HomeMy WebLinkAbout1997-07-31 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, July 31, 1997, at 11:00 a.m., in room 326, of
the City Administration Building, 113 W. Mountain, Fayetteville,
Arkansas.
PRESENT:
ABSENT:
Pete Reagan, Ron Wood, Darrell Judy, Howard Boudrey and
City Clerk/Treasurer Traci Paul
Mayor Fred Hanna and Marion Doss
CALL TO ORDER
Pete Reagan called the meeting to order.
CITY ATTORNEY'S OPINION - INTEREST ON INSURANCE TURNBACK
City Attorney Rose reported that Tom Gay from the Office of the
Attorney General has given an opinion to the Pension Review Board
regarding the Fire Pension Board's request that interest be paid on
the delayed monies that were given to the Fund. Rose stated Gay's
opinion is that the Fund is not entitled to the interest. The Fund
had no legal right to the funds until after the December actuarial
report and accordingly, there should be no interest paid. It is
Gay's opinion that even if the fund was entitled to the interest,
it would only be for about half of the 89 days. Payments to others
were made in August, not back in July.
Rose stated the only way the Board can pursue this is through the
Arkansas State Claims Commission. The Commission is a panel of
judges who you would appear before to present your case. The
Attorney General's Office would present the Pension Review Board's
case. It is a two step process before the State Claims Commission.
The first step is to win your case before them. The second step is
to go to the Arkansas Legislature and the Legislature has to
approve the amount of money requested.
Rose explained he did not recommend pursuing the issue but would do
it if the Board wanted him to. He stated the point has been made
that the Pension Review Board messed up. The chances of winning
the case are not great. The Arkansas State Claims Commission will
take the advice of the Attorney General's office a majority of the
time.
After further discussion, the Board decided not to pursue the
claiming of the loss of interest on the last insurance turnback
check.
1
•
July 31, 1997
Reagan suggested the Board send a letter to the Pension Review
Board informing them of their decision to no longer pursue the
matter. Reagan stressed the importance of Fayetteville receiving
their money in a timely manner in the future.
Paul stated she would send a letter.
MINUTES
Boudrey, seconded by Wood, moved to approve the minutes of the June
26, 1997 meeting. The motion passed unanimously.
PENSION LIST
Paul reported there were no changes in the pension list.
Boudrey, seconded by Wood, made a motion to approve the pension
lists for August, 1997. The motion passed unanimously.
INVESTMENT REPORT
Richard Yada, Merrill Lynch, distributed and reviewed the Portfolio
Performance Report dated December 31, 1996 through July 29, 1997.
Yada stated the Board should keep in mind that the Actuary is going
to be affected the DROP program. We are actuarially sound but we
will probably go under on the next report.
OLD BUSINESS
Retired Member Election
Paul stated ballots were mailed to all retirees so they could vote
for Howard Boudrey or Bill Morris to fill the Retired Member
position on the Board. Howard Boudrey received 11 votes. Bill
Morris received 15 votes.
Reagan thanked Boudrey for the time he has served on the Pension
Board.
There being no further business, the meeting adjourned at 11:25
a.m.
2