Call to Order: The meeting was called to order at 8:10 a.m. in the conference room at Glenview Fire Station 6. On roll call the following were:
Present: Board President/Trustee Nick Rusher, Trustee Tom Dvorak, Trustee Mike Sawicki, Finance Director Wiersma, Douglas Oest of Marquette Associates and Carol Bjankini, Recording Secretary
Absent: Village Manager Hileman, Trustee Pat Cuisinier, Trustee Paul Detlefs
Minutes: Trustee Rusher called for a review of the minutes of April 18, 2007. Trustee Dvorak made a motion to accept the minutes of April 18, 2007. Trustee Sawicki seconded and the vote was all ayes, no nays and the minutes of April 18, 2007 were accepted.
Applications: Trustee Rusher notified the Board he was in receipt of four applications:
- Vincent Spalo - Application for Membership
- Daniel Miller - Application for Membership
- Patrick Kelleher - Application for Membership
- David Knoll - Application for Membership
Trustee Rusher motioned to accept Vincent Spalo, Daniel Miller,
David Knoll and Patrick Kelleher's Applications for Membership.
Trustee Dvorak seconded and
the vote was all ayes, no nays and the applications was accepted.
Financial Reports/Contribution Review: Union Members retroactively affected by the 04-01-07 contract are: Caplis, D'Ancona, Kirschner, Garman, Winterfeld and Klauke. Retroactive pay calculations have been prepared for these members, except deferred pensioner, Klauke. Trustee Sawicki motioned to recalculate pensions for union members who retired between January 1, 2006 and April 1, 2007 with salaries frozen at 2005 rates. The revised pensions will be instituted on the June 15, 2007 payroll, along with a one-time retroactive account for pension payments prior to June 15, 2007. Retroactive amounts were calculated by subtracting the previously paid pension amounts from the new pension calculation for each pay period from the date of the initial pension through May 31, 2007. Trustee Dvorak seconded and the vote was all ayes, no nays and the motion was approved.
Pensioners with mid-year "first increases" are: Hartnett, Michehl, Dreffein, Caplis, D'Ancona and Kirschner. Trustee Sawicki motioned to approve the "first increases" as they come due. Trustee Dvorak seconded and the vote was all ayes, no nays and the motion was approved.
Doug Oest from Marquette Associates distributed the Small-Cap Equity Manager Search and the International Equity Manager Search then provided an overview of its contents. Mr. Oest explained that the index fund is doing better than small caps and recommended the Board fully fund the index fund then research another Small-Cap Equity Manager in the future. After a lengthy discussion the Board opted not to utilize Small-Cap Equity Manager at this time.
After reviewing the context of the International Equity Manager Search the Board decided to utilize SSgA (State Street Global Advisors). Trustee Dvorak motioned to utilize SSgA. Trustee Sawicki seconded and the vote was all ayes, no nays and the motion was approved.
Mr. Oest reported to the Board that they are one third of the way through the asset allocation according to plan. Mr. Oest recommended the Board continue to deploy the funds. He will prepare and forward a letter to President/Trustee Rusher and Finance Director Wiersma for their signatures; this letter will outline the details of disbursement to the target allocations. Trustee Rusher motioned to accept Mr. Oest's recommendation. Trustee Dvorak seconded and the vote was all ayes, no nays and the motion passed.
Finance Director Wiersma asked the Board for an official motion to liquidate/reallocate the AFIS Growth Income Annuities as this is a separate account that was district owned. Trustee Dvorak motioned that Finance Director Wiersma work with Marquette Associates to liquidate the AFIS Growth Income Annuities. Trustee Sawicki seconded and the vote was all ayes, no nays and the motion passed.
Other Business: Trustee Rusher discussed the vacancy of Board secretary as Phil Schmitt held this position. Trustee Dvorak motioned Trustee Mike Sawicki hold the position as Board secretary. Trustee Rusher seconded and the vote was all ayes, no nays and the motion was approved.
Attorney Richard Reimer attended the meeting and provided an overview of his services. Attorney Reimer has been in law for eighteen years and his firm consists of four attorneys, all of whom practice in the area of police/fire pension law. Attorney Reimer presently represents over 150 police and firefighter pension boards. He has experience representing Pension Board clients on matters including trial and appellate matters, administrative review proceedings, disability hearings and matters involving the Illinois Department of Insurance.
Attorney Reimer explained his firms fee structure; the Pension Board could retain his firm on an annual retainer basis. The annual retainer of $2,000.00 would be billed at $500.00 per quarter. The retainer fee includes:
- Travel and attendance at quarterly Pension Board Meetings.
- Attendance at one (1) special board meeting per calendar year provided the special meeting is not called for purposes of a disability proceeding or litigation
- All telephone consultations and legal opinions on pension matters
- Preparation of and or review of Pension Board administrative rules and regulations
- Preparation of and or review and revision of Pension Board investment policies, investment advisor/manager or custodial agreements and related documents
- Preparation of annual audit letter
The Pension Board may elect to retain his firm on a quarterly retainer fee basis, matters involving an active disability proceeding or litigation would be billed at a reduced hourly rate of $150.00.
Lastly, the Pension Board could retain his firm on an hourly basis; the fee is $175.00 per hour, which would be billed on a monthly basis.
Additionally, the Board had a few questions regarding attendance at Trustee workshops, fiduciary insurance and disability laws. After Attorney Reimer answered their concerns he adjourned from the meeting at 9:20 am.
The Board discussed Attorney Reimer's services and decided to retain his firm on an annual basis. Trustee Dvorak motioned to retain Richard J. Reimer and Associates, L.L.C. with an annual retainer of $2,000.00 billed at $500.00 per quarter. Trustee Sawicki seconded and the vote was all ayes, no nays and the motion was accepted.
Trustee Rusher asked Trustee Dvorak to contact Attorney Reimer of the Board's decision.
Finance Director Wiersma previously reported to the Board his plans to attend a meeting with the Village's insurance company regarding fiduciary insurance which was slated to become effective May 1, 2007; Finance Director Wiersma adjourned from this meeting at 9:20 am and was unable to report back to the Board regarding the status of the fiduciary insurance. The Board plans to follow-up with Finance Director Wiersma at an upcoming meeting.
Meeting Dates: The next meeting has been scheduled for Thursday, August 16, 2007 at 7:30 am in the conference room at Station 6.
Adjournment: Trustee Rusher motioned to adjourn, Trustee Dvorak seconded and the vote was all ayes, no nays and the meeting adjourned at 10:28 a.m.
Respectfully Submitted:Carol Bjankini
Recording Secretary
Glenview Firefighters’ Pension Fund