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HomeMy WebLinkAbout2008 Police and Fire Retirement System Minutes FINAL OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM Regular Meeting January 15, 2008 Council Conference Room Tuesday, 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' N Present: Trustees Benson, Holliday, Kraus, Lewis, Oleson, St. Aubin, Wood — 7.*- Absent: Trustee Bernero Others: Karen E. Williams, Finance Department; Jack Roberts, Law Department; Par I- Novak, Clark Hill Law Office; Marie Rosicky, Fire Department; David Hoffman, Gabriel, Roeder, Smith and Company. It was moved by Trustee St. Aubin and Trustee Lewis to approve the Official Minutes of the Police and Fire Meeting of December 18, 2007 as amended. Adopted by the following vote: 7-0. Secretary's Report. 0 new fire member(s), 0 new police members, 0 reinstatement(s), 0 efund(s), 0 transfers, 1 retired. Total: Active membership: 483. 0 death(s). Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of December, 2007 amounted to $1,750,278.60. Total retirement checks printed for the P&F System: 627. Total retirement checks printed for both systems: 1407. Domestic relations order received: 0. Domestic relations orders pending: 2. Eligible domestic relations orders certified: 0. It was moved by Trustee Wood and supported by Trustee Oleson to elect Trustee Bruce Holliday as chair and Trustee Michael Lewis as vice chair of the Police and Fire Retirement Board. Adopted by the following vote: unanimously It was moved by Trustee Wood and supported by Trustee St. Aubin to have Trustee Bruce Holliday as the official signatore for investment purposes and that the motion is in the form of a resolution. Adopted by the following vote: unanimously Regular Meeting January 15, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two It was moved by Trustee Wood and supported by Trustee Oleson to accept the following the Police & Fire Retirement System Sub-Committee Members assignments: Disability Committee - Holliday, Kraus, Lewis, Oleson Investment Committee - Benson, Kraus, Oleson, Wood Education Committee - Lewis, St. Aubin, Wood Special Projects - Kraus, Oleson, Wood, St. Aubin Ex-officio Jack Roberts Joint Ad Hoc Committee on Health Care Benson, Lewis, St. Aubin, Wood Karen Williams updated the Board on Mr. Robert Vargas. Mr. Vargas was scheduled to see the Medical Doctor, January 23, 2008. Ms. Marie Rosicky, Fire Department addressed the Board regarding the status of her referral to the Board's medical doctor for evaluation. Ms. Rosicky reported that she was still trying to work out an administration position with the Fire Department. Trustee Holliday reported to the Board that he spoke with Mr. Frank Holmes regarding the request for an unaltered Medical Release to continue the process for Reinstatement. Mr. Holmes was considering withdrawing his request for reinstatement and had asked Trustee Holliday for a recommendation of what he should do. Trustee Holliday has informed Mr. Holmes that the decision to continue or withdraw his request is Mr. Holmes' decision. Karen Williams reported to the Board that the 2008 Retirement Conference Planning Committee has been scheduled for January 23, 2008. Members of the Deferred Compensation members have been invited. It was moved by Trustee Wood and supported by Trustee Kraus to go into closed session to receive a written report of client attorney privilege regarding the Retirement Eligibility for Terminated Employees. Adopted by the following roll call vote: Yeas: Benson, Holliday, Kraus, Lewis, Oleson, St. Aubin, Wood 7-0. Regular Meeting January 15, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three The public was asked to leave the meeting for the closed session and the retirement analyst secured the room. The Board returned to open session. Trustee Kraus inquired if PA 345 supersedes the City of Lansing Police and Fire Retirement System Ordinance. Attorney Novak has reviewed the provision of the Public Act and concluded that the City of Lansing Police and Fire System is not an Act 345 system. Attorney Novak has also reviewed the collective bargaining agreement and did not find any language that would conflict with the City Ordinance regarding a discharge of a member of the Police and Fire Retirement System. Attorney Roberts disclosed that the employee contacted him and inquired about the Section 292.94 (k) (2) of the Police and Fire Retirement Ordinance. Attorney Jack Roberts further reviewed the 1955 City Charter and found that the language was consistent. Mr. David Hoffman, Gabriel, Roeder, Smith and Company presented the 2006 Actuarial Evaluation. Mr. Hoffman reviewed the methods used to prepare the actuary report. Mr. Hoffman reviewed the actuarial assumption changes used in the report. Mr. Hoffman concluded that if the city continues to make its contributions at the recommended level, the plan should remain healthy. Karen E. Williams reported to the Board an update of the Police Trustee Election results. Ms. Williams explained the election process that has been used in previous elections. The Retirement Office requested and received a list of all current sworn officers and that list served as the official polling list. Mailing labels were created from the list and affixed to envelopes. In each envelope was a ballot for members to vote. Members had instructions to sign the poll list, and then vote. Ms. Williams presented the election tally to the Board. Trustee Holliday and Karen Williams counted the ballots: there were 124 ballots cast, but only 123 signatures. Ms. Williams and Trustee Holliday counted the envelopes and found one envelope that was empty, but for which there was not a signature on the voting list. Therefore a member voted that did not sign the poll list. Ms. Williams and Trustee Holliday contacted legal counsel for further advice. Attorney Roberts advised the Retirement Office to contact the member with the empty envelope to determine if he or she had voted. Ms. Williams contact the officer who stated that he voted at City Hall and signed the ballot and not the poll list. Another officer mistakenly used that officer's ballot. Ms. Williams reported others members had also signed their ballots. The tally resulted in a tie. Board members asked if it was possible to have another election due to the anomaly. Regular Meeting January 15, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Four Jack Roberts advised the Board that it has the function as the Election Board of Canvassers. Attorney Roberts reviewed the options available to the Board: Option 1 - The rules indicate that if the Board of Canvassers certified the result as a tie, then the tie would be broken by the election commission that consists of the City Clerk,the City Assessor and the City Attorney. The winner would be determined by a drawing. Option 2 - Due to the anomaly in the election, the Board can choose not to certify the results and have another election. It was moved by Trustee Wood and supported by Trustee Oleson that due to the anomaly in the election, the Board (as the Board of Canvassers) require another election. Adopted by the following vote: 7 - 0. It was moved by Trustee Wood and supported by Trustee Oleson to have the chair and vice chair serve as election inspectors. Adopted by the following vote: 7 - 0. The Retirement Office will post a new election schedule. Attorney Jack Roberts distributed updates for the Board Trustee notebooks. Attorney Jack Roberts reviewed Trustee Holliday's request for information regarding the Methods of Payment section in the Ordinance. Attorney Roberts advised the Board that vouchers are no longer used to make payments. Therefore,the language in that section of the Ordinance may be updated after review. Karen Williams distributed and reviewed the December Investment Report and the Securities Lending Account Report. The meeting adjourned at 10:21 a.m. Minutes approved on L - 1 4-- 0 5� /j Jerry A brose; Secretary Police & Fire Retirement System Bruce/Holliday Chairperson Police & Fire Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM Regular Meeting February 19, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:38 a.m. a Present: Trustees Benson, Holliday, Kraus, Lewis, Oleson, Wood — 6. Absent: Trustee Bernero, St. Aubin Others: Karen E. Williams, Jerry Ambrose, Finance Department; Jack Roberts, �Pw Department; Paul Novak, Clark Hill Law Office. It was moved by Trustee Wood and Trustee Oleson to approve the Official Minutes of the Police and Fire Meeting of January 15, 2008 as amended. Adopted by the following vote: 6-0. Secretary's Report. 0 new fire member(s), 0 new police members, 0 reinstatement(s), 0 refund(s), 0 transfers, 0 retired. Total: Active membership: 480. 5 death(s). Joseph S. Nemeth, Fire, died 1/9/2008, age 79, spouse to receive 50%; Nancy Halligan, Police, died 1/3/2008, age 84, spouse of Richard; Olga Achterhof, Police, died, 1/16/2008, age 89, spouse of John; Marjorie M. Besonen, Fire, died 1/31/2008, age 78, spouse of Arnold; John D. Dean, Fire, died 12/25/2007, age 81 , beneficiary to receive 50%. Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of January, 2008 amounted to $1 ,759,144.42. Total retirement checks printed for the P&F System: 625. Total retirement checks printed for both systems: 1406. Domestic relations order received: 0. Domestic relations orders pending: 2. Eligible domestic relations orders certified: 0. It was moved by Trustee Kraus and supported by Trustee Lewis to approve the following Application for Regular Age & Service Retirement: Darin L. Lamer, Police Department, 25 years of service, age 46, effective February 15, 2008. Adopted by the following vote: unanimously Regular Meeting February 19, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two Karen Williams updated the Board on Mr. Robert Vargas. Mr. Vargas was scheduled to see the Medical Doctor, January 23, 2008. The Board is waiting for the doctor's report. Ms. Marie Rosicky has been scheduled to see the medical doctor. Karen Williams mailed a certified letter regarding the appointment to Ms. Rosicky. Trustee Holliday reported to the Board that he spoke with Mr. Frank Holmes regarding the request for an unaltered Medical Release to continue the process for Reinstatement. The disability subcommittee's asked Ms. Williams to mail a letterto Mr. Holmes asking for either the Medical Release or a written withdrawal of Mr. Holmes reinstatement request. Ms. Williams read a portion of the letter that was mailed to Mr. Holmes. It was moved by Trustee Oleson and supported by Trustee Lewis to excuse Trustee St. Aubin from the Board meeting. Adopted by the following vote: 6 — 0. Attorney Jack Roberts reviewed the Timothy Poxson discussion. Trustee Holliday requested that a written report from legal counsel be presented to the Board regarding retirement eligibility for discharged employees. Jack Roberts clarified that the report would set out the facts, the ordinance and options for the board to consider. Trustee Kraus expressed concern that the issue from the closed session needs to be resolved. The Board discussed whether a precedent will be created by rendering a decision on the issue. Attorney Jack Roberts reported to the Board that a letter has been received by the Retirement Office regarding Johnnie Torres request for a deferred pension. Trustee Wood expressed concern that each retirement eligibility situation be treated separately. Karen E. Williams reported to the Board an update of the Police Trustee Election results for certification. Ms. Williams distributed an email from an officer with concerns about campaigning in the North Precinct. The Board reviewed the email and discussed updating the Election rules, process and practices. Trustee Kraus expressed that there is a perception that all members are not represented. However, the Police Trustees do represent all police members, and members who communicate other opinions should be corrected. The issue was referred to special projects to update the current policy. It was moved by Trustee Wood and supported by Trustee Oleson to update the Police and Fire Election policies in the Special Projects Committee. Adopted by the following vote: unanimously Regular Meeting February 19, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three It was moved by Trustee Lewis and supported by Trustee Oleson to certify the election results. Adopted by the following vote: unanimously The Board discussed approval of the actuarial report presented at the January Board meeting and repayment of the over funding to the Police and Fire Retirement system from the City of Lansing. In the P&F system, the City contributed $6,576,000, compared to the actuarial amount of$6,520,974. The difference is a $55,026 overage. It was moved by Trustee Wood and supported by Trustee Lewis to approve the Police and Fire Actuarial Evaluation Report. Adopted by the following vote: unanimously It was moved by Trustee Wood and supported by Trustee Oleson to approve the transfer of the overpayment from the Police and Fire Retirement System back to the City of Lansing Adopted by the following vote: unanimously Karen Williams reported to the Police and Fire Board regarding the Duty Disability Income Verification. The Board discussed the process and requested that duty disability retirees submit the front page of their 1040 forms instead of their W-2 forms. The Board requested that a second letter be drafted and reviewed for retirees who did not submit their verification by the April 30 due date. Karen Williams distributed and reviewed the January Investment Report and the Securities Lending Account Report. The meeting adjourned at 9:22 a.m. Minutes approved on JO ry Arhbrose, Secretary / Po lice & Fire�-- Retirement System Bruck Holliday,�,hairperson Police & Fire Retirement System CITY OF LANSING POLICE & FIRE and ERS RETIREMENT SYSTEM MINUTES Joint Meeting February 19, 2008 Council Conference Room Thursday,. 9:15-a.m. 10th Floor City Hall Lansing, MI The meeting was called to order at 9:38 a.m. A quorum of both Boards was present. �ti N Trustees present: (Police & Fire), Benson, Holliday, Kraus, Lewis, Oleson, Wood (1'0:25) —6. (ERS), Antekeier, Dedic, Korkoske, Kraus, Piloske, Wood (10:25) — 6. Other presents: John Jackson, Patty Karolzak, Asset Consulting; Karen Williams, Finance Department; Paul Novak, Clark Hill Law Office; Nate Balderman, Rehman Group; Jack Roberts, Law Department. Mr. Nate Balderman, Rehman Group auditor, presented a financial overview of the City of Lansing Police and Fire Retirement System and the Employees Retirement System. Mr. Balderman reviewed and explained the contributions, actuarial unfunded liabilities, and assets of both systems. Mr. John Jackson, Asset Consulting group presented and proposed modifications to the Investment Policy, to include the hiring of integrity and updating of the small/mid cap benchmark. It was moved by the Trustee Oleson and supported by Trustee Lewis to adopt the proposed modification to the Police and Fire Investment Policy regarding the small/mid cap benchmark. Adopted by the following vote: 5 -0. It was moved by the Trustee Dedic and supported by Trustee Korkoske to adopt the proposed modification to the Employees Retirement System Policy regarding the small/mid cap benchmark. Adopted by the following vote: 5 — 0. Ms. Patty Karolzak reviewed changes to the Delaware/Mondrian investment for the Police and Fire Retirement Board. Ms. Karolzak discussed the Delaware change from its commingled pool to a separate Mondrian investment. Trustee Wood entered the meeting. Mr. Jackson and Ms. Karolzak overviewed the Mayor's Letter of Request for the Retirement Boards to Divest from the Sudanese Region. Asset Consulting Group contacted the Board's International Managers regarding the criteria developed by the Sudan Divestment Task Force. Asset Consulting Groups presented options for the Boards to consider: 1)do nothing, 2)write a letter to managers regarding the board's concern, 3) eliminate managers that do not divest. Ms. Karolzak reported to the Board that the retirement system funds are commingled with other funds and is not a separately research sudand vestmeaccount. Mr.torn Jackson provided a website for Board members to d•furtherThe Joint Boards discussed and , considered the targeted divestment approach suggested by Asset Consulting Group. It was moved by Trustee Dedic and supported by Trustee Wood to follow the Asset Consultant Group's advice to prepare a letter to managers regarding the Employees Retirement System Board's position on divestment in Sudan. Trustee Wood offered a friendly amendment to prepare a similar letter to go to local government representatives. Adopted by the following vote: unanimously. It was moved by Trustee Wood and supported by Trustee Benson to follow the Asset Consultant Group's advice to prepare a letter to managers and local government representatives regarding the Police and Fire Retirement System Board's position on divestment in Sudan. Adopted by the following vote: unanimously Mr. Jackson overviewed an amendment to the fee schedule for Northern Trust. Asset Consulting Group negotiated a lower fee schedule for both boards. It was moved by Trustee Oleson and moved by Trustee Lewis to adopt the amended fee schedule for Asset Consulting Group. Adopted by the following vote: unanimously There was no quorum for the Employees Retirement System board. Mr. John Jackson and Ms. Patty Karolczak of Asset Consulting Group presented the annual/quarterly review of investment performance results for the Employees Retirement System and The Police and Fire Retirement Systems. The Meeting adjourned at 11:25 a.m. Minutes approved on 3- f 1'-Z00 Jury A brose, Secretary Robert Antekeier, Chairperson Bruce Holliday, Chairperson Employees Retirement System Fire and Police Retirement System CITY OF LANSING POLICE & FIRE and ERS RETIREMENT SYSTEM MINUTES Joint Meeting - Council Conference Room March 7, 2008Thursday, 2:00 p.m. 10th Floor City Hall Lansing, MI The meeting was called to order at 2:06 p.m. A quorum of both boards were present. Trustees present: (Police & Fire) Benson, Holliday, Kraus, Lewis, Oleson, Wood — 6. (ERS), Antekeier, Dedic, McCaffery, Kraus, Murphy (2:17), Wood -6 Other presents: John Jackson, Patty Karolczak, Asset Consulting (by phone); Karen Williams, Jerry Ambrose, Finance Department; Jack Roberts, Legal Counsel. Mr. John Jackson and Patty Karolczak presented a review and explanation of MDSass opportunity to invest in municipal bonds. MDSass contacted Asset Consulting Group for permission to invest in municipals that could yield 6%. The current Police and Fire System and the Employees Retirement System Investment policy does not specifically include municipal bonds. Asset Consulting Group recommends amending the Investment Policies to include municipal bonds, so that MDSass can invest in these investments. Mr. Jackson advised that this opportunity offered by MDSass was time sensitive and may not be available later in the month. Attorney Jack Roberts reviewed the current Investment Policies for both boards. Attorney Roberts advised that he interpreted the policies as not having the general legal language that would be broad enough to include government municipal bonds. Attorney Roberts reviewed Public Act 314 and inquired if the new investment strategy would comply with the Act. Trustee Benson inquired about MDSass affiliation with the sponsoring organization or issuer. John Jackson will ask MDSass provide verification that there is no affiliation. Attorney Roberts prepared sample motions for the board to review and revise regarding implementing the Investment Policy Agenda. It was moved by Trustee Wood and supported by Trustee Dedic to amend the City of Lansing Employees' Retirement System Statement of Investment Policies and Objectives to include and read in Section VI B 3, under Permissible Investments, Fixed Income • Bonds (including Treasuries, Corporates, GOVERNMENT, MBS, and ABS) Adopted by the following vote: 7-0. Antekeier, Dedic, Kraus, McCaffery, Murphy, Singleton, Wood. Joint Meeting March'7,-2008 Thursday, 2:00 p.m. Council Conference Room 10th Floor City Hall PAGE 2 Lansing, MI It was moved by Trustee Wood and supported by Trustee Murphy that agreements with the retirement systems bond manager(s)..be.amended:to.include.this change in Permissible Investments and that:the;; Chair is authorized to sign appropriate amendments, agreements, or documents to reflect the change. The Permissible investments shall be limited to 10% of the management portfolio. This agreement is contingent upon the Bond Manager having no affiliation with the sponsoring organization or issuer. Adopted by the following vote: 7-0. Antekeier,Dedic, Kraus, McCaffery, Murphy, Singleton, Wood. It was moved by Trustee Wood and supported by Trustee Oleson to amend the City of Lansing Police and Fire Retirement System Statement of Investment Policies and Objectives to include and read in Section VI B 3,under Permissible Investments, Fixed Income Bonds (including Treasuries, Corporates, GOVERNMENT, MBS, and ABS) Adopted by the following vote: Benson, Holliday, Kraus, Lewis, Oleson,Wood 6-0. It was moved by Trustee Wood and supported by Trustee Lewis that agreements with the retirement system's bond manager(s) be amended to include this change in Permissible Investments and that the Chair is authorized to sign appropriate amendments, agreements, or documents to reflect the change. The Permissible investments shall be limited to 10% of the management portfolio. This agreement is contingent upon the Bond Manager having no affiliation with the sponsoring organization or issuer. Adopted by the following vote: Benson, Holliday, Kraus, Lewis, Oleson,Wood 6-0. The Meeting adjourned at 2:42 a.m. Minutes approved on 3-1e",z,2oo 8" 4eyX�m —rose, Secretary c- Robert Antekeier, Chairpersondlli Bruce Hday, Chai erson Employees Retirement System Fire and Police Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING RECEIVED POLICE AND FIRE RETIREMENT SYSTEM, a'r Regular Meeting March 18� P'``C<r Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:30 a.m. Present: Trustees Holliday, Kraus (8:34), Lewis, Oleson, St. Aubin, Wood — 6. r.a Absent: Trustee Benson, Bernero cn= t ly Others: Karen E. Williams, Jerry Ambrose, Finance Department; Jack Roberts, Lbw ` Department; Paul Novak, Clark Hill Law Office; Mr. Tom Krug, FOP, :L=an!ihq F.-I Command; Mr. Chuck Fulger, Fire Department. It was moved by Trustee Wood and Trustee Oleson to approve the Official Minutes of the _. Police and Fire Meeting of February 19, 2008 as amended. Adopted by the following vote: 6-0. It was moved by Trustee Wood and Trustee Lewis to approve the Official Minutes of the Joint Police and Fire and the Employees Retirement System Meeting of February 19, 2008 as amended. Adopted by the following vote: 6-0. It was moved by Trustee Lewis and Trustee Kraus to approve the Official Minutes of the Joint Police and Fire Meeting and the Employees Retirement System Meeting of February 19, 2008 as amended. Adopted by the following vote: 6-0. Trustee Holliday opened the floor for public comments for items on the Agenda. Mr. Tom Krug, FOP, Lansing Command addressed the Police and Fire Board regarding Johnnie Torres and another former employee. Mr. Krug has concerns that a vested pension can be removed for a terminated employee who has been discharged. Mr. Krug reported to the Board that he believed PA 345 takes precedent and does supersede the City of Lansing Ordinance. Mr. Krug also reported that the negotiated Police contract does not have such language, once an employee is vested; there are no exceptions to receiving deferred pension benefits. Regular Meeting March 18, 2008Tuesday, 8:30 a.m. Council Conference Room 10th Floor, City Hall Page Two Lansing, MI Mr. Charles Fulger, Fire Department addressed the Board regarding a request for members of the retirement system who have less than 25 years of service to have the ability to purchase post-retirement adjustments. Mr. Fulger reported he believed thatthere would be no actuarial cost to the research this request for the membership. e system; all costs r dr be bmember. Mr. Fulger requested that the Secretary's Report. 0 new fire member(s), 0 new police members, 0 reinstatement(s), 0 refund(s), 0 transfers, 1 retired. Total. Active membership: 479. 2 death(s) Florence A. Kenney, Fire, died, 12/24/2007, age 84, spouse; Alvin Hildenbrand, Fire, died 2/14/2008, age 84, beneficiary to receive 50%. Refunds made since the last regular meeting amounted to$ 0.00. Retirement allowances paid for the month of February, 2008 amounted to $1 ,764,010.23. Total retirement checks printed for the P&F System: 625. Total retirement checks printed for both systems: 1409. Domestic relations order received: 0. Domestic relations orders pending: 2. Eligible domestic relations orders certified: 0. There were no applications for Regular Age and Service Retirements. Trustee Holliday reported to the Board that the medical reports from Dr. Roth had been received for Mr. Robert Vargas and Ms. Marie Rosicky. The disability subcommittee will meet to review the medical reports and will report at the next meeting. There were no requests for Non-Duty Disability Retirements. There were no requests for Refund of Accumulated Contributions. The Board discussed Mr. Frank Holmes' request for Reinstatement to the Police & Fire Retirement System. The Board inquired to legal counsel whether Mr. Holmes' item could be removed from the Agenda. Mr. Holmes had not responded to the Board's request to submit the required documentation or withdraw his request. Attorney Roberts advised the Board that the minutes can reflect that the item is no longer on the agenda pending action from Mr. Holmes. It was moved by Trustee St. Aubin and supported by Trustee Oleson to excuse Trustee Benson from the Board meeting. Adopted by the following vote: 6 — 0. Regular Meeting March 18, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three Karen Williams requested approval of funding for the 2008 Retirement and Health Care Conference. It was moved by Trustee Wood and supported by Trustee Oleson to approve funding for the 2008 Retirement and Health Care Conference and split the costs (50%) with the Employees Retirement System. Adopted by the following vote: 6 — 0. Karen Williams announced that Spring MAPERS 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. It was moved by Trustee St. Aubin and supported by Trustee Oleson to allow Trustee Holliday and Trustee Lewis to attend the ING Clarion Conference in New York,April 14-16. Adopted by the following vote: 6 - 0. Trustee Michael Lewis updated the Board that he and Trustee Holliday visited the Lifeline Health Screening at St. Cashmire's church in Dimondale. The screening had a nice turnout. The screening company contacted the church and provided its own advertisement. Trustee Lewis talked with one of the technicians regarding the tests provided. Karen Williams announced that the next Retirement Conference Planning Meeting was scheduled for Wednesday, March 26, 2008. Attorney Jack Roberts reviewed the Retirement Eligibility for Mr. Johnnie Torres. Attorney Roberts turned the discussion over to Attorney Paul Novak. Attorney Novak reviewed a prepared written explanation of discharged officers' eligibility. Attorney Novak reported to the Board that he did not believe that the Police and Fire Retirement System was created as a PA 345 system. Attorney Novak addressed some of the concerns expressed by Mr. Tom Krug and provided an overview of the differences between City of Lansing System and a PA 345 system. Attorney Novak and Attorney Roberts will do further research of the Police contract provisions regarding deferred retirement benefits and whether that provision specifically contradicts the ordinance. Attorney Paul Novak provided an overview of a prepared written explanation of the retirement eligibility for discharged employees. Regular Meeting March 18, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Four Trustee Holliday clarified that his original question was regarding if Johnnie Torres was eligible to receive a deferred pension. He only gave Mr. Poxson as an example of a similar situation. The Board discussed an audit of the retirement files to determine if there were additional retirees who had been discharged and later received a deferred retirement. Karen Williams distributed a second and final draft for the Duty Disability Certification of Annual Income for the Board's review. The Board discussed rescheduling the April 15, 2008 due to projected lack of quorum. It was moved by Trustee Wood and supported by Trustee St. Aubin to reschedule the April 15, 2008 to April 22, 2008. Adopted by the following vote: unanimously Karen Williams distributed a letter from former Chief Martin regarding purchasing post retirement benefit for members with less than 25 years of service." Attorney Jack Roberts advised that the proposal may not be legal. The Board discussed the request and if the Board had the authority to make the change. Attorney Jack Roberts stated that the proposal would be a change in benefit that would require an ordinance change. He recommended that the proposal be referred to the Fire and Police unions. Attorney Roberts reviewed the contract that would reduce the Northern Trustee fees and found it acceptable. 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. It was moved by Trustee St. Aubin and supported by Trustee Oleson to authorize Northern Trust to not release City of Lansing account information under Rule 14b-2. Adopted by the following vote; unanimously Karen Williams distributed and reviewed the February Investment Report and the Securities Lending Account Report. Karen Williams requested approval of Asset Consultants recommendation for the Quarterly Cash Flow Withdrawal that would transfer $6,000,000 from M.D. Sass to the Comerica Bank for payroll and cash flow. It was moved by Trustee Wood and supported by Trustee St. Aubin to authorize the Quarterly Cash Flow Withdrawal that would transfer $6,000,000 from M.D. Sass to the Comerica Bank for payroll and cash flow. Adopted by the following vote: unanimously Attorney Jack Roberts inquired if verification of City of Lansing contribution to the Police and Fire Retirement System. The Board received verification from Thomas Korkoske, finance department. The meeting adjourned at 9:50 a.m. Minutes approved on r114 J� Am rose, Secretary PP ice & Fire Retirement System Bru96 Holliday, dhairperson Police & Fire Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING ~' ' POLICE AND FIRE RETIREMENT SYSTEM: : Regular Meeting April 22, 2008 Council Conference Room Tuesday, 8:30a:m5 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:40 a.m. Present: Trustees Benson, Holliday, Lewis, Oleson, St. Aubin, Wood — 6. Absent: Trustee Bernero, Kraus Others: Karen E. Williams, Finance Department; Jack Roberts, Law Department; Paul Novak, Clark Hill Law Office; Mr. Rob Hecksel; Fire Department. It was moved by Trustee Oleson and Trustee Benson to approve the Official Minutes of the Police and Fire Meeting of March 18, 2008 as amended. Adopted by the following vote: 6-0. Secretary's Report. 0 new fire member(s), 0 new police members, 0 reinstatement(s), 0 refund(s), 0 transfers, 0 retired. Total: Active membership: 479. 2 death(s) Ann M. Kennoy, Fire, died, 4/1/2008, age 91, spouse of retiree; Daniel H. Decker, Fire, died, 4/15/2008, age 71, no beneficiary. Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of March, 2008 amounted to $1,764,246.87. Total retirement checks printed for the P&F System: 624. Total retirement checks printed for both systems: 1410. Domestic relations order received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. There were no applications for Regular Age and Service Retirements. Trustee Lewis reported to the Board that the disability subcommittee reviewed the medical report regarding Officer Robert Vargas. The subcommittee had reservations with Dr. Roth's conclusion based on the City of Lansing records. The subcommittee requested that Dr. Roth coordinate an independent psychological evaluation for Mr. Vargas to address their concerns. Regular Meeting April 22, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two Trustee Oleson reported to the Board that the duty disability evaluation report for Ms. Marie Rosicky has been received and reviewed by the disability subcommittee. The medical report was distributed to the Board members to review. The subcommittee recommended that the Board approve the duty disability request for Ms. Marie Rosicky. All copies of the medical report were collected and returned to the Retirement Analyst. It was moved by Trustee Wood and supported by Trustee Oleson to approve the duty disability request of Ms. Marie Rosicky, with the subcommittee's recommendation. Adopted by the following vote: 6 — 0. Mr. Lamarr Bowers submitted a written request to be evaluated for Duty Disability. It was moved by Trustee Lewis and supported by Trustee Oleson to submit Mr. Bowers' request to the disability committee. Adopted by the following vote: 6 -0. Trustee Lewis clarified that Mr. Bowers' new request was in accordance with the Board's letter that he could re-apply after complying with the City's worker's compensation plan of action. There were no requests for Non-Duty Disability Retirements. There were no requests for Refund of Accumulated Contributions. The Retirement Analyst read a letter submitted by Mr. Frank Holmes' to the Board to withdraw his request for Reinstatement to the Police & Fire Retirement System. It was moved by Trustee St. Aubin and supported by Trustee Lewis to approve Mr. Frank Holmes' request to no longer be considered for Reinstatement to the Police and Fire Retirement System. Adopted by the following vote: 6 — 0. It was moved by Trustee St. Aubin and supported by Trustee Oleson to excuse Trustee Kraus from the Police and Fire Retirement System meeting. Adopted by the following vote: 6 — 0. Regular Meeting April 22, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three Karen Williams informed the Board that the next planning meeting forthe 2008 Retirement and Health Care Conference was scheduled for April 30, 2008. Trustee Carol Wood provided an update to the Board of the status of the Health Care Screenings. Trustee Wood believed that the screenings would be educational. Attorney Roberts provided background of his review of why the Health Care Screening tests would not be a proper expenditure of Securities Lending Account monies. Mr. Roberts advised that the screening tests were a medical benefit that had not been negotiated through collective bargaining. Trustee Lewis inquired about working with the Administration to provide an alternate funding source. Trustee Wood requested that Trustee Lewis contact the Administration about sponsoring the screenings tests or having Lifeline Health Care Screening present the educational information with the tests. Karen Williams announced that Spring MAPERS will be held in Mt. Pleasant starting June 1, 2008. Members who wished to attend should have their completed forms into the Retirement Office for processing. Ms. Williams requested an appointment of delegates for the MAPERS meeting. The Board agreed to appoint the President and Vice President as delegates to the MAPERS meetings. Trustee Bruce Holliday gave a report on the ING Clarion Conference held in New York, April 14-16. Trustee Oleson inquired about an election to replace Michael Lewis as Fire Trustee when he retires. Trustee Oleson also introduced Captain Hecksel as interested in the Lansing Fire Trustee. The Board discussed the possibility of a dual election, because Trustee Lewis' term also expires this year. Attorney Paul Novak provided an overview of the status of the Retirement Eligibility for Terminated Employees. Attorney Novak spoke with Mr. Lett of the police union regarding the collective bargaining agreement that impacts the employees' vesting for deferred benefits. Mr. Novak has further researched PA 345 and does not believe the City of Lansing Police and Fire Retirement System was not authorized under the PA 345 statute. Karen Williams distributed a draft for a Duty Disability Certification of Annual Income second letter. Ms. Williams explained that the duty disability retires had until April 30 to submit their verification form. Ms. Williams requested a date of compliance for the second and final notice. Trustee St. Aubin suggested an additional two weeks from the first of May as a compliance date. Regular Meeting April 22, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Four It was moved by Trustee St. Aubin and supported by Trustee Oleson to use the date of May 15, 2008 as the compliance date. Adopted by the following vote: 6-0. Karen Williams reported that Asset Consulting would like to have two presentations from investment managers for BGI and WAMCO to provide a status of the City of Lansing Retirement funds at the Joint Meeting. Ms. Williams also reported that Mr. Al Brickerwould like to address the Board in regards to obtaining original minutes from 1944 to the present date forthe electronic version of Minute Master. Ms. Williams informed the Board that minutes were sent to Gabriel Roeder Smith at some point. The Minute Master book was created from these original documents. Ms. Williams provided copies of minutes from 1999 through December 2007. Trustee Woods inquired if the City Clerk's office would have these records. Ms. Williams reported the Board that she had spoken to the City Clerk and was informed that the original minutes from 1944 were not available. Attorney Jack Roberts advised that the Retirement Analyst should check with the City Clerk's Office to see if older minutes were sent to the State of Michigan archives. Trustee Holliday reported to the Board that the subcommittee discussed a draft policy for the purposes of hiring private investigation for complaints received by the Board. The subcommittee drafted a question to submit to other MAPERS member retirement plans for information regarding their private investigation policies. Karen Williams distributed and reviewed the March Investment Report and the Securities Lending Account Report. The meeting adjourned at 10:08 a.m. Minutes approved on J`-�O- Jew brose, Secretary P�71 ce Fire Retirement System Bruce Holliday, G airperson Police & Fire Retirement System OFFICIAL PROCEEDINGS OF THE BOARD O:F ':__3 TRUSTEES CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM Regular Meeting May 20, 2008 ' Council Conference Room Tuesday, 8:30-a.m. 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:40 a.m. Present: Trustees Benson, Holliday, Kraus (8:50), Lewis, Oleson, St. Aubin, Wood — 7. Absent: Trustee Bernero Others: Karen E. Williams, Finance Department; Jack Roberts, Law Department; Paul Novak, Clark Hill Law Office; Mr. Rob Hecksel, Eric Weber, Chris Lake, Fire Department; Mr. Tom Krug, Mr. Steven.T Lett, Fraternal Order of Police. It was moved by Trustee Oleson and Trustee Benson to approve the Official Minutes of the Police and Fire Meeting of April 22, 2008 as amended. Adopted by the following vote: 6-0. 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. Additionally, no report was available for an updated account of retiree checks. Secretary's Report. 0 new fire member(s), 0 new police members, 0 reinstatement(s), 0 refund(s), 0 transfers, 0 retired. Total: Active membership: 478. 1 death(s) Kathleen Droste, Fire, died, 4/4/2008, age 88, spouse of retiree. Refunds made since the last reg- ular meeting amounted to $ 0.00. Retirement allowances paid for the month of April, 2008 amounted to $1,495,500.90. Total retirement checks printed for the P&F System: 624 est. Total retirement checks printed for both systems: 1410. Domestic relations order received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. There were no applications for Regular Age and Service Retirements. Regular Meeting May 20, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two Trustee Holliday updated the Board that the subcommittee requested that Dr. Roth coordinate an independent psychological evaluation for Mr. Robert Vargas to address their concerns. Dr. Roth has not sent a response yet. Karen Williams is waiting for Dr. Roth's medical evaluation for Mr. Lamarr Bowers. Trustee Antonia Kraus arrived. Trustee Oleson reported to the Board that Chief Cochran submitted a request for Duty Disability for Mr. Joshua Palmer. The Subcommittee met, reviewed the request and has recommended that Mr. Palmer be sent to the doctor for evaluation. It was moved by Trustee Oleson and supported by Trustee Lewis to send Mr. Palmer to the medical doctor for evaluation of the duty disability request. Adopted by the following vote: 7 — 0. Mr. Lamarr Bowers submitted a written request to be evaluated for Duty Disability. There were no requests for Non-Duty Disability Retirements. There were no requests for Refund of Accumulated Contributions. Karen Williams distributed hotel and registration materials for spring MAPERS. 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. Attorney Paul Novak, representing the Law Department, provided a review of the status of the Retirement Eligibility for Terminated Employees. Trustee Wood requested a motion that would resolve the issue of Retirement Eligibility for Terminated Employees. Attorney Novak, representing the Law Department, stated that he could prepare a motion to resolve the issues of Retirement Eligibility for Terminated Employees as it relates to Mr. Timothy Poxson's pension. Trustee Kraus expressed concern that the motion not be precedent setting. Trustee St. Aubin expressed opposition regarding Clark Hill preparing a motion for this issue. Trustee Holliday requested that Attorney Novak prepare a motion to be voted on during the meeting. Trustee Holliday requested the Duty Disability Certification of Annual Income Update while the motion was being prepared. Regular Meeting May 20, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three Karen Williams reported to the Board an update regarding the Duty Disability Certification of Annual Income. Four duty disability retirees did not report. Four duty disabilities retires did report and may need adjustments to their pension for the overage. Also, Ms. Williams reported that one retiree requested to have his pension converted to age and service. It was moved by Trustee St. Aubin and supported by Trustee Oleson to suspend the pension of the four duty disability retirees who did not report until their verifications are submitted. Adopted by the following vote: 7 — 0. It was moved by St. Aubin and supported by Trustee Oleson to adjust duty disability pension in accordance with the Board's income verification policy and the Police and Fire Retirement Ordinance. Ms. Williams read the retirement ordinance regarding duty disability income verification. Adopted by the following vote: 6 - 1. Karen Williams distributed and reviewed the April Securities Lending Account Report. Ms Williams requested $10,000 to prefund the Comerica account administrative expenses for the Police and Fire Retirement Board. It was moved by Trustee Wood and supported by Trustee Lewis to move$10,000 from the Northern Trust Securities Lending Account to Comerica to prefund administrative expenses for the Police and Fire Retirement Board. Attorney Jack Roberts reported to the Board that he received the invitation to attend the Securities Litigation meeting from Trustee Murphy. Attorney Roberts could not attend but requested that Attorney Paul Novak attend in his place. Attorney Roberts reviewed the topic of Securities Litigation. He asked if the Police and Fire Board were interested in these types of firms. Trustee Holliday stated Asset Consulting was asked to present information on the issue and would be discussed at the Joint Meeting. Attorney Jack Roberts reported to the Board that he received information on St. Paul's Travellers litigation and inquired about the process. Ms. Williams responded that all litigation material is forwarded to Northern Trust to process on behalf of the City's retirement form. Regular Meeting May 20, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Four Trustee Holliday returned to other business to further discuss the Retirement Eligibility for Discharged Employees. Attorney Novak, representing the Law Department, read the prepared resolution to confirm the continued payments. Attorney Jack Roberts concurred with the statements provided in the prepared resolution. Trustee Benson inquired about the legal risks regarding this resolution. It was moved by Trustee St. Aubin and supported by Trustee Kraus to go into closed session to review the December 18, 2007 written legal opinion of client attorney privilege regarding the Retirement Eligibility for Terminated Employees. Adopted by the following roll call vote: Yeas: Benson, Holliday, Kraus, Lewis, Oleson, St. Aubin, Wood. 7-0. The public was asked to leave the meeting for the closed session and the retirement analyst secured the room. The Board returned to open session. It was moved by Trustee Wood and supported by Trustee Lewis to approve the following resolution: Whereas the City of Lansing's Police and Fire Retirement Board has reviewed the application of the City of Lansing's provision of deferred retirement benefits to discharged employees pursuant to Section 294.02 (k)(2); and Whereas, the Board has received an opinion from the City Attorney's office that discharged employees are not entitled to deferred retirement benefits under Section 294.02(k)(2); And Whereas the Board has inquired about the benefit status of a former police officer, Timothy Poxson, who was a "discharged" employee pursuant to Section 294.02 (k) (2) who nonetheless continues to receive deferred retirement benefits; and Whereas the Board has been informed that certain representations were made during Mr. Poxson's lawsuit against the Board and the City indicating that he would qualify for a deferred retirement and that significant legal risks exist if the Board were to elect to now terminate Mr. Poxson's benefits because of the earlier representations that were made in Court; Regular Meeting May 20, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Five Now therefore be it resolved that the Police and Fire Retirement Board hereby confirms the continued payment of deferred retirement benefits to Mr. Poxson based upon the significant legal risks identified by the City Attorney's office; and Be, it further resolved that continued payments as confirmed herein is not intended to establish a policy with respect to Section 292.02(k)(2) but it based upon the legal risks identified above. Adopted by the following vote: 6 — 1. Trustee St. Aubin requested that Attorney Lett be allowed to address the Board regarding Johnnie Torres Pension. Trustee Holliday requested a status update of Mr. Johnnie Torres' Pension. Attorney Novak, representing the Law Department, reviewed PA345 and believed that the statute was inapplicable to the City of Lansing Police and Fire Retirement System. Attorney Novak reported to the Board on whether there should be a historical review of other discharged employees. Trustee Holliday requested a written overview of Mr. Torres' Pension. Trustee Holliday and the Board granted permission for Attorney Lett to address the Johnnie Torres Pension issue. Attorney Lett of the police union spoke to the Board that it was the union position that PA 345 does apply. Attorney Lett has spoken of these issues with Attorney Novak. Attorney Lett quoted the Michigan constitution 1963 Article 9 Section 4. Attorney Lett advised that an employee with a vested pension should be subject to this statute and not have their pension diminished or impaired. Attorney Lett also discussed statute regarding employees who would forfeit their pension if they were convicted of a breach of the public trust. Attorney Lett also discussed ERISA provisions regarding forfeiture. Trustee Kraus informed Attorney Lett that the Police and Fire Retirement System is not subject to ERISA. Additionally, Trustee Kraus stated that a Board decision at this point may be premature since Mr. Torres has a pending grievance. Attorney Roberts reviewed the provisions regarding PA 345, and advised that the City Attorney Office's position is that the Police and Fire Retirement System was not organized under this statute. Mr. Krug requested that he granted permission to speak. The Board granted permission. Mr. Krug expressed concern that he believed because Mr. Torres filed a grievance regarding his termination that he is being punished by forfeiting his pension. He expressed that Mr. Torres would have been allowed to keep his pension if he resigned. The Board asked for clarification of what statutes supersede in the Trustee Book. The meeting adjourned at 10:24 a.m. Minutes approved on o"/7 Je;* e ro , Secretary l . P Fire Retirement System Bruce Oliday, Chairperson Police & Fire Retirement System CITY OF LANSING POLICE & FIRE and ERS RETIREMENT SYSTEM MINUTES Joint Meeting May 22, 2008 Council Conference Room Thursday, 9:15_a.m. 10th Floor City Hall Lansing, MI The meeting was called to order at 9:31 a.m. A quorum of the Police and Fire Board was present. c.s't Trustees present: (Police & Fire), Holliday, Lewis, Oleson, St. Aubin, Wood — 5: (ERS), Antekeier, Murphy, Wood — 3. Other presents: John Jackson, George Tarlas, Asset Consulting; Karen Williams, Jerry Ambrose, Finance Department; Paul Novak, Clark Hill Law Office (representing the City Attorney's Office); Mr. Colin Clingan and Ms. Kaye Tiao, Barclays Global Investors (BGI); Mr. Steve Delarosa, Western Asset Management(WAMCO); Jack Roberts, Law Department; Mr. Rob Hecksel, Fire Department. Mr. Colin Clingan and Ms. Kaye Tiao of BGI presented a performance review of the investments held by the City of Lansing Police and Fire Retirement System and the Employees Retirement System. Mr. Clingan and Ms. Tiao provided an overview of the Alpha Tilts fund and BGI update of investment returns. Mr. Steve Delarosa of WAMCO presented a performance review of the investments held by the City of Lansing Police and Fire and the Employees Retirement System. Mr. Delarosa provided an overview of the organizational and personnel update, the investment fund philosophy and process. Mr. Delarosa presented a market and portfolio review, and an outlook for the investments held by both systems. Mr. John Jackson and Mr. George Tarlas Asset Consulting group presented a review of Hedge Funds and the educational sessions held with trustees. Mr. Jackson and Mr. Tarlas provided an overview and update of Securities Lending, and proposed modifications to the Securities lending account. Mr. Tarlas suggested that the retirement systems move from the lending to non-lending within its Securities Lending accounts. Mr. Jackson and Mr. Tarlas provided an overview of the topic of Securities Litigation. Securities Litigation law firms monitor retirement system assets for possible litigation and recovery. Currently, the securities litigation is processed by Northern Trust. Mr. Tarlas recommended having the Board's account manager from Northern Trust attend the next Joint meeting. Attorney Paul Novak, representing the City Attorney's Office, also provided background information from his securities litigation experience. Mr. Tarlas and Mr. Jackson distributed drafts of a letter regarding the Police and Fire and the ERS Board's position on investments in the Sudanese region. The Boards will review the letter and make a decision at future meeting of their respective boards. Asset consultant group provided two letters, for investment managers and for local government representatives. The Meeting adjourned at 12:25 p.m. Minutes approved on Ambrose Secretary r Robert Antekeier, Chairperson Bruce Holliday, Chairperson Employees Retirement System Fire and Police Retirement System OFFICIAL PROCEEDINGS OF THE BOARD-OF ,, TRUSTEES CITY OF LANSING - ' POLICE AND FIRE RETIREMENT SYSTEM'- _. Regular Meeting June 17, 2008 Council Conference Room Tuesday, 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. Present: Trustees Benson, Kraus, Lewis, Oleson, St. Aubin, Wood — 6. Absent: Trustee Bernero, Holliday Others: Karen E. Williams, Finance Department; Paul Novak, Clark Hill Law Office (representing the Law Department). It was moved by Trustee Wood and Trustee Oleson to approve the Official Minutes of the Police and Fire Meeting of May 20, 2008 as amended. Adopted by the following vote: 6-0. It was moved by Trustee Wood and Trustee Oleson to approve the Official Minutes of the Joint Police and Fire and Employees Retirement System Joint Meeting of May 22, 2008 as amended. Adopted by the following vote: 6 — 0. 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. The Board inquired how long it will take to receive information that was contained in the old report. Trustee Kraus requested that Mr. Korkoske of the Finance Department be invited to the meeting to address obtaining the gross numbers. Secretary's Report. 0 new fire member(s), 0 new police members, 0 reinstatement(s), 0 refund(s), 0 transfers, 0 retired. Total: Active membership: 478. 1 death(s) Florence M. Findsen, Police, died, 4/8/2008, age 80, spouse of retiree. Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances (net) paid for the month of May, 2008 amounted to$1,568,488.89. Total retirement checks printed for the P&F System: 622. Total retirement checks printed for both systems: 1409. Domestic relations order received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. Regular Meeting June 17, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two There were no applications for Regular Age and Service Retirements. Trustee Kraus updated the Board that the subcommittee has decided to keep Mr. Robert Vargas and Mr. Lamarr Bowers for further review of the medical reports. Mr. Joshua Palmer has been scheduled to see the doctor. Karen Williams read the request for Duty Disability for Mr. Chris Durbin. It was moved by Trustee Wood and supported by Trustee Benson to recess the Board to allow for the disability subcommittee to meet. Adopted by the following vote: 6 — 0. The Board recessed at 8:53 a.m. The Board resumed at 8:55 a.m. Trustee Oleson reported to the Board that the disability subcommittee met and reviewed the request. The subcommittee has recommended that Mr. Chris Durbin be referred to the medical doctor for a duty disability evaluation. It was moved by Trustee Oleson and supported by Trustee Kraus to refer Mr. Chris Durbin to the medical doctor for a duty disability evaluation. Adopted by the following vote: 6 — 0. It was moved by Trustee Wood and supported by Trustee St. Aubin to excuse Trustee Holliday form the Board meeting. Adopted by the following vote: 6 — 0. Karen Williams updated the Board regarding the Lifeline Health Screenings for the 2008 Retirement and Health Care Conference. The planning committee voted that the deposit for the Screening be paid with the Retirement Board's credit card. Ms. Williams was instructed by Mr. Ambrose not to use the credit card for the screenings until further notice from legal. Trustee Michael Lewis reported that the administration and the legal department had reviewed the contract. Trustee Lewis confirmed to the Board that the administration would provide the deposit for the screening. The screenings would be for retirees only. Trustee Wood expressed concern that the Board had made a decision and directed staff to move forward. The administration then instructed staff to not proceed. Trustee Wood wished to further discuss this situation and requested that it be placed on the agenda. Regular Meeting June 17, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three Attorney Paul Novak, representing the Law Department, distributed a written overview regarding the Torres case. Trustee St. Aubin provided an overview of the Johnnie Torres case for Trustee Benson. Trustee St. Aubin reviewed the case with the Board's legal counsel and was originally told that Mr. Torres' vested pension would not be affected if he was discharged. At a later time, the law department provided an updated opinion that Mr. Torres could not collect deferred pension payments, if he was discharged. Trustee Lewis inquired if the Board was culpable for giving erroneous advice. Attorney Paul Novak, representing the legal department, opined that he believed that the Board has not taken an official position or provided information with respect to Mr. Torres' pension. Attorney Novak, representing the Law Department, reviewed the Police and Fire Ordinance regarding discharged employees. Attorney Novak provided a review of Public Act 345 within the Trustees' Handbooks and provided reasons why the act does not apply to the City of Lansing Police and Fire Retirement System. Trustee Oleson reviewed material that he received from MAPERS regarding what statutes take precedence. Trustee Lewis provided Attorney Novak with information from MAPERS regarding updated constitutional provisions regarding pensions. Trustee Oleson expressed concerns how the public acts and statutes are ordered in the Trustee Handbook. Trustee Oleson requested that this item be placed on the Agenda. It was moved by Trustee Wood and supported by Trustee Benson to move the Johnnie Torres Pension item to pending. Adopted by the following vote: 6 — 0. 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. Regular Meeting June 17, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Four Karen Williams distributed and reviewed the May Investment Report and the Securities Lending Account Report. It was moved by Trustee Oleson and supported by Trustee Wood to adjourn the meeting. Adopted by the following vote: 6 — 0. The meeting adjourned at 9:53 a.m. Minutes approved on -lS - c2v�� Jer j Amb ose, ecretary I Poli e & Pire Retirement System Bruce Vire iday, C t airperson Police Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM Regular Meeting December 16, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:34 a.m. Present: Trustees Holliday, Kraus, Oleson, St. Aubin, Wood — 5. r, Absent: Trustee Benson, Bernero -- i Others: Karen E. Williams, Finance Department; Attorney Ken Lane, Attorney, Scott Smith, Clark Hill Law Office (representing the Law Department); Rob Hecksel, Fire Department. -' It was moved by Trustee Wood and supported by Trustee St. Aubin to approve the Official Minutes of the Police and Fire Retirement System Board Meeting of November 25, 2008. Adopted by the following vote: 5 — 0. It was moved by Trustee Kraus and supported by Trustee Oleson to approve the Official Minutes of the Joint Police and Fire Board and the Employees Retirement Board Systems Meeting of November 13, 2008. Adopted by the following vote: 5 -0. Secretary's Report. 1 new fire member(s), 2 new police members, 0 reinstatement(s), 0 refund(s), 0 transfers, 0 retired. Total: Active membership: 478. 0 death(s). Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of November, 2008 amounted to $1,783,224.98. Total retirement checks printed for the P&F System: 627. Total retirement checks printed for both systems: 1419. Domestic relations order received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. Regular Meeting December 16, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two It was moved by Trustee Oleson and supported by Trustee St. Aubin to approve the application for Regular Age and Service Retirement: Patrick T. Goff, Fire Department, 25 years, 3 months, age 50, effective December 22, 2008. Adopted by the following vote: 5 — 0. Trustee Kraus reported to the Board that the Disability subcommittee met to review the Medical Director's regarding Mr. Bedecs. Upon review of the medical report, the subcommittee has conferred with the medical director's review and recommends approval of Mr. Bedecs' request for duty disability. It was moved by Trustee Kraus and supported by Trustee Oleson to confer with the Medical Director's office and to grant the Request for Duty Disability of Mr. Bedecs. Adopted by the following vote: 5 — 0. Trustee Kraus reported to the Board that the Disability subcommittee met to review the Medical Director's regarding Mr. Vargas. Upon review of the medical report, the subcommittee has conferred with the medical report and recommends approval of Mr. Vargas' request for duty disability. Adopted by the following vote: 5 — 0. There were no requests for Non Duty Disability Retirements. There were no requests for Refund of Accumulated Contributions. It was moved by Trustee Oleson and supported by Trustee St. Aubin to excuse Trustee Benson from the meeting. Adopted by the following vote: 5 — 0. Karen Williams requested approval to pay the MAPERS Membership Fee for 2009. The cost is $50 and is paid from the Securities Lending Account funds for Board Administrative expenses. Regular Meeting December 16, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three It was moved by Trustee St. Aubin and Trustee Kraus to approve the payment for the MAPERS fee for 2009 from the Securities Lending Account. Adopted by the following vote: 5 — 0. Karen Williams distributed and reviewed with the Board the posting that had been sent to the Fire Department for the Election of the Fire Trustee. The posting stated that due to having one valid nominating petition, there was no primary or general election needed. Karen Williams reviewed a second posting that the Board acting as election canvassers has declared Mr. Robert Hecksel the elected Trustee of the Fire Department. Ms. Williams reported that the first posting had been reviewed by legal and approved by the Board secretary. Trustee Wood expressed concern that Clark Hill reported to the Board that there needed to be a Trustee Election. She further expressed concern that the City Attorney's Office reviewed the first posting and conferred that an election was not necessary because there was only one valid nominee. Attorney Lane and Attorney Scott reviewed the election policy and stated that they agreed that the policy was broad enough that it can be interpreted that an election was not needed in the case of one valid nominee. Attorney Lane informed the Board that he would send an email to the Retirement Office to be forwarded to the Board prior to a second posting that conferred that an election was not needed. It was moved by Trustee Kraus and supported by Trustee Wood that Mr. Robert Hecksel be declared as representative of the Fire Department for the term January 1, 2009, thru December 31, 2013, contingent upon the written recommendation by Clark Hill, representing the Law Department, that an election is not needed. Adopted by the following vote: 4 -1. The Board agreed to review the Election Policies in the Special Project Committee. Attorney Ken Lane reported to the Board that Attorney John Schneider has reviewed the collective bargaining agreements (CBA) of the Police and Fire Unions and has drafted an updated ordinance for review. Clark Hill will provide a copy of the draft ordinance. Attorney Lane provided an overview of the process used to update the ordinance and link the CBAs. Regular Meeting December 16, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Four The Joint Committee for Special Projects is reviewing the sample bids. Karen Williams distributed the 2009 Schedule of Meeting Dates for approval. The Board changed November's meeting to November 24, due to the International Conference. The Board changed May's meeting to May 12, due to the MAPERS Spring Conference. It was moved by Wood and supported by Trustee Kraus to approve the 2009 Schedule of Meeting Dates. Adopted by the following vote: 5-0. 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. Attorney Ken Lane reviewed the opinions and memos by Clark Hill that provided an overview of Mr. Torres' case and an analysis of Public Act 345 in regards to the City ordinance. Attorney Lane reviewed Mr. Torres' case and the draft written in response to Mr. Johnnie Torres' letter requesting deferment of his pension. Clark Hill determined that the ordinance was not preempted by state law. The Police and Fire Retirement System does not allow deferment for members who are discharged. Attorney Lane reported to the Board that Human Resources offered to reinstate Mr. Torres', so that he could resign and be eligible for his pension. Mr. Torres declined the offer. The Board discussed the offer made to Mr. Torres. The Board discussed a review of the ordinance regarding this issue. The Board provided suggested changes to the draft provided by Attorney Ken Lane. Karen Williams distributed and reviewed the Investment and Securities Lending Account Reports for November. Karen Williams updated the Board that letters of direction will be provided to the Real Estate Managers to liquidate some investments and to not re-invest the dividends. Asset Consulting recommended the cash withdrawal to comply with the Board policy that has real estate at 5%. The Board discussed the poor investment performance of Western Asset Management and Northpointe Capital. Regular Meeting December 16, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Five Attorney Ken Lane updated the Board that the Mondarian Investment. The documents to execute the agreements have been signed by the chairman and forwarded to Mondarian. It was moved by Trustee Wood and supported by Trustee St. Aubin to adjourn the meeting. Adopted by the following vote: 5 — 0. The meeting adjourned at 9:47 a.m. Minutes approved onl Jerry Am ose, Secretary P✓Dice & ire Retirement System Bruce Holliday, Chairperson Police & Fire Retire r OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM Regular Meeting November 25, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI = The Board met in regular session and was called to order at 8:39 a.m. Present: Trustees Benson, Holliday, Oleson, St. Aubin, Wood — 5. Absent: Trustee Bernero, Kraus Others: Karen E. Williams, Finance Department; Ken Lane, John Schneider, Clark Hilf haw Office (representing the Law Department); Rob Hecksel, Fire Department. It was moved by Trustee Wood and supported by Trustee Oleson to approve the Official Minutes of the Police and Fire Retirement System Board Meeting of October 21, 2008. Adopted by the following vote: 5 — 0. Secretary's Report. 4 new fire member(s), 0 new police members, 0 reinstatement(s), 0 refund(s), 0 transfers, 1 retired. Total: Active membership: 475. 0 death(s). Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of October, 2008 amounted to $1,783,224.98. Total retirement checks printed for the P&F System: 627. Total retirement checks printed for both systems: 1419. Domestic relations order received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0 There were no applications for Regular Age & Service Retirements. Karen Williams updated the Board on the Requests for Duty Disability. The Retirement Office had not received copies of the medical reports for Mr. Edward Bedecs and Mr. Robert Vargas. There were no Requests for Non-Duty Disability Retirement. There were no Requests for the Refund of Accumulated Contributions. It was moved by Trustee Oleson and supported by Trustee St. Aubin to excuse Trustee Kraus from the Police and Fire Retirement System meeting. Adopted by the following vote: 5 -0. Regular Meeting November 25, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two Karen Williams requested approval to pay the International Foundation membership fee for 2009. The cost is $625 and is split between the Employees Retirement System Board and the Police and Fire Retirement System. It was moved by Trustee Oleson and Trustee Wood to approve the payment for the International Fee for 2009 from the Securities Lending Account. Adopted by the following vote: 5 — 0. Karen Williams reported to the Board that a posting has been sent to the Fire Department for the Election of the Fire Trustee. The nominating petitions are due December 3. Currently, there has only been one nominating petition received by the Retirement Office. Karen Williams reviewed the process for the certification of the Trustee if there is only one nominating petition. The Board agreed to review and update the Election Procedures. Attorney John Schneider reported to the Board that Clark Hill is proceeding with the Qualified Plan Documents. Attorney Schneider is reviewing the collective bargaining agreements. The Joint Committee for Special Projects is reviewing the sample bids. Trustee Oleson inquired if both the chair and vice chair can have credit cards, especially for out of state trips. The items were referred to the Committee for Special Projects to review and update the credit card policy. Karen Williams reviewed the Pending Items for the Trustees. The Ordinance for Duty Death and Disability and the Police and Fire Ordinance Changes were combined underthe Qualified Plan Documents Item. The Securities Lending Money was reviewing proposal from Gabriel, Roeder, Smith and Company for uses forthe securities lending account. The Duty Disability Re-examination Process was being reviewing and a policy regarding a special investigatorwas discussed. The Beneficiary Nomination Form was being updated by the Law Department. The Retirement System Payroll Audit was referred to Special Projects. It was moved by Trustee St. Aubin and supported by Trustee Oleson to table the information on Johnnie Torres until the Board had time to review the documents submitted by Clark Hill. Karen Williams distributed and reviewed the Investment and Securities Lending Account Reports for October. Regular Meeting November 25, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three Karen Williams reported to the Board that Asset Consulting Group had recommended in the Joint Meeting that the Police and Fire System rescind its letter of direction to Northern Trust to move from lending to non-lending. Ms. Williams had the letter for the chairperson's signature. It was moved by Trustee Wood and supported by Trustee St.Aubin to adjourn the meeting. Adopted by the following vote: 5 — 0. The meeting adjourned at 9:13 a.m. Minutes approved on a I✓, zOUcS J Am ros , Secretary Police & Fire Retirement System Bruce Holliday, Ohairperson Polic & Fire Retirement System r ' _ � CITY OF LANSING POLICE & FIRE and ERS RETIREMENT SYSTEM MINUTES - UPDATED Joint Meeting N vember 13, 2008 Council Conference Room T-alslv�9:15 a.m. 10th Floor City Hall Lansing, MI The meeting was called to order at 9:30 a.m. A quorum of both Boards was present. Trustees present: (Police & Fire), Holliday, Kraus, Oleson, St. Aubin, Wood — 5. (ERS), Antekeier, Dedic, Kraus, Murphy, Wood — 5. Other presents: John Jackson, Asset Consulting; Karen Williams Finance Department; Ken Lane, John Schneider, Clark Hill Law Office (representing the City Attorney's Office); Paul Novak; Mr. Rob Hecksel, Fire Department. Mr. John Jackson reviewed Asset Consulting Group recommendations for the Retirement Boards via attached memo. The Board discussed Northern Trust policy change for clients seeking to transfer investments from their S&P 500 Index Fund with Securities Lending. Mr. Jackson recommended that the Board rescind its previous letter to Northern Trust and keep their current securities lending participation. It was moved by Trustee Kraus and supported by Trustee Dedic to rescind the Employees Retirement System Board letter to Northern Trust, and continue to participate in the S& P 500 Securities Lending Fund until such time as Northern Trust will provide full cash redemption. Adopted by the following vote: 5 - 0. It was moved by Trustee Oleson and supported by Trustee Wood to rescind the Police and Fire Retirement System Board letter to Northern Trust and continue to participate in the S& P 500 Securities Lending Fund until such time as Northern Trust will provide full cash redemption. Adopted by the following vote: 5 - 0. Asset Consulting Group recommended that the real estate allocation be reduced to 5% of the-total funds for both boards. The Trumbull Property fund will be the source of.the funds and the proceeds will be used for benefit payments as outlined in the ACG memo. Joint Meeting November 13, 2008 Council Conference Room Thursday, 9:15 a.m. 10th Floor City Hall Lansing, MI Page 3 Trustee Kraus provided an overview of the Joint Committee for Bid Process for Actuary Services. The Joint Boards received copies of the sample bids that other municipalities have used. The Committee planned to meet in the future. Karen Williams distributed and reviewed the 2008 Retirement and Health Care Conference Expense Report. The Committee reviewed the parking invoice and agreed that the expense was reasonable. Karen Williams reported to both boards the City of Lansing budgeted retirement contribution for the year. The Lansing General Fund transferred $6,476,000 to the Employees Retirement System account. The Lansing General Fund transferred $6,483,000 to the Police and Fire Retirement System account. The Meeting adjourned at 11:31 p.m. Minutes approved on 9 �� Jury Am rose, Secretary 1 Robert Antekeier, Chairperson Bruce Hdlliday, Chai 4erson Employees Retirement System Fire and Police Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM Regular Meeting October 21, 2008 Council Conference Room Tuesday, 8:30 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: Trustees Benson, Holliday, Kraus, Oleson, Wood — 5. Absent: Trustee Bernero, St. Aubin '- Others: Karen E. Williams, Finance Department; Blair Renfro, Ken Lane, Clark'Hill-Law-`. Office (representing the Law Department); Dr. Victor Roth, University of-Michigan— Works (Medical Director), Rob Hecksel, Fire Department; Bryan Epling, IAFF Union Representative. Trustee Holliday informed the Board that the Requests for Duty Disability would be taken first because Dr. Roth was in attendance at the request of the board. Trustee Holliday asked Dr. Roth to give an overview of how he conducts a medical evaluation. Dr. Roth provided an overview of his medical credentials and the process he uses to evaluate employees that are sent to him for a disability evaluation. Dr. Roth explained that he prefers to perform his own initial review prior to reading the City's and employee' medical records. He informed the Board that he would bring in specialists when he deemed it necessary to complete his medical review. The Board and Dr. Roth discussed the concerns regarding the caseloads, the days provided for evaluations, and the doctor's familiarity regarding the policeman and fireman's job descriptions. Dr. Roth explained that he also performs medical reviews for other municipalities. He allocates Wednesdays to perform these evaluations and he can see approximately 2 cases each Wednesday afternoon. Dr. Roth indicates that he also performs yearly re-evaluations for some municipalities on those days. However, special arrangements can be made to see employees if necessary. Dr. Roth reviewed his evaluation process and indicated that disabilities can change. He explained that when he sees an employee, it is a snapshot. Dr. Roth's evaluation of the employee and whether that employee is disable to perform the duties or a policeman or fireman is based on the condition of the employee when he or she is seen by the doctor. It was moved by Trustee Benson and supported by Trustee Wood to go into closed session to review and discuss individual medical reports of the requests for duty disability. Adopted by the following vote: 5-0. Yeas: Benson, Holliday, Kraus, Oleson, Wood Nays: 0 The public was asked to leave the meeting for the closed session and the retirement analyst secured the door. The Board returned to open session. Trustee Holliday opened the floor for comments regarding requests for duty disability. Mr. Bryan Epling, IAFF Union, expressed his appreciation to the Board for addressing the concerns about the pending requests, It was moved by Trustee Wood and supported by Trustee Oleson to approve the Official Minutes of the Police and Fire Retirement System Board Meeting of September 9, 2008. Adopted by the following vote: 5 — 0. Secretary's Report. 0 new fire member(s), 0 new police members, 0 reinstatement(s), 0 refund(s), 0 transfers, 1 retired. Total: Active membership: 472. 3 death(s) Ms. Hilda Murphy, Police, died, 8/29/2008, age 89, spouse of retiree; Mr. Harold Cummings, Fire, died 8/14/2008, age 85, spouse to receive 50%; Mr. Edmund Kowalski, Police, died 9/18/2008, age 96, spouse to receive 50%. Refunds made since the last regular meeting amounted to$0.00. Retirement allowances paid for the month of September, 2008 amounted to $1 ,785,082.47. Total retirement checks printed for the P&F System: 627. Total retirement checks printed for both systems: 1416. Domestic relations order received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0 It was moved by Trustee Oleson and supported by Trustee Kraus to approve the application for regular age and service for the following member: John Dyer, Fire Department, 25 years of service credits, age 47, effective September 1, 2008. (Non-Duty Death) Adopted by the following vote: 5 — 0. Trustee Benson inquired why the Agenda only noted 24 years and 11 months of service credit for Mr. Dyer. Trustee Holliday stated that the minutes would reflect that Mr. John Dyer has 25 years of service credit because the Fire Department personnel had worked exchange dates for Mr. Dyer to give him 25 years. Mr. Bryan Epling was available to provide further explanation. Regular Meeting October 21, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two Karen Williams explained that Mr. John Dyer had 24 years and 11 months of service credits at the time of his death and the Retirement Office had not received any information regarding an agreement on the exchange of hours. Mr. Bryan Epling, IAFF Union, clarified that Mr. Dyer passed away prior to reach his 25tn year. Several firefighters owed Mr. Dyer exchange time. The Fire Administration allows firefighters to exchange time (work schedules). The union usually does not allow exchange time for those who voluntary separation or deceased. However, the fire administration did all the time to be worked in this case. The union spoke with the Labor department and a memo is on file with Human Resources that would allow this one time only exchange of time. It was moved by Trustee Kraus and supported by Trustee Oleson to refer Mr. Robert Vargas to the Medical Director for re-evaluation for duty disability. Adopted by the following vote: 5 — 0. It was moved by Trustee Kraus and supported by Trustee Wood to excuse Trustee Bradley St. Aubin from the meeting. Adopted by the following vote: 5 — 0. Karen Williams updated the Board regarding the 2008 Retirement and Health Care conference. There were approximately 243 retirees and active employees. All of the health care screening will utilized. Lifeline Screening will provide a report to the Board. Karen Williams provided a preliminary overview of the final expenses for the Conference. Thank you letters were sent out to all of the participants and Ms. Williams is drafting a recommendation letter for Life Screening for both Board chairpersons to sign. Ms. Williams was contacted by a deferred employee that was upset that she did not receive all the information for the conference. Ms. Williams spoke with the former employee and mailed her conference materials. Ms. Williams is creating a database of deferred employees to insure that everyone receives information. It was moved by Trustee Oleson and supported by Trustee Kraus to nominate Trustee St. Aubin as Vice Chair of the Police and Fire Retirement Board. Adopted by the following vote: 5 — 0. Karen Williams distributed a draft of the posting forthe Election of Fire Trustee. The Board reviewed the posting and the election rules. The Board amended the election from a three day to a four-day period. Ms. Williams reviewed the process that was used for the last Fire election. Regular Meeting October 21, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Four Attorney Blair Renfro informed the Board that Clark Hill would provide a written work plan for the comprehensive review of the Qualified Plan Documents. Attorney Renfro has received the Ordinance Changes by Doug Rubley and the subcommittee recommendations. The Board discussed the actuarial fees for the Gabriel, Roeder, Smith and Company for the Fiscal Year 2008/2009. It was moved by Trustee Wood and supported by Trustee Oleson to approve the Actuarial Fees for Gabriel, Roeder, Smith and Company. Trustee Kraus offered a friendly amendment that future fee approval is contingent upon the Board receiving 30 day notice of Actuary Fee Changes. Adopted by the following vote: 5 — 0. Trustee Holliday informed the Board that he had been contact by Trustee Antekeier of the Employees Retirement Board regarding having a Joint Committee to examine the bid process for Actuary Services. Karen Williams distributed a letter from Johnnie Torres requesting a response on the determination of his deferred retirement. Trustee Kraus expressed concern that Board does not make a determination and provide a response that would set a precedent. Attorney Renfro stated the legal counsel will review the case and provide a draft for a response. Karen Williams informed the Board that the September Investment and Securities Lending Account Report. Karen Williams reported to the Board that Asset Consulting Group requested that the Board send a letter instructing Northern Trust to cap securities lending to its current level to reduce exposure to market conditions. Trustee Holliday signed a letter of direction to Northern Trust on behalf of the Police and Fire Retirement Board. The Board agreed to move the November meeting to November 25 because of conflicts with the International Conference. 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 11:15 a.m. Minutes approved on /( ZS C1 (IAA,61_( t Jer Amb se, Secretary Poyce & Fire Retirement System Bruce HI iday, Chai erson Police & ire Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM Regular Meeting September 9', 2008 Council Conference Room Tuesday, 8:30�a.m; ^i 10th Floor, City Hall _ j- Lansing, MI ? The Board met in regular session and was called to order at 8:37 a.m. Present: Trustees Benson, Holliday, Kraus, Lewis, Oleson, St. Aubin, Wood 7. Absent: Trustee Bernero r Others: Karen E. Williams, Finance Department; Paul Novak, Blair Renfro, Clark Hill Law Office (representing the Law Department); Rob Hecksel, Fire Department. It was moved by Trustee Wood and supported by Trustee Lewis to approve the Official Minutes of the Police and Fire Meeting of August 19, 2008with corrections Adopted by the following vote: 7-0. It was moved by Trustee Wood and supported by Trustee Lewis to approve the Official Minutes of the Joint Police and Fire and the Employees Retirement System Board Meeting of August 19, 2008. Adopted by the following vote: 7 — 0. Secretary's Report. 0 new fire member(s), 0 new police members, 0 reinstatement(s), 1 refund(s), 0 transfers, 3 retired. Total: Active membership: 473. 1 death(s) Mr. Henry B. Houghtaling, Fire, died, 9/4/2008, age 71, no surviving beneficiary. Refunds made since the last regular meeting amounted to $ 16,548.06. Retirement allowances paid for the month of August, 2008 amounted to $1,832,355.87. Total retirement checks printed for the P&F System: 627. Total retirement checks printed for both systems: 1414. Domestic relations order received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0. It was moved by Trustee St. Aubin and supported by Trustee Kraus to approve the application for regular age and service for the following member: Michael Lewis, Fire Department, 25 years, age 49, effective September 17, 2008. Adopted by the following vote: 6 — 0, 1 abstained. Regular Meeting September 9, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two Trustee Holliday requested an update for the Duty Disability requests. Karen Williams informed the Board that Mr. Edward Bedecs had seen the Medical Director August 15, 2008 and the Retirement Office was waiting for the report. Mr. Vargas saw Dr. Margolis for an independent evaluation and the report had been forwarded to the Medical Director. Karen Williams updated the Board regarding the 2008 Retirement and Health Care conference. There were approximately 350 registrants. Ms. Williams reviewed the set-up for the dinner, workshop rooms and parking arrangements. Ms. Williams also reviewed the list of speakers, audio visual arrangements and Lifeline Screening. Trustee Wood suggested that the phone number request be placed on the survey to call winners for the prizes. The next planning meeting was Wednesday, September 17 and the Folder stuffing meeting will be Friday, September 19. Parking passes will be available for Trustees. Karen Williams distributed registrations material for MAPERS to Trustees. Trustee Holliday distributed publications Benefits Compensation from the Internal Foundation of Education and Benefits (IFEBP) Organizations for the trustees to review regarding travel expenses. 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. Trustee Wood informed the Board that there was a draft ordinance in the City Attorney's Office. Trustee Oleson requested that the City Attorney's Office address the Board regarding the progress on the Qualified Plan Documents. Attorney Novak will discuss these issues with the City Attorney's Office. The Board requested that the Gabriel, Roeder, Smith and Company actuarial fee approval be moved to the Joint meeting. Attorney Novak announced that this meeting would be his last because he was leaving to join a securities litigation firm. Trustee Oleson requested that legal counsel review and update the Police and Fire Retirement System as a qualified plan. The review would consist of: (1) necessary language, (2) qualified tax status, (3) policy and procedures, (4) plan document/ordinance and charter, (5) issues that are pending, (6)gray areas, and (7) how can we make the plan better. Regular Meeting September 9, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three Karen Williams announced that Dr. Victor Roth would be at the next meeting. Trustee Holliday informed the Board that Dr. Roth will be taken first when he arrives. Karen Williams reported to the Board that she had contacted Brad Armstrong regarding the EDRO fee increase. Ms Williams was waiting information from Mr. Armstrong. Karen Williams informed the Board that the actuarial fees for the Gabriel, Roeder, Smith and Company had not been approved for the Fiscal Year 2008/2009. It was moved by Trustee Kraus and supported by Trustee Wood to approve the actuarial fees for Gabriel, Roeder, Smith and Company for the Fiscal Year 2008/2009. Adopted by the following vote: 7 — 0. Attorney Novak, representing the City Attorney's Office, updated the board regarding the Mondarian Investment. Attorney Novak was awaiting a dollar amount from Asset Consulting and he would meet with the chairperson to complete the investment. Trustee Holliday distributed information on Frequently Asked Question in Payroll Auditing for the trustees to review. Trustee Wood requested that item E, Beneficiary Nomination Form be completed by Clark Hill. Karen Williams informed the Board that the August Investment Securities Lending Account Report was not available due to the early meetings. Karen Williams announced Asset Consulting suggested that the Boards need to update its Commission Recapture with its Investment firms. Ms. Williams has received the information from Northern Trust to change the securities lending to non-lending. Ms. Williams will prepare the paperwork for the chairperson's signature. Trustee Oleson inquired about the election for Trustee Lewis. Trustee Holliday informed the Board that Trustee Lewis'term ended December 31, 2008. Trustee Holliday suggested that the Board may consider just running one election instead of two. The Board discussed the logistics of implementing the election procedure to replace Trustee Lewis. Trustee Lewis stated that it had been a pleasure and honor to serve on the Police and Fire Retirement System Board. Trustee Lewis stated that his goal was to leave investment over $300 million. Trustee Lewis thanked the Trustee and invited members to his retirement party September 18. Regular Meeting September 9, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Four It was moved by Trustee St. Aubin and supported by Trustee Kraus to adjourn the meeting. Adopted by the following vote: 7 — 0. The meeting adjourned at 9:32 a.m. Minutes approved on Jef' 'Amb ose, Secretary Police & Fire Retirement System Bruce Halliday, C airperson Police & Fire Retirrdnent System CITY OF LANSING POLICE & FIRE and ERS RETIREMENT SYSTEM MINUTES Joint Meeting August 19, 2008 Council Conference Room Tuesday, 9:15 a.m. 10th Floor City Hall Lansing, MI The meeting was called to order at 9:35 a.m. , A quorum of the Police and Fire Board was present. Trustees present: (Police & Fire), Benson, Holliday, Kraus, Lewis, Oleson., Wood = 6. (ERS), Antekeier, Dedic, Korkoske, Kraus, Murphy, Wood — 6. Other presents: John Jackson, George Tarlas, Asset Consulting; Karen.Williams Finance Department; Paul Novak, Blair Renfro, Clark Hill Law Office (representing the City Attorney's Office); Al Bricker, Kenneth Alberts, Gabriel, Roeder, Smith and Company; Mr. Mark Fetters, Bill O'Meara, David Smith, Patrick Krull via conference call; Mr. Rob Hecksel, Fire Department. Trustee Wood updated the Joint Board regarding the 2008 Retirement and. Health Care Conference, Tuesday, September 23, 2008. The Parking arrangements were still pending. The menu, itinerary have been planned and the registration were mailed. The Retirement Office has received a great response for the health care screenings and the conference. Karen Williams distributed a list for trustees to volunteer for the conference. Ms. Williams requested that trustees sign up for two-hour time slots. The time slots begin at 12:00 p.m. until 10:00 P.M. Mr. Al Bricker and Mr. Kenneth Alberts of Gabriel, Roeder, Smith and Company reviewed the Minute Master proposal with the Board. Mr. Bricker and Mr. Alberts asked the Board how to proceed because the archived minutes have not been located. Mr. Bricker suggested that the Board move forward with the project using the minutes provided by the Retirement Office, and use the current Minute Master books as a backup of the archive records. When the original minutes for the archived records are located, the electronic format can be .updated. Mr. Bricker also requested a letter of confirmation for the new proposal. It was moved by Trustee Dedic and supported by Trustee Korkoske that the Employees Retirement System will move forward with the Minute Master project, using the Minute Master books as backup of the archive records. Adopted by the following vote: 5 — 0. Joint Meeting August 19, 2008 Council Conference Room T� , 9:15 a.m. 10th Floor City Hall Lansing, MI Page 2 It was moved by Trustee Wood and supported by Trustee Oleson that the Police and Fire Retirement System will moved forward with the Minute Master project, using the Minutes Master books as backup of the archive records. Adopted by the following vote: 6 — 0. Mr. Mark Fetters introduced his team from the Northern Trust Company to discuss Securities Lending. Mr. Bill O'Meara provided an overview of the securities lending process and presented a performance review of the investments held by the City of Lansing Police and Fire Retirement System and the Employees Retirement System. Mr. David Smith provided explanation of the differences between the securities lending versus non-securities lending funds. Mr. Patrick Krull of Northern Trust Company provided an overview of the Securities Litigation process via conference call. Mr. Krull reviewed a listing of the current litigations that are pending for the City of Lansing Retirement Systems. The Board discussed outside securities litigation firms. Attorney Novak also discussed his experience working with securities litigation for the state of Michigan and how an outside firm would work with the City of Lansing. Mr. John Jackson of Asset Consulting group provided a quarterly cash flow withdrawal recommendation for both boards. Mr. Jackson suggested using 50% of the requested funds from the Core Fixed Income Group and the other 50% from the S & P 500 Index funds. It was moved by Trustee Wood and supported by Trustee Kraus to withdraw$6,000,000 from the Core Fixed Income investments and the S & P 500 Indexfunds as recommended by Asset Consultants for Cash flow needs of the Police and Fire Retirement System. Adopted by the following vote: 5 -0. It was moved by Trustee Wood and supported by Trustee Kraus to withdraw$5,000,000 from the Core Fixed Income investments and the S & P 500 Index funds as recommended by Asset Consultants for Cash flow needs of the Employees Retirement System. Adopted by the following vote: 6 -0. Mr. John Jackson and Mr. George Tarlas presented the Quarterly Performance Review for the Employees Retirement System and the Police and Fire Retirement System. Mr. Tarlas discussed the Northern Trust presentation and suggested that the retirement systems move from the lending to non-lending within its Securities Lending accounts. It was moved by Trustee Dedic and supported by Trustee Wood that the Employees Retirement System shall move from lending to non-lending within its Securities Lending account as recommended by Asset Consulting. Adopted by the following vote: 5 — 0. Joint Meeting August 19, 2008 Council Conference Room T 9:15 a.m. 10th Floor City Hall J Lansing, MI Page 3 It was moved by Trustee Oleson and supported by Trustee Lewis that the Police and Fire Retirement System shall move from lending to non-lending within its Securities Lending account as recommended by Asset Consulting. Adopted by the following vote: 6 — 0 Mr. Tarlas and Mr. Jackson reviewed the performances of Western Asset Management and Northepointe. M. Tarlas recommended restructuring the fees given the magnitude of their under performance. Mr. Tarlas suggested the changing structure to a performance based. Mr. Tarlas will provide a proposal for the Boards to consider. Mr. Jackson distributed a memo regarding Mondarian International Equity Fund, LP to support Asset Consulting Group's recommendation that the Police and Fire Retirement Board move forward with the investment. The Board confirmed its moving forward with the investment pending legal counsel approval. Legal counsel will'update the chair of the Board. Mr. Tarlas and Mr. Jackson presented a review of Hedge Funds and distributed a sample Equity Long/Short Managers update. Trustee Oleson requested that the Police and Fire Board move forward on Hedge Funds. Asset Consulting will provide a recommendation of Hedge Funds for the Joint Boards consideration. The Joint Boards discussed convening a Joint Committee to review the bid process for the actuary services. The Meeting adjourned at 12:53 p.m. Minutes approved on r ci Jefry Ambrose, Secretary 0 1 ; �1 Robert Antekeier, Chairperson Bruce Holliday, Chai4erson Employees Retirement System Fire and Police Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING `'' -`' . - y POLICE AND FIRE RETIREMENT SYSTEM r Regular Meeting August 19, 2008-1- �, Council Conference Room Tuesday, 8:30 a.m. (J1 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:33 a.m. Present: Trustees Benson, Holliday, Kraus, Lewis, Oleson, St. Aubin, Wood — 7. Absent: Trustee Bernero Others: Karen E. Williams, Finance Department; Paul Novak, Blair Renfro, Clark Hill Law Office (representing the Law Department); Rob Hecksel, Fire Department; Bryan Epling, Public. It was moved by Trustee Wood and Trustee Oleson to approve the Official Minutes of the Police and Fire Meeting of July 15, 2008. Adopted by the following vote: 7-0. Secretary's Report. 0 new fire member(s), 0 new police members, 0 reinstatement(s), 0 refund(s), 0 transfers, 1 retired. Total: Active membership: 477. 2 death(s) Mr. George Scarlett, Fire, died, 7/17/2008, age 97, no surviving beneficiary, John Panetta, Fire, died 7/30/2008, age 79, spouse to receive 50%. Refunds made since the last reg- ular meeting amounted to $ 0.00. Retirement allowances paid forthe month of July, 2008 amounted to $1,803,201.12. Total retirement checks printed for the P.&F System: 624. Total retirement checks printed for both systems: 1412. Domestic relations order received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0 It was moved by Trustee Lewis and supported by Trustee Oleson to approve the application for regular age and service for the following member: Brian L. Gaukel, Fire Department, 25 years, age 46, effective August 15, 2008. John B. McKinley, Fire Department, 25 years, age 46, effective August 16, 2008. Wendell L. Trowbridge, Fire Department, 25 years, age 49, effective August 16, 2008. Adopted by the following vote: 7 — 0. Regular Meeting August 19, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two Trustee Olsen informed the Board that the disability subcommittee met and the subcommittee has unfinished issues regarding the medical review involving Mr. Joshua Palmer. It was moved by Trustee Oleson and moved by Trustee Lewis to table the discussion on Mr. Joshua Palmer. Adopted by the following vote: 7 -0 . Trustee Lewis informed the Board that Mr. Christopher Durbin had an injury to his knee and has not been able to perform as a firefighter. Trustee Lewis informed the Board that the disability subcommittee met, reviewed the doctor's report and concurs with the recommendation to place Mr. Durbin on duty disability. It was moved by Trustee Lewis and supported by Trustee Oleson to concurwith the Medical doctor's report to place Mr. Christopher Durbin on duty disability. Adopted by the following vote: 7 — 0. Karen Williams updated the Board regarding the pending requests for duty disability. Mr. Edward Bedecs saw the Medical Doctor on August 6, 2008 and the subcommittee is waiting for the report. Mr. Robert Vargas was scheduled to see an independent psychiatric evaluation, August 19, 2008. Trustee Lewis inquired to legal counsel when the Board can release a copy of the medical report to the applicant. Attorney Novak, representing the law department, opined that there should not be a problem with sharing the report with the applicant. Attorney Novak recommended that if the Board was receiving an independent psychiatric evaluation, that report should be also forwarded to the Medical Director prior to the next Board meeting. Karen Williams stated that applicants have received a copy of their medical report in the past. The Retirement Office asks applicants to submit their request in writing. Trustee Holliday inquired if an applicant can receive his medical report before the subcommittee has reviewed the report. Attorney Novak opined that the Board can adopt a policy regarding its report. The Board discussed reviewing the bid process for the Medical director services. Karen Williams reported that Mr. Robert Johnson, Police (FOP Sup) has requested a refund of accumulated contribution. Mr. Johnson is a former member who was not vested at the time of his resignation from the city. Regular Meeting August 19, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three It was moved by Trustee St. Aubin and supported by Trustee Oleson approve the request for refund of accumulated contributions for Mr. Robert Johnson. Adopted by the following vote: 7 — 0. Karen Williams distributed to the Board MAPERS Fall Conference registration material. Ms. Williams requested delegates for certification for MAPERS. These delegates would participate in roll call votes at the conference. The Board agreed that the chair and vice chair will serve as delegates. The Board requested that the Gabriel, Roeder, Smith and Company actuarial fee approval be moved to the Joint meeting. Trustee Oleson requested that legal counsel review and update the Police and Fire Retirement System as a qualified plan. The review would consist of: (1) necessary language, (2) qualified tax status, (3) policy and procedures, (4) plan document/ordinance and charter, (5) issues that are pending, (6)gray areas, and (7) how can we make the plan better. Attorney Novak requested information regarding Board items A, C, E under pending. These issues include the ordinance for Duty and Death and Disability, Police and Fire Ordinance Changes and the Beneficiary Nomination Form. Trustee Holliday informed that the Board that chairs and vice chairs of both the Police and Fire and the Employees Retirement System visited Northpointe Investment Company. Trustee Holliday requested information on public acts in the Trustee Handbook and how it affects Mr. Johnnie Torres' ability to have a deferred pension. Attorney Novak reviewed the ordinance and interprets that a right to an accrued deferred retirement does not apply to a discharged employee. The Pension forfeiture act does not apply to this situation. Karen Williams distributed and reviewed the June and July Securities Lending Account Report. The meeting adjourned at 9:13 a.m. Minutes approved on J mbros , Secretary lic & Fire Retirement System Bruce Hollidlay, Chairperson Police & Fire Retirement System OFFICIAL PROCEEDINGS OF THE BOARD OF TRUSTEES CITY OF LANSING POLICE AND FIRE RETIREMENT SYSTEM -1 Regular Meeting July 15, 2008 Council Conference Room Tuesday, 8:30 a.m�n 10th Floor, City Hall Lansing, MI The Board met in regular session and was called to order at 8:35 a.m. Present: Trustees Benson, Holliday, Kraus, Lewis, Oleson, St. Aubin, Wood — 7. Absent: Trustee Bernero, Holliday Others: Karen E. Williams, Finance Department; Paul Novak, Blair Renfro, Clark Hill Law Office (representing the Law Department); Rob Hecksel, Fire Department. It was moved by Trustee Wood and Trustee Oleson to approve the Official Minutes of the Police and Fire Meeting of June 17, 2008. Adopted by the following vote: 7-0. Secretary's Report. 0 new fire member(s), 0 new police members, 0 reinstatement(s), 0 refund(s), 0 transfers, 0 retired. Total: Active membership: 478. 1 death(s) Mr. Leonard Labioda, Fire, died, 5/18/2008, age 84, spouse to receive 50%. Refunds made since the last regular meeting amounted to $ 0.00. Retirement allowances paid for the month of June, 2008 amounted to $1,798,954.28. Total retirement checks printed for the P&F System: 622. Total retirement checks printed for both systems: 1408. Domestic relations order received: 0. Domestic relations orders pending: 1. Eligible domestic relations orders certified: 0 It was moved by Trustee St. Aubin and supported by Trustee Oleson to approve the application for regular age and service for the following member: Craig Baylis, Police Department, 25 years, age 47, effective July 17, 2008. Adopted by the following vote: 7 — 0. Karen Williams provided an update of the requests for duty disability. Mr. Joshua Palmers report was received by the Retirement Office. Mr. Chris Durbin had seen Dr. Roth for evaluation and the Retirement Office was waiting for the report. Regular Meeting July 15, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Two Ms. Williams read Chief Alley's letter of request for Mr. Edward Bedecs to be considered for duty disability. Trustee Kraus reported to the Board that the subcommittee had met and reviewed the Request for Mr. Bedecs to be considered for duty disability. The subcommittee recommended Mr. Bedecs be referred to the Medical doctor for evaluation. It was moved by Trustee Kraus and supported Trustee St. Aubin to refer Mr. Bedecs to the Medical Director for evaluation for duty disability. Adopted by the following vote: 7 — 0. It was moved by Trustee Lewis and supported by Trustee St. Aubin to move to closed session for the purpose of evaluating the medical reports of Mr. Lamarr Bowers and Mr. Robert Vargas. Adopted by the following roll call vote: 7-0. Yeas: Benson, Holliday, Kraus, Lewis, Oleson, St. Aubin, Wood The public was asked to leave the meeting for the closed session and the retirement analyst secured the room. The Board returned to open session. It was moved by Trustee Wood and supported by Trustee St. Aubin that Mr. Robert Vargas be referred to the Medical Director to arrange an independent psychiatric evaluation at the University of Michigan. Adopted by the following vote: 7 -0. It was moved by Trustee Kraus and supported by Trustee Lewis that the Board concur with the Medical Doctor's report and deny duty disability for Mr. Lamarr Bowers, and that he be returned back to the City of Lansing Human Resources to have updated tests. Adopted by the following vote: 7 -0. Trustee Kraus explained that Mr. Bowers is now the responsibility of the City of Lansing Human Resource Department. Regular Meeting July 15, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Three Attorney Novak, representing the City Attorney Office, opined that Trustee Kraus' motion is consistent with the Ordinance. He also discussed that the updated tests should be handled underthe Human Resources Department. Attorney Novak also reviewed thatthe Ordinance provides requirements that must be met in deciding duty disability. There is no scenario provided for in the ordinance that explains what happens when the Board disagrees with the Medical report. The Board discussed options and possible ordinance changes that would address the situation when the Board disagrees with the Medical director. Trustee Kraus expressed concern regarding a rushed ordinance change. It was moved by Trustee Wood and supported by Trustee Oleson to request a written legal opinion from the City's legal representation to look into other retirement systems, and exception under the law regarding Retirement Board options if they disagree with their Medical Director. Karen Williams updated the Board regarding the Lifeline Health Screenings and Itinerary for the 2008 Retirement and Health Care Conference. Ms. Williams informed the Board that there is a separate phone number for registrations. Ms. Williams will have a sign in sheet at next month's joint meeting for trustees to sign up. The next meeting would be held July 30, 2008. Trustee Wood updated the Board regarding the Parking situation for the conference. Karen Williams announced that registration materials will be emailed to trustees for Fall MAPERS, September 14-16 at the Grand Traverse Resort and Spa. Karen Williams distributed the fiscal year 2008/2008 Actuary Fees for Gabriel, Roeder and Smith. The Board requested that the approval of Actuary fees be placed on next month's agenda. Trustee Benson inquired about the last time the actuarial services were placed for a bid. Trustee Benson discussed that the Board should research and evaluate if the Retirement Board is receiving the best value. Attorney Paul Novak, representing the Law Department, explained that the contract before the Board may have an automatic renewal clause. The Board may not be in a position to change or not renew the current contract and fees for the upcoming 2008 fiscal year. Regular Meeting July 15, 2008 Council Conference Room Tuesday, 8:30 a.m. 10th Floor, City Hall Lansing, MI Page Four It was moved by Trustee Benson and moved by Trustee St. Aubin to put the actuarial services be put out to bid. Trustee Benson accepted a friendly amendment to bid out the actuarial services for the 2009 fiscal year and to take the issue to the Joint Meeting to discuss the services with the Employees Retirement System Board. Adopted by the following vote: 7 -0. Attorney Paul Novak, representing the Law Department, updated the Board that he requested side letters from the Mondarian Investment proposal recommended by the Asset Consulting Group. Mondarian has declined to provide the letters to Clark Hill for review. Attorney Novak recommended that the Board should not go forward with the Mondarian Investment because all of the documentation has not been received and he believed all due diligence has not been met. Attorney Novak requested Asset Consulting to put the Mondarian Investment in writing. Karen Williams distributed and reviewed the June Investment Report and the Securities Lending Account Report. It was moved by Trustee Kraus and supported by Trustee Benson to adjourn the meeting. Adopted by the following vote: 7 — 0. The meeting adjourned at 10:03 a.m. Minutes approved on )olj& ose, Secretary Fire Retirement System l Bruce Ijfolliday, Chairperson Police & Fire Retirement System