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HomeMy WebLinkAbout2008 Employee's Retirement System Board MinutesOFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM Regular Meeting Council Conference Room 10th Floor, City Hall Lansing, MI January 17, 2008 Thursday, 8:30 a.m. The Board met in regular session and was called to order at 8:38 a.m. Present: Antekeier, Dedic, Korkoske, Piloske, Singleton (8:45), Wood - 6 Absent: Trustee Bernero, Kraus, Murphy Others: Karen E. Williams, Finance Department; Jack Roberts, Law Department; Paul Novak, Clark Hill; Brad Armstrong, Gabriel, Roeder, Smith and Company. It was moved by Trustee Kraus and supported by Trustee Wood to approve the Official minutes of the Employees Retirement System Regular Meeting of December 20, 2007 as amended. Adopted by the following vote: unanimously Secretary's Report. 1 new member(s), 0 reinstatement(s), 0 refunds(s), 0 transfers, 0 retired. Total active membership: 706. Total deferred: 37. Refunds made since the last regular meeting amounted to $0.00. Retirement allowances paid for the month of December, 2007 amounted to $ 1,472,363.96. Total retirement checks printed for the ERS System: 780. 1 death(s). Donald Foster (Teamster 580), retired 12/5/1992, died 12/15/2007, age 78, spouse to receive 50%. Domestic relations orders received: 1. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. It was moved by Trustee Wood and supported by Trustee Korkoske to elect Trustee Antekeier as chair and Trustee Dedic as vice chair. Approved by the following vote: unanimously Karen Williams distributed the Employees Retirement System subcommittee list. Trustee Dedic asked that he be removed from the Investment Subcommittee, so that there would not be a Board quorum on the subcommittee. Employees Retirement System Regular Meeting of January 17, 2008 Page 2 It was moved by Trustee Wood and supported by Trustee Korkoske to accept subcommittee memberships as amended. Adopted by the following vote: unanimously It was moved by Trustee Wood and supported by Trustee Korkoske to approve the chair and vice chair as the official signatories for the Employees Retirement System. Adopted by the following vote: unanimously Attorney Jack Roberts inquired if Northern Trust needed a separate motion. Karen Williams explained that in the past, Northern Trust has requested a resolution when the chairperson of the Board has changed. The Employees Retirement System Board has had the same chairperson for some time and there had been no request for a separate resolution for Northern Trust. Karen Williams asked for clarification to determine if Trustee Dedic was to be added as a signatory on the investment account. Attorney Roberts advised that the Board should have two separate motions to name the chair as primary signatory and vice chair as an alternate signatory. It was moved by Trustee Wood and supported Korkoske to reconsider the motion to approve the chair and vice chair as the official signatories for the Employees Retirement System. Adopted by the following vote: unanimously It was moved by Trustee Wood and Trustee Korkoske to amend her motion and approve the chairperson, Trustee Antekeier as the official signatory for the Employees Retirement System. Adopted by the following vote: unanimously It was moved by Trustee Wood and supported by Trustee Singleton to approve the vice chair, Trustee Dedic as an alternate signatory. Adopted by the following vote: unanimously Employees Retirement System Regular Meeting of January 17, 2008 Page 3 It was moved by Trustee Wood and supported by Trustee Korkoske to approve the following Request for Regular Age & Service Retirement: Pamela J. Heck -Smith, Parks (Teamster 580 CTP), 25 years, 4 months, age 53, effective January 3, 2008. Clara Ann Bratton, Parks (Teamster 580 Sup), 24 years, 9 months, age 63, effective January 4, 2008. William C. Lemon, Parks, (UAW), 16 years, 1 month, age 58, effective January 5, 2008. Adopted by the following vote: 6-0. It was moved by Trustee Wood and supported by Trustee Dedic to excuse Trustee Murphy from the Board Meeting. Adopted by the following vote: 6 -0. Trustee Dedic inquired if there were pending appointments to the Employees Retirement System Board. Trustee Wood reported to the Board that there is a request in Ways and Means to appoint Mr. Harold McCaffrey to the retiree position on the Board. Trustee Singleton inquired to the Retirement Office if the current position had expired. Karen Williams explained that the retiree position is appointed by the Mayor. Ms. Williams further explained that although Mr. Piloske submitted his paperwork for resubmission, he was not appointed at the time by the previous administration. Trustee Wood reported to the Board that Mayoral appointments may continue to serve after their term has expired until a new appointment is made. Karen Williams informed the Board that the City of Lansing Retirement Planning Conference will be January 23, 2008. Ms. Williams reviewed the details from the last conference in 2006. Ms. Williams informed the Board that the Deferred Compensation Committee and the Defined Contribution Committee were invited to attend. Brad Armstrong, Gabriel, Roeder and Smith presented the Employees Retirement System Actuarial Evaluation for the period ending December 31, 2006. Mr. Armstrong reviewed the assumption changes and its effect on the City of Lansing contribution level. It was moved by Trustee Wood and supported by Trustee Korkoske to accept the Actuary Report and accept the rate and contribution level contained within the report. Adopted by the following vote: unanimously Trustee Wood requested that the Finance Department provide a report on the amount of the City of Lansing contribution to the Employees Retirement System. Trustee Korkoske will provide confirmation of the contribution. Attorney Jack Roberts has received the updated City Travel Policy and will distribute it at the next meeting. Attorney Paul Novak provided an update of the Zoo employees transfer. Two employees had credited service different from their years of employment with the City. Attorney Novak discussed that issue with the Retirement Analyst and Ms. Williams explained the difference can be attributed to the employees moving from the Defined Contribution Plan to the Defined Benefit Plan and not purchasing all of their service credit time. Karen Williams distributed and reviewed the December Investment Report and Securities Lending Account. The meeting recessed at 10:58 a.m. Minutes approved on Jerry Ambrose, Secretary Employees' Retirement System Robert Antekeier, Chairperson Employees' Retirement System OFFICIAL PROCEEDINGS OF THE TRUSTEES CITY OF LANSING BOARD"OF EMPLOYEES' RETIREMENT SYSTEM Regular Meeting Council Conference Room 10th Floor, City Hall Lansing, MI February 21, 2008 Thursday, 8:30 a.m. The Board met in regular session and was called to order at 8:37 a.m. Present: Antekeier, Dedic (8:38), Korkoske, Kraus, Murphy, Piloske, Singleton, Wood (9:09) - 8 Absent: Trustee Bernero Others: Karen E. Williams, Finance Department; Jack Roberts, Law Department; Paul Novak, Clark Hill. It was moved by Trustee Korkoske and supported by Trustee Singleton to approve the Official minutes of the Employees Retirement System Regular Meeting of January 17, 2008 as amended. Adopted by the following vote: unanimously Secretary's Report. 1 new member(s), 0 reinstatement(s), 0 refunds(s), 0 transfers, 3 retired. Total active membership: 698. Total deferred: 39. Refunds made since the last regular meeting amounted to $0.00. Retirement allowances paid for the month of January, 2008 amounted to $ 1,483,895.66. Total retirement checks printed for the ERS System: 781. 0 death(s). Domestic relations orders received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. It was moved by Trustee Dedic and supported by Trustee Korkoske to approve the following Request for Regular Age & Service Retirement: William A. Norris, Parks, (UAW), 15 years, 3 months, age 58 (from Deferred), effective February 1, 2008. Randolph M. Williams, Parks (UAW), 25 years, age 51, effective February 15, 2008. Ramiro M. Garcia, Parks (UAW), 11 years, age 58, effective March 15, 2008. Phillip Mannino, Transportation (Teamster 580 Sup), 23 years, 2 months, age 48, effective April 1, 2008 Adopted by the following vote: 7-0. Employees Retirement System Regular Meeting of February 21, 2008 Page 2 Karen Williams submitted the request for Duty Disability Retirement for Ms. Julie Stephenson, FOP 911. The Board discussed the request and the process for determining _. the :Duty Disability , It was moved by Trustee Dedic and supported by Trustee Kraus to refer Ms. Stephenson's request to the Duty Disability subcommittee. Adopted by the following vote: 7- 0. Karen Williams notified the Board regarding the Request for Refund of Accumulated Contribution for the following: Gary Bodiford — Parks (UAW), Jennifer O'Neal — Police 911 (FOP 911) It was moved by Trustee Murphy and supported by Trustee Dedic to excuse Trustee Wood from the Board Meeting. Adopted by the following vote: 7 -0. Karen Williams requested funds for the 2008 Retirement and Health Care Conference. The City of Lansing Center has been reserved for the Conference for $724.50. It was moved by Trustee Dedic and supported by Trustee Korkoske to approve funding the 2008 Retirement and Health Care Conference, and split the cost with the Police and Fire Retirement Board. Adopted by the following vote: unanimously Trustee Wood arrived to the meeting. Trustee Antekeier announced to the Board that ING Clarion Conference 2008 contacted him regarding a conference in New York. The Conference is Monday -Tuesday, April 14- 15. Trustee Antekeier reported that he attended six years ago and found the meeting very informative. Karen Williams reported to the Employees Retirement System Board that it was time for Duty Disability Income Verifications. Verifications from duty disability retirees are due April 30, 2008. Karen Williams distributed and reviewed the January Investment Report and Securities Lending Account. Employees Retirement System Regular Meeting of February 21, 2008 Page 3 Karen Williams reported to the Board that Asset Consulting Company requested approval of the Northern Trust Fee Structure. The Board reviewed the Northern Trust Fee Structure that was discussed in the ERS and Police and Fire Joint Board Meeting. The. Board requested that Attorney Jack Roberts review the agreement before it is signed by the chairperson. It was moved by Trustee Wood and supported by Trustee Dedic to approve the amended Northern Trust Fee Structure pending review from the City Attorney's office. Adopted by the following vote: unanimously Karen Williams reported to the Board regarding a letter from Northern Trust about disclosure of ownership information. The Board may chose to object or not to object to Northern Trust releasing beneficial ownership for accounts disclosed under the Rule 14b-2 to companies. The Board requested that Attorney Jack Roberts review the document. The meeting recessed at 9:20 a.m. Minutes approved on Jer 'Vj Mnbrose, Secretary Employees' Retirement System Robert Antekeier, Chairperson Employees' Retirement System .«.�.... i'.�i �.w � �r+6..�i�r`avaf•4+),i: 4 e3.4ri:n.ur•s.•7:: a:1t w...'.:^:,„d„ �:.,; ..,c. r,'._,,., {,rl i�a..: � .:5r.. �.. ;.: x'..:3 ... sE'�✓ .. ..•.<.. ...�ti.! .r I"vi +��-' +np.4px�r ..,n ++x.�+. ....vAt..r:i�ia..,:r �. .. .. OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM Regular Meeting March 20, 2008 Council Conference Room Thursday, 8':30 a.m. 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:41 a.m. Present: Antekeier, Dedic (8:46), Korkoske, Kraus, McCaffery, Murphy, Singleton.(8:50), Wood - 8 Absent: Trustee Bernero Others: Karen E. Williams, Finance Department; Jack Roberts, Law Department; Blain Renfro, Clark Hill. It was moved by Trustee Wood and supported by Trustee Korkoske to approve the Official minutes of the Joint Police and Fire and the Employees Retirement System Regular Meeting of February 19, 2008. Adopted by the following vote: unanimously It was moved by Trustee Korkoske and supported by Trustee Wood to approve the Official minutes of the Employees Retirement System Regular Meeting of February 19, 2008. Adopted by the following vote: unanimously It was moved by Trustee McCaffery and supported by Trustee Wood to approve the Official minutes of the Joint Police and Fire and the Employees Retirement System Special Meeting of March 7, 2008. Adopted by the following vote: unanimously Secretary's Report. 2 new member(s), 0 reinstatement(s), 1 refunds(s), 0 transfers, 2 retired. Total active membership: 693. Total deferred: 39. Refunds made since the last regular meeting amounted to $9,366.49. Retirement allowances paid for the month of February, 2008 amounted to $ 1,488,743.62. Total retirement checks printed for the ERS System: 784. 1 death(s). Louise Chandler, (Teamster -District Court), retired, 4/19/1986, age 83, died, 3/14/2008, no beneficiary. Domestic relations orders received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. Employees Retirement System Regular Meeting of March 20, 2008 Page 2 Trustee Kraus reported to the Board that subcommittee met regarding Ms. Julie Stephenson Request for Duty Disability Retirement. The subcommittee reviewed the information submitted by Ms. Stephenson and recommends denial of her request for duty disability based on the medical reports. The Medical reports were distributed to the Board for discussion. Attorney Roberts reviewed the process for requests for Duty Disability Retirement and the requirements of a duty disability. Attorney provided overview of the HIPPA law and confidentiality as it relates to Board members discussing the medical reports. Attorney Roberts provided an overview the Ordinance regarding Duty Disability Retirement and Non Duty Disability Retirement requirements. The Board discussed whether Ms. Julie Stephenson met the requirements for the Duty Disability. The Board determined that Ms. Stephenson was not receiving Worker's Compensation as pursuant to the Ordinance. Therefore, Ms. Stephenson was not eligible for Duty Disability. It was moved by Trustee Kraus and supported by Trustee Korkoske to deny Ms. Stephenson's request for duty disability based upon the Ordinance requirement that the requester receive Worker's Compensation. Adopted by the following vote: 8-0. Ms. Julie Stephenson submitted a letter to the Board requesting Non -Duty Disability. Trustee Wood requested that Attorney Roberts review the Disability Application process to clarify the Worker's Compensation section. Trustee Antekeier requested that the Board recess for the Disability Subcommittee to meet regarding Ms. Julie Stephenson request for Non -Duty Disability. The Board recessed at 9:11 a.m. and resumed at 9:16 a.m. It was moved by Trustee Wood and supported by Trustee Dedic to approve the recommendation of the disability subcommittee to send Ms. Stephenson to the Medical Doctor for Non -Duty Disability evaluation. Adopted by the following vote: 8- 0. After discussion, the medical report was returned to Karen Williams. Employees Retirement System Regular Meeting of March 20, 2008 Page 3 Karen Williams notified the Board regarding the Request for Refund of Accumulated Contribution for the following: Peggy Gerber — Planning and Neighborhood Development (Teamster 580) Karen Williams distributed registration materials for spring MAPERS that will be held in Mt. Pleasant starting June 1, 2008. Members who wish to attend should have their completed forms into the Retirement Office for processing by next meeting in April. Karen Williams announced that the next Retirement Conference Planning Meeting was scheduled for Wednesday, March 26, 2008. Karen Williams distributed and reviewed the February Investment Report and Securities Lending Account. Attorney Roberts reviewed the contract that would reduce the Northern Trustee fees and found it acceptable. Attorney Roberts advised that the Board approved the new Northern Trust Fee Structure pending review by legal. Karen Williams reviewed the letter from Northern Trust with respect to disclosure of ownership pursuant to SEC Rule 14b-2. Attorney Roberts described the confidential designation request form sent by Northern Trust. The document would direct Northern Trust to not disclose account information under Rule 14b-2. Attorney Roberts advised that this designation would not affect Freedom of Information Act processed through the City. It was moved by Trustee Korkoske and supported by Trustee Dedic to authorize Northern Trust to not release City of Lansing account information under Rule 14b-2. Adopted by the following vote: 8-0. Karen Williams requested approval of Asset Consultants recommendation for the Quarterly Cash Flow Withdrawal that would transfer $5,000,000 from M.D. Sass to the Comerica Bank for payroll and cash flow. It was moved by Trustee Wood and supported by Trustee Kraus to authorize the Quarterly Cash Flow Withdrawal that would transfer $5,000,000 from M.D. Sass to the Comerica Bank for payroll and cash flow. Adopted by the following vote: 8-0. Attorney Jack Roberts provided an overview to the Board regarding verification of City of Lansing contribution to the Employees Retirement System. Trustee Korkoske explained that the contribution was a subsequent action to the audit. Trustee Korkoske further explained that there was an overpayment of the contribution. Attorney Jack Roberts reviewed the process that upon receiving the Actuary Report, the Board should receive verification from that the contribution was made. The Board should take action on the verification at the future meeting. The meeting recessed at 9:37 a.m. Minutes approved on d-/%- 02'r AiVry,,Ymbrose, Secretary ployees' Retirement System Robert Antekeier, Chairperson Employees' Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM - Regular Meeting Council Conference Room 10th Floor, City Hall Lansing, MI April 17, 2008 t ,, Thursday, .8:,30(azm. The Board met in regular session and was called to order at 8:41 a.m. Present: Antekeier, Korkoske, Kraus, McCaffery, Murphy, Singleton (8:44), Wood - 7. Absent: Trustee Bernero, Dedic Others: Karen E. Williams, Finance Department; Jack Roberts, Law Department; Blair Renfro, Clark Hill. It was moved by Trustee McCaffery and supported by Trustee Kraus to approve the Official minutes of the Employees' Retirement System Regular Meeting of March 20, 2008. Adopted by the following vote: unanimously Secretary's Report. 2 new member(s), 0 reinstatement(s), 1 refunds(s), 0 transfers, 0 retired. Total active membership: 694. Total deferred: 39. Refunds made since the last regular meeting amounted to $ 12,667.59. Retirement allowances paid for the month of March, 2008 amounted to $ 1,503,496.77. Total retirement checks printed for the ERS System: 786. 4 death(s). Gary R. Bain, (UAW -Public Service), retired, 3/20/1982 (NonDuty Disability), age 70, died 3/20/2008, spouse to receive 50%; Vera M. Star, age 91, died 3/13/2008, spouse of NonBargaining member; William W. Miles, (NonBargaining Unit — Public Service), age 90, died 1/29/2008, no beneficiary; Ronald Swan, (Parks -Duty Disability), retired 4/23/1999, age 53, died 4/2/2008, spouse to receive 50%. Domestic relations orders received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. It was moved by Trustee Wood and supported by Trustee Korkoske to approve the following Request for Regular Age & Service Retirement: Araceli Delos -Reyes, Treasury (T580CTP), 26 years, 11 months, age 56, effective April 19, 2008 Joyce J. Archambeault, District Court (Teamster), 28 years, 7 months, age 71, effective April 19, 2008. Employees Retirement System Regular Meeting of April 17, 2008 Page 2 Karen Williams reported that Ms. Julie Stephenson has been scheduled to seethe Medical Doctor, May 14, 2008. Karen Williams notified the Board of two requests for refund of Accumulated contributions: Karen C. Holden — Police 911 Civilian (FOP 911) Linda A. Wohlfert — Police 911 Civilian (FOP 911) It was moved by Trustee Wood and supported by Trustee Korkoske to excuse Trustee Dedic from the Employees Retirement System meeting. Adopted by following vote: 7 — 0. Karen Williams announced that registration materials for spring MAPERS were due today. Hotel and Conference registration will be distributed at the next meeting. Karen Williams reported that the next planning meeting forthe 2008 Retirement and Health Care Conference was scheduled for April 30, 2008. Ms. Williams requested that Attorney Jack Roberts give the ERS Board an update on the Lifeline Health Care Screening. Attorney Jack Roberts advised that the Lifeline Health Care Screenings are outside of the scope of what funds of the Securities Lending Account is available to pay. The medical screenings although beneficial is not an appropriate expenditure. The information would be between the screener and the participant and would not have anything to do with the Board. The tests provided through Lifeline Health Care Screening are a medical benefit that has not been negotiated through collective bargaining. Trustee Wood expressed that the purpose of the Lifeline Health Care Screening was educational and an incentive to bring people to the Conference. Attorney Roberts advised that it was the Law Department's Opinion that the screening was primarily medical rather than educational. Trustee Michael Lewis of the Police and Fire Retirement System was the contact person for the Lifeline Health Care Screening and had plans to pursue an alternative funding source with the Administration. The ERS Board received verification of the City of Lansing contribution to the Retirement System. It was moved by Trustee Wood and supported by Trustee Murphy to accept the verification that the City of Lansing Contribution to the Employees Retirement System was received. This verification confirms the amount reported in the Actuary Report as the required contribution. Adopted by the following vote: 7 — 0. Employees Retirement System Regular Meeting of April 17, 2008 Page 3 Karen Williams distributed that draft for the City Hall Trustee Election posting. Trustee Thomas Korkoske term expires June 30, 2008. Ms. Williams requested approval of the Election information that will be posted. Karen Williams reviewed the general rules and the procedures used to elect Board Members. Trustee Kraus inquired to the Retirement Office if there were any issues receiving income verification from the Duty Disability retirees. Karen Williams reported that there were no outstanding issues. The deadline for reporting is April 30, 2008. Attorney Jack Roberts overviewed the Disability Application Policy revision. Mr. Roberts discussed the reference to the ERS Retirement Ordinance and indicated that worker's compensation is a requirement. It was moved by Trustee Wood and supported by Trustee Kraus to adopt the revisions to Disability Application Review Policy and that is supersedes all other Disability Application Review Process Polices. This policy shall be attached to the minutes and also filed in the policy book with the date of the motion of adoption shown thereon. Adopted by the following vote: unanimously Attorney Blair Renfro provided an update regarding the Zoo Employees transferto Ingham County resolution. Ingham County had not yet approved a resolution to accept the transfer of retirement funds from the City of Lansing. Attorney Paul Novak contacted Ingham County and the resolution should be considered at the next Ingham County meeting. Karen Williams distributed and reviewed the March Investment Report and Securities Lending Account. Trustee Antekeier requested that Asset Consulting indicate on its monthly report when a withdrawal is made from one of the investment for cash flow purposes. Ms. Williams notified the Board that she will request additional monies for Securities Lending Account from Northern Trust at the Joint meeting next month. The meeting adjourned at 9:27 a.m. Minutes approved on _5 - ZZ -02' Je A t�cyse, Secretary E ploy, es' Retirement System r" lt�-,, -�� Robert Antekeier, Chairperson Employees' Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM Regular Meeting May 22, 2008 Council Conference Room Thursday, 8:30 a.m. 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:42 a.m. Present: Antekeier, Dedic, Kraus, Murphy, Singleton, Wood - 5. Absent: Trustee Bernero, Korkoske, Kraus, McCaffery Others: Karen E. Williams, Finance Department; Jack Roberts, Law Department; Paul Novak, Clark Hill; George Tarlas, John Jackson, Asset Consulting Group.; It was moved by Trustee McCaffery and supported by Trustee Kraus to approve the Official minutes of the Employees' Retirement System Regular Meeting of April 17, 2008 with corrections. Adopted by the following vote: unanimously Ms. Karen Williams announced that the Retirement Allowances included in the Secretary's Report are for net amounts, not gross amounts, as in previous months. The Finance Department has a new IFAS system that does not provide the gross numbers for the Retirement System yet. Secretary's Report. 1 new member(s), 0 reinstatement(s), 2 refunds(s), 0 transfers, 0 retired. Total active membership: 693. Total deferred: 39. Refunds made since the last regular meeting amounted to $ 2,262.82. Retirement (Net) allowances paid for the month of April, 2008 amounted to $ 1,335,729.74. Total retirement checks printed for the ERS System: 788. 3 death(s). Milton Royston, (Parks -Non Bargaining), retired, 1/12/1985 , age 84, died 4/18/2008, spouse to receive 100%; Catherine Laskowsky, age 89, died 4/23/2008, spouse of NonBargaining member; Mary Ann Kepke, age 92, died 4/25/2008, spouse of Teamster 580 CTP member. Domestic relations orders received: 0. Domestic relations orders pending: 0. Eligible domestic relations orders certified: 0. Ms. Williams explained the requests for Regular Age & Service Retirement requests. Mr. Ernest Stewart purchased five months of universal buy -in service credits in order to retire immediately. He will not be eligible for health care until October. Ms. Williams explained that Ms. Schmidt's spouse received a Non -Duty Death benefit based upon her time spent the Defined Benefit ERS pension system. Ms. Schmidt was a previous member of the Defined Contribution system and did not purchase any prior service credits. Employees Retirement System Regular Meeting of May 22, 2008 Page 2 It was moved by Trustee Wood and supported by Trustee Dedic to approve the following Request for Regular Age & Service Retirement: Ernest E. Stewart, Public Service (UAW), 25 years, age 50, effective May 21, 2008 (Purchased 5 months of universal buy -in service credits). Karen Schmidt, City Council (Staff), NonDuty Death, effective May 8, 2008. Eligibility: 15 years, age 45 Retirement based upon 4 years, 7 months, defined benefit system Approved by the following vote: 5 — 0. Karen Williams reported that Ms. Julie Stephenson has seen the Medical Doctor and the Board is waiting for Dr. Roth's report. Karen Williams notified the Board of one request for refund of Accumulated contributions: Tammy Walker — Code Compliance (T580CTP) It was moved by Trustee Dedic and supported by Trustee Wood to excuse Trustees Korkoske, and McCaffery from the Employees Retirement System meeting. Adopted by following vote: 5 — 0. Karen Williams distributed hotel and registration materials for spring MAPERS. Ms. Williams announced to the Board that Attorney Jack Roberts noticed that confirmations were not for nonsmoking rooms. Attorney Roberts advised a code on the confirmation sheet indicated smoking rooms. Mr. Roberts suggested that members contact the hotel and request a change. Trustee Antekeier requested that the Conference Reimbursement item under Other Business be moved to Pending on the Agenda for next month. Karen Williams updated the Board regarding the City Hall Trustee Election. Trustee Thomas Korkoske term expires June 30, 2008. Mr. Korkoske submitted his nomination petition and currently, there is only one petition. Ms. Williams explained that if no other petition is received, Mr. Korkoske will be re-elected in accordance with the Election rules and the procedures used to elect Board Members. Karen Williams reported that all Duty Disability retirees from the Employees Retirement System have submitted their income verification forms. Employees Retirement System Regular Meeting of May 22, 2008 Page 3 Attorney Paul Novak requested and was given permission to give an update of the Zoo Employees transfer and the Ingham County Resolution. Attorney Novak provided a brief overview of the history of the Zoo Transfer and the need for the Resolution in accordance with the Reciprocal Retirement Act. Attorney Novak has contacted Ingham County and drafted a sample resolution for their use. As of this date, the Ingham County resolution had not been enacted. Trustee wood expressed concern for the effect that this delay would have on the transferred employees. Trustee Wood requested that a letter be prepared to Ingham County from the ERS Board regarding the status of the resolution. It was moved by Trustee Wood and supported by Trustee Dedic to request that legal counsel prepare a draft of a letter to Ingham County from the ERS Board regarding the status of the resolution. Adopted by the following resolution: 5 - 0. Karen Williams distributed and reviewed the April Securities Lending Account and requested $10,000 from Securities Lending to prefund the Board's administrative expenses for the year. The meeting adjourned at 9:19 a.m. Minutes approved on 6-- (9-0S . 0" J rose, Secretary ployees' Retirement System -c Robert Antekeier, Chairperson Employees' Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM _._ Regular Meeting Council Conference Room 10th Floor, City Hall Lansing, MI June 19, 2008.3 r Thursday; 8:30 a,m.:- c.) The Board met in regular session and was called to order at 8:33 a.m. Present: Antekeier, Dedic, Korkoske, Kraus, McCaffery, Murphy (8:40), Singleton (8:36) - 7. Absent: Trustee Bernero, Wood Others: Jerry Ambrose, Karen E. Williams, Finance Department; Attorney Paul Novak, Clark Hill (representing the Law Department. It was moved by Trustee Kraus and supported by Trustee McCaffery to approve the Official minutes of the Employees' Retirement System Regular Meeting of June 19, 2008 with corrections. Adopted by the following vote: unanimously Secretary's Report. 1 new member(s), 0 reinstatement(s), 0 refunds(s), 0 transfers, 0 retired. Total active membership: 697. Total deferred: 39. Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of June, 2008 amounted to $ 1,546,930.68. Total retirement checks printed for the ERS System: 786. 1 death(s). Brian W. Bevez, (Law-T214), retired, 8/31/2005, age 58, died 6/15/2008, no beneficiary. Domestic relations orders received: 1. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. It was moved by Trustee Dedic and supported by Trustee Korkoske to approve the following Request for Regular Age & Service Retirement: Craig M. Foerch, Parks (T580 Supervisory), 14 years, 8 mo., age 58, effective June 1, 2008 (from Deferred). Approved by the following vote: 7 — 0. Employees Retirement System Regular Meeting of June 19, 2008 Page 2 Trustee Wood reported to the Board that the Disability subcommittee met and reviewed the non duty disability evaluation from the Medical Director. The subcommittee has recommended that the request for non duty disability be approved. It was moved by Trustee Wood and supported by Trustee Singleton to concur with the medical director's report and grant Ms. Julie Stephenson's request for non duty disability retirement. Adopted by the following vote: 7 — 0. Karen Williams notified the Board of one request for refund of Accumulated contributions: Rishan M. Butler, Human Relations/Community Services (Non Bargaining) It was moved by Trustee Wood and supported by Trustee Korkoske to excuse Trustee Dedic from the Board meeting. Adopted by the following vote: 7-0. Karen Williams provided an update on the planning of the 2008 Retirement & Health Care Conference. Karen Williams updated the Board regarding the Lifeline Health Screenings for the 2008 Retirement and Health Care Conference. The administration and the legal department had reviewed the contract. The administration provided the deposit for the screening. The screenings would be for retirees only. Karen Williams updated the Board regarding the City Hall Trustee Election. Trustee Thomas Korkoske submitted his nomination petition and was re-elected to the Board. Ms. Williams explained that Mr. Korkoske ran unopposed and was elected in accordance with the Election rules and the procedures used to elect Board Members. Attorney Paul Novak, representing the Law Department, again provided an update of the Zoo Employees transfer and the Ingham County Resolution. Attorney Novak reviewed the draft to Ingham County regarding the transfer of retirement funds and the status of the resolution. It was moved by Trustee Wood and supported by Trustee Murphy to send the letter to Ingham County that was drafted by legal counsel, and have the Board chairperson sign the letter. It was further recommended that the letter be copied to the Ingham County Controller. Adopted by the following vote: 7-0. Employees Retirement System Regular Meeting of June 19, 2008 Page 3 Trustee Wood requested an update for the Minute Master by Gabriel, Roeder, and Smith. Karen Williams reported that she checked with the city clerk's office. The City Clerk's office stated that minutes from 1996 forward are available. Ms. Williams has also checked with Tom Korkoske in the Finance Office regarding old minutes. Mr. Korkoske has checked the warehouse at Hazel Street and has not found any of the older minutes. Mr. Al Bricker wants to address the Board about receiving all minutes from the Board's inception. Attorney Paul Novak, representing the Law Department, reported to the Board that the Mondarian Investment was referred to Clark Hill for review. Four items that should be reviewed are: due diligence report from the investment manager, limited partnership agreement, copies of side letters, and subscription documents. Attorney Novak placed a call to Mr. Tarlas for the items. Trustee Murphy reviewed his request for an out-of-town Conference Reimbursement. The Board received an invitation for an all -expense paid conference registration for a trustee to attend. The Chair and Retirement Office was unaware that another trustee had accepted the invitation. Trustee Murphy's travel expenses were not covered. It was moved by Trustee Wood and supported by Trustee McCaffery to approve the Conference Reimbursement for Trustee Murphy. Adopted by the following vote: 7-0. Karen Williams distributed and reviewed the May Securities Lending Account and requested $10,000 from Securities Lending to prefund the Board's administrative expenses for the year. It was moved by Trustee Wood and supported by Trustee Korkoske to approve the request for $10,000 from the Securities Lending account to prefund the Board's administrative expenses for the year. Adopted by the following vote: unanimously The meeting adjourned at 9:30 a.m. Minutes approved on 4 �xv Robert Antekeier, airperson Employees' Retirement System o,,,— — a,� � - PmplA�m ose, ecretary oy es' Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM Regular Meeting July 17, 2008 Council Conference Room Thursday, 8:3a a.m,,- 10th Floor, City Hall Lansing, MI _ The Board met in regular session and was called to order at 8:33 a.m. Present: Antekeier, Dedic, Korkoske, Kraus, McCaffery, Murphy (8:40), Singleton (8:36) - 7. Absent: Trustee Bernero, Wood Others: Jerry Ambrose, Karen E. Williams, Finance Department; Attorney Paul Novak, Clark Hill (representing the Law Department). It was moved by Trustee Kraus and supported by Trustee McCaffery to approve the Official minutes of the Employees' Retirement System Regular Meeting of June 19, 2008 with corrections. Adopted by the following vote: unanimously Secretary's Report. 1 new member(s), 0 reinstatement(s), 0 refunds(s), 0 transfers, 0 retired. Total active membership: 697. Total deferred: 39. Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of June, 2008 amounted to $ 1,546,930.68. Total retirement checks printed for the ERS System: 786. 1 death(s). Brian W. Bevez, (Law-T214), retired, 8/31/2005 , age 58, died 6/15/2008, no beneficiary. Domestic relations orders received: 1. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. It was moved by Trustee Dedic and supported by Trustee Korkoske to approve the following Request for Regular Age & Service Retirement: William Fabijancic, Jr. Police -Civilian (T580 CTP), 21 years, 9 mo., age 43, 11 months, effective July 15, 2008 (65 points). Approved by the following vote: 6 — 0. Employees Retirement System Regular Meeting of July 17, 2008 Page 2 Trustee Murphy arrived to the meeting. It was moved by Trustee Dedic and supported by Trustee Korkoske to excuse Trustee Wood from the Board meeting. Adopted by the following vote: 7-0. Karen Williams provided an update on the planning of the 2008 Retirement & Health Care Conference. Karen Williams updated the Board regarding the Lifeline Health Screenings and registrations for the conference. Ms. Williams stated that transportation had not been confirmed. Karen Williams stated that flyers were to be mailed to retirees and emailed to current employees. Trustee Oleson and Ms. Williams planned to visit the Lansing Center to see the facilities set-up. Karen Williams announced that MAPERS conference was September 14-16, 2008 at the Grand Traverse Resort and Spa. She requested that Trustees who wish to attend should contact the Retirement Office to make reservations. Karen Williams informed that more than two people and the chairman had requested to go to the International Foundation Conference in November. It was moved by Trustee Dedic and supported by Trustee Korkoske to allow the chairperson to attend the International Foundation Conference in San Antonio, Texas in November. Adopted by the following vote: 7 — 0. It was moved by Trustee Dedic and supported by Trustee Kraus to allow more than one member to attend the International Foundation Conference in San Antonio, Texas, in November. Adopted by the following vote: 7 — 0. Karen Williams distributed the Gabriel, Roeder, Smith and Company Fees structure for 2008/2009 fiscal year. Ms. Williams informed the Board that the Police and Fire Board discussed creating a joint committee to a request for proposals for actuarial services forthe 2009/2010 fiscal year. It was moved by Trustee Dedic and supported by Trustee Korkoske to supportthe Gabriel, Roeder, Smith and Company fee increase for the 2008/2009 fiscal year. Adopted by the following vote: 7 — 0. Employees Retirement System Regular Meeting of July 17, 2008 Page 3 Attorney Paul Novak, representing the Law Department, updated the Board regarding the Mondarian Asset Investment. Attorney Novak requested documentation that included side letters for review. Mondarian Asset Investment refused to provide side letters. Attorney Novak review could not be completed and suggested that Mondarian Asset Investment be reconsidered. Attorney Novak informed Asset Consulting and this matter will probably be discussed at the Joint meeting. Attorney Paul Novak, representing the Law Department, again provided an update of the Zoo Employees transfer and the Ingham County Resolution. Attorney Novak had not received confirmation of the Ingham County resolution. Jerry Ambrose stated that he would check with Ingham Country regarding the status of the resolution. The meeting adjourned at 9:02 a.m. Minutes approved on �r "brose, Secretary mpl yees' Retirement System Robert Antekeier, C airperson Employees' Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM Regular Meeting Council Conference Room 10th Floor, City Hall Lansing, MI August 21,� 2008. Thursday, -8:30'a.m.- The Board met in regular session and was called to order at 8:43 a.m. L_7 Present: Dedic, Korkoske, McCaffery, Murphy, Wood - 5. Absent: Trustees Antekeier, Bernero, Murphy, Singleton Others: Karen E. Williams, Finance Department; Attorney Paul Novak, Clark Hill (representing the Law Department). It was moved by Trustee Kraus and supported by Trustee McCaffery to approve the Official minutes of the Employees' Retirement System Regular Meeting of July 17, 2008. Adopted by the following vote: unanimously Secretary's Report. 0 new member(s), 0 reinstatement(s), 1 refunds(s), 0 transfers, 1 retired. Total active membership: 685. Total deferred: 40. Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of July, 2008 amounted to $ 1,564,131.24. Total retirement checks printed for the ERS System: 788. 1 death(s). Sara Evelyn Waidelich, spouse of Non -bargaining retiree, age 87, died 7/31/2008. Domestic relations orders received: 0. Domestic relations orders pending: 2. Eligible domestic relations orders certified: 0. It was moved by Trustee Wood and supported by Trustee Korkoske to approve the following Request for Regular Age & Service Retirement: Ronald Bell, Parks (UAW), 26 years, 1 mo., age 52, 11 months, effective August 3, 2008. Grace Cook, Parks (UAW), 14 years, 6 mo, age 63, 3 months, effective August 16, 2008. (Seniority Date: 5/3/1989) Approved by the following vote: 5 — 0. Employees Retirement System Regular Meeting of August 21, 2008 Page 2 Karen Williams informed the board that there was a request for refund of accumulated contribution for Mr. Abel J. Gonzales, UAW, deceased. Mr. Gonzales died in an accident and his sister who is the personal representative for the estate has made the request. She completed a request form, had it notarized and returned the form with a copy of her personal representative paperwork. It was moved by Trustee Wood and supported by Trustee McCaffery to excuse Trustee Antekeier and Trustee Murphy from the Board meeting. Trustee Dedic explained for the record that Trustee Antekeier was ill. Adopted by the following vote: 5 - 0. Karen Williams updated the board regarding MAPERS. Karen Williams informed the Board that there was a need to complete the Certificate of Delegates form for MAPERS. The Certificate of Delegates would allow the retirement system to vote in roll call matters at the MAPERS Meeting. In the past, the chair and vice chair have served as delegates It was moved by Trustee Wood and supported by Trustee Korkoske to have the chair and vice chair serve as delegates to MAPERS for the Employees Retirement System. Adopted by the following vote: 5 — 0. Karen Williams distributed the Gabriel, Roeder, Smith and Company Fees structure Eligible Domestic Relations Orders for the 2008/2009 fiscal year. The Board inquired about the large fee increase. It was moved by Trustee Wood and supported by Trustee Korkoske that the Retirement Office ask for a justification of the new Eligible Domestic Relations Orders provided by Gabriel, Roeder and Smith. Adopted by the following vote: 5 — 0. Ms. Williams informed the Board that the Police and Fire Board discussed creating a joint committee to a request for proposals for actuarial services for the 2009/2010 fiscal year. The Board inquired to the Retirement Analyst regarding the standing committees. Ms. Williams informed the Board that there was currently no committee for special projects as with the Police and Fire Board. The Ordinance Changes Subcommittee forthe Employees Retirement System served a similar purpose as the special projects subcommittee. Ms. Williams informed the Board of the Ordinance Changes subcommittee membership. Employees Retirement System Regular Meeting of August 21, 2008 Page 3 It was moved by Trustee Wood and supported by Trustee Kraus to expand the Ordinance Changes Committee at the chair's prerogative to take up the special projects. Adopted by the following vote: 5 — 0. Karen Williams distributed the updated Travel and Business Expenses policy memo from the Jerry Ambrose, Director of Finance. The updated memo was effective July 1, 2008 and replaces the previous policy. Karen Williams informed the Board that members should include the new policy in their Trustee Books. Karen Williams distributed a letter from Mr. Leon A. Hilton, retiree, who inquired regarding the Employee Retirement System Adjustment. Trustee Scott Dedic informed the Board that he had spoken with Mr. Hilton regarding the request. Mr. Hilton outlines in his letter that Post -Retirement Pension Adjustment is in the UAW contract and also calls for an annual increase to retirees that have reached the age of 60. The contract outlines that every five years there should be an actuary study and a recommendation made as it pertains to increasing the yearly adjustment. The Board discussed having an updated study prepared. The Board reviewed the Ordinance that pertains to the increase of benefits for retirees. It was moved by Trustee Wood and supported by Trustee McCaffery to have an actuary report prepared, as outlined by the UAW contract regarding the post -retirement pension adjustment. Trustee Wood clarified that the motion requests that Administration have an actuary report prepared for the entire Employees Retirement System. Adopted by the following vote 5 -0. The Board discussed who should pay for the Actuary study and the scope of the study. The Board discussed if the report would apply to the entire system. Attorney Paul Novak, representing the Law Department, opined that the Bargaining unit agreement may supercede the ordinance, and other bargaining units may have similar language. Attorney Novak stated that he would need to review the language. Trustee McCaffery inquired about the cost of the study. Trustee Korkoske provided an estimated cost of $2,000 for another actuary report that is currently in process. Attorney Paul Novak, representing the Law Department, updated the Board regarding the Zoo Transfer. Attorney Novak informed the Board that all conditions for the transfer except the employee release had been met for the transfer. Attorney Novak discussed the employee releases with Jerry Ambrose. Attorney Novak suggested the Board consider a motion to transfer the funds without the condition of the release. Employees Retirement System Regular Meeting of August 21, 2008 Page 4 It was moved by Trustee Wood and supported by Trustee Korkoske to receive Attorney Novak suggested motion in writing as a protection to the Board. Adopted by the following vote: 5 -0. Karen Williams distributed the Securities Lending Account for June and July. Trustee Kraus requested an explanation regarding the differences between market values of the Employees Retirement System and Police and Fire Retirement System security lending accounts. Trustee Wood requested that legal counsel provide an outlined plan description update for the Employees Retirement System as requested in the Police and Fire Retirement System. It was moved by Trustee Wood and supported by Trustee Kraus to have legal counsel provide a delineated plan for the Employees Retirement System. Adopted by the following vote: 5 -0. It was moved by Trustee Wood and supported by Trustee Kraus to adjourn the meeting. Adopted by the following vote: 5 - 0. The meeting adjourned at 9:23 a.m. Minutes approved on �- /8-" ­20c)8" Robert Antekeier, Chairperson Employees' Retirement System ( �) 4�-� J,p ry Am ose, Secretary Employees' Retirement System OFFICIAL PROCEEDINGS OF THE BOARD,.OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT, SYSTEM Regular Meeting September 18, 2008 Council Conference Room Thursday_, 8:30 a.m. 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:42 a.m. Present: Antekeier, Dedic (8:58), Korkoske, McCaffery, Murphy, Singleton (8:58), Wood'_ 7. - Absent: Trustees Bernero, Kraus Others: Karen E. Williams, Finance Department; Attorney Paul Novak, Blair Renfro Clark Hill (representing the Law Department), Ronald Kruger, retiree. It was moved by Trustee Korkoske and supported by Trustee McCaffery to approve the Official minutes of the Employees' Retirement System Regular Meeting of August 21, 2008 with corrections. Adopted by the following vote: unanimously It was moved by Trustee Wood and supported by Trustee Korkoske to approve the Official minutes of the Joint Police and Fire and Employees' Retirement System Regular Meeting of August 19, 2008. Adopted by the following vote: unanimously Secretary's Report. 3 new member(s), 0 reinstatement(s), 1 refunds(s), 0 transfers, 2 retired. Total active membership: 676. Total deferred: 41. Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of August, 2008 amounted to $ 1,555,711.14. Total retirement checks printed for the ERS System: 787. 1 death(s). Leland Reincke, (Parks -Exempt), retired 1/11/1986, age 80, died 8/15/2008, no beneficiary. Domestic relations orders received: 0. Domestic relations orders pending: 2. Eligible domestic relations orders certified: 0. It was moved by Trustee Wood and supported by Trustee Murphy to approve the following Request for Regular Age & Service Retirement: Charles R. White, Public Service (T580), 20 years, age 45, effective September 15, 2008. (65 points) Theophilis W. Harvey, Human Relations (T580), 19 years, 8 months, age 58, effective September 16, 2008. Approved by the following vote: 6 — 0. Employees Retirement System Regular Meeting of September 18, 2008 Page 2 Karen Williams informed the board that there were two requests for refund of accumulated contribution for Mrs. Dekeea Quinney-Davis, FOP 911 and Mr. Donald R. Iverson, Building Safety. Both completed a request form, had it notarized and returned the form to the Retirement Office. Neither former employee was vested in the Retirement system. Mrs. Dekeea Quinney-Davis refund request was $241.67. Mr. Donald R. Iverson request was $7,652.60. Trustee Murphy inquired what the procedure and policy regarding the requests for the return of accumulated contributions. Karen Williams explained that the Board is notified of each request and it is listed in the minutes. Karen Williams further explained that the return of accumulated contributions is governed by the ordinance. Trustee Wood requested that a policy be put in place that the amount of the contributions be made a part of the written record and that the Board vote upon the requests. Attorney Paul Novak, representing the Law Department, referred the Board members to the Ordinance. He opined that the return of the accumulated contributions is not discretionary. The Board does have discretion overthe manner in which the contributions are paid, such as installment payments and the interest rate. The Board can make a policy acknowledging and authorizing the return of the accumulated contributions. It was moved by Trustee Wood and supported by Trustee Murphy to have a policy in place to vote upon each future request for accumulated contributions, and to have the amount of the request stated in the written record. Adopted by the following vote: unanimously Trustee Antekeier requested that the record reflect that Trustee Dedic and Trustee Singleton are present. Karen Williams updated the board regarding the 2008 City of Lansing Retirement and Health Care Conference. There were approximately 355 registrants. Confirmations for those who are registered fro the conference had been mailed out. Karen Williams reviewed the itinerary of the conference and Lifeline Screening. There were 90 people registered for the Lifeline Screening. Ms. Williams outlined the parking arrangements, program, breakout sessions, dinner, and audio-visual for the Lansing Center. The River Street Pub was also confirmed for the food set-up. Karen Williams announced that Retirement Office will be stuffing Conference Folders, September 19, 2008. Trustee Wood thanked everyone for the hard work in planning the Conference. Trustee Antekeier opened the floor for public comments. Mr. Kruger expressed his appreciation for the conference and discussed previous conferences that have been held in the past. Employees Retirement System Regular Meeting of September 18, 2008 Page 3 Attorney Paul Novak, representing the Law Department, updated the Board regarding the Zoo Transfer. Attorney Novak informed the Board that all conditions for the transfer except the employee release had met for the transfer. Attorney Novak reviewed a motion to transfer the funds without the condition of the release. It was moved by Trustee Wood and supported by Trustee Korkoske that the motion drafted the legal counsel, representing the City Attorney's Office be adopted that would allow the transfer of the funds for the zoo employees without the condition of the waiver. Adopted by the following vote: 7 — 0. Ms. Williams requested direction on implementing the Eligible Domestic Relations Orders (EDRO) fees. Ms. Williams reported to the Board that there are cases where there is a court order to pay retirement allowances, however, EDRO fees have not been paid. The Board policy states that EDRO fees are to be paid by the employee, retiree and/or their spouses, the parties to the EDRO. Trustee Wood inquired if the EDRO fees can be withheld from retirement allowances. Attorney Novak stated that inquiry would need to be researched. Ms. Williams explained in previous cases, the Retirement Office has provided a conservation estimate to comply with the court order. Trustee Wood inquired if the Board can request that the Court collect the fees from the parties and then forward those funds to the Retirement System. Ms. Williams informed the Board that the Police and Fire Board discussed creating a joint committee to a request for proposals for actuarial services for the 2009/2010 fiscal year. Karen Williams updated the Board regarding Mr. Leon A. Hilton's Letter, retiree, who inquired regarding the Employee Retirement System Adjustment. Mr. Williams informed Mr. Jerry Ambrose regarding Mr. Hilton's request. Mr. Ambrose requested that legal counsel review the request and provide a response. Trustee Dedic informed the Board that the actuary study should be for the UAW members and the Teamsters that had been grandfathered into the old defined benefit plan. Attorney Paul Novak, representing the City Attorney's Office, suggested a process to proceed with a comprehensive review of the Qualified Plan Documents. The process would include a work plan proposal to be presented to the Board and City Council. The proposal would include 1) review of all various collective bargaining units, 2) review of all existing ordinances, 3) determination of tax qualifications, 4) determination of VEBA of federal tax law, 5) policies and procedure changes with recommendation that investment managers present their investment recommendations in writing, 6) reviewing of pending issues with Doug Rubley, 7) implement securities fraud monitoring, 8) cost structure. Attorney Novak announced that this meeting would be his last because he was leaving to join a securities litigation firm. Trustee Wood requested that a timeline be submitted regarding the proposal. Employees Retirement System Regular Meeting of September 18, 2008 Page 4 Karen Williams distributed the Investment and Securities Lending Account Report for August. Karen Williams reported that the quarterly cash flow withdrawal for pension funding: $2.5 millions from MD Sass and $2.5 million from Northern Trust Trustee Murphy expressed concern regarding the current economy and its effect on the retirement system funds. The meeting adjourned at 9:45 a.m. Minutes approved on /o —Z� r0 S-, Robert Antekeier, Chairperson Employees' Retirement System Jer "Amb ose, Secretary Em loyee ' Retirement System RESOLVED BY THE BOARD OF THE CITY OF LANSING EMPLOYEES RETIREMENT SYSTEM Whereas in July of 2007 certain City of Lansing employees who had been employed at the Potter Park Zoo elected to transfer their employment from the City of Lansing to Ingham County; and Whereas in December of 2007, the Employees Retirement System ("ERS") Board enacted a resolution authorizing the transfer of credited service in the ERS for the Potter Park employees from the City of Lansing to Ingham County provided that the governing board of the County's retirement system enact a companion resolution pursuant to the Reciprocal Retirement Act; and Whereas the County has subsequently enacted such a companion resolution; and Whereas, in the opinion of legal counsel, the transfer of credited service pursuant to the Reciprocal Retirement Act from the ERS to Ingham County's retirement system extinguishes any remaining retirement obligations, with the exception of retirement health care, for the ERS or the City of Lansing towards the transferred employees; and Whereas the December 2007 resolution also required each transferred employee to execute a Waiver and Release Agreement which waives all rights to a pension, annuity, retirement allowance or return of the accumulated contributions from the ERS; and Whereas, due to the passage of time since the transferred employees originally elected to transfer to the County, obtaining such waivers is no longer considered feasible or appropriate; NOW THEREFORE BE IT RESOLVED that the ERS Board revolves the condition enacted in the December 2007 resolution that required each transferred employee to execute a waiver as a condition to the transfer of funds from the ERS to the County's retirement system and hereby authorizes the transfer of funds as set forth in the December 2007 resolution without any additional conditions; and BE IT FINALLY RESOLVED that the chair, Robert Antekeier, is authorized on behalf of the ERS to sign and execute all documents to effectuate and finalize this transaction, subject to prior approval as to form by the City Attorney. Appro for placement on the ERS Board agenda: �a-/. F /" Dated: $ D OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM (UPDATED) Regular Meeting October 23, 2008 Council Conference Room Thursday, 8:30 a.m. 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:32 a.m. r„ Present: Antekeier, Dedic, Korkoske, Kraus, McCaffery, Wood - 6. Absent: Trustees Bernero, Murphy, Singleton Others: Karen E. Williams, Finance Department; Attorney Ken Lane, John Schneider;- --Clark Hill (representing the Law Department), Ronald Kruger, retiree. It was moved by Trustee Korkoske and supported by Trustee Dedic to approve the -Official minutes of the Employees' Retirement System Regular Meeting of September 18, 2008. Adopted by the following vote: unanimously Secretary's Report. 1 new member(s), 0 reinstatement(s), 2 refunds(s), 0 transfers, 2 retired. Total active membership: 625. Total deferred: 42. Refunds made since the last regular meeting amounted to $ 10,040.32. Retirement allowances paid for the month of September, 2008 amounted to $ 1,512,269.42. Total retirement checks printed for the ERS System: 789. 3 death(s). Theresa Oberst, spouse of Non -bargaining member, age 90, died 9/8/2008; Clara Alt, spouse of Non -bargaining member, age 84, died 9/20/2008; Charles J. Roark, Jr, (Parks -UAW) , retired 2/15/1989, age 74, died 9/27/2008. Eligible domestic relations orders received: 1. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 1. Karen Williams, Retirement Analyst, reported two items to the Board regarding the Secretary's Report. As requested at the last month's meeting, Ms. Williams included the specific amount of each request for accumulated contribution. This information was indicated in the official board meeting of September 18, 2008. Additionally, Ms. Williams reported that the Retirement Office received an Eligible Domestic Relations Order (EDRO) for an employee who was not a member of the Employees Retirement System. Ms. Williams spoke with Attorney Jack Roberts, legal counsel, regarding the issue. Attorney Roberts informed the Retirement Office that the EDRO could be denied by letter because the employee was not a member of the ERS system. The employee is a member of the Police and Fire Retirement System and the EDRO should be directed to the appropriate system, once it has been amended. Employees Retirement System Regular Meeting of October 23, 2008 Page 2 It was moved by Trustee Wood and supported by Trustee Dedic to approve the following Request for Regular Age & Service Retirement: Iguasicao Benavidez, Parks (UAW), 18 years, 5 months, age 58, effective October 1, 2008. Honorah M. Nash, Finance/Income Tax (T580), 8 years, 2 months, age 58, effective October 1, 2008. (from Deferred) Approved by the following vote: 6 — 0. There were no requests for duty disability. There were no requests for non duty disability. There were no requests for Refund of Accumulated Contributions. It was moved by Trustee Wood and supported by Trustee Korkoske to excuse Trustee Murphy from the Board meeting. Adopted by the following vote: unanimously Karen Williams updated the board regarding the 2008 City of Lansing Retirement and Health Care Conference. There were approximately 241 attendees. The Lifeline Screenings were well -received and the company has requested a letter of recommendation. Ms. Williams thanked all th�W°I beeers submitand ted toprovided usteebrief at theoverview ne�t the conference expenses. The final repo meeting. Trustee Wood thanked everyone that worked on the planning committee. Trustee Wood brought up a few concerns with the parking arrangements. Trustee Wood informed the Board the Life Line would give a generic report about the screenings. Additionally, a deferred employee expressed concern that she did not receive any information regarding the conference. Karen Williams updated the Board that she is creating a database for deferred employees with their last known address. Trustee Wood also informed the Board that she received a note from retiree regarding the high quality of paper that was used, in light of the current budget constraints. Karen Williams informed the Board that all the paper used from the Conference mailings were left over paper from the former operations services. Karen Williamse received a gascard, and announced a fire were two survey prize give -a -ways, a spouse of a member employee received the donated pullover. Trustee Antekeier opened the floor for public comments. Employees Retirement System Regular Meeting of October 23, 2008 Page 3 Mr. Ron Kruger expressed his concern regarding the volatility of the economic market and its effect on the Employees Retirement system investments. The Board discussed changing the November Board Meeting from November 20 due to a lack of quorum on that date. The Board agreed to change the November 20th ERS meeting and Joint Meeting to Thursday, November 13. Karen Williams distributed the Gabriel, Roeder, Smith Eligible Domestic Relations Order fees provided by Brad Armstrong. The Board discussed the fee structure and requested an explanation in writing of the break down in fees for the EDRO. It was moved by Trustee Wood and supported by Trustee Kraus to approve the Gabriel, Roeder, Smith Eligible Domestic Relations Order fees through June 30, 2009. Gabriel, Roeder must inform the Board 30 days in advance for any fee changes and with the agreement that .the Board has a 30 day out clause to not renew the fees. Adopted by the following vote: 6 — 0. Trustee Wood announced that there will be a Joint Committee for Bid Process for actuary services, Friday, October 24, 2008. Karen Williams distributed a letter from Mr. Leon Hilton. The ERS Board discussed Mr. Hilton request for past actuarial reports regarding post retirement pension increases. Trustee Kraus inquired if Mr. Hilton has contacted the City of Lansing administration, who has the responsibility to have these reports done. Trustee Wood suggested that the Board provide a response to Mr. Hilton that the administration is responsible for the information he requests. The Board can follow up and check on the status of Mr. Hilton's request with the administration. Trustee Dedic and Trustee Antekeier will provide a response to Mr. Hilton's letter. Attorney Ken Lane and Attorney John Schneider, Clark Hill introduced themselves as the legal representatives for the City Attorney's Office. Attorney Lane reviewed the Qualified Plan Document request and informed the Board that a work plan will be provided at a future meeting. Karen Williams distributed and reviewed the September Investment and Securities Lending account Reports. Karen Williams reported to the Board that Asset Consulting Group requested that the Board sending a letter instructing Northern Trust to cap securities lending to its current level to reduce exposure to market conditions. The meeting adjourned at 9:45 a.m. Minutes approved on '/ i3 aacJs� y A ibrb, Secretary ployTes' Retirement System I / � . i, �, J/ LI, Robert Antekeier, Chairperson Employees' Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM Regular Meeting November 13, 2008 Council Conference Room Thursday, 8:30 a.m. 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:36 a.m. Present: Antekeier, Dedic (8:46), Korkoske, Kraus, Murphy, Singleton (8:40), Wood: 7 :" i Absent: Trustees Bernero, McCaffery 'J Others: Karen E. Williams, Finance Department; Attorney Ken Lane, John Schneider;-- Clark Hill (representing the Law Department), John Jackson, Asset ;Consulting Group. It was moved by Trustee Korkoske and supported by Trustee Murphy to approve the Official minutes of the Employees' Retirement System Regular Meeting of October 23, 2008. Adopted by the following vote: unanimously Secretary's Report. 0 new member(s), 0 reinstatement(s), 0 refunds(s), 0 transfers, 2 retired. Total active membership: 621. Total deferred: 42. Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of October, 2008 amounted to $ 1,510,629.78. Total retirement checks printed for the ERS System: 786. 1 death(s). Ilene J. Hartman, spouse of Teamster 580 Supervisory member, age 76, died 9/15/2008. Eligible domestic relations orders received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 1. It was moved by Trustee Wood and supported by Trustee Kraus to approve the following Request for Regular Age & Service Retirement: Allen J. Albert, Public Service (T580), 36 years, 4 months, age 58, effective November 1, 2008 (Purchased 21 months of universal buy -in time) Elizabeth Homer, Parks (T580), 11 years, age 65, effective November 1, 2008. Diane Lee, Finance/Assessor's Office (T580), 19 years, 4 months, age 57, 4 months, effective November 1, 2008. (65 points) Heather McGinnis, Human Resources (T580), 19 years, 8 months, age 63, effective November 1, 2008. John Peterson, Public Service (UAW), 26 years, 3 months, age 60, effective November 1, 2008. Employees Retirement System Regular Meeting of November 13, 2008 Page 2 Request for Regular Age and Service Retirement (cont.): Nancy Squier, City Clerk's (T580), 15 years, 2 months, age 64, effective November 1, 2008. Adopted by the following vote: 5 — 0. Karen Williams, Retirement Analyst, reported that 5 of the six members who requested regular age and service participated in the City of Lansing Retirement Incentive. Trustee Singleton arrived to the meeting. There were no requests for duty disability. There were no requests for non duty disability. It was moved by Trustee Wood and supported by Trustee Singleton to approve the request for return of accumulated contributions: Caroline Keefe —District Court (Exempt) - $343.47 Adopted by the Following vote: unanimously It was moved by Trustee Wood and supported by Trustee Murphy to excuse Trustee Dedic and Trustee McCaffery from the Board meeting. Adopted by the following vote: unanimously Karen Williams requested approval to pay half of the International Foundation membership fee for the Employee Retirement System Board for 2009. The fee of $695.00 is split between the Employees Retirement System Board and the Police and Fire Retirement Board. It was moved by Trustee Wood and supported by Trustee Kraus to approve payment for one-half of the International Foundation Membership fee for 2009. Adopted by the following vote: 6 — 0. Trustee Wood reported to the Board that she requested to review the parking bill for the Retirement Conference because there was no attendant at the gate for the entire event. The Transportation Department charged for only 68 cars. Trustee Wood and the Board agreed that the cost was reasonable and it should be paid. Trustee Dedic arrived to the meeting. Trustee Kraus distributed information for the Joint Committee for Bid Process via email. Trustee Kraus sent draft proposal from municipalities for the committee to review. Employees Retirement System Regular Meeting of November 13, 2008 Page 2 Attorney Ken Lane (representing the Law Department) reported to the Board that he met with Attorney Jack Roberts and Mr. Tom Korkoske. The group spoke with Mr. Doug Rubley and Mr. Brad Armstrong regarding Mr. Hilton's letter requesting a copy of the actuary report for the post -retirement adjustments to be done every five years. Attorney Lane reported that Mr. Rubley and Mr. Amstrong believed that verbal presentation were given to be board. Once this information has been verified by Attorney Jack Roberts, Clark Hill will draft a response to Mr. Hilton's Letter. Attorney Lane provided a brief overview regarding the Qualified Plan Document. Attorney Lane had a work plan distributed to the Board regarding the items and time frame to complete the Qualified Plan. Clark Hill will keep the board updated regarding the progress. Karen Williams distributed and reviewed the Securities Lending Account report. The meeting adjourned at 8:56 a.m. Minutes approved on .J - lk-4,:DQg Robert Antekeier, Chairperson Employees' Retirement System y Ahbrose, Secretary ploWes' Retirement System 1 OFFICIAL rrROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING EMPLOYEES' RETIREMENT SYSTEM Regular Meeting December 14, 2008 Council Conference Room Thursday; 8:30_1a.m. 10th Floor, City Hall R - Lansing, MI 1 The Board met in regular session and was called to order at 8:35 a.m. Present: Antekeier, Dedic, Korkoske, Kraus, McCaffery, Murphy, Singleton (8:41), Wood 8. J Absent: Trustees Bernero Others: Karen E. Williams, Finance Department; Attorney Ken Lane, Clark Hill (representing the Law Department), Leon Hilton, retiree. It was moved by Trustee Korkoske and supported by Trustee Dedic to approve the Official minutes of the Employees' Retirement System Regular Meeting of November 13, 2008. Adopted by the following vote: unanimously It was moved by Trustee Wood and supported by Trustee Kraus to approve the Official minutes of the Joint Employees Retirement System Board and the Police and Fire Retirement System Board Meeting of November 13, 2008. Adopted by the following vote: unanimously Trustee Antekeier opened the floor to public comments for items on the Agenda. Mr. Leon Hilton addressed the Board regarding post -retirement pension adjustments negotiated in the union contract. Mr. Hilton noted that there should be an increase in benefits everyfive years based on the Actuary report. Mr. Hilton was interested in obtaining the reports to view the increase in benefits. Attorney Ken Lane (representing the Law Department), responded to the Mr. Hilton to explain what was ratified in the contract. Attorney Lane previewed information from a draft letter written to Mr. Hilton. Attorney Lane explained that the Actuary reports that are given each year specified that the Member Fund did not appreciate significantly to warrant an increase in benefits. Attorney Lane informed the Board that he investigated the issue with Mr. Doug Rubley who believed that the Member Fund report was given verbally. Attorney Lane indicated that the information is documented in the engagement letter and he would forward information to Mr. Hilton. Trustee Wood suggested that the member report should be in writing, instead of a verbal presentation. Employees Retirement System Regular Meeting of December 18, 2008 Page 2 Mr. Leon Hilton inquired about the amount and status of the Member Fund. Trustee Antekeier informed Mr. Hilton that his questions regarding the value of the fund should be directed to the Actuary. Secretary's Report. 1 new member(s), 0 reinstatement(s), 1 refunds(s), 0 transfers, 6 retired. Total active membership: 615. Total deferred: 42. Refunds made since the last regular meeting amounted to $ 343.47. Retirement allowances paid for the month of November, 2008 amounted to $ 1,525,978.18. Total retirement checks printed for the ERS System: 792. 2 death(s). Mary McNamara, (Parks -UAW), retired 7/13/2002, age 62, died 11/7/2008, spouse to receive 100%; Gerald D. Erzen (Admin. Services —UAW), retired 2/15/2008, age 72, died 12/10/2008; spouse to receive 50%. Eligible domestic relations orders received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 1. There were no requests for Regular Age & Service Retirement. There were no requests for Duty Disability Retirement. Trustee Singleton arrived to the meeting. Karen Williams reported that there was one request for non -duty disability retirement from Ms. Sandra Boles, Teamster 580 CTP. Ms. Boles' request was referred to the disability subcommittee. It was moved by Trustee Kraus and supported by Trustee Singleton to approve the request for return of accumulated contributions: Bradley John Hough — LPD (Teamster 580) - $5,968.24 Ms. Williams reported to the Board that Mr. Hough transferred from the Employees Retirement System to the Police and Fire Retirement System. Mr. Hough did not have 30 months of service and was not vested. Ms. Williams reviewed the Reciprocal Retirement Act. Adopted by the following vote: unanimously Karen Williams requested approval to pay the MAPERS membership fee of $50.00 for the Employee Retirement System Board for 2009. It was moved by Trustee Dedic and supported by Trustee Wood to approve payment of the MAPERS Membership fee for 2009. Adopted by the following vote: 7 — 0. Karen Williams distributed the 2009 Schedule of Meeting Dates. The dates were approved by a consensus of the Board. Employees Retirement System Regular Meeting of December 18, 2008 Page 3 Trustee McCaffery informed the Board of a request from a retiree, who would like the Aetna Life Insurance Coverage to be increased. Karen Williams reviewed the current life insurance coverage with the Board and specified that the life insurance benefit was addressed in the union contracts. Ms. Williams further explained that the life insurance benefits were negotiated in the collective bargaining agreements benefits and should appropriately be addressed by the contracts. Trustee Wood suggested that the Employees Retirement System and the Police and Fire Retirement System meet jointly to conduct a health care study regarding prescription drugs. Trustee Wood requested that the Joint Ad Hoc Committee on Health Care review this matter and draft a survey. It was moved by Trustee Wood and supported by Trustee Murphy to convene the Joint Ad Hoc Committee on Health Care to conduct a study regarding prescription drugs. Adopted by the following vote: 7 — 0. Attorney Ken Lane (representing the Law Department) provided an updated report to the Board regarding the Qualified Plan Document. Attorney Schneider has reviewed the collective bargaining agreements and has prepared a draft of the updated ordinance. Attorney Lane will provide copies of the draft to the Board for review. Trustee Wood requested that copies of all the official minutes be also stored on a disk drive, in addition to Gabriel Roeder Smith, City Clerk's Office and the Retirement Office. Karen Williams distributed and reviewed the Securities Lending Account report. Karen Williams reported that ERS Board will forward letters of directions to the Real Estate Fund Managers to cash investments above 5% to bring our portfolio in line with the Investment Strategy. The cash proceeds will be distributed to the Comerica Account for payment of pension. Additionally, dividends will no longer be re -invested, but dividends will be paid out to the Comerica Account. The meeting adjourned at 9:29 a.m. Minutes approved on I/Z2/AOO9 Robert Antekeier, Chairperson Employees' Retirement System JJe A rose, Secretary Employees' Retirement System