending market vilue $39,785,066. The current asset allocation is: 33.1lYoLarge Cap; l t.itV"Small Cap; 14.04%Equity; 38% Fixed Income; 3.04% Public Real Estate; and 3.68% Cash & Equivalents. Oak Brook Police Pension Fund Meeting Minutes -July 28,2022 Page 2 of5 Fifih Third Investments: The Board reviewed the Investment Review for the period ending June 30,2022. As of June 30, 2022, the quarter-to-date net return is (l.S%) with total earnings of ($ZZO,SOS.32) for an ending market value of $12,058,220.71. The current asset allocation is: Fixed Incom e at 97 .4vo and Cash & Equivalents at 2.6Vo. The asset composition for the fixed income portfolio, reconciliation and holdings summaries and quarterly market insights were reviewed with the Board. A motion was made by Trusfe Caspers and seconded by Trustee Foltyniewicz to accept the Investment Reports as presented. Motion carried unanimously by voice vote. Review/Update Investment Policy: The Board discussed the Investment Policy and determined that no changes are required at this time. COMMUNICATIONS AND REPORTSz Affidnits of Continued Etigibitity: The Board noted that all 2021 Affidavits of Continued Eligibility have been received by L&A and the originals will be given to the Board for their recordkeeping. Active Member File Maintenance: The Board noted that L&A will prepare Active Member File Maintenance letters for distribution to all active members requesting any additional pension file documents. APPLICATIONS FOR MEMBERSHIPAilITHDRAWALS FROM FUND: There were no applications for membership or withdrawals from the Fund. APPLICATIONS f'OR RETIREMENT/DISABILITY BENEFITS: Approve Regular Retirement BeneJits - Beniamin Kadolph: The Board reviewed the regular retirement benefrt calculaiion for Benjamin Kadolph prepared by L&A. Commander Kadolph had an entry date of June 22, lggg, retirement date of June22,2022, effective date of pension of June 23,2022,52yews of age at date of retirement,24 years of creditable service, applicable salary of $139,573, applicable pension percentage of 60vo, amount of originally granted monthly pension of $6,978.65 and amount of originally granteO annual pension of $83,743.80. A motion was made by Trustee Caspers and secondea Uy rrustei Foltyniewicz io upprou" Benjamin Kadolph's regular retirement benefit calculated by L&A. Motion carried unanimously by voice vote. OLD BUSINESS: Aclvtowledge IPOPIF Notice of Transfer, Adopt Resolution of Notice and Execute Exhibits: The Board reviewed the correspondence received from IPOPIF and acknowledged the Oak Brook Police Pension Fund transfer date as September 1,2022. A motion was made by Trustee Caspers and seconded by Trustee Torlo to adopt Resolution 2022-01 and to approve Exhibit A, designating Trustee Foltyniewicz and Finance Director Marilyn Fumero as the Authorized Agents on behaf ofthe Oak Brook Police Pension Fund. Motion caried by roll call vote.AYES: Trustees Torlo, Caspers and FoltyniewiczNAYS: None ABSENT: None The Board reviewed Exhibit B. A motion was made by Trustee Caspers and seconded by Trustee Foltyniewicz to approve Exhibit B, notiffing Taiber Kosmala and Asiociates, LLC and pifth third Investments of the transfer of assets. Motion carried by roll call vote.AYES: Trustees Torlo, Caspers and FoltyniewiczNAYS: None ABSENT: None Oak Brook Police Pension Fund Meeting Minutes - July 28, 2022 Page 3 of5 Discussion/Possible Action - Local Account Collateralization: Finance Director Marilyn Fumero noted that she will obtain a collateralization agreement for the Fifth Third Bank operating account. Further discussion will be held at the next regular meeting. Discussion/Adoption of Cash Management Policy: The Board discussed interim cash requisite for the purpose of remitting pension benefits and expenses for the sixty-day period subsequent to the September 1, 2022 transfer date. A motion was made by Trustee Caspers and seconded by Trustee Foltyniewicz to maintain an interim transition cash balance of $3,500,000 in the Fifth Third Money Market account prior to the freeze date of the transfer of assets. Motion carried by roll call vote. AYES: Trustees Torlo, Caspers and Foltyniewicz NAYS: None ABSENT: None Discussion/Possible Action- Enterprise Cash Flow Module and My State Street.com Set-Up Access Form: The Board reviewed the Enterprise Cash Flow Module and My State Street.com application. A motion was made by Trustee Caspers and seconded by Trustee Foltyniewicz to designate Trustees Torlo and Foltyniewicz and Finance Director Marilyn Fumero as users. Motion carried unanimously by voice vote. IPOPIF Status Update and Discussion/Possible Action to be Taken on All IPOPIF Requests Pertaining to Consolidation: The Board noted that there are no additional requests at this time from the consolidated fund. IDOI Annual Statement: The Board noted that the IDOI Annual Statement has been completed and submitted to the Department of Insurance prior to the June 30,2022 deadline. Transfer of Creditable Servicefrom IMRF Pursuant to HB-126 - Kurt Kaleciak: The Board noted that L&A mailed correspondence to Kurt Kaleciak regarding his request to calculate the amount of money due to the Oak Brook Police Pension Fund to combine service from IMRF pursuant to HB-126, but no response has been received to date. Further discussion will be held at the next regular meeting. NEW BUSINESS: Review/Approve - Actuarial Valuation and Tax Levy Requesr: The Board reviewed the finalized Actuarial Valuation as prepared by L&A. Based on data and assumptions, the recommended contribution amount is$2,447,430 which is a $204,613 decrease from the prioryear contribution. The statutory minimum contribution requirement is $2,000,798. A motion was made by Trustee Caspers and seconded by Trustee Folty to accept the Actuarial Valuation as prepared and to request a tax levy in the amount of $2,447,430 from the Village of Oak Brook, based on the recommended amount stated in the Actuarial Valuation prepared by L&A. Motion carried by roll call vote. AYES: Trustees Torlo, Caspers and Foltyniewicz NAYS: None ABSENT: None Review/Adopt - Municipal Compliance Report: The Board noted that the Municipal Compliance Report will be ready for review at the next regular meeting. Board Ofricer Elections - President, Vice President, Secretary and Assistont Secretary: The Board discussed Board Officer Elections and nominated the slate of Officers as follows: Trustee Torlo as President, Trustee Foltyniewicz as Vice President and Trustee Caspers as Secretary. A motion was made by Trustee Caspers and seconded by Trustee Foltyniewicz to elect the slate of Officers as stated. Motion carried by roll call vote. Oak Brook Police Pension Fund Meeting Minutes - July 28,2022 Page 4 of 5 AYES: NAYS: ABSENT: Trustees Torlo, Caspers and Foltyniewicz None None FOIA Officer and OMA Designee: The Board discussed maintaining Administrative Assistant Sylwia Slodyczka as the FOIA Officer and OMA Designee. A motion was made by Trustee Foltyniewicz and seconded by Trustee Caspers to maintain the FOIA Officer and OMA Designee as stated. Motion carried unanimously by voice vote. Appointed Member Resignation - Hitesh Patel: Tlte Board noted that Trustee Patel has resigned from the Board effective immediately. The Board will seek appointment of a new Trustee from the Mayor of the Village of Oak Brook. Further discussion will be held at the next regular meeting. Discussion/Possible Action - Wire Transfer for John Janik: The Board discussed the request to convert future benefit payments for pensioner John Janik from a physical check to a wire transfer. A motion was made by Trustee Foltyniewicz and seconded by Trustee Caspers to maintain all benefit payments for John Janik as physical checks. Motion carried by roll call vote. AYES: Trustees Torlo, Caspers and Foltyniewicz NAYS: None ABSENT: None Discussion/Possible Action - Return of Excess Contributions to Hanover ParVPearce Portability: The Board reviewed the return of excess contributions request for Justin Pearce. A motion was made by Trustee Caspers and seconded by Trustee Foltyniewicz to approve the return of excess contributions received by the Fund after Justin Pearce's separation of service from the Oak Brook Police Department in the amount of $541.36 payable directly to the Hanover Park Police Pension Fund. Motion carried by roll call vote. AYES: Trustees Torlo, Caspers and Foltyniewicz NAYS: None ABSENT: None Review/Approve * Fiduciary Liability Insurance Renewal: The Board reviewed the fiduciary liability insurance renewal provided by Mesirow Insurance Services, Inc. through Ullico Casualty Group, LLC. A motion was made by Trustee Foltyniewicz and seconded by Trustee Caspers to approve payment of the fiduciary liability insurance renewal effective August 1,2022 through August 1,2023 in the amount of $4,285. Motion carried by roll call vote. AYES: Trustees Torlo, Caspers and Foltyniewicz NAYS: None ABSENT: None TRUSTEE TRAINING UPDATES: The Board discussed upcoming training opportunities. Trustees were reminded to submit any certificates of completion to L&A for recordkeeping. Approval of Trustee Training Registration Fees and Reimbursable Expenses; There were no Trustee training registration fees or reimbursable expenses presented for approval. ATTORNEY'S REPORT - REIMER DOBROVOLNY & LABARDIPC: Legal Updates: The Board was provided with the Reimer Dobrovolny & LaBardi PC Legal and Legislative Update newsletter for their review. CLOSED SESSION, IF NEEDED: There was no need for closed session. /' Oak Brook Police Pension Fund Meeting Minutes - July 28,2022 Page 5 of5 ADJOURNMENT: A motion was made by Trustee Caspers and seconded by Trustee Foltyniewicz to adjourn the meeting at7:18 p.m. Motion carried unanimously by voice vote. The next regular meeting is scheduled 20,2022 at 6:15 p.m Board President or Secretary Minutes approved by the Board of Trustees on Minutes prepared by Molly Weslow, Pension Services Administrator, Lauterbach & Amen, LLP