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07-20-1999 "-" ...." Edgewater Firefighters' Pension Fund Regular Meeting Tuesday, July 20, 1999 6:41 p.m. J4 / Call to Order: The Regular Meeting of the Edgewater Firefighters' PensivH tloard was called to order on Tuesday, July 20, 1999 by Chairman Jollie at 6:41 p.m. in the Training Room at Fire Station #57. Members present were: Chairman Jim Jollie, Ms. Laura Reilly, and Mr. Gary Butt. Secretary Jill K1em and Ms. Patricia Richards were absent. Also present was Ms. Lisa R. Miller, Recording Secretary. Minutes: The Minutes from the April 20, 1999 Regular Meeting were submitted for approval. Mr. Butt moved to approve the minutes as submitted. Ms. Reilly seconded. Motion CARRIED 3 to O. Old Business: There was discussion regarding Foster & Foster, Inc. and their actuarial impact study regarding the changes 20 years and out, 3% multiplier, 6% member contribution, and a buy back for military time. It was noted the findings were sent to the City Manager. Chairman Jollie stated he would check with the City Manager to see where it stands. There was discussion regarding the previous changes that were to comply with State requirements and the proposed Ordinance 99-0-04. It was noted the impact statement from Foster & Foster, Inc. stated there was no financial impact to the plan by adopting the changes. Chairman Jollie stated he sent a copy of that letter and the proposed Ordinance 99-0-04 to Ms. Shoemaker and Mr. Slavin from the State Division of Retirement for their review. When the Board hears approval back from the State the ordinance can go to Council for its second reading. There was discussion regarding getting the new changes to Council. There was discussion regarding lump sum payouts. The Board had requested an opinion regarding the lump sum payouts from Attorney Sugarman. Attorney Sugarman had written that our Pension does not require the payment of a lump sum, but it makes it optional with the trustees. There was discussion regarding the options and it was decided to table the subject for future discussion, as there are no members near the retirement age. There was discussion regarding a letter from the State Division of Retirement officially informing the Board of the changes the State has made pertaining to pensions. This letter also requests that the Board get an impact statement from their actuary and have their attorney review our plan against the changes. If there are any changes that need to be made a copy of a proposed ordinance should be forwarded to the State with the impact statement and attorney's review. Ms. Reilly moved to get an impact statement to see if the changes made by the State are met by the current ordinance then to the board attorney for review and the review and impact statement should be sent to the State with a copy of the ordinance. Mr. Butt seconded. Motion CARRIED 3 to O. Edgewater Firefighters' ~sion Fund Minutes 07/20/99 Page 2 ...." There was discussion regarding the State requirement that any additional State monies coming back to the plan be used strictly for improvements in the pension fund. It was noted the Finance Director set up a separate account with STI for the additional monies received from the State that can only be used to enhance the pension plan and the additional monies are being recorded separately from the assets of the plan. New Business: There was discussion regarding the annual report and its acceptance by the State. There was discussion regarding estimated pension costs that were provided to the City Manager for the next fiscal year's budget preparation. Chairman Jollie stated he got the estimates for work that was to be done by the actuary and the board attorney. The total budget request for next year is estimated to be $6,000. There was discussion regarding the FPPTA Trustee's list. It was noted this would be done after the change to the Board. There was discussion regarding an Antitrust Litigation Claim. There were several companies that were effected and Smith Barney was one of them. As the fund had Smith Barney as an investor at the time the Board is eligible to file a claim. There was discussion regarding how to proceed and if it is worth it for the Board to proceed. Ms. Reilly stated she would check with her broker and see if she could get some information to bring back to the Board. There was no more business to come before the Board at this time. Mr. Butt moved to adjourn. Ms. Reilly seconded. Meeting adjourned at 7:16 p.m. Minutes respectfully submitted by: Lisa R. Miller Recording Secretary 1m