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HomeMy WebLinkAbout1987-07-15 MinutesMINUTES OF A FIRE PENSION BOARD MEETING A regular meeting of the Fire Pension and Relief Fund Board of Trustees was held on Wednesday, July 15 at 3:00 p.m. in Room 313 of City Hall. PRESENT: Acting Chairman Scott Linebaugh, Secretary Suzanne MCWethy, Fire Chief Mickey Jackson, Firemen Pete Reagan, John Dill and Mike Bonaduce, and retiree Carl Springston CALL TO ORDER The meeting was called to order by Acting Chairman Scott Linebaugh. MINUTES It was moved by Reagan, seconded by Dill, and unanimous to approve the Minutes of May 4 and June 11. PENSION LIST Linebaugh told the Board that, because of the change in meeting date, fire pension lists will have to be approved a month in advance. He explained that at this meeting the July pension list and August pension list should both be approved. It was moved by Jackson, seconded by Springston, and unanimous to approve the July and August pension lists. OLD BUSINESS Linebaugh reported First National Bank was awarded the bid for investment of $354,814.98 in a Treasury Bill. He said there was only one C.D. quote. Linebaugh reported the next investment for the Board to consider will not mature until September. It was moved by Reagan, seconded by Jackson and unanimous to approve the investment. PRUDENTIAL-BACHE Linebaugh asked the Board to decide whether they wished to hear a presentation from Prudential-Bache which has asked to be heard by the Board. He said the Police Pension Board decided to hear investment presentations all at one time. Chief Jackson asked whether the Board wanted to hear a presentation from the Walton group. Reagan suggested the Board hear from other investment advisors all at one time, once a year. This was the consensus of the Board. The City Clerk was instructed to prepare a letter to this effect. Fire Pension Meeting July 15, 1987 Page Two NEW BUSINESS ROY SKELTON Chief Jackson said retiree Roy Skelton had negotiated with the City to repay some salary he was overpaid, which has now been completely repaid. Jackson said 6% of the overpaid salary was held out for pension purposes, and Skelton has asked to have that pension money returned to him. Jackson said Skelton had emphasized that the City should be reimbursed by the Fire Pension Fund for matching funds which were contributed at the same time. It was moved by Bonaduce, seconded by Dill and unanimous to return the money to Roy Skelton. Linebaugh said he would take responsibility for seeing that a check is prepared for the amount due Roy Skelton. Reagan asked that a letter be prepared for Skelton to sign stating he has received the funds due him. DANNY FERRAR The Board was told that Danny Ferrar, who is presently under the LOPFI plan, wants to go back under the old plan. It was explained that Ferrar was under the old plan, left the fire department and came back under the LOPFI plan. Bonaduce said he spoke to Cathryn Hinshaw (State LOPFI office) who claims Ferrar is eligible to go back under the old plan, and count his time if he deposts money with interest. John Dill said he thought all new hirees had to be under LOPFI. The Fire Chief said he thought if a fireman left and took out his pension funds it was like "you were never there". Linebaugh said he would check with the City Attorney about the legality of the matter so that Ferrar can be notified. MERRILL-LYNCH REPORT Richard Yada presented the Board with a progress report on the funds invested with Merrill -Lynch. Yada reported the Equity Account was opened with $507,000 and, as of yesterday, was worth $580,997, an increase of $73,340. Yada explained the account began with a contribution of $312,000 on June 20, 1986 and a contribution of $195,000 in October of 1986. He said this account was up 14.465% since inception. Fire Pension Meeting July 15, 1987 Page Three Yada reported a yield of 7.2% on the Income Account on interest and dividends received off the portfolio. He said this account started with $1 million in December of 1985 with $647,000 added to it in April, the account presently being worth $1,945,000. Yada said this was up 30.19%, annualized at 18.93%. He said the account had increased by about $298,000. ADJOURNMENT The meeting was adjourned at 3:45 p.m.