Village of Niles Police Pension Fund Board of Trustees met July 8.
Here is the minutes provided by the board:
A regular meeting of the Niles Police Pension Fund Board of Trustees was held at 1:00 p.m. in the Niles Police Department Training Room located at 7000 W. Touhy Avenue, Niles, Illinois 60714, pursuant to notice.
CALL TO ORDER:
Trustee Boba called the meeting to order at 1:00 p.m.
ROLL CALL:
PRESENT: Trustees Michael Boba, Danielle Helma, Eric Lambrechts, Marimel Lim and Jim Grammas
ABSENT: None
ALSO PRESENT: Attorney Carolyn Clifford, Ottosen (arrived at 1:02 p.m.); Tom Sawyer, Sawyer Falduto Asset Management, LLC; Michelle Rice, Lauterbach & Amen, LLP (L&A)
PUBLIC COMMENT:
There were no public comments.
APPROVAL OF MEETING MINUTES: January 8, 2020 Regular Meeting: The Board reviewed the January 8, 2020 regular meeting minutes. A motion was made by Trustee Helma and seconded by Trustee Grammas to approve the January 8, 2020 regular meeting minutes as written. Motion carried by roll call vote. AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas NAYS:
None ABSENT: None
Semi-Annual Review of Closed Session Meeting Minutes: The Board discussed the closed session meeting minutes and will not release them at this time due to the need for confidentiality still exists. A motion was made by Trustee Boba and seconded by Trustee Lambrechts to keep the closed meeting minutes closed. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT: None
Attorney Clifford arrived at 1:02 p.m.
ACCOUNTANT'S REPORT - LAUTERBACH & AMEN, LLP: Monthly Financial Report and Presentation and Approval of Bills: The Board reviewed the Monthly Financial Report for the two-month period ending June 30, 2020 prepared by L&A. As of June 30, 2020, the net position held in trust for pension benefits is $36,383,028.34 for a change in position of $1,141,353.73. The Board also reviewed the Cash Analysis Report, Revenue Report, Expense Report, Member Contribution Report, Payroll Journal and the Vendor Check Report for the period April 1, 2020 through June 30, 2020 for total disbursements of $225,051.93. A motion was made by Trustee Boba and seconded by Trustee Helma to accept the Monthly Financial Report as presented and to approve the disbursements shown on the Vendor Check Report in the amount of $225,051.93. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT: None
Additional Bills, if any: There were no additional bills presented for approval.
INVESTMENT REPORT - SAWYER FALDUTO ASSET MANAGEMENT, LLC: Quarterly Investment Performance Report: Mr. Sawyer presented the Quarterly Investment Performance Report for the period ending June 30, 2020. As of June 30, 2020, the net return for the second quarter is 13.42% versus the second quarter account benchmark of 13.94%. The investment return for the quarter is $4,354,352 for an ending market value of $36,364,031. The current asset allocation is as follows: Fixed Income at 35.1%, Equities at 63.6% and Cash Equivalents at 1.4%. Mr. Sawyer reviewed the Market Commentary, Equity and Fixed Income Portfolios, Credit Rating Report and Transaction Ledger Report with the Board. A motion was made by Trustee Boba and seconded by Trustee Helma to accept the Quarterly Investment Performance Report as presented. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT: None
Review/Update Investment Policy and/or Asset Allocation, if needed: Mr. Sawyer presented recommendations to amend the Board's investment policy. The Board reviewed and discussed the recommendations, which include language regarding sustainability consistent with the new Illinois Sustainable Investing Act (Public Act 101-0473) and adjustments to fixed income benchmarks. A motion was made by Trustee Boba and seconded by Trustee Grammas to approve the recommendations for updates to the investment policy as presented. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT:
None
COMMUNICATIONS AND REPORTS: Affidavits of Continued Eligibility: The Board noted that L&A mailed Affidavits of Continued Eligibility to all pensioners with the June payroll cycle with a due date of July 31, 2020. Status updates will be provided to the Board as they become available.
APPLICATIONS FOR MEMBERSHIP/WITHDRAWALS FROM FUND: Applications for Membership - Daniel Carpino and Stephanie Hofer: The Board reviewed the Applications for Membership submitted by Daniel Carpino and Stephanie Hofer. A motion was made by Trustee Boba and seconded by Trustee Helma to accept Daniel Carpino effective January 6, 2020 and Stephanie Hofer effective October 21, 2019 into the Niles Police Pension Fund as Tier II participants. Motion carried by roll call vote. AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas NAYS: None ABSENT: None
APPLICATIONS FOR RETIREMENT/DISABILITY BENEFITS: Approve Regular Retirement Benefit - Robert Tornabene: The Board reviewed the regular retirement benefit calculation for Robert Tornabene prepared by L&A. Bureau Chief Tornabene had an entry date of December 2, 1993, retirement date of May 1, 2020, effective date of pension of May 2, 2020, 52 years of age at date of retirement, 26 years of creditable service, applicable salary of $136,371.19, applicable pension percentage of 65%, amount of originally granted monthly pension of $7,386.77 and amount of originally granted annual pension of $88,641.24. A motion was made by Trustee Boba and seconded by Trustee Lambrechts to approve Robert Tornabene’s regular retirement benefit calculated by L&A. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT: None
Status of Disability Application - James Griesenauer: Attorney Clifford apprised the Board on the status of James Griesenauer's disability application and noted that one IME report has been received. Attorney Clifford noted that communication was received from Dr. Samo requesting additional medical documentation to review before seeing James Griesenauer for his IME. A subpoena requesting the additional medical documentation will be sent to the Village. Further discussion will be held at the next regular meeting.
Approve Findings and Decision and Non-Duty Disability Benefit Calculation - Jerry Mercado: The Board reviewed the Findings and Decision prepared by Ottosen. A motion was made by Trustee Helma and seconded by Trustee Lambrechts to approve the findings and Decision for Jerry Mercado as presented. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT: None
The Board reviewed the non-duty disability benefit calculation for Jerry Mercado prepared by L&A. Patrol Officer Mercado had an entry date of September 7, 2002, disability date of August 19, 2019, effective date of pension of August 20, 2019, 43 years of age at date of disability, 16 years of creditable service, applicable salary of $109,476.10, applicable pension percentage of 50%, amount of originally granted monthly pension of $4,561.50 and amount of originally granted annual pension of $54,738. The Board also reviewed the retroactive payment due to Jerry Mercado for the period August 20, 2019 through March 30, 2020 in the amount of $33,696.24. A motion was made by Trustee Boba and seconded by Trustee Helma to approve Jerry Mercado's non-duty disability benefit and retroactive payment calculated by L&A. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT: None
Deceased Pensioner – William Mehring: The Board noted that pensioner William Mehring passed away on May 10, 2020 with no surviving spouse. A motion was made by Trustee Boba and seconded by Trustee Lambrechts to terminate William Mehring's pension benefit due to his passing. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT: None
OLD BUSINESS: Review and Approve Board Rules Updates: The Board tabled this item for discussion until the next regular meeting.
Review and Approval of Final Municipal Compliance Report (MCR) from FY Ending April 30, 2019 with DOI Data: The Board reviewed the revised Municipal Compliance Report prepared by L&A to include the IDOI Actuarial Valuation number. A motion was made by Trustee Helma and seconded by Trustee Boba to approve the revised MCR as presented and to authorize signatures by the Board President and Secretary. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT: None
NEW BUSINESS: Review Preliminary Actuarial Valuation: This item was tabled for discussion until the next regular meeting.
Fiduciary Liability Insurance Renewal: The Board noted that the fiduciary liability insurance renewed through Markel American Insurance Company for the period March 1, 2020 through March 1, 2021 in the amount of $5,350.
Certify Board Election Results - Active Member Positions: L&A conducted an election for both of the active member positions on the Niles Police Pension Fund Board of Trustees. Mike Boba and Danielle Helma ran unopposed and were reelected for two-year terms ending May 10, 2022. A motion was made by Trustee Helma and seconded by Trustee Boba to certify the active member election results. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT: None
Appointed Member Term Expirations – Marimel Lim and Jim Grammas: The Board noted that Trustees Lim and Grammas were last reappointed in 2018. Their statutory two-year terms expired in April 2020, and both trustees desire to continue serving on the Board. The Board will await reappointments by the Village Mayor.
Annual Board Officer Elections - President, Vice President, Secretary and Assistant Secretary: The Board discussed Board Officer Elections and nominated the following slate of Officers: Trustee Boba as President, Trustee Lambrechts as Vice President, Trustee Helma as Secretary and Trustee Lim as Assistant Secretary. A motion was made by Trustee Grammas and seconded by Trustee Helma to elect the slate of Officers as stated. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT: None
FOIA Officer and OMA Designee: The Board noted that Trustee Boba will remain as the FOIA Officer and OMA Designee.
IDOI Annual Statement: The Board noted that the IDOI Annual Statement is currently in process and the final report will be sent to the Board for review upon completion.
ATTORNEY'S REPORT - OTTOSEN: Attorney Clifford distributed summaries to the Board outlining recent legislation surrounding COVID-19 and updates on the investment consolidated Boards.
TRUSTEE TRAINING UPDATES: Upcoming Training Opportunities (IPPFA Fall Conference): The Board reviewed upcoming training opportunities. Trustees were reminded to submit any certificates of completion to L&A for recordkeeping.
Approval of Trustee Training Registration Fees and Reimbursable Expenses: The Board discussed the 2020 IPFA Fall Seminar. A motion was made by Trustee Boba and seconded by Trustee Helma to approve registration fees and reimbursable expenses for Trustees interested in attending the 2020 IPFA Fall Seminar. Motion carried by roll call vote.
AYES: Trustees Boba, Helma, Lambrechts, Lim and Grammas
NAYS: None
ABSENT; None
CLOSED SESSION, IF NEEDED: There was no closed session needed.
ADJOURNMENT: A motion was made by Trustee Helma and seconded by Trustee Boba to adjourn the meeting at 2:01 p.m. Motion carried unanimously by voice vote.
https://www.vniles.com/AgendaCenter/ViewFile/Minutes/_07082020-1837
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