HomeMy WebLinkAboutCity Council Committees - Fireman's Relief and Pension Board - 04/05/1995 (3) i
FIREMEN'S RELIEF & PENSION BOARD
April 5, 1995
Present: Jon Johnson, Gary Tilley, Gene Grenstad, Brenda Jacober,
Laurie Murray, John Hillman.
TILLEY MOVED that Johnson chair the meeting. Grenstad seconded and
the motion carried.
Approval of Minutes. TILLEY MOVED to approve the minutes of the
meeting of March 1, 1995, as written. Grenstad seconded and the
motion carried.
Approval of Financial Transactions. Hillman reported that the
American Capital Pace fund was sold on March 28 for $217, 000 and
that the funds were reinvested into the State pool.
Murray noted that the Board had asked for a future cash flow
statement and said that will be available at the next meeting.
Murray asked whether the Board would be interested in having a
representative from R. L. Evans speak to them about investments.
Boardmembers agreed to have them speak, and Murray said she will
find out whether a fee would be involved.
Murray distributed copies of the investment schedule for January
and February reports on assets and liabilities, investments, a cash
flow statement, and operating revenues and expenses. Upon Tilley's
question, Murray noted that the $32 ,752 figure on the balance sheet
is the payroll and benefits paid to retirees as of 12-31-94 .
Murray noted for Tilley that all of the Board's financial holdings
are safe, except that some of the mutual funds were questionable.
Tilley said he would not want to take any risks with the money.
It was noted that there is $5,526 available in cash. Tilley
questioned who receives the interest made on this money, and it was
determined that the City does. Tilley said that this system's
funds are separate from City funds, and that interest made on the
system's money should be credited to the system. He also pointed
out that if the City has used this system's funds for City purposes
or put it's money in pools with City money and did not pay the fund
interest, then interest is due. Murray agreed to look into the
matter. TILLEY THEN MOVED to approve the financial transactions.
Grenstad seconded and the motion carried.
Report on Retroactive Pay. Murray noted that Chuck Turner and
Associates was hired to calculate the interest due to members. She
said that Mr. Turner has asked whether this could wait until after
April 15th, and that she had told him that would not be a problem.
She noted that she has redone the report showing actual dollar
amounts and distribued copies. Murray said that information as to
the April 1st COLA adjustments has not been received from the
retirement system. She said she should have the figures within ten
days and would like to include them in the April 20 payroll. She
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pointed out that the figures need to be approved by the Board and
it was determined that a special meeting may be held to do so.
Murray will contact Boardmembers when the figures arrive. TILLEY
MOVED that the Board approve the interest on the retroactive monies
be delayed until the next meeting in order to allow time for Turner
and Associates to compute them. Grenstad seconded and the motion
carried.
Annual Actuarial Update. Hillman explained that city's are
required to update Pension Fund's actuarial data annually. He
noted that the cost is $750 and that the report goes to the State
and to actuaries. Upon Tilley's request, Hillman agreed to provide
the Board with a copy of the report. TILLEY MOVED to authorize the
Finance Director to procure Milliman & Robertson to provide the
actuarial data that is required on an annual basis, and to limit
the fee to $750. Grenstad seconded and the motion carried.
Other Business.
1. Turner & Associates Invoice. Murray provided a copy of an
invoice from Turner & Associates for professional services rendered
during February and March 1995 in connection with attending Board
meetings and calculating revised benefits, modifying computer
program, recording City payments, finalizing reports and preparing
seven copies of the final report. The invoice is in the amount of
$1,995. TILLEY MOVED to pay the bill. Grenstad seconded and the
motion carried.
2 . Election Results. Jacober noted that Mary Berg has been
elected to serve on the Board for the 1995-97 term.
3 . Cost of Living Adjustment. Tilley explained that the Board is
required to determine what the cost of living is from January 1
through December 31 of the prior year (1994) . He said this must be
done before June and said he has contacted the Department of Labor
and Industries who said the 1994 CPI increase was 3 . 8%. HE THEN
MOVED that the Board accept 3 .8% for the July CPI for 1994 .
Grenstad seconded and the motion carried.
Adjournment. The meeting adjourned at 9: 35 a.m.
Brenda Jacober, MC
City Clerk/$'oar member