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HomeMy WebLinkAboutMinutes - 10/21/2021 - Police Pension Fund BoardMINUTES OF A REGULAR MEETING OF THE OAK BROOK POLICE PENSION FUND BOARD OF TRUSTEES OCTOBER 21, 2021 A regular meeting of the Oak Brook Police Pension Fund Board of Trustees was held on Thursday, October 21, 2021 at 6:15 p.m. in the Upper-Level Conference Room at the Butler Government Center located at 1200 Oak Brook Road, Oak Brook, Illinois 60523, pursuant to notice. CALL TO ORDER: Trustee Feldman called the meeting to order at 6:22 p.m. ROLL CALL: PRESENT: Trustees Alan Feldman, Ed Caspers, Hitesh Patel and Reid Foltyniewicz ABSENT: Trustee Velia Torlo ALSO PRESENT: Finance Director Jason Paprocki, Village of Oak Brook; Phil Kosmala, Taiber Kosmala and Associates, LLC; Bruce Heniken, Fifth Third Investments; Molly Weslow, Lauterbach & Amen, LLP (L&A) PUBLIC COMMENT: There was no public comment. APPROVAL OF MEETING MINUTES: July 29, 2021 Regular Meeting: The Board reviewed the July 29, 2021 regular meeting minutes. A motion was made by Trustee Caspers and seconded by Trustee Patel to approve the July 29, 2021 regular meeting minutes as written. Motion carried unanimously by voice vote. ACCOUNTANT’S REPORT – LAUTERBACH & AMEN, LLP: Monthly Financial Report and Presentation and Approval of Bills: The Board reviewed the Monthly Financial Report for the eight-month period ending August 31, 2021 prepared by L&A. As of August 31, 2021, the net position held in trust for pension benefits is $49,154,873.68 for a change in position of $4,317,752.08. The Board also reviewed the Cash Analysis Report, Revenue Report, Expense Report, Member Contribution Report, Payroll Journal and the Vendor Check Report for the period June 1, 2021 through August 31, 2021 for total disbursements of $168,201.11. A motion was made by Trustee Caspers and seconded by Trustee Foltyniewicz to accept the Monthly Financial Report as presented and to approve the disbursements shown on the Vendor Check Report in the amount of $168,201.11. Motion carried by roll call vote. AYES: Trustees Feldman, Caspers, Patel and Foltyniewicz NAYS: None ABSENT: Trustee Torlo Additional Bills, if any: There were no additional bills presented for approval. INVESTMENT REPORT: Taiber Kosmala and Associates, LLC: Mr. Kosmala presented the Quarterly Investment Report for the period ending September 30, 2021. Mr. Kosmala reviewed the Overall Portfolio, Market Indexes, Bond Portfolio, Equities and Transaction Ledger. As of September 30, 2021, the quarter- to-date net return is (0.21%) for an ending market value $47,137,122. The current asset allocation is: 32.84% Large Cap; 10.71% Small Cap; 16.56% Equity; 34.65% Fixed Income; 2.75% Public Real Estate; and 2.49% Cash & Equivalents. A motion was made by Trustee Caspers and seconded by Trustee Foltyniewicz to accept the Quarterly Investment Report as presented. Motion carried unanimously by voice vote. The Board discussed rebalancing the portfolio. A motion was made by Trustee Caspers and seconded by Trustee Feldman to authorize Taiber Kosmala and Associates, LLC to liquidate the Harding Loevner non - Oak Brook Police Pension Fund Meeting Minutes – October 21, 2021 Page 2 of 3 US equity account and reallocate the proceeds into the Fund’s cash account. Motion carried by roll call vote. AYES: Trustees Feldman, Caspers, Patel and Foltyniewicz NAYS: None ABSENT: Trustee Torlo The Board discussed rebalancing the bond portfolio. A motion was made by Trustee Foltyniewicz and seconded by Trustee Patel to direct Taiber Kosmala and Associates, LLC and Fifth Third Investments to not reinvest any bonds until further notice. Motion carried by roll call vote. AYES: Trustees Feldman, Caspers, Patel and Foltyniewicz NAYS: None ABSENT: Trustee Torlo Fifth Third Investments: Mr. Heniken presented the Investment Review for the period ending September 30, 2021. As of September 30, 2021, the quarter-to-date net return is (0.1%) with total earnings of ($9,996.94) for an ending market value of $14,012,179.11. The current asset allocation is: Fixed Income at 98.39% and Cash & Equivalents at 1.61%. 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 Trustee Caspers and seconded by Trustee Feldman to accept the Investment Review 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. Mr. Kosmala and Mr. Heniken left the meeting at 7:02 p.m. COMMUNICATIONS AND REPORTS: Affidavits of Continued Eligibility: The Board noted that Affidavits of Continued Eligibility will be mailed to all pensioners with the December payroll cycle. A status update will be provided at the next regular meeting. APPLICATIONS FOR MEMBERSHIP/WITHDRAWALS FROM FUND: There were no applications for membership or withdrawals from the Fund. APPLICATIONS FOR RETIREMENT/DISABILITY BENEFITS: There were no applications for retirement or disability benefits. OLD BUSINESS: Review/Adopt – Municipal Compliance Report: The Board reviewed the Municipal Compliance Report prepared by L&A. A motion was made by Trustee Patel and seconded by Trustee Feldman to adopt the MCR as prepared and to authorize signatures by the Board President and Secretary. Motion carried unanimously by voice vote. Portability Update – Donald Krenner: The Board noted that L&A mailed correspondence to Donald Krenner regarding his request to calculate the amount of money due to the Oak Brook Police Pension Fund to combine service under portability, but no response has been received to date. Further discussion will be held at the next regular meeting. NEW BUSINESS: Transfer of Creditable Service from IMRF Pursuant to HB-126 – James Kruger: The Board noted that L&A mailed correspondence to James Kruger regarding his request to calculate the amount of money due to combine service from IMRF, but no response has been received to date. Further discussion will be held at the next regular meeting. Oak Brook Police Pension Fund Meeting Minutes – October 21, 2021 Page 3 of 3 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 & LABARDI PC: 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. ADJOURNMENT: A motion was made by Trustee Foltyniewicz and seconded by Trustee Patel to adjourn the meeting at 7:10 p.m. Motion carried unanimously by voice vote. The next regular meeting is scheduled for January 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