Minutes - 03/26/2014 - Firefighter's Pension Fund BoardMINUTES OF A SPECIAL MEETING OF THE BOARD OF TRUSTEES
OAK BROOK FIREFIGHTERS’ PENSION FUND
March 26, 2014
A special meeting of the Board of Trustees of the Oak Brook Firefighters’ Pension Fund was held on Wednesday,
March 26, 2014 at 9:00 a.m., at the Butler Government Center, West Wing Conference Room located at 1200 Oak
Brook Road, Oak Brook, IL 60523, pursuant to notice, to conduct regular business.
CALL TO ORDER BY PRESIDING OFFICER
President Michael Erickson called the meeting to order at 9:03 a.m.
ROLL CALL
Upon roll call the following answered:
Present: President Michael Erickson, Secretary John Fagan, Trustee Mark Fleishman and Trustee George
Kouba
Absent: Trustee Timothy Schlindwein
Also Present: Jason Franken of Foster & Foster; Becky Davis of Lauterbach & Amen, LLP (L&A); Treasurer
Sharon Dangles; and Bill O’Neil (observer)
PUBLIC COMMENT – There was no public comment.
APPROVAL OF THE PRIOR MEETING MINUTES
The Board reviewed the prior meeting minutes presented in the board meeting packet. A motion was made by
Trustee Fagan and seconded by Trustee Fleishman to approve the 01/31/2014 minutes as written. Trustee Fagan
noted that the agreed upon assumptions should be noted in future minutes. Motion carried by unanimous voice vote.
ACTUARIAL REPORT – Jason Franken, Foster & Foster
Mr. Franken distributed the 12/30/2013 Actuarial Valuation and reviewed it with the Board. The following
assumptions, which were previously approved by the Board, were used in the report: 6.75% interest rate, 4.25%
salary increase, 3.25% payroll growth, RP-2000 combined mortality rate and disabled retiree mortality rate. It was
reported that the Village’s contribution to the Fund in 2013 was $1,057,081 or 65% of the annual required
contribution. The unfunded actuarial accrued liability is $18,872,877, and a funded ratio of 56.3%. The Village’s
total required contribution for 2014 is $1,968,253 or 76.3% of the total annual payroll. Ms. Dangles indicated that
the Village has budgeted approximately $1.1 million to the Fund and has a goal of 100% funded by 2040. A motion
was made by Trustee Kouba and seconded by Trustee Fagan to accept the 12/31/2013 Actuarial Valuation as
presented.
AYES: Trustees Erickson, Fagan, Fleishman and Kouba
NAYS: None
ABSENT: Trustee Schlindwein
A motion was made by Trustee Fleishman and seconded by Trustee Fagan to request the Village required
contribution amount of $1,716,256 for 2014, or 66.6% of the total annual payroll, per the 12/31/2013 Actuarial
Valuation prepared by Foster & Foster.
AYES: Trustees Erickson, Fagan, Fleishman and Kouba
NAYS: None
ABSENT: Trustee Schlindwein
Trustee Fagan indicated that he would draft the letter to the Village on behalf of the Board.
Mr. Franken was excused and left the meeting at 9:57 a.m.
NEW BUSINESS
The Board reviewed the non-duty disability pension benefit calculation and retro pay calculation, prepared by L&A,
for FF/PM George Grodek. Treasurer Dangles reviewed and approved the calculations. A motion was made by
Trustee Fagan and seconded by Trustee Fleishman to approve the disability calculation as follows: entry date was
Oak Brook Firefighters’ Pension Fund
Minutes of Meeting – March 26, 2014
Page 2 of 2
02/27/1994, disability date is 08/31/2013, effective date of pension is 09/01/2013, age at disability is 50 years old,
with 19 years and 6 months of creditable service earned, at 50% of his applicable salary of $80,916.00, the amount of
his originally granted monthly pension is $3,371.50, until his first increase in January of 2024; and a retroactive
payment of $20,229.00 ($3,371.50 benefit due from September 2013 to February 2014).
AYES: Trustees Erickson, Fagan, Fleishman and Kouba
NAYS: None
ABSENT: Trustee Schlindwein
The Board reviewed the Decision and Order for the disability claim of FF/PM George Grodek. A motion was made
by Trustee Fagan and seconded by Trustee Fleishman to approve the Decision and Order granted on 03/07/2014.
AYES: Trustees Erickson, Fagan, Fleishman and Kouba
NAYS: None
ABSENT: Trustee Schlindwein
Trustee Kouba noted that he was not present at the 03/07/2014 disability hearing.
The Board discussed the reimbursement of training expenses for trustee continuing education. A motion was made
by Trustee Fagan and seconded by Trustee Kouba to reimburse John Fagan $122.32 for meal expenses incurred for
the 03/13/2014 joint training session with Fire and Police Pension Funds.
AYES: Trustees Erickson, Fagan, Fleishman and Kouba
NAYS: None
ABSENT: Trustee Schlindwein
The Board discussed the reimbursement of registration fees. A motion was made by Trustee Kouba and seconded by
Trustee Fagan to approve the reimbursement of $150 (each) to Mark Fleishman and to Michael Erickson for
registration fees to attend the IPPFA Regional Seminar on 02/26/2014 in Hoffman Estates.
AYES: Trustees Erickson, Fagan, Fleishman and Kouba
NAYS: None
ABSENT: Trustee Schlindwein
The Board noted the following:
• Trustee Fleishman suggested that Ms. Davis attend future disability hearings to provide the proper paperwork to
assist the disabled member with the pension benefit application process.
• Mark Schoppe has retained another attorney and it is expected that his disability hearing will be scheduled soon.
• Jennifer White has submitted a disability request and it is currently in process through the Board Attorney’s
office.
• The Village Manager announced his resignation from the Village Board last night.
The next regular Board meeting is scheduled for April 25, 2014 at 9:00 a.m.
CLOSED SESSION – The Board agreed there was no need to hold a closed session.
ADJOURNMENT
A motion was made by Trustee Kouba and seconded by Trustee Fagan to adjourn the meeting at 10:20 a.m. Motion
carried by unanimous voice vote.
Respectfully submitted,
Michael Erickson, President
John Fagan, Secretary
Minutes prepared by Pension Services Administrator, Becky Davis