2017-02-06 - Firefighter Pension Board - Minutes BUFFALO GROVE FIREFIGHTERS' PENSION FUND
MINUTES OF THE BOARD OF TRUSTEES REGULAR MEETING — FEBRUARY 6, 2017
BUFFALO GROVE VILLAGE HALL EOC
50 RAUPP BOULEVARD, BUFFALO GROVE, ILLINOIS
CALL TO ORDER
Meeting was called to order by Secretary Joshua Himmelspach at 8:33 a.m.
ROLL CALL
Upon a call of the roll, the following Board members were present: Thomas Gough, Art
Malinowski, Ed McKee, and Josh Himmelspach.
President Dan Pasquarella was absent.
Also present: Carolyn Clifford and Jim Wargo, Ottosen Britz; Steve Earnhardt, Lauterbach and
Amen; John Falduto, Sawyer Falduto; Scott Anderson, Village of Buffalo Grove; Chief Mike
Baker, Village of Buffalo Grove
PUBLIC COMMENT
No public comment
APPROVAL OF MINUTES
The Board reviewed the minutes from its quarterly meeting held on November 7, 2016. Motion
by approve the minutes as presented by Josh Himmelspach. Second by Ed McKee. Upon a
voice vote, the minutes were approved.
FINANCIAL/INVESTMENT REPORTS AND PAYMENT OF BILLS
Sawyer Falduto Asset Management investment manager's report -- John Falduto of Sawyer
Falduto reviewed the Fund's quarterly investment report. The Fund's starting value was
$54,001,507. The Fund's ending value on December 31, 2016 was $54,154,118. The total
return on investments, net of fees, for this quarter is $585,544. Total net account return for the
year is 6.8%. The account benchmark is 8.05%.
John Falduto had no recommended changes to the Board's investment policy at this time.
Review of monthly financial statements (Lauterbach and Amen) — Steve Earnhardt from
Lauterbach and Amen reviewed the most recent financial statements of the Fund. For the
month ending on December 31, 2016, the employer contributions totaled $2,154,761.25 with
contributions from the employees totaling $516,421.54, creating a total contribution of
$2,671,182.79. Net investment income totaled $3,418,523.06. Total additions equaled
$6,089,705.85. Total deductions were at $2,271,472.90, leaving the Fund at $54,153,974.43.
Motion was made by Ed McKee to approve the disbursements as presented and accept the
investment and financial statements. Second by Tom Gough.
AYES: Himmelspach, Gough, Malinowski, and McKee
NAYS: None
ABSENT: Pasquarella
ABSTAIN: None
Motion Carried
Approval of annual pension increases -- Tom Gough made a motion to approve annual
pension increases. Second by Josh Himmelspach.
AYES: Himmelspach, Gough, Malinowski, and McKee
NAYS: None
ABSENT: Pasquarella
ABSTAIN: None
Motion Carried
CURRENT APPLICATIONS FOR MEMBERSHIP, DISABILITY, COMBINED CREDITABLE
SERVICE, QILDROS, WITHDRAWAL, OR RETIREMENT.
Membership Files -- Membership files have been checked for updates. No current updates.
Retirement Applications — Wendell Bills tendered his retirement application. Application
approval is pending calculation by Lauterbach and Amen. Wendill's last day is February 6,
2017. Motion made by Josh Himmelspach to approve the retirement application, pending final
benefit calculation by Lauterbach and Amen. Second by Tom Gough.
AYES: Himmelspach, Gough, Malinowski, and McKee
NAYS: None
ABSENT: Pasquarella
ABSTAIN: None
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Motion Carried
New Members —An Application for Membership was received from Dan Downy. Dan is a Tier II
employee.
A motion was made by Josh Himmelspach to approve Dan's application, pending paperwork
completion by the next Board meeting. Second by Ed McKee.
AYES: Himmelspach, Gough, Malinowski, and McKee
NAYS: None
ABSENT: Pasquarella
ABSTAIN: None
Motion Carried
Chief Baker's combined creditable service -- Chief Baker was advised that he may not want
to combine creditable service from a prior pension because this would necessitate a full 20-year
commitment to receive his pension. The issue was tabled for the next meeting
QILDROS -- No QILDROS have been received by the Board this quarter.
Disability application update -- No disability updates to report.
OLD BUSINESS
Status of annual affidavit of eligibility from Swieca -- Mr. Swieca has signed the affidavit and
is now in good standing. His direct deposit of benefits has been reinstated.
Review of the Village's tax levy ordinance— Levy has been extended for last year, based on
last year's actuarial valuation. Scott Anderson reported that he is still awaiting this year's
actuarial results.
Review of DOI tax levy recommendation — Tax levy recommendation by DOI was received
and totaled $1,600,000.00.
NEW BUSINESS
Review and possible approval of Board rules and forms updates—Motion was made to
approve Board rules and forms with removal of the code of conduct for vendors by Ed McKee.
Second by Tom Gough.
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AYES: Himmelspach, Gough, Malinowski, and McKee
NAYS: None
ABSENT: Pasquarella
ABSTAIN: None
Motion Carried
Annual servicer certifications to DOI — Fund does not have assets held by an Illinois finance
entity. Thus, no certifications need to be secured or filed with DOI.
Review and possible action on attorney engagement letter and retainer— Carolyn Clifford
of Ottosen Britz reviewed the attorney engagement letter with the Board. The hourly attorney
fee will now be $225. The retainer for the year will be $5,400. Motion was made by Josh
Himmelspach to approve the new fees for a two-year term. Second by Ed McKee.
AYES: Himmelspach, Gough, Malinowski, and McKee
NAYS: None
ABSENT: Pasquarella
ABSTAIN: None
Motion Carried
Submission of required filers for Statements of Economic Interest to county— The Board
was reminded to file statements of economic interest with Cook County by May 1.
Preparation for spring trustee elections — Seats occupied by Josh Himmelspach and Tom
Gough are up for reelection.
BOARD MEMBER TRAINING AND PENSION NEWS/UPDATES
Pension news updates were provided by Carolyn Clifford, as well as potential training
opportunities.
ADOURNMENT
A motion was made to adjourn the meeting by Josh Himmelspach. The motion was seconded
by Tom Gough. Upon a voice vote, motion carried. Meeting adjourned.
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Respectfully submitted,
Joshua Himmelspach
Buffalo Grove Firefighters' Pension Fund
Minutes approved by the Board of Trustees at its meeting held on May 1, 2017
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