Police & Fire Pension

POLICE & FIRE PENSION BOARD MEETING DATE: July 27, 2021 Electronic Zoom Meeting TIME: 1:30 P.M. Present: Stan Chubinski from Battle Creek, MI; Tammy Giannunzio from City Hall in Battle Creek, MI; Ed Guzzo from Battle Creek, MI; and Jake Martin from Battle Creek, MI; and Chris Rabbitt from Battle Creek, MI Also Present: Jeremy Tollas, CAPTRUST; Sarah VanWormer, IT Director; Linda Morrison, Revenue Services Director; and Kourtney Matuschka, Finance Services Manager/Police & Fire Retirement System Administrator. Chair Chubinski asked for approval of the agenda. Motion Guzzo, seconded Giannunzio to approve the agenda with the addition to new business for CAPTRUST. On a voice vote, motion carried. Presented minutes of the regular meeting from May 24, 2021. Motion Rabbitt, seconded Guzzo to approve the regular meeting minutes from May 24, 2021. On a voice vote, motion carried. Bank Summary of Assets & Expense Report: As of 6/30/2021, the market value of the portfolio was $186,210,334 a gain of $1,479,536 from the 4/30/2021 balance. As of 7/22/2021, the portfolio market value was $186,258,992, which is a gain of $48,658 since 6/30/2021. For the month of May, the following expenses were deducted. Additional Expense Type Payee Amount Frequency Details Misc Fees (asset manager) Misc Admin fees - non investment 3,469.00 Monthly 5/1 - 5/31/21 Administrative Fee City of Battle Creek 2,849.75 Quarterly 4/1 - 6/30/21 Total Admin. Fees 6,318.75 For the month of June, the following expenses were deducted. Additional Expense Type Payee Amount Frequency Details Misc Fees (asset manager) Misc Admin fees - non investment 3,336.33 Monthly 6/1 - 6/30/21 Actuarial Services Fee Gabriel Roeder smith & Co. 11,000.00 Annually 6/30/2020 Actuarial Services Fee Gabriel Roeder smith & Co. 8,000.00 Annually GASB 67 & 68 Total Admin. Fees 22,336.33 July 27, 2021 Page 2 of 5 - Official Motion Giannunzio, seconded Martin to accept the financial report and quarterly bank summary submitted. On a voice vote, motion carried. Board Reports Chubinski – none. Giannunzio – none. Guzzo – none. Martin – none. Rabbitt – none. Matuschka  Retiree, Robert Green passed away 5/12/21. His 6/1/21 payment was pulled back on and replaced with a final prorated payment including 12 days in May. His surviving spouse, Rebecca Green, received a prorated payment for 19 days in May on 6/9/21 and her full survivor benefit payment of $1,770.38 began on 7/1/21.  MAPERS Fall Conference: September 18 - 21 in Bay City.  The following Police Officers were hired on 6/14/21: Hunter Barnett, Tyris Brazier, Taylor Dellinger, Mitchell Mears, and Joshua Millikin.  Jeremy Harrell, Police Officer, terminated 6/3/21.  Angela Matthews, Police Officer, hired 7/19/21.  Michael Archer, Fire Equipment Operator, terminated 7/10/21.  William Payne, Firefighter, re-hired effective 6/28/21. He never withdrew employee contributions, prior service credit of 4 years, 8 months and 9 days counts towards his 25 years of service.  LaMarr Mingle, Fire Lieutenant entered the DROP effective 7/6/21.  Jeannell Justin, Fire Lieutenant entered the DROP effective 7/7/21.  Shea Peters, Firefighter, re-hired effective 6/17/21. He requested pay back his prior employee contributions plus interest. We received two checks from Mr. Peters, the first check for $9,429.77 will re-instate his after tax employee contributions, the second check in the amount of $16,680.98 will re-instate his pre-tax employee contributions of $15,253.18 and $1,427.80 in interest. Prior service credit of 4 years, 6 months and 13 days counts towards his 25 years of service.  The following resolutions need approved: ALAN R. MARLOW WHEREAS, the Board of Trustees is in receipt of an application for retirement from Alan R. Marlow requesting an effective retirement date of 3/20/21, and WHEREAS, Alan R. Marlow is eligible for retirement based on his service pursuant to Act 345 of the Public Acts of 1937, as amended, and retirement provisions of the union contract, and July 27, 2021 Page 3 of 5 - Official WHEREAS, the final actuarial calculation was received and, WHEREAS, Alan R. Marlow elected straight life with 60% surviving spouse benefit, therefore be it RESOLVED, that the application of Alan R. Marlow for retirement is approved, and RESOLVED, the retirement benefit for Alan R. Marlow shall commence as of 3/20/21, and RESOLVED, the gross monthly benefit is $4,463.15 subject to tax withholdings and any other elective deductions, and RESOLVED, the gross retroactive payment of $1,727.67 for 12 days in March was paid on 4/6/21 and the regular gross monthly benefit shall begin 5/1/21. KURT V. ROTH WHEREAS, the Board of Trustees is in receipt of an application for retirement from Kurt V. Roth requesting an effective retirement date of 3/20/21, and WHEREAS, Kurt V. Roth is eligible for retirement based on his service pursuant to Act 345 of the Public Acts of 1937, as amended, and retirement provisions of the union contract, and WHEREAS, the final actuarial calculation was received and, WHEREAS, Kurt V. Roth elected straight life with 60% surviving spouse benefit, therefore be it RESOLVED, that the application of Kurt V. Roth for retirement is approved, and RESOLVED, the retirement benefit for Kurt V. Roth shall commence as of 3/20/21, and RESOLVED, the gross monthly benefit is $8,097.54 subject to tax withholdings and any other elective deductions, and RESOLVED, the gross retroactive payment of $3,134.54 for 12 days in March was paid on 4/6/21 and the regular gross monthly benefit shall begin 5/1/21. ANTHONY C. PERIN WHEREAS, the Board of Trustees is in receipt of an application for retirement from Anthony C. Perin requesting an effective retirement date of 3/21/21, and WHEREAS, Anthony C. Perin is eligible for retirement based on his service pursuant to Act 345 of the Public Acts of 1937, as amended, and retirement provisions of the union contract, and WHEREAS, the final actuarial calculation was received and, WHEREAS, Anthony C. Perin elected straight life with 60% surviving spouse benefit, therefore be it RESOLVED, that the application of Anthony C. Perin for retirement is approved, and RESOLVED, the retirement benefit for Anthony C. Perin shall commence as of 3/21/21, and RESOLVED, the gross monthly benefit is $6,917.21 subject to tax withholdings and any other elective deductions, and July 27, 2021 Page 4 of 5 - Official RESOLVED, the gross retroactive payment of $2,454.50 for 11 days in March was paid on 4/6/21 and the regular gross monthly benefit shall begin 5/1/21. DOUGLAS A. BAGWELL WHEREAS, the Board of Trustees is in receipt of an application for participation in the Deferred Retirement Option Plan (DROP) from Douglas A. Bagwell requesting an effective retirement date of 1/8/21, and WHEREAS, Douglas A. Bagwell is eligible for retirement based on his service credit pursuant to Act 345 of the Public Acts of 1937, as amended, and retirement provisions of the union contract, and WHEREAS, the final actuarial calculation was received, and WHEREAS, Douglas A. Bagwell elected straight life with 60% surviving spouse benefit, therefore be it RESOLVED, that the application of Douglas A. Bagwell for participation in the DROP is approved, and RESOLVED, the DROP benefit for Douglas A. Bagwell shall commence as of 1/8/21, and RESOLVED, the gross monthly retirement benefit is $7,537.46 and shall be Douglas A. Bagwell’s DROP benefit credited monthly to his DROP account and RESOLVED, Douglas A. Bagwell’s participation in the DROP shall terminate on 1/7/26. QUINCY D. JONES WHEREAS, the Board of Trustees is in receipt of an application for participation in the Deferred Retirement Option Plan (DROP) from Quincy D. Jones requesting an effective retirement date of 4/1/21, and WHEREAS, Quincy D. Jones is eligible for retirement based on his service credit pursuant to Act 345 of the Public Acts of 1937, as amended, and retirement provisions of the union contract, and WHEREAS, the final actuarial calculation was received, and WHEREAS, Quincy D. Jones elected straight life with 60% surviving spouse benefit, therefore be it RESOLVED, that the application of Quincy D. Jones for participation in the DROP is approved, and RESOLVED, the DROP benefit for Quincy D. Jones shall commence as of 4/1/21, and RESOLVED, the gross monthly retirement benefit is $6,143.39 and shall be Quincy D. Jones’ DROP benefit credited monthly to his DROP account and RESOLVED, Quincy D. Jones’ participation in the DROP shall terminate on 3/31/26. Motion Martin, seconded Rabbitt to accept the retirement resolutions for Marlow, Roth and Perin as well as the DROP resolutions for Bagwell and Jones. On a voice vote, motion carried. July 27, 2021 Page 5 of 5 - Official Old Business Service Retirement Policy: Matuschka presented a revised Service Retirement Policy. Motion Martin, seconded Giannunzio to accept the revised Service Retirement Policy as presented. On a voice vote, motion carried. New Business CAPTRUST – Asset Manager Portfolio Update: Tollas provided a brief portfolio update through 6/30/21.  US Stocks are up 8.5% and international stocks are up 9.2%; 5.4% was in 2nd quarter.  Transition to close out asset manager accounts at Comerica might take a few more months as dividends continue to post. CAPTRUST is working with Comerica to get these accounts closed.  New purchases made 6/14/21.  New funds have not been established long enough to show returns for month to date and quarter to date.  Will have a full 2nd quarter report at the next meeting. Public Comment – No updates regarding the Pension Administrator role. Next regular meeting: Monday, August 16, 2021. Meeting adjourned at 1:56 p.m. Respectfully submitted, Kourtney Matuschka, Recording Secretary __________________________________ __________________________________ Board Member signature Board Member signature