HomeMy WebLinkAbout1985-06-03 MinutesMINUTES OF A FIRE PENSION RELIEF BOARD MEETING
A meeting of the Fire Pension Relief Board
3, 1985 in Room 313 of City Hall.
was held on Monday, June
PRESENT: Chairman Don Grimes, Treasurer Scott Linebaugh, Secretary
Suzanne Kennedy; Fire Chief Paul Logue; Fire Fighters
Dill and Judy
ABSENT: Fire Fighters Reagan and Springston
CALL TO ORDER
The meeting was called to order at 4:30 P.M. by Chairman Grimes.
MINUTES
The minutes of the May 6, 1985 meeting were approved as circulated.
PENSION LIST
With there being no changes to the Pension List for June, it was moved
by Judy, seconded by Dill, and unanimous, to approve the Pension List
for June.
OLD BUSINESS
Investments
1. Linebaugh reported that a C.D. for $433,000 matures on May 21st
and was put out for bid, to be invested with the addition of
$20,000 in new money. Linebaugh reported that the bid was awarded
to Northwest National Bank, for $453,000, at 7.38% interest for
a term of 90 days. Linebaugh noted that no bid was received
from First South, which decided that pledging would be too costly.
2. Linebaugh reported
a $225,000 Treasury
National Bank, at
years, to mature on
that, pursuant to the Board's instructions,
Note was purchased on May 29 through Northwest
a 10.75% interest rate, for a term of five
August 15, 1990.
3. Linebaugh reported that, although the Board at its last meeting
decided to invest the certificates which matured on June 3 into
Fire Pension Board Minutes
June 3, 1985
Page 2
one Treasury Bill and one 180 -day Certificate of Deposit, he
found that rates on T -Bills had dropped so low that it would
be unwise to invest in the T -Bill at this time. Linebaugh stated
that the prediction is that rates will continue to go down but
will rise again next year. He added that, in two weeks, another
investment will mature which can be invested in a T -Bill if the
Board wishes.
Linebaugh reported that First Federal of Fayetteville was awarded
both certificates - $517,294.44 for 182 days at the rate of 7.90%;
and $496,000 plus $8,000 new money, for a total of $504,000 for
182 days at 7.90%.
Dill, seconded by Judy, made a motion to approve the investments as
made by Linebaugh. The motion passed unanimously.
NEW BUSINESS
Investments
Linebaugh reported on local available rates:
Term Rate
CERTIFICATES
60 days
90 days
180 days
1 year
TREASURY BILLS
2 years
5 years
7.20%
7.25%
7.3%
7.75%
8.3%
9.4%
Linebaugh reported that experts estimate the rates will remain low
until the beginning of the year. He also noted that First Federal
of Fayetteville held $220,000 of the Fund's money and now will have
$1 million.
Linebaugh reported that an investment will mature on June 19th and
he recommended it be invested in a Treasury Bill for 180 days, unless
5 -year rates improve.
Fire Pension Board Minutes
June 3, 1985
Page 3
The Board was in agreement with Linebaugh's recommendation to wait
until 5 -year rates improve to about 10%.
Pension Board Election
Paul Logue reported that a meeting was held in May to elect Pension
Board members; and that Dill and Judy had been re-elected for two
year terms.
ADJOURNMENT
With no further business, it was moved by Logue, seconded by Dill,
and unanimous, to adjourn the meeting at 4:50 P.M.
DONALD L. GRIMES, CHAIRMAN