HomeMy WebLinkAbout1993-02-25 Minutes•
1
MINUTES OF A MEETING OF THE FIRE PENSION BOARD
A meeting of the Fayetteville Firemen's Pension and Relief Board
was held on Thursday, February 25, 1993, at 11:00 a.m. in Room 326
of the City Administration Building, 113 W. Mountain, Fayetteville,
Arkansas.
PRESENT:
Marion Doss, Pete Reagan, Retirees Richard Baird
and Darrell Judy, Mayor Fred Hanna, City Clerk
Sherry Thomas, Administrative Services Director Ben
Mayes, and City Treasurer Glyndon Bunton.
ABSENT: Danny Farrar
CALL TO ORDER
Mayor Hanna called the meeting to order.
OLD BUSINESS
PROXY AND MERRILL LYNCH CONTRACT
Baird asked what the proxy was that was discussed at the last
meeting. Doss stated it was a document sent to the Pension Board
to vote for one of the people on the board of the money manager
company. These proxies have customarily been given to Merrill
Lynch to handle, and this one was sent to Richard Yada.
Baird asked about the contract with Merrill Lynch. Doss stated
Yada has not yet supplied a copy to the Pension Board.
Baird, seconded by Judy, made a motion to write Merrill Lynch
requesting a copy of the contract. In addition, the letter should
request the representative from Merrill Lynch attend the next
regularly scheduled Fire Pension Board meeting and explain the
investment position as well as the fiduciary responsibility of the
board. The motion passed by a unanimous vote.
ROY SKELTON
Marion Doss explained to the Mayor that the Pension Board had asked
Mr. Skelton to take another doctors examination because he has
retired from the Fire Department on a line of duty disability basis
receiving 65% of his base salary. Mr. Skelton chose to sue rather
than take the examination because he did not feel he should have to
take one since he worked over 20 years. The attorneys in the case
have filed their briefs, and we are now in the waiting stage.
City Clerk Thomas stated Arvle King had called and would be mailing
the results of his medical examination.
•
•
•
February 25, 1993
MINUTES
Doss, seconded by Baird, made a motion to approve the minutes of
the January 28, 1993 Pension Board meeting. The motion passed
unanimously.
PENSION LIST
Thomas reported there were two changes to the Pension List because
of the deaths of Letha Brown and Gladys Cole.
Baird asked if the pensioners withdrew from the fund at least the
amount they paid in.
Mayor Hanna asked if there was a system to check this for each of
the pensioners.
Baird stated if the Mayor's statement was a motion, he would second
the motion for some type of procedure. He expressed his concern
that the Pension Board could get into some real predicaments if the
retiring firemen left an ex-wife and a current wife, a combination
of natural children, step -children, and or/adoptive children, etc.
Mayor Hanna stated the Board could ask City Attorney Jerry Rose
about these questions for the next meeting. Mayor Hanna asked that
there be a standard type agenda prepared for these meetings.
City Treasurer Glyndon Bunton asked if these types of questions had
been addressed by any other board.
Mayor Hanna stated the state statutes probably cover these types of
situations.
Thomas stated she would draft a memo to the City Attorney asking
him to research these beneficiary questions.
Bunton asked how long a fire fighter had to work before he was
fully vested. Doss stated 20 years.
Thomas stated the family of Gladys Cole had returned her check.
However, since it is only for $45, Thomas asked if the Pension
Board wanted to return the entire check to her estate.
Doss, seconded by Judy, made a motion to approve the pension list
with the above changes and return Mrs. Cole's check to her estate.
The motion passed by a unanimous vote.
OTHER BUSINESS
February 25, 1993
RELIEF PORTION OF THE PENSION FUND
Richard Baird asked what the "relief" portion of the Firemen's
Pension and Relief Fund covers. He stated he had nothing in his
records defining this. He stated 5 of the full time retirees are
receiving under $500 per month pension, and there are 8 part-time
retirees or their beneficiaries receiving less than $50 per month.
He asked under the "relief" portion of the fund, could the minimums
for these two categories be raised.
Mayor Hanna stated those are small amounts for volunteers. He
feels the City Attorney should be asked about the Board's liability
to these people.
Baird stated this would increase the pension amount paid out
monthly by $631.
Ben Mayes stated the pension fund had to be actuarially sound
before an increase can be given.
Baird stated that may be true, but he would like the City Attorney
to look into this.
Mayor Hanna stated this could leave the door open for the people
who did not get a raise to complain.
Pete Reagan stated before increases could be given, the pension
fund would have to pay for a special actuary report. The Pension
Board had previously stated at the time of the last increase that
everyone would get an increase the next time increases were given.
He stated the Pension Board did not guarantee active firefighters
a raise. Some retirees are now drawing 100% of what they retired
at. He would like to go on record opposing any increase at this
time.
Baird stated every time a current fire fighter gets a raise in
salary, he automatically gets an increase in the amount of pension
he will be receiving.
Reagan stated those people were paying in 3% of their salaries, and
the current fire fighters pay 6% of their salaries to the pension
fund. The City is matching the fire fighters contributions. The
Pension Board is trying to "build the pot" to be able to give
another increase later on.
Doss stated he felt the "relief" portion of the fund was to be used
as a temporary measure for specific reasons. He agreed there
needed to be some research on this.
Baird stated he would just like to know what the rules are.
•
•
•
February 25, 1993
PENSION AFFIDAVITS
Thomas stated she had received all of the pension affidavits
returned except for Dwayne McChristian and Madge Murphy. She needs
the Fire Pension Board's permission to send a letter withholding
the pension checks from these people until they file their forms.
Reagan, seconded by Doss, made a motion such a motion. The motion
passed by a unanimous vote.
PENSION BOARD ELECTION
Reagan stated there was a retiree and an active fire fighter
position coming up for election in May on the Fire Pension Board.
Thomas stated she would pull last year's file and put together a
letter for the retirees.
ADJOURNMENT
The meeting adjourned at 11:56 a.m.