HomeMy WebLinkAbout1983-10-31 MinutesMINUTES OF A MEETING OF THE FIREMEN'S PENSION RELIEF BOARD
A meeting of the Firemen's Pension and Relief Board was held on
Monday, October 31, 1983 at 4:30 P.M. in the City Manager's Office,
Interim City Hall, Fayetteville, Arkansas.
PRESENT:
Treasurer Linebaugh
Fire Chief Logue
Fireman Boudrey
Fireman Dill
ABSENT: Chairman Grimes
Fireman Judy
Fireman Springston
Secretary Kennedy
CALL TO ORDER
The meeting was called to order by Treasurer Linebaugh.
MINUTES
With no corrections or additions to the Minutes of October 3, 1983,
Fireman Boudrey, seconded by Judy, made a motion to approve them as
submitted. The motion passed unanimously.
PENSION LIST
Fireman Dill, seconded by Springston, made a motion to approve the
Pension List for November. The motion passed unanimously.
OLD BUSINESS
Treasurer Linebaugh reported that four certificates of deposit
had matured during the month of October:
10/17 CD#11723 Northwest National Bank $275,405 9.58%
10/17 CD#11724 Northwest National Bank 125,800 9.615%
10/24 CD#11791 Northwest National Bank 345,000 9.515%
10/25 CD#01275 First Federal Savings
and Loan 195,000 9.650%
Linebaugh explained he had combined the two October 17 CD's for
a total of $401,205 and added $36,000, to make a total CD for $437,205
which will earn 9.905% interest at Northwest National Bank for 365 days,
rather than the 9.58% and 9.615% they were earning.
Linebaugh stated the 10/24 and 10/25 CD's were combined for a
total $540,000 and reinvested to earn 9.82% interest at First Federal
Savings and Loan for 181 days.
Linebaugh proposed that consideration be given to how much should
be invested at First Federal and whether to invest at other Savings and
Loans because some local Savings and Loans have merged with bigger ones,
possibly making them more financially secure. The Board authorized
Linebaugh to proceed on this matter.
Fireman Springston, seconded by Judy, made a motion to accept the
investments as reported by Linebaugh. The motion passed unanimously.
Fireman Dill asked if there should be a cost of living increase for
retirees. Linebaugh said a rate increase would have to be sent in each
year, at the beginning of the year, and the process would take about six
months.
NEW BUSINESS
Linebaugh reported seven CD's will mature in November:
11/1 CD#22611 Mcllroy Bank $ 312,000 9.63%
11/7 CD#11796 N.W. National Bank 420,595 9.945%
11/7 CD#12960 Mcllroy Bank 113,199 11.5%
11/7 CD#12961 Mcllroy Bank 100,000 11.5%
11/7 CD#12962 Mcllroy Bank 100,000 11.5%
11/7 CD#12963 Mcllroy Bank 100,000 11.5%
11/21 CD#11807 N.W. National Bank 333,000 9.58%
$1,478,794
Linebaugh noted that 60% of the investments are coming due in this
period; one matures in April and one a year from October. He suggested
combining some of these, for better interest rates. He recommended
combining the 11/7 CD's into one investment, for a total of $833,794.
He recommended one-year investments,- noting the interest rate for
two years is 10.75% and for three years is 11% as compared to the rates
for shorter terms which range from 8.65% to 9.56%.
Fireman Dill did not like the idea of investing that much money at
one Bank. Fireman Springston stated he would rather have the investment
mature in six months. Linebaugh pointed out that the bank bidding the
highest interest rate would be awarded the investments, so one bank would
probably get all of them, anyway.
After further discussion, Fireman Judy, seconded by Springston, made
a motion to reinvest the note of 11/1 at one year and the note of 11/21
at one year and to invest the $833,794 note at 180 days, to earn approximately 9.2%.
The motion passed unanimously.
ADJOURNMENT
There being no further business before the Fire Pension Relief
Board, the meeting adjourned at 4:55 P.M.
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09:2?:15 30 NOV 1963
ACTIVE SECURITIES FOR FUND NUMBER 081 - FIRE PENSION AS OF 30 NOV 1983 PAGE 1
BANK.
PURCHASE MATURITY
SECURITY DATE DATE PERIOD
CALCULATED RECEIVED ACCRUED , ORIGIN CASHED DISPOSITION
C 0 S T RATE INTEREST INTEREST INTEREST & AMOUNT DATE &. AMOUNT
1ST FEDL 01291 10-25-82 04-23-84 OTHER 540000.00 9.820% 26296.08 .5416.84 581.13 11791
345000.00
01275
195000.00
MCILROY 23261 11-21-83 11-20-84 OTHER 383000.00 9.7507. 37342.50 0.00 920.77 11807
333000. 00
NEW
50000.00
1ST NTL 26112 11-01-83 10-31-84 OTHER 312000.00 9.750% 30420.00 0.00 2416.93 22611
312000.00
NW NTL 11821 1020-83 10-19-84 OTHER 437205.00 9.9057. 43305.15 3559.33 1304.43 11723
275405.00
11724
125900.00
NEW
36000.00
NW NTL
11831 11-07-03 05-07-84 OTHER
869794.44 9.520% 41288.78 0.00 5217.81
2541999. 44 178652. 51 8976.17 10441. 07
12960
113199.44
12961
100000.00
12962
100000..00
12963
100000.00
11796
420595.00
NEW
36000. 00
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