HomeMy WebLinkAboutCity Council Committees - Fireman's Relief and Pension Board - 04/08/1970 FIREMAN' S PENSION BOARD MEETING
April 8, 1970
A meeting of the Fireman ' s Pension Board was called to order by
Mayor Hogan, Chairman, at 4. 00 p.m. Members present: Mayor Hogan,
Councilman Lee, Captain Bridge, City Clerk Jensen. Also present:
Lloyd Baisinger and Don Petre of the National Bank of Washington,
Richard Evans , City Administrator Joe Street, City Treasurer
" Margaret .Drotz and Fire Chief Foster.
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The purpose of the meeting was declared to be to authorize (1 )
investment in mutual funds and ( 2 ) to authorize investment of
other remaining funds .
Mr. Petre explained that he had researched the matter and found
that there was some question of the legality of the Fireman ' s
Pension Fund investing in Mortgage Participation Certificates , and
therefore recommended that this proposal be abandoned.
Mr. Evans noted that the actuarial report was in error, in stating
that 25% of the assets could be invested in Mutual Funds. This
figure should be 35%.
City Treasurer Drotz noted that City of Kent LID 258 bonds in the
amount of $37, 120 . 30 were available at 8%. Jensen moved to purchase
these bonds as an investment of Fireman ' s Pension Funds . Lee
€ seconded, motion carried.
It was noted that 35% of the money available for investment equals
$83 , 650 . Lee moved for the City Treasurer to be authorized to in-
vest $83 , 650 in the following 7 Mutual Funds, putting 5% of the
money in each fund, in accordance with the RCW provision for a maximum
investment of 5% for each fund:
` 1 ) Technology
2 ) Colonial Equities Inc.
3 ) Axe-Science Corp.
4) Oppenheimer
5 ) Channing Special Fund
6) Putnam Growth
N 7 ) Fidelity Trend Fund
and further providing that dividends will be reinvested in capital
distribution. Jensen seconded. Motion carried .
Jensen moved for the City Treasurer to be authorized to sign any
necessary documents in connection with the investments. Bridge
seconded. Motion carried.
Jensen moved to invest the remaining $15 ,000 in additional corporate
bonds . Lee seconded, motion carried.
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Fireman ' s Pension Board Minutes
April 8, 1970 Page Two
Jensen pointed out that letters had been received from Fire
Chief Foster and Assistant Chief Randallpointing out that they
had had 6% deducted from their salaries since 1965 for the Fireman ' s
Pension Fund . The pension law provides that no deduction shall
exceed 6% of the salary of a Battalion Chief, and Foster and Randall
have, therefore requested that the appropriate refunds be made to
them. Since Kent has never had a Battalion Chief classification,
Mr. Street compared salaries for this category with other cities
and suggested that a Battalion Chief ' s salary be estimated at 90%
of the salary of an Assistant Chief. Using this as a guide , refunds
would be due Foster in the amount of $501. 64, and Randall in the
amount of $237.10 . Jensen moved to authorize checks in these amounts,
Lee seconded. Motion carried.
There was no further business, and the meeting was adjourned at
5 : 00 p.m.
Respectfully submitted,
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Marie Jensen ]
Secretary of the Board
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