HomeMy WebLinkAbout1984-04-02 MinutesA MEETING OF THE FIRE PENSION RELIEF BOARD
A meeting of the Fire Pension Relief Board was held at 4:30 P.M. on
Monday, April 2, 1984, in Room 313 of the City Administration Building,
Fayetteville, Arkansas.
PRESENT: Chairman Don Grimes, Treasurer Scott Linebaugh, Fire
Chief Logue, Firemen Boudrey, Dill, Judy and Springston,
Secretary Suzanne Kennedy
CALL TO ORDER
The meeting was called to order by Chairman Don Grimes.
MINUTES
The following correction was made to the Minutes of the March 5 meeting:
Page 2, Paragraph 1: $788.44 should be $778.42
With that correction, the Minutes were approved as submitted.
OLD BUSINESS
Increase in Retirement Benefits
Chairman Grimes, referring to the recent request for an increase in
benefits for full-time retirees, asked if it is possible for a retiree
to start out at an amount which would be more than half of what his
salary had been. Grimes noted the proposed $50 per month increase
could put some retirees above "half -pay". Grimes stated he thought
the statutory upper limit is "half -pay".
INVESTMENTS
Treasurer Linebaugh reported that, in regard to the C.D. for $100,000
which was to go only to savings and loan associations, only one savings
association expressed an interest in bidding. Linebaugh stated the
reason for the lack of interest was because the governmental securities
market is so low. Linebaugh explained he put this C.D. out for bids
with the banks plus the one savings association, and Mcllroy was awarded
the bid at 10.81%, for 365 days. Linebaugh stated he thought we should
wait until the market comes back up and then put the C.D. back out
to the savings and loan associations for bids.
Fireman Springston, seconded by Dill, made a motion to approve the
investment at Mcllroy Bank. The motion passed unanimously.
PENSION LIST
The following addition was made to the Pension List for April:
Arnold King should be added, for $778.42.
With that addition, Fireman Dill, seconded by Logue, made a motion
to approve the Pension List for April. The motion was passed unanimously.
There was a request that copies of the revised pension list be distributed.
NEW BUSINESS
Linebaugh reported $532,000 in investments at First Federal come due
on April 23, currently earning 9.82%. Linebaugh reported current
available rates:
90 days
180 days
1 year
10.2%
10.4%
10.65%
Linebaugh and Grimes both recommended going with terms of about 210
to 240 days, which would come due at about the time of the election.
Linebaugh also recommended separating the total investment into perhaps
one at 240 days and another at 90 days.
Linebaugh introduced the topic of mutual funds, stating there are
hidden costs and a question as to whether we could legally invest
in them.
Linebaugh stated Treasury Bills are a possibility for investment but
they have lesser interest rates at this time.
Fireman Springston, seconded by Boudrey, made a motion to invest $300,000
for 240 days and $240,000 for 60 days. The motion passed unanimously.
ADJOURNMENT
With no further business, the meeting adjourned at 4:56 P.M.
HAIRMAN