HomeMy WebLinkAbout1970-09-28 Minutes•
MINUTES OF THE REGULAR MEETING
BOARD OF TRUSTEES
FIREMEN'S PENSION AND RELIEF FUND
September 28, 1970
The regular meeting of the Board of Trustees of the Firemen's Pension and
Relief Fund of Fayetteville, Arkansas, was held in the Directors Room in the
City Administration Building on Monday, September 28, 1970, at 4:30 p.m. The
regular meeting was held one week early due to the Secretary being on vacation
on the date of the regularly scheduled meeting on October 5, 1970.
Present: Chairman Wesley M. Howe, Treasurer Patrick J. Tobin, Secretary
Marilyn Moore, Fire Chief Burl Skelton and Board Members: Joe Fraley, Paul
Logue, Carl Springston, and Dean Harris.
Absent: None,
Mr. Skelton moved to approve the minutes of the last regular meeting on Monday,
September 8, 1970, a copy of which had previously been mailed to each Board
Member.
The motion was seconded by Mr. Fraley, and upon roll call the following vote
was recorded: "Aye" Skelton, Fraley, Logue, Springston, and Harris.
"Nay" none. There being five "Ayes" and no "Nays", the Chairman declared
the motion passed.
The Secretary presented the Authorization Form to pay the September pensions.
Mr. Springston moved that the disbursements be allowed. The motion was
seconded by Mr. Harris, and upon roll call the following vote was recorded:
"Aye" Skelton, Fraley, Logue, Springston, and Harris.
"Nay" none. There being five "Ayes" and no "Nays", the Chairman declared
the motion passed.
Mr. Skelton reported that he had been authorized by the Board of Trustees to
contact banks and savings and loan institutions in Fayetteville regarding
investments. Mr. Skelton reported that at the August 10, 1970 meeting, the
McIlroy Bank had offered to accept a $100,000.00 investment at 7 percent
interest for a period of one (1) year. Due to the delay in withdrawing the
$15,000.00 investment from Liberty Savings and Loan Association in Siloam
Springs, the McIlroy Bank refused to accept the $100,000.00 investment at
7 percent interest. The McIlroy. Bank's committments are only for the week
in which they are made and are over at closing time on Friday of that week.
Mr. Skelton reported that the Fayetteville Building and Loan Association
offered to take the $100,000.00 investment for one (1) year at 6 percent
interest. The First National Bank offered to take the $100,000.00 invest-
ment for one (1) year at 7 percent interest if it would not cause trouble
with the McIlroy Bank. The First National Bank later told Mr. Skelton
they could not take the investment and offered no explanation. First Federal
Savings and Loan Association offered to take $25,000.00 more, making a
total of $130,000.00 at 7�5 percent interest. The McIlroy Bank will take
a $100,000.00 investment at 63� percent interest for a period of one (1)
• year or they will take the $100,000.00 investment for a period of two (2)
or three (3) years at 6 3/4 percent interest. This committment is for
this week only.
Mr. Skelton reported that all of the savings institutions advised taking the
$100,000.00 investment at the McIlroy Bank for two (2) or three (3) years at
6 3/4 percent interest. The First National Bank would not make any committ-
ment after the McIlroy Bank made this offer.
Mr. Skelton recommended that the Firemen's Pension and Relief Fund invest
$100,000.00 at 6 3/4 percent interest for a period of two (2) years at the
McIlroy Bank,
Mr. Springston moved to accept Mr. Skelton's recommendation and that Treasurer
Tobin be, and he is hereby, authorized to make the $100,000.00 investment at
6 3/4 percent interest for a period of two (2) years at the McIlroy Bank in
the name of the Firemen's Pension and Relief Fund by October 1, 1970.
The motion was seconded by Mr. Fraley, and upon roll call the following vote
was recorded: "Aye" Skelton, Fraley, Logue, Springston, and Harris.
"Nay" none. There being five "Ayes" and no "Nays", the Chairman declared
the motion passed.
There was a misunderstanding about whose name the $105,000.00 investment was
in at First Federal Savings and Loan Association.
Mr. Skelton moved that at the anniversary date, October 1, 1970, of the
$105,000.00 investment that it be withdrawn and reissued in the name of
the Fayetteville Firemen's Pension and Relief Fund only.
Treasurer Tobin reported that it was in the Fayetteville Firemen's Pension
and Relief Fund name.
There was no second to this motion and no further action.
• Treasurer Tobin reported that in addition to the $105,000.00 investment of
the Firemen's Pension and Relief the City had $205,000.00 in various funds
invested at First Federal Savings and Loan Association and added that we
should try to place the Police Pension Fund money in institutions paying
the highest rate of interest.
Chairman Howe reported that in regard to an additional investment at First
Federal Savings and Loan Assiciation, whoever gets there first gets the
investment.
Mr. Fraley moved that Treasurer Tobin be, and he is hereby,authorized to
withdraw the $105,000.00 investment at First Federal Savings and Loan
Association by October 1, 1970, invest an additional $25,000.00 and reissue
the Certificate of Deposit at $130,000.00 at 7;� percent interest in the name
of the Fayetteville Firemen's Pension and Relief Fund.
The motion was seconded by Mr. Logue, and upon roll call the following
vote was recorded: "Aye" Skelton, Fraley, Logue, Springston, and Harris.
"Nay" none. There being five "Ayes" and no "Nays", the Chairman declared
the motion passed.
Mr. Skelton reported that when we receive financial statements the Board
might wish to reinvest $15,000.00 at Fayetteville Building and Loan Asso-
ciation that is only drawing 5k percent interest.
Mr. Skelton moved that the Board of Trustees of the Fayetteville Firemen's
• Pension and Relief Fund receive monthly financial statements showing where
the Firemen's Pension and Relief Fund investments are; showing the amount
of money received each month and from what source; and showing the amount
of expense each month and to what source paid along with the Authorization
Form for the pension disbursements.
The motion was seconded by Mr. Harris, and upon roll call the following vote
was recorded: "Aye" Skelton, Fraley, Logue, Springston, and Harris.
"Nay" none. There being five "Ayes" and no "Nays", the Chairman declared
the motion passed.
Board members again requested that investments authorized be completed by
October 1, 1970.
Mr. Skelton requested that the minutes reflect that Treasurer Tobin walked
out of the meeting at this point.
There being no further business, Mr. Skelton moved to adjourn. The motion
was seconded by Mr. Harris and passed unanimously, whereupon the Chairman
declared the meeting adjourned.
APPROVED:
WESLEY HOWE, CHAIRMAN
• ATTEST:7r" J
MARILYN M00 , SECRETARY
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