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HomeMy WebLinkAbout1996-06-27 Minutes• MINUTES OF A MEETING OF THE FIRE PENSION BOARD A meeting of the Fayetteville Firemen's Pension and Relief Board was held on Thursday, June 27, 1996, at 11:00 a.m., in room 326 of the City Administration Building, 113 W. Mountain, Fayetteville, Arkansas. PRESENT: ABSENT: Marion Doss, Ron Wood, Howard Boudrey, Darrell Judy, and City Clerk/Treasurer Traci Paul Mayor Fred Hanna & Pete Reagan CALL TO ORDER Marion Doss called the meeting to order. MINUTES Wood, seconded by Boudrey, moved to approve the minutes of the May 30, 1996 regular meeting. The motion passed unanimously. PENSION LIST Paul reported no changes in the pension list. Boudrey, seconded by Judy, moved to approve the July pension list. The motion passed unanimously. NEW BUSINESS Investment Report Paul stated Richard Yada had not contacted her about whether he would be in attendance or not. OLD BUSINESS Proposed Benefit Increase In answer to a question from Doss, Paul stated she did not have any additional information. Doss stated the item will be tabled until the next meeting. DROP Application Doss stated there is a DROP application from Robert Johnson. Doss asked if Johnson still needed to come in and fill his application in with a pen instead of a pencil. June 27, 1996 Paul stated the application has been revised with ink but Johnson needs to come in and initial the changes. Wood stated he had asked Johnson to come in and take care of that. Doss stated the Board should not approve the DROP application until Johnson comes in and initials the changes on his application. Paul suggested the Board could approve the application subject Johnson initialling it. In answer to a question from Doss, Paul stated Johnson needs to initial that the effective date has been changed from June.1 to July 1. He also needs to initial the change in the amount. Paul explained she filled in the amount that the Accounting Division will be using. In answer to a question from Paul regarding the beneficiaries listed on Johnson's beneficiary form, Doss explained it was okay that Johnson listed his two sons. to Boudrey, seconded by Judy, Johnson's DROP application motion passed unanimously. MORE NEW BUSINESS made a motion to approve Robert subject to his signing it. The Doss presented copies of a letter from the Pension Review Board. Doss explained that there is a problem with the increased benefits for three volunteer surviving spouses. Doss stated the three surviving spouses are Ms. Barnes, Ms. Morris, and Ms. Polly. The Pension Review Board said the increase was just for retired firemen and not spouses so the benefit for the three spouses should be $45 per month instead of $50. The Pension Review Board also said that Mr. Carl and Mr. Christie should be receiving $65 per month. Somewhere it is documented that they have more than 20 years of service. Floyd Carl and Arnold Christie both had 20 years of service. Doss explained he had been in contact with Cathyrn Hinshaw and Camus. He stated the Insurance turnback check will not be processed until this situation is corrected. Doss explained he sent a list showing the years of service of the different people. Doss stated he told Hinshaw and Camus that the proposed increase will include volunteers and paid retirees. • June 27, 1996 MORE OLD BUSINESS Proposed Benefit Increase Doss pointed out a corrected that needed to be made on the draft of the proposed resolution for a benefit increase. Doss stated the resolution states "be it resolved by the City Council of the City of Fayetteville, Arkansas". Paul agreed that it should be changed as stated she would take care of it. Retired Member Election Paul stated she sent out ballots in the pension checks on June 15 for retirees to elect a retired Board member. Retirees were given two weeks to return the ballots. The deadline is July 1. Paul stated she would report the results at the next meeting. In answer to a question from Boudrey, Paul stated 19 ballots have been returned. Darrell Judy has eight votes, Bill Morris has six votes, and Carl Springston has four votes. Everett Cole Doss asked if Paul had any additional information about the person inquiring about Everett Cole's widows benefits. Paul explained that she did not. Doss stated Mr. Cole was divorced after he$ retired from the Fire Department long ago. It could have dust been a relative who was wondering if there were any additional benefits. Paul stated the woman said she was his wife. Doss stated his wife's name was Bullah. Doss explained that a woman named Helen called to inquire about Mr. Cole benefits. Doss stated a person could not receive benefits until they submitted a written request to the Board. According to the pension laws, if a person divorces and remarries after he retires from the Department, the new wife does not receive benefits. Paul stated a written request has not been submitted. In answer to a question from Doss, Paul stated Cole's name should be removed from the pension list. Paul checked the July pension list a second time for any changes. In answer to a question from Doss, Paul stated the Board will probably have to approve a revised July list at the next meeting. • June 27, 1996 Doss pointed out that the pension list for July lists Mrs. Everett Cole. Paul stated the June pension list has Everett Cole July list has Mrs. Everett Cole listed. In answer to a question from Doss, Paul stated the is distributed by the Accounting Division. listed and the pension list Doss stated he would look into it. Paul stated the Board might not need to take any action on this issue until the situation is more clear. The Board can fix things at the next meeting. Doss left the meeting to call Denise Land in Accounting. Doss returned and reported that nobody called back to request any benefits. The Accounting Division knew there was some question regarding the issue. They placed the name in the space on the pension list just in case it was going to be needed. The Board should remove Everett Cole's name from the pension list since he passed away. Judy, seconded by Boudrey, made a motion to remove Everett Cole's name from the pension list. The motion passed unanimously. ADDITIONAL NEW BUSINESS Paul reported that she had just been given a faxed investment report from Merrill Lynch. Paul distributed copies to each member. The Board reviewed and briefly discussed the investment report. DROP Application Cont'd. Boudrey asked if Robert Johnson would be considered as a retiree and receive 65% because he is a DROP member. Doss pointed out that the member election form states that raises given to retirees are also given to DROP participants. Doss stated when someone signs up for the DROP they do not stay at 50%. Increases are given to DROP participants. The Board reviewed and discussed Section 6.04 of the Fayetteville Firemen's Pension and Relief Fund Rules and Regulations for Fayetteville Firemen's Deferred Retirement Option Plan. Doss stated the regulations say, Any retiree raises granted to all retirees, or overall benefit increases, shall also be given to persons on DROP". • June 27, 1996 The Board discussed the possible proposed benefit increase and how it will effect retirees and DROP participants. Paul reported that the next meeting is scheduled for July 25, 1996. There being no further business, Doss adjourned the meeting at 11:45 a.m. •