08-26-1999 - Special
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Edgewater Firefighters' Pension Fund
Special Meeting
Thursday, August 26,1999
11:00 a.m.
Call to Order: A Special Meeting of the Edgewater Firefighters' Pension Board was
called to order on Thursday, August 26, 1999 by Chairman Jollie at 11 :00 a.m. in the
Training Room at Fire Station #57. Members present were: Chairman Jim Jollie,
Secretary Jill Klem, Ms. Patricia Richards, and Mr. Gary Butt. Ms. Laura Reilly was
absent. Also present was Ms. Lisa R. Miller, Recording Secretary.
Minutes: The Minutes from the July 20, 1999 Regular Meeting were submitted for
approval. Mr. Butt moved to approve the minutes as submitted. Secretary Klem
seconded. Motion CARRIED 4 to o.
Old Business: There was discussion regarding the ordinance changes that were required
by the State. It was noted that it had gone through first reading, the actuary had given it a
statement of "no impact," and had received notification from the State that it was fine.
The State had requested a copy of Ordinance 99-0-04 after the second reading is done.
There was discussion regarding the ordinance changes that the Board had set in motion to
make the plan comparable to the Police Pension Plan. This would include going from a
2~% to a 3% multiplier, 20 years and out, and an increase of the contribution of the
employees from 5% to 6%. There' was discussion regarding the process of implementing
these changes. It was noted the unanimous vote by ballot of the membership approved of
the proposed changes. The next step is to send the changes to the Board Attorney for the
proper wording for ordinance form. There was discussion regarding the amount of time
this might take. It was noted the Board would like to have these changes in place as soon
as possible. Chairman Jollie stated the actuarial statement had already been done.
Secretary Klem moved to contact Attorney Sugarman to have him draft the proposed
changes into ordinance form: eliminating early retirement and replace it with a 20 year
retirement date, increase the member contribution rate from 5 to 6%, and to increase the
multiplier from 2112 to 3% and to do this as expediently as possible. Mr. Butt seconded.
There was discussion and Chairman Jollie read a letter he had drafted. Motion
CARRIED 4 TO O. It was noted the Board would need another special meeting to review
the proposed ordinance before it goes to Council for the first reading.
New Business: There was discussion regarding the status of vested personnel not active
in the plan. There was discussion regarding the process of retirement and keeping records
of employees, past and present, and the benefits they would receive from the ordinance
that was in effect at the end of their service. It was noted the Board should invite Foster
& Foster and STI to the next meeting to discuss the process with them to see what they
were responsible for and what was the Board's responsibility.
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Edgewater Firefighters' Pe~ Fund
Minutes 08/26/99
Page 2
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There was discussion regarding updating the Summary Plan Description to reflect the
changes and its distribution to the membership.
There was discussion regarding the rates of return for the last three months submitted by
STI.
There was discussion regarding the class action suit regarding NASDAQ Market-Makers
Antitrust Litigation. Affected parties were entities who traded securities on the NASDAQ
National Market between May 1, 1989 and July 17, 1996. It was noted Smith Barney was
investing the Fund at that time. Secretary Klem moved to continue to explore the
possibilities of the Smith Barney class action lawsuit and how it will affect the fund. Ms.
Richards seconded. Motion CARRIED 4 to O.
There was discussion regarding a letter of resignation that was turned in by Ms. Richards.
In the letter she stated she would stay on until a suitable replacement could be found for
her. There was discussion regarding applications on file and the interest of others in the
community who might be willing to serve.
There was no more business to come before the Board at this time.
Secretary Klem moved to adjourn. Mr. Butt seconded. Meeting adjourned at 11:35 a.m.
Minutes respectfully submitted by:
Lisa R. Miller
Recording Secretary
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