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HomeMy WebLinkAbout6.17.25 Employees Retirement System MinutesOFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES’ RETIREMENT SYSTEM MEETING MINUTES Regular Meeting June 17, 2025 10th Floor Conference Room Tuesday, 9:30 a.m. The meeting was called to order at 9:33 a.m. Present: Trustee Bahr, Ebright, Jeffries, Parker, Sanchez-Gazella (9:36), Schor, Thomas – 6. Absent: Dedic, Garza, O’Leary (Excused) Others present: Karen E. Williams, Thomas Lindemann, Human Resources Department, City Attorney Joseph Abood, City Attorney’s Office; Attorney Aaron Castle, VanOverbeke, Michaud and Timmony; Nathan Burk (via phone), Asset Consulting Group. It was moved by Trustee Ebright and supported by Trustee Thomas to approve the Joint Official Minutes of the Employees’ Retirement System Board and the Police and Fire Retirement System Board of May 13, 2025, with corrections. Adopted by the following vote: 6 – 0. There were no public comments for items on the agenda. Secretary’s Report: 2 new members, 0 reinstatement(s), 0 refund(s), 0 transfers, 0 retired. Total active membership: 414. Total deferred: 67; 0 Death(s); Refunds made since last regular meeting amounted to $92,262.44. Retirement allowances for the month of May 2025 amounted to $2,042,281.57. Total retirement checks printed for ERS System: 913. Total retirement checks printed for both systems: 1741. Eligible domestic relations orders received: 0. Domestic relations orders pending: 0. Eligible domestic relations orders certified: 0. It was moved by Trustee Bahr and supported by Trustee Ebright to approve the following application for retirement: Rick Westerhof (UAW) 16 years and 5 months of service credit, Age 66, effective 06/14/2025. Linda Burch (Teamster 243), 5 years 5 months of service credit, Age 67, effective 6/28/2025 (has 23.88 years of reciprocal service from the State of Michigan) Adopted by the following vote: 7 – 0. Karen Williams reported that the Retirement Office was waiting for documentation from Applicant #2024-E0724 request for duty disability. Employees’ Retirement System June 17, 2025 Meeting Minutes Tuesday, 8:30 a.m. Page 2 Karen Williams reported Applicant #2025-E0617 submitted a request for non-duty disability. The request was referred to the disability subcommittee for review. The disability met and reviewed the application for eligibility. Trustee Bahr stated the subcommittee reviewed the application and it did not meet the eligibility criteria. Attorney Castle opined that the ERS Ordinance requires that the applicant is required to have ten years of service for non-duty. It was moved by Trustee Bahr and supported by Trustee Gazella to deny the request for non-duty disability because the applicant did not meet the 10-year eligibility criteria. Adopted by the following vote: 7 -0 There were no requests for a refund of accumulated contributions. Thomas Lindemann provided an oral report on his attendance at the MAPERS Spring Conference. Mr. Lindemann found the conference informative and was able to network with his counterparts at other municipalities. Mr. Lindemann attended sessions that discussed Artificial Intelligence and short-term investing. Mr. Lindemann also attended the new trustee orientation. Trustee Parker also attended the MAPERS Spring Conference. He highlighted a session that discussed removing human emotions from investing. Trustee Thomas provided an oral report on her attendance at the NCPERS Annual Conference. Trustee Thomas stated that the conference was excellent with very good accommodation, Trustee Thomas attended sessions that discussed structural inflation, and the importance of diversification. Karen Williams reported the upcoming MAPERS Fall Conference, September 13 -16 in Grand Rapids. Karen Williams reported on the upcoming NCPERS Fall Conference, October 26-29 in Nevada. Karen Williams reported that each year, per City Council resolution, every member of a board or commission, authorized by city ordinance or the city charter, shall obtain training on the ethics ordinance, conflicts of interest and the Open Meetings. City Council has provided a 20-minute informative video that members are required to review. The following trustees have watched the Open Meetings Act/Ethics Ordinance video: Garza, Sanchez- Gazella, Schor, Thomas, Staff: Lindemann, Williams Karen Williams reported that Trustee Dedic, Garza and O’Leary that the members contacted the Retirement Office and requested to be excused from the meeting. It was moved by Trustee Ebright and supported by Trustee Bahr to excuse Trustee Dedic, Trustee Garza, and Trustee O’Leary from the June 2025 meeting. Adopted by the following vote: 7 -0. , There were no public comments for items not on the agenda. Ms. Williams provided the following April invoices for approval: from Northern Trust, $14,355.85; VMT Law, $7,678.30. It was moved by Trustee Bahr and supported by Trustee Ebright to pay the June invoices for the Employees’ Retirement System Board. Adopted by the following vote: 7 - 0. Karen Williams reported election results to replace Trustee Parker’s whose term would expire June 30, 2025. Mr. Darren Kalis submitted a valid nominating petition and was the only petition received. Board policies indicate that if there is only one petition received, the Trustees as Board of Canvassers can declare the nominee as the elected member for the term ending June 30, 2029. It was moved Trustee Bahr and supported by Trustee Ebright to accept the election results and declare Mr. Darren Kalis and Trustee member for the term ending June 30, 2029. Adopted by the following vote: 7 -0. Mr. Thomas Lindemann provided an update of the duty disability income verifications for the Employees Retirement System. Mr. Lindemann indicated that there were 2 members who had not reported as of the deadline, April 30, 2025. Mr. Lindemann will send out a second letter and if there has still not been a response, the Retirement Office will provide a list of disability recipients who would be subject to pension suspension at the July meeting. Trustee Thomas requested from the Employees Retirement System to approve the Finance Department for access to monthly retirement statement accounts. Trustee Thomas recommended “read only” direct access. Trustee Schor recommended that the ERS Board approve the position of Finance Director and Controller to have access to retirement system statements instead of an individual. Trustee Schor indicated that by approving the positions of Finance Director and Controller, the Board would not have to provide access each time there are staff changes. It was moved by Trustee Schor and supported by Trustee Sanchez-Gazella to approve monthly access of the Employees Retirement System retirement statement accounts for the Finance Director and the Controller. Adopted by the following vote: 7 -0 Attorney Castle updated the Police and Fire Retirement System that the draft guidelines for PA 202 from the Michigan Department of Treasury are being finalized. Attorney Castle recommended the consideration and approval of the actuarial request for proposal to wait until the July meeting Mr. Nathan Burk reviewed the Monthly Investment Report for the month ending May 30, 2024. It was moved by Trustee Ebright and supported by Trustee Bahr to adjourn the Employees’ Retirement System June meeting. Adopted by the following vote: unanimous. The meeting ended at 10:09 a.m. Minutes approved on 7/15/2025. ________________________ Crystal Thomas, Secretary Employees’ Retirement System _____________________________ Dennis R. Parker, Chairperson Employees’ Retirement System