Police Pension Board

Agenda Village of Glen Ellyn Police Pension Board Meeting Wednesday, April 16, 2025 4:30 PM Glen Ellyn Civic Center, Room 306 Visitors are most welcome to attend all meetings of the Police Pension Board and can find copies of the Agenda at the meeting or online at www.glenellyn.org prior to the meeting. Any individual with a disability requiring reasonable accommodation in order to participate in a meeting should contact The Village of Glen Ellyn ADA Coordinator, 630-469-5000, at least five (5) business days in advance of the next scheduled meeting. All matters on the Agenda may be discussed, amended, and acted upon. A. Call to Order B. Roll Call C. Public Comment D. Approval of Minutes 1) January 15, 2025 Meeting E. Accountant's Report 1) Lauterbach and Amen will present the monthly financial report 2) Presentation and approval of bills as listed in the monthly financial report 3) Additional Bills 4) Cash Management Policy F. Investment Report 1) IPOPIF - Verus Advisory Inc. G. Communication and Reports 1) Affidavits of Continued Eligibility 2) Statements of Economic Interest H. Trustee Training Updates 1) Approval of Trustee Training Registration Fees & Reimbursable Expenses I. Approval of Membership/Withdrawals from Fund J. Applications for Retirement/Disability Benefits K. Old Business L. New Business 1) Certify Board Election Results 2) IDOI Annual Statement 3) Fiduciary Liability Insurance Renewal M. Attorney Report 1) Legal Updates N. Adjourn to Exec Session, if needed Village of Glen Ellyn Page 1 of 42 Police Pension Board Agenda April 16, 2025 Page 2 O. Adjourn Village of Glen Ellyn Page 2 of 42 Village of Glen Ellyn Minutes Village of Glen Ellyn Police Pension Board Meeting Regular Meeting January 15, 2025 4:30 PM Civic Center Room 306 Board or Police Pension Date: January 15, 2025 Commission: Meeting: Regular Called to 4:30 p.m. Order: Quorum: Yes Adjourned: 4:54 p.m. MEMBER ATTENDANCE: Jim Monson President Present John Adduci Trustee Present William Housey Jr. Trustee Absent James King Trustee Present Anthony Terranova Trustee Present Also Present: Patrick Brankin Finance Director Ray Page Lauterbach & Amen Derek Flessner Lauterbach & Amen Public: A. CALL TO ORDER The January 15, 2025 meeting of the Police Pension Board was called to order by President Monson at 4:30 pm at the Glen Ellyn Civic Center, Room 306. B. PUBLIC COMMENT – None C. APPROVAL OF MINUTES 1. October 10, 2024 special meeting MOTION TO APPROVE MINUTES FROM OCTOBER 10, 2024 POLICE PENSION BOARD SPECIAL MEETING MOTION BY: James King, Trustee SECONDED BY: Anthony Terranova, Trustee RESULT: UNANIMOUS APPROVAL Page 3 of 42  Police Pension 2 January 15, 2025 2. Semi Annual Review of Closed Session Meeting Minutes MOTION TO KEEP ALL CLOSED SESSION MEETING MINUTES CLOSED MOTION BY: Anthony Terranova, Trustee SECONDED BY: James King, Trustee RESULT: UNANIMOUS APPROVAL D. Accountant’s Report 1. Lauterbach and Amen delivered the monthly financial report, with Ray Page presenting the financial details for the month ending October 31, 2024 Statement of Net Position as of October 31, 2024 •Total Assets: $41,454,521.00 •Total Contributions: $2,252,726.00 •Net Position: 3,587,073.00 •Total Fund is up $3,185,297.00 Lauterbach & Amen reviewed the payroll report, quarterly disbursement report, and transfer report in detail. 2. Presentation and approval of bills as listed in the monthly financial report – The Police Pension Board reviewed the quarterly disbursements. Trustee Adduci motioned to approve the disbursements totaling $15,854.11 as outlined in the Quarterly Disbursement report; Trustee King seconded the motion. MOTION TO APPROVE QUARTERLY DISBURSEMENTS IN THE AMOUNT OF $15,854.11 MOTION BY: John Adduci, Trustee SECONDED BY: James King, Trustee RESULT: UNANIMOUS APPROVAL AYES – Adduci, Terranova, Monson, King 3. Additional Bills – None 4. Cash Management Policy – No action at this time. E. Investment Report 1. IPOPIF Versus Advisory Inc. – The Police Pension Board received and reviewed the performance of the IPOPIF report. F. Communication and Reports 1. Affidavits of Continued Eligibility – Lauterbach & Amen confirmed that the Affidavits of Continued Eligibility were mailed on December 31, 2024. As of now, affidavits from Dawn Allen, Joseph Bacci, and James Hammond remain outstanding. A second request will be issued by Lauterbach & Amen, providing a 30-day deadline for response. 2. Statements of Economic Interest – The list of filers are due on February 1, 2025. The Page 4 of 42  Police Pension 3 January 15, 2025 statements of Economic Interest must be completed and turned in by May 1, 2025; failure to comply will result in personal fines being assessed. G. Trustee Training Updates 1. Approval of Trustee Training Registration Fees and Reimbursable Expenses – Lauterbach & Amen reminded the Police Pension Board to ensure all complete their required training by the end of the year. H. Approval of Membership / Withdrawals from Fund – President Monson announced that Caitlin Sabeca resigned on January 2, 2025. I. APPLICATIONS FOR RETIREMENT / DISABILITY BENEFITS - None J. OLD BUSINESS 1. Portability Updates – Lauterbach & Amen reported that estimates for Caitlin Tabor were run in late 2023, but no response has been received in over a year. If this matter arises again, the calculations will need to be updated. It is recommended that this item be removed from the agenda. K. NEW BUSINESS 1. Approve Annual cost of Living Adjustments for Pensioners – Lauterbach & Amen explained the COLA would be effective on January 1, 2025 per the state statute. Trustee Adduci motioned to approve the Annual Cost of Living adjustments as stated in the packet; Trustee King seconded the motion. MOTION TO APPROVE ANNUAL COST OF LIVING ADJUSTMENTS AS STATED IN THE PACKET. MOTION BY: John Adduci, Trustee SECONDED BY: James King, Trustee RESULT: UNANIMOUS APPROVAL AYES – Adduci, Terranova, Monson, King 2. Review Trustee Term Expirations and Election Procedures – Lauterbach & Amen reviewed the upcoming term expirations, noting that the terms for James King, James Monson, and Anthony Terranova are set to expire in May. They offered to assist with the election process if all parties wished to seek re-election. All confirmed their interest in continuing their roles. L. ATTORNEY’S REPORT 1. Annual Independent Medical Examination – Ray Munch & Thomas Hartzell – President Monson provided an update, stating that both individuals underwent re- evaluations last month, and their disabilities were confirmed. Trustee Adduci motions to continue Ray Munch and Thomas Hartzell’s disability payments; Trustee Terranova seconds the motion. Page 5 of 42  Police Pension 4 January 15, 2025 MOTION TO CONTINUE RAY MUNCH AND THOMAS HARTZELL’S DISABILITY PAYMENTS MOTION BY: John Adduci, Trustee SECONDED BY: Anthony Terranova, Trustee RESULT: UNANIMOUS APPROVAL AYES - Terranova, Adduci, Monson, King A 2. Review, Adopt and Publish Decision and Order – Thomas Roman QILDRO - The police pension board reviews the decision and order. Trustee Terranova motioned to adopt the decision and order for Thomas Roman QILDRO; Trustee King seconded the motion. MOTION TO ADOPT THE DECISION AND ORDER FOR THOMAS ROMAN QILDRO MOTION BY: Anthony Terranova, Trustee SECONDED BY: James King, Trustee RESULT: UNANIMOUS APPROVAL AYES - Terranova, Adduci, Monson, King A 3. Legal updates - None M. ADJOURNMENT – President Monson motioned and Trustee Terranova seconded to adjourn the meeting. The meeting was adjourned at 4:54 p.m. Submitted by Elisa Pollina, Recording Secretary Reviewed by Finance Director Brankin Page 6 of 42  Glen Ellyn Police Pension Meeting 4/16/2025 4:30 PM Board Department: Finance 535 Duane Street Department Head: Patrick Brankin Glen Ellyn, IL 60137 Category: Report Prepared By: Patrick Brankin AGENDA ITEM (ID # 2025- DOC ID: 2025-334 334) IPOPIF - Verus Advisory Inc. Statement of the Issue: Analysis: Budget Impact: Contribution to Strategic Plan Action Requested: Attachments: 1. IPOPIF 2-28-25 2. IPOPIF 3-31-25 3. Verus Statement February 2025 Page 7 of 42 GLEN ELLYN POLICE PENSION FUND Month Ended: February 28, 2025 Market Value Summary: Current Period Year to Date Beginning Balance $42,417,550.92 $41,447,815.46 Contributions $80,700.00 $180,100.00 Withdrawals ($63,636.00) ($127,272.00) Transfers In/Out $0.00 $0.00 Income $16,287.41 $27,103.86 Administrative Expense ($468.69) ($1,334.91) Investment Expense ($919.19) ($1,365.31) Investment Manager Fees ($2,864.60) ($3,756.92) IFA Loan Repayment $0.00 $0.00 Adjustment $0.00 $0.00 Realized Gain/Loss $31,522.17 $37,616.80 Unrealized Gain/Loss $29,428.57 $948,693.61 Ending Balance $42,507,600.59 $42,507,600.59 Performance Summary: Inception to Participant MTD QTD YTD One Year Three Years Five Years Ten Years Date Inception Date Net of Fees: 0.17% 2.43% 2.43% 10.30% N/A N/A N/A 5.35% 04/01/2022 Returns for periods greater than one year are annualized Contact Information: Illinois Police Officers’ Pension Investment Fund, 456 Fulton Street, Suite 402 Peoria, Illinois 61602 Phone: (309) 280-6464 Email: Info@ipopif.org Page 1 of 3 Page 8 of 42 GLEN ELLYN POLICE PENSION FUND Fund Name: IPOPIF Pool Month Ended: February 28, 2025 Market Value Summary: Unit Value Summary: Current Period Year to Date Current Period Year to Date Beginning Balance $42,417,550.92 $41,447,815.46 Beginning Units 3,515,391.875 3,512,453.656 Contributions $80,700.00 $180,100.00 Unit Purchases from Additions 6,695.731 14,933.593 Withdrawals ($63,636.00) ($127,272.00) Unit Sales from Withdrawals (5,214.770) (10,514.414) Transfers In/Out $0.00 $0.00 Ending Units 3,516,872.835 3,516,872.835 Income $16,287.41 $27,103.86 Administrative Expense ($468.69) ($1,334.91) Period Beginning Net Asset Value per Unit $12.066237 $11.800246 Investment Expense ($919.19) ($1,365.31) Period Ending Net Asset Value per Unit $12.086761 $12.086761 Investment Manager Fees ($2,864.60) ($3,756.92) IFA Loan Repayment $0.00 $0.00 Adjustment $0.00 $0.00 Realized Gain/Loss $31,522.17 $37,616.80 Unrealized Gain/Loss $29,428.57 $948,693.61 Ending Balance $42,507,600.59 $42,507,600.59 Performance Summary: GLEN ELLYN POLICE PENSION FUND Inception to Participant MTD QTD YTD One Year Three Years Five Years Ten Years Date Inception Date Net of Fees: 0.17% 2.43% 2.43% 10.30% N/A N/A N/A 5.61% 04/06/2022 Returns for periods greater than one year are annualized Contact Information: Illinois Police Officers’ Pension Investment Fund, 456 Fulton Street, Suite 402 Peoria, Illinois 61602 Phone: (309) 280-6464 Email: Info@ipopif.org Page 2 of 3 Page 9 of 42 Statement of Transaction Detail for the Month Ending 02/28/2025 GLEN ELLYN POLICE PENSION FUND Trade Date Settle Date Description Amount Unit Value Units IPOPIF Pool 02/20/2025 02/21/2025 Redemptions (63,636.00) 12.203030 (5,214.7704) 02/27/2025 02/28/2025 Contribution 80,700.00 12.052456 6,695.7307 Page 3 of 3 Page 10 of 42  February 2025 Statement Supplement Cash Flows Period Contributions Withdrawals February 2025 $50 million $59 million CY 2025 $105 million $116 million Expenses Paid Administrative Investment Direct Investment Period Expenses Expenses Manager Fees 2/3/2025 $142,906.56 $280,271.60 $873,459.45 CY 2025 $407,312.30 $416,444.33 $1,145,832.55 • Expenses are paid from the IPOPIF Pool and allocated proportionately by member value. • Investment expenses exclude investment manager fees. • Direct Investment Manager Fee includes those fees invoiced and paid by IPOPIF. Other investment manager fees are tracked separately and reported to the Board and disclosed in the Fund’s Annual Comprehensive Financial Report. Investment Pool Details Date Units Value Unit Price 1/31/2025 1,071,893,785.6264 12,933,724,276.08 12.066237 2/28/2025 1,071,155,250.3226 12,946,797,248.86 12.086761 A spreadsheet with complete unit and expense detail history is linked on the Article 3 Fund Reports page as IPOPIF Unit and Expense Information.xlsx. NAV and Receivable Calculations Under Development The IPOPIF AR 2022-01 Valuation and Cost Rule.pdf, stipulates that subsequent to transfer of investment assets from all Article 3 Funds, the Net Asset Value (NAV) for each Participating Police Pension Fund will include a final true-up allocation of all costs paid using funds from the total consolidated IPOPIF investment portfolio for the period January 1, 2023, through December 31, 2024, and all loan payments made to the Illinois Finance Authority subsequent to January 1, 2023. These adjustments are expected to be completed in the first quarter of 2025. Resources • Monthly statement overview: Link to Statement Overview • Monthly financial reports: https://www.ipopif.org/reports/monthly-financial-reports/ • Monthly and quarterly investment reports: https://www.ipopif.org/reports/investment- reports/ • IPOPIF Board Meeting Calendar: https://www.ipopif.org/meetings/calendar/ Illinois Police Officers’ Pension Investment Fund 309-280-6464 456 Fulton Street, Suite 402 info@ipopif.org Peoria, Illinois 61602 Page 11 of 42 GLEN ELLYN POLICE PENSION FUND Month Ended: March 31, 2025 Market Value Summary: Current Period Year to Date Beginning Balance $42,507,600.59 $41,447,815.46 Contributions $79,000.00 $259,100.00 Withdrawals ($63,636.00) ($190,908.00) Transfers In/Out $0.00 $0.00 Income $27,243.73 $54,347.59 Administrative Expense ($519.94) ($1,854.85) Investment Expense ($470.74) ($1,836.05) Investment Manager Fees ($353.14) ($4,110.06) IFA Loan Repayment $0.00 $0.00 Adjustment $0.00 $0.00 Realized Gain/Loss ($28,603.80) $9,013.00 Unrealized Gain/Loss ($819,031.76) $129,661.85 Ending Balance $41,701,228.94 $41,701,228.94 Performance Summary: Inception to Participant MTD QTD YTD One Year Three Years Five Years Ten Years Date Inception Date Net of Fees: (1.93%) 0.45% 0.45% 5.80% 4.52% N/A N/A 4.52% 04/01/2022 Returns for periods greater than one year are annualized Contact Information: Illinois Police Officers’ Pension Investment Fund, 456 Fulton Street, Suite 402 Peoria, Illinois 61602 Phone: (309) 280-6464 Email: Info@ipopif.org Page 1 of 3 Page 12 of 42 GLEN ELLYN POLICE PENSION FUND Fund Name: IPOPIF Pool Month Ended: March 31, 2025 Market Value Summary: Unit Value Summary: Current Period Year to Date Current Period Year to Date Beginning Balance $42,507,600.59 $41,447,815.46 Beginning Units 3,516,872.835 3,512,453.656 Contributions $79,000.00 $259,100.00 Unit Purchases from Additions 6,643.663 21,577.256 Withdrawals ($63,636.00) ($190,908.00) Unit Sales from Withdrawals (5,315.111) (15,829.525) Transfers In/Out $0.00 $0.00 Ending Units 3,518,201.386 3,518,201.386 Income $27,243.73 $54,347.59 Administrative Expense ($519.94) ($1,854.85) Period Beginning Net Asset Value per Unit $12.086761 $11.800246 Investment Expense ($470.74) ($1,836.05) Period Ending Net Asset Value per Unit $11.852997 $11.852997 Investment Manager Fees ($353.14) ($4,110.06) IFA Loan Repayment $0.00 $0.00 Adjustment $0.00 $0.00 Realized Gain/Loss ($28,603.80) $9,013.00 Unrealized Gain/Loss ($819,031.76) $129,661.85 Ending Balance $41,701,228.94 $41,701,228.94 Performance Summary: GLEN ELLYN POLICE PENSION FUND Inception to Participant MTD QTD YTD One Year Three Years Five Years Ten Years Date Inception Date Net of Fees: (1.93%) 0.45% 0.45% 5.80% N/A N/A N/A 4.76% 04/06/2022 Returns for periods greater than one year are annualized Contact Information: Illinois Police Officers’ Pension Investment Fund, 456 Fulton Street, Suite 402 Peoria, Illinois 61602 Phone: (309) 280-6464 Email: Info@ipopif.org Page 2 of 3 Page 13 of 42 Statement of Transaction Detail for the Month Ending 03/31/2025 GLEN ELLYN POLICE PENSION FUND Trade Date Settle Date Description Amount Unit Value Units IPOPIF Pool 03/21/2025 03/24/2025 Redemptions (63,636.00) 11.972656 (5,315.1114) 03/28/2025 03/31/2025 Contribution 79,000.00 11.891031 6,643.6628 Page 3 of 3 Page 14 of 42  March 2025 Statement Supplement Cash Flows Period Contributions Withdrawals March 2025 $76 million $63 million CY 2025 $181 million $179 million Expenses Paid Administrative Investment Direct Investment Period Expenses Expenses Manager Fees 3/3/2025 $158,359.96 $143,375.29 $107,556.49 CY 2025 $565,672.26 $559,819.62 $1,253,389.04 • Expenses are paid from the IPOPIF Pool and allocated proportionately by member value. • Investment expenses exclude investment manager fees. • Direct Investment Manager Fee includes those fees invoiced and paid by IPOPIF. Other investment manager fees are tracked separately and reported to the Board and disclosed in the Fund’s Annual Comprehensive Financial Report. Investment Pool Details Date Units Value Unit Price 2/28/2025 1,071,155,250.3226 12,946,797,248.86 12.086761 3/31/2025 1,072,322,085.7475 12,710,229,998.94 11.852997 A spreadsheet with complete unit and expense detail history is linked on the Article 3 Fund Reports page as IPOPIF Unit and Expense Information.xlsx. NAV and Receivable Calculations Under Development The IPOPIF AR 2022-01 Valuation and Cost Rule.pdf, stipulates that subsequent to transfer of investment assets from all Article 3 Funds, the Net Asset Value (NAV) for each Participating Police Pension Fund will include a final true-up allocation of all costs paid using funds from the total consolidated IPOPIF investment portfolio for the period January 1, 2023, through December 31, 2024, and all loan payments made to the Illinois Finance Authority subsequent to January 1, 2023. These adjustments are expected to be completed in the second quarter of 2025. Resources • Monthly statement overview: Link to Statement Overview • Monthly financial reports: https://www.ipopif.org/reports/monthly-financial-reports/ • Monthly and quarterly investment reports: https://www.ipopif.org/reports/investment- reports/ • IPOPIF Board Meeting Calendar: https://www.ipopif.org/meetings/calendar/ Illinois Police Officers’ Pension Investment Fund 309-280-6464 456 Fulton Street, Suite 402 info@ipopif.org Peoria, Illinois 61602 Page 15 of 42 Total Fund Illinois Police Officers' Pension Investment Fund Asset Allocation & Performance (Net of Fees) - Preliminary Period Ending: February 28, 2025 Market % of Target Since Inception 1 Mo QTD Fiscal YTD YTD 1 Yr 2024 2023 Value Portfolio (%) Inception Date Total Fund with Member and Transition Accounts 12,934,630,123 100.0 100.0 -0.1 2.4 6.6 2.4 10.4 9.8 13.7 5.4 03/01/22 Policy Index 0.0 2.4 6.6 2.4 10.3 9.7 14.2 5.3 Policy Index- Broad Based -0.2 2.3 6.7 2.3 10.8 10.8 16.8 5.2 IPOPIF Investment Portfolio 12,934,630,123 100.0 100.0 -0.1 2.3 6.4 2.3 10.2 9.6 13.7 5.3 04/01/22 Policy Index 0.0 2.4 6.6 2.4 10.3 9.7 14.2 5.3 Policy Index- Broad Based -0.2 2.3 6.7 2.3 10.8 10.8 16.8 5.1 Growth 7,501,810,121 58.0 58.0 -1.0 2.5 6.7 2.5 11.9 12.8 19.4 6.5 04/01/22 Growth Benchmark -1.0 2.6 6.8 2.6 11.9 12.8 19.5 6.4 RhumbLine Russell 1000 Index 2,951,114,804 22.8 23.0 -1.8 1.4 10.5 1.4 18.1 24.5 26.5 11.0 04/01/22 Russell 1000 Index -1.7 1.4 10.5 1.4 18.1 24.5 26.5 11.2 RhumbLine Russell 2000 Index 606,039,610 4.7 5.0 -5.3 -2.8 6.5 -2.8 6.7 11.6 16.8 2.9 04/01/22 Russell 2000 Index -5.3 -2.9 6.5 -2.9 6.7 11.5 16.9 3.0 SSgA Non-US Developed Index 2,442,679,467 18.9 19.0 1.8 6.8 6.6 6.8 9.9 5.0 18.3 6.4 04/01/22 MSCI World ex U.S. (Net) 1.8 6.8 6.6 6.8 9.5 4.7 17.9 6.1 International Developed Small Cap Equity 647,646,189 5.0 5.0 0.0 2.4 5.4 2.4 9.7 6.1 12.9 1.8 04/01/22 MSCI World ex U.S. Small Cap Index (Net) -0.4 2.8 4.6 2.8 7.1 2.8 12.6 0.6 Acadian ACWI ex US Small-Cap Fund 320,947,842 2.5 2.5 -0.5 1.2 4.6 1.2 10.8 - - 12.7 02/01/24 MSCI AC World ex USA Small Cap (Net) -1.1 0.3 0.8 0.3 4.4 - - 5.0 WCM International Small Cap Growth Fund 163,057,743 1.3 1.3 -0.9 1.8 6.0 1.8 4.7 - - 4.7 03/01/24 MSCI AC World ex USA Small Cap (Net) -1.1 0.3 0.8 0.3 4.4 - - 4.4 LSV International Small Cap Value Equity Fund 163,640,605 1.3 1.3 2.0 5.2 6.3 5.2 9.7 - - 9.7 03/01/24 S&P Developed Ex-U.S. SmallCap (Net) 0.0 3.3 2.2 3.3 5.3 - - 5.3 Emerging Market Equities 854,330,051 6.6 6.0 -4.3 -2.3 -6.6 -2.3 0.7 2.9 9.7 -1.5 04/01/22 Emerging Markets Equity Benchmark -3.8 -1.8 -5.3 -1.8 2.4 4.2 9.8 -1.2 SSgA Emerging Markets ex China Equity 210,258,846 1.6 1.1 -3.4 -1.8 -6.4 -1.8 - - - -1.2 05/01/24 MSCI Emerging Markets ex China (Net) -3.8 -1.8 -6.2 -1.8 - - - -0.6 William Blair Emerging Markets ex China Growth Fund 264,342,649 2.0 2.0 -6.6 -8.9 - -8.9 - - - -8.9 01/01/25 MSCI Emerging Markets ex China IMI (Net) -3.8 -2.6 - -2.6 - - - -2.6 ARGA Emerging Markets Ex China Equity 379,728,556 2.9 2.9 -3.2 3.3 - 3.3 - - - -0.4 12/01/24 MSCI Emerging Markets ex China (Net) -3.8 -1.8 - -1.8 - - - -2.9 The Principal USPA Real Estate Fund is benchmarked against the NCREIF ODCE index on a quarterly basis and against itself for the purpose of monthly flash reports due to quarterly index data availability. Emerging Market Equities includes the 2/27 $95,000,000 contribution to ARGA for 3/1 funding, and the $102,000,000 distribution from SSgA Emerging Markets ex China that settles on 3/4. 1 Page 16 of 42 Total Fund Illinois Police Officers' Pension Investment Fund Asset Allocation & Performance (Net of Fees) - Preliminary Period Ending: February 28, 2025 Market % of Target Since Inception 1 Mo QTD Fiscal YTD YTD 1 Yr 2024 2023 Value Portfolio (%) Inception Date Income 2,119,963,597 16.4 16.0 0.9 2.2 7.1 2.2 9.7 7.6 12.8 4.2 04/01/22 Income Benchmark 0.9 2.2 7.1 2.2 9.7 7.5 12.6 5.0 SSgA High Yield Corporate Credit 935,577,158 7.2 7.0 0.7 2.1 7.8 2.1 10.3 8.4 13.8 5.3 04/01/22 Spliced SSgA U.S. High Yield Index 0.7 2.0 7.6 2.0 10.1 8.2 13.5 5.3 Emerging Market Debt 786,186,959 6.1 6.0 1.4 3.0 7.1 3.0 9.7 6.5 11.2 3.0 04/01/22 Emerging Markets Debt Benchmark 1.6 3.0 7.2 3.0 9.8 6.5 11.1 4.4 SSgA EMD Hard Index Fund 590,688,017 4.6 4.5 1.6 3.0 7.6 3.0 10.2 6.9 11.2 3.1 04/01/22 Spliced SSgA EMD Hard Index 1.6 3.0 7.2 3.0 9.8 6.5 11.1 3.5 Capital Group Emerging Markets Debt 195,498,943 1.5 1.5 1.0 3.0 - 3.0 - - - 1.1 11/01/24 Spliced Capital Group EMD Index 1.1 2.7 - 2.7 - - - 1.3 Bank Loans 398,199,480 3.1 3.0 0.1 0.7 5.0 0.7 8.0 - - 8.0 03/01/24 S&P UBS Leveraged Loan Index 0.2 0.9 5.3 0.9 8.2 - - 8.2 Ares Institutional Loan Fund 132,724,695 1.0 1.0 0.1 0.7 5.5 0.7 8.6 - - 8.6 03/01/24 S&P UBS Leveraged Loan Index 0.2 0.9 5.3 0.9 8.2 - - 8.2 Aristotle Institutional Loan Fund 265,474,785 2.1 2.0 0.2 0.7 4.8 0.7 7.6 - - 7.6 03/01/24 S&P UBS Leveraged Loan Index 0.2 0.9 5.3 0.9 8.2 - - 8.2 Real Assets 737,708,897 5.7 6.0 2.7 3.7 10.9 3.7 11.6 5.7 5.6 1.3 04/01/22 Real Assets Benchmark 2.5 3.5 10.0 3.5 10.2 4.8 4.7 -1.6 SSgA REITs Index 523,083,270 4.0 4.0 3.9 5.1 14.2 5.1 16.2 8.0 13.9 -0.2 04/01/22 Dow Jones U.S. Select REIT Total Return Index 3.9 5.1 14.3 5.1 16.2 8.1 14.0 -0.1 Principal USPA 214,625,627 1.7 2.0 -0.1 0.4 1.3 0.4 -0.7 -1.9 -10.7 -5.8 05/01/22 Risk Mitigation 2,574,770,081 19.9 20.0 1.2 1.7 4.2 1.7 5.8 3.8 5.0 2.7 04/01/22 Risk Mitigation Benchmark 1.2 1.7 4.3 1.7 5.8 3.9 4.9 2.6 SSgA US Treasury Index 388,854,962 3.0 3.0 2.2 2.7 4.2 2.7 - - - 6.8 05/01/24 Blmbg. U.S. Treasury Index 2.2 2.7 4.2 2.7 - - - 6.8 SSgA Core Fixed Income Index 390,255,992 3.0 3.0 2.2 2.7 4.8 2.7 5.9 1.4 5.6 0.5 04/01/22 Blmbg. U.S. Aggregate Index 2.2 2.7 4.8 2.7 5.8 1.3 5.5 0.5 SSgA Short-Term Gov't/Credit Index 1,306,735,737 10.1 10.0 0.7 1.2 4.2 1.2 5.6 4.4 4.6 3.1 04/01/22 Bloomberg U.S. Gov/Credit 1-3 Year Index 0.7 1.2 4.1 1.2 5.5 4.4 4.6 3.0 SSgA US TIPS Index 395,819,011 3.1 3.0 1.2 2.0 4.5 2.0 6.7 4.8 4.6 2.8 04/01/22 Blmbg. U.S. TIPS 0-5 Year 1.1 2.1 4.5 2.1 6.6 4.7 4.6 3.0 Cash 93,104,379 0.7 1.0 0.3 0.6 3.0 0.6 4.8 5.0 5.0 3.9 04/01/22 90 Day U.S. Treasury Bill 0.3 0.7 3.3 0.7 5.1 5.3 5.0 4.2 IPOPIF Pool Fixed Income Transition 377,427 0.0 - Member Accounts - 0.0 - Transition Account - 0.0 - The Principal USPA Real Estate Fund is benchmarked against the NCREIF ODCE index on a quarterly basis and against itself for the purpose of monthly flash reports due to quarterly index data availability. Cash market value excludes the $102,000,000 sale of SSgA Emerging Markets ex China that settles on 3/4. 2 Page 17 of 42 Total Fund Illinois Police Officers' Pension Investment Data Sources and Methodology Page Fund Period Ending: February 28, 2025 Performance Return Calculations Performance is calculated using Time Weighted Rates of Return (TWRR) methodologies. Monthly returns are geometrically linked and annualized for periods longer than one year. Data Source Verus is an independent third party consulting firm and calculates returns from best source book of record data. Returns calculated by Verus may deviate from those shown by the manager in part, but not limited to, differences in prices and market values reported by the custodian and manager, as well as significant cash flows into or out of an account. It is the responsibility of the manager and custodian to provide insight into the pricing methodologies and any difference in valuation. Manager Line Up Manager Inception Date Data Source Manager Inception Date Data Source RhumbLine Russell 1000 Index Fund 3/15/2022 State Street SSgA EMD Hard Index Fund 3/14/2022 State Street RhumbLine Russell 2000 Index Fund 3/15/2022 State Street Capital Group Emerging Markets Debt Fund 10/21/2024 State Street SSgA Non-US Developed Index Fund 3/10/2022 State Street Ares Institutional Loan Fund 3/1/2024 Ares SSgA Non-US Developed SC Index Fund 3/10/2022 State Street Aristotle Institutional Loan Fund 3/1/2024 Aristotle Acadian ACWI ex US Small-Cap Fund 1/30/2024 State Street Principal USPA 4/6/2022 State Street WCM International Small Cap Growth Fund 3/1/2024 WCM SSgA REITs Index Fund 3/10/2022 State Street LSV International Small Cap Value Equity Fund 3/1/2024 LSV SSgA US Treasury Index Fund 5/1/2024 State Street SSgA Emerging Markets Equity Index Fund 3/1/2022 State Street SSgA Core Fixed Income Index Fund 3/17/2022 State Street SSgA Emerging Markets ex China Equity Index Fun 5/1/2024 State Street SSgA Short-Term Gov't/Credit Index Fund 3/17/2022 State Street William Blair EM ex China Growth Fund 12/9/2024 William Blair SSgA US TIPS Index Fund 3/17/2022 State Street ARGA Emerging Markets Ex China Equity 12/1/2024 ARGA Cash 3/22/2022 State Street SSgA High Yield Corporate Credit 3/18/2022 State Street Custom Benchmark Composition Benchmark Time period Composition Policy Index -Broad Benchmark 4/1/2022 - Present 70% MSCI ACWI IMI (Net) and 30% Bloomberg Global Multiverse. Spliced SSgA EMD Hard Benchmark 7/1/2023 - Present 100% JPM EMBI Global Diversified Index Spliced SSgA EMD Hard Benchmark 3/14/2022 - 6/30/2022 100% JPM EMBI Global Core Index Spliced SSgA U.S. High Yield Index 12/1/2022 - Present 100% ICE BofA US High yield Master II Constrained Spliced SSgA U.S. High Yield Index 4/1/2022 - 11/30/2022 100% Bloomberg U.S. High Yield Very Liquid Index Spliced Capital Group EMD Benchmark 1/1/2025 - Present 50% JPM GBI EM GD/30% JPM EMBI GD/20% JPM CEMBI BD Spliced Capital Group EMD Benchmark 10/21/2024 - 12/31/2024 50% JPM EMBI GD/50% JPM GBI EM GD 3 Page 18 of 42 Total Fund Illinois Police Officers' Pension Investment Data Sources and Methodology Page Fund Period Ending: February 28, 2025 Policy Index Composition Policy Risk As of 12/1/2024 Policy Index Growth Income Real Assets Risk Mitigation As of 11/1/2024 Index Growth Income Real Assets Mitigation Russell 1000 23.0% 39.7% Russell 1000 23% 39.7% Russell 2000 5.0% 8.6% Russell 2000 5% 8.6% MSCI World ex U.S. 19.0% 32.8% MSCI World ex U.S. 19% 32.8% MSCI World ex U.S. Small Cap 5.0% 8.6% MSCI World ex U.S. Small Cap 5% 8.6% MSCI Emerging Markets ex China 6.0% 10.3% MSCI Emerging Markets 0.7% 1.2% Bloomberg US Corporate High Yield Index 7.0% 43.8% MSCI Emerging Markets ex China 5.3% 9.2% JPM EMBI Global Diversified Index 6.0% 37.5% Bloomberg US Corporate High Yield Index 7% 43.8% Credit Suisse Leveraged Loan Index 3.0% 18.8% JPM EMBI Global Diversified Index 6% 37.5% NFI-ODCE Equal-Weighted Index 2.0% 33.3% Credit Suisse Leveraged Loan Index 3% 18.8% Dow Jones US Select REIT Index 4.0% 66.7% NFI-ODCE Equal-Weighted Index 2% 33.3% Bloomberg US Aggregate Index 3.0% 15.0% Dow Jones US Select REIT Index 4% 66.7% Bloomberg US Treasury Index 3.0% 15.0% Bloomberg US Aggregate Index 3% 15.0% Bloomberg 1-3 Year Gov/Credit Index 10.0% 50.0% Bloomberg US Treasury Index 3% 15.0% Bloomberg US TIPS 0-5 Year 3.0% 15.0% Bloomberg 1-3 Year Gov/Credit Index 10% 50.0% 90 Day US Treasury Bill Index 1.0% 5.0% Bloomberg US TIPS 0-5 Year 3% 15.0% 90 Day US Treasury Bill Index 1% 5.0% Policy Risk As of 10/1/2024 Policy Index Growth Income Real Assets Risk Mitigation As of 9/1/2024 Index Growth Income Real Assets Mitigation Russell 1000 23% 39.7% Russell 1000 23% 39.7% Russell 2000 5% 8.6% Russell 2000 5% 8.6% MSCI World ex U.S. 19% 32.8% MSCI World ex U.S. 19% 32.8% MSCI World ex U.S. Small Cap 5% 8.6% MSCI World ex U.S. Small Cap 5% 8.6% MSCI Emerging Markets 0.8% 1.4% MSCI Emerging Markets 1.5% 2.6% MSCI Emerging Markets ex China 5.2% 9.0% MSCI Emerging Markets ex China 4.5% 7.8% Bloomberg US Corporate High Yield Index 7% 43.8% Bloomberg US Corporate High Yield Index 7% 43.8% JPM EMBI Global Diversified Index 6% 37.5% JPM EMBI Global Diversified Index 6% 37.5% Credit Suisse Leveraged Loan Index 3% 18.8% Credit Suisse Leveraged Loan Index 3% 18.8% NFI-ODCE Equal-Weighted Index 2% 33.3% NFI-ODCE Equal-Weighted Index 2% 33.3% Dow Jones US Select REIT Index 4% 66.7% Dow Jones US Select REIT Index 4% 66.7% Bloomberg US Aggregate Index 3% 15.0% Bloomberg US Aggregate Index 3% 15.0% Bloomberg US Treasury Index 3% 15.0% Bloomberg US Treasury Index 3% 15.0% Bloomberg 1-3 Year Gov/Credit Index 10% 50.0% Bloomberg 1-3 Year Gov/Credit Index 10% 50.0% Bloomberg US TIPS 0-5 Year 3% 15.0% Bloomberg US TIPS 0-5 Year 3% 15.0% 90 Day US Treasury Bill Index 1% 5.0% 90 Day US Treasury Bill Index 1% 5.0% Policy Risk As of 8/1/2024 Policy Index Growth Income Real Assets Risk Mitigation As of 7/1/2024 Index Growth Income Real Assets Mitigation Russell 1000 23% 39.7% Russell 1000 23% 39.7% Russell 2000 5% 8.6% Russell 2000 5% 8.6% MSCI World ex U.S. 19% 32.8% MSCI World ex U.S. 19% 32.8% MSCI World ex U.S. Small Cap 5% 8.6% MSCI World ex U.S. Small Cap 5% 8.6% MSCI Emerging Markets 2% 3.4% MSCI Emerging Markets 3% 5.2% MSCI Emerging Markets ex China 4% 6.9% MSCI Emerging Markets ex China 3% 5.2% Bloomberg US Corporate High Yield Index 7% 43.8% Bloomberg US Corporate High Yield Index 7% 43.8% JPM EMBI Global Diversified Index 6% 37.5% JPM EMBI Global Diversified Index 6% 37.5% Credit Suisse Leveraged Loan Index 3% 18.8% Credit Suisse Leveraged Loan Index 3% 18.8% NFI-ODCE Equal-Weighted Index 2% 33.3% NFI-ODCE Equal-Weighted Index 2% 33.3% Dow Jones US Select REIT Index 4% 66.7% Dow Jones US Select REIT Index 4% 66.7% Bloomberg US Aggregate Index 3% 15.0% Bloomberg US Aggregate Index 3% 15.0% Bloomberg US Treasury Index 3% 15.0% Bloomberg US Treasury Index 3% 15.0% Bloomberg 1-3 Year Gov/Credit Index 10% 50.0% Bloomberg 1-3 Year Gov/Credit Index 10% 50.0% Bloomberg US TIPS 0-5 Year 3% 15.0% Bloomberg US TIPS 0-5 Year 3% 15.0% 90 Day US Treasury Bill Index 1% 5.0% 90 Day US Treasury Bill Index 1% 5.0% 3 Page 19 of 42 Total Fund Illinois Police Officers' Pension Investment Data Sources and Methodology Page Fund Period Ending: February 28, 2025 Policy Index Composition Policy Risk As of 6/1/2024 Policy Index Growth Income Real Assets Risk Mitigation As of 5/1/2024 Index Growth Income Real Assets Mitigation Russell 1000 23% 39.7% Russell 1000 23% 39.7% Russell 2000 5% 8.6% Russell 2000 5% 8.6% MSCI World ex U.S. 19% 32.8% MSCI World ex U.S. 19% 32.8% MSCI World ex U.S. Small Cap 5% 8.6% MSCI World ex U.S. Small Cap 5% 8.6% MSCI Emerging Markets 4% 6.9% MSCI Emerging Markets 5% 8.6% MSCI Emerging Markets ex China 2% 3.4% MSCI Emerging Markets ex China 1% 1.7% Bloomberg US Corporate High Yield Index 7% 43.8% Bloomberg US Corporate High Yield Index 7% 43.8% JPM EMBI Global Diversified Index 6% 37.5% JPM EMBI Global Diversified Index 6% 37.5% Credit Suisse Leveraged Loan Index 3% 18.8% Credit Suisse Leveraged Loan Index 3% 18.8% NFI-ODCE Equal-Weighted Index 2% 33.3% NFI-ODCE Equal-Weighted Index 2% 33.3% Dow Jones US Select REIT Index 4% 66.7% Dow Jones US Select REIT Index 4% 66.7% Bloomberg US Aggregate Index 3% 15.0% Bloomberg US Aggregate Index 3% 15.0% Bloomberg US Treasury Index 2% 10.0% Bloomberg US Treasury Index 1% 5.0% Bloomberg 1-3 Year Gov/Credit Index 11% 55.0% Bloomberg 1-3 Year Gov/Credit Index 12% 60.0% Bloomberg US TIPS 0-5 Year 3% 15.0% Bloomberg US TIPS 0-5 Year 3% 15.0% 90 Day US Treasury Bill Index 1% 5.0% 90 Day US Treasury Bill Index 1% 5.0% Policy Risk As of 4/1/2024 Policy Index Growth Income Real Assets Risk Mitigation As of 3/1/2024 Index Growth Income Real Assets Mitigation Russell 1000 23% 39.7% Russell 1000 23% 39.7% Russell 2000 5% 8.6% Russell 2000 5% 8.6% MSCI World ex U.S. 19% 32.8% MSCI World ex U.S. 18% 31.0% MSCI World ex U.S. Small Cap 5% 8.6% MSCI World ex U.S. Small Cap 5% 8.6% MSCI Emerging Markets 6% 10.3% MSCI Emerging Markets 7% 12.1% Bloomberg US Corporate High Yield Index 7% 43.8% Bloomberg US Corporate High Yield Index 8.5% 53.1% JPM EMBI Global Diversified Index 6% 37.5% JPM EMBI Global Diversified Index 6% 37.5% Credit Suisse Leveraged Loan Index 3% 18.8% Credit Suisse Leveraged Loan Index 1.5% 9.4% NFI-ODCE Equal-Weighted Index 2% 33.3% NFI-ODCE Equal-Weighted Index 2% 33.3% Dow Jones US Select REIT Index 4% 66.7% Dow Jones US Select REIT Index 4% 66.7% Bloomberg US Aggregate Index 3% 15.0% Bloomberg US Aggregate Index 3% 15.0% Bloomberg 1-3 Year Gov/Credit Index 13% 65.0% Bloomberg 1-3 Year Gov/Credit Index 13% 65.0% Bloomberg US TIPS 0-5 Year 3% 15.0% Bloomberg US TIPS 0-5 Year 3% 15.0% 90 Day US Treasury Bill Index 1% 5.0% 90 Day US Treasury Bill Index 1% 5.0% Policy Risk As of 5/1/2023 Policy Index Growth Income Real Assets Risk Mitigation As of 1/1/2023 Index Growth Income Real Assets Mitigation Russell 1000 23% 39.7% Russell 1000 18% 36.0% Russell 2000 5% 8.6% Russell 2000 5% 10.0% MSCI World ex U.S. 18% 31.0% MSCI World ex U.S. 15% 30.0% MSCI World ex U.S. Small Cap 5% 8.6% MSCI World ex U.S. Small Cap 5% 10.0% MSCI Emerging Markets 7% 12.1% MSCI Emerging Markets 7% 14.0% Bloomberg US Corporate High Yield Index 10% 62.5% Bloomberg US Corporate High Yield Index 10% 62.5% JPM EMBI Global Diversified Index 6% 37.5% JPM EMBI Global Diversified Index 6% 37.5% NFI-ODCE Equal-Weighted Index 2% 33.3% NFI-ODCE Equal-Weighted Index 2% 33.3% Dow Jones US Select REIT Index 4% 66.7% Dow Jones US Select REIT Index 4% 66.7% Bloomberg US Aggregate Index 3% 15.0% Bloomberg US Aggregate Index 7% 25.0% Bloomberg 1-3 Year Gov/Credit Index 13% 65.0% Bloomberg 1-3 Year Gov/Credit Index 15% 53.6% Bloomberg US TIPS 0-5 Year 3% 15.0% Bloomberg US TIPS 0-5 Year 3% 10.7% 90 Day US Treasury Bill Index 1% 5.0% 90 Day US Treasury Bill Index 3% 10.7% 3 Page 20 of 42 Total Fund Illinois Police Officers' Pension Investment Data Sources and Methodology Page Fund Period Ending: February 28, 2025 Policy Index Composition As of 3/31/2022 Policy Index Growth Income Real Assets Risk Mitigation Russell 3000 23% 46.0% MSCI ACWI ex USA IMI 20% 40.0% MSCI Emerging Markets IMI 7% 14.0% Bloomberg US Corporate High Yield Index 10% 62.5% 50% JPM EMBI GD/50% JPM GBI EM GD 6% 37.5% NCREIF Property Index 2% 66.7% Dow Jones US Select REIT Index 4% 33.3% Bloomberg US Aggregate Index 7% 25.0% Bloomberg 1-3 Year Gov/Credit Index 15% 53.6% Bloomberg US TIPS 0-5 Year 3% 10.7% 90 Day US Treasury Bill Index 3% 10.7% 3 Page 21 of 42 Disclosure This report contains confidential and proprietary information and is subject to the terms and conditions of the Consulting Agreement. It is being provided for use solely by the customer. The report may not be sold or otherwise provided, in whole or in part, to any other person or entity without written permission from Verus Advisory, Inc., (hereinafter Verus) or as required by law or any regulatory authority. The information presented does not constitute a recommendation by Verus and cannot be used for advertising or sales promotion purposes. This does not constitute an offer or a solicitation of an offer to buy or sell securities, commodities or any other financial instruments or products. The information presented has been prepared using data from third party sources that Verus believes to be reliable. While Verus exercised reasonable professional care in preparing the report, it cannot guarantee the accuracy of the information provided by third party sources. Therefore, Verus makes no representations or warranties as to the accuracy of the information presented. Verus takes no responsibility or liability (including damages) for any error, omission, or inaccuracy in the data supplied by any third party. Nothing contained herein is, or should be relied on as a promise, representation, or guarantee as to future performance or a particular outcome. Even with portfolio diversification, asset allocation, and a long‐term approach, investing involves risk of loss that the investor should be prepared to bear. The information presented may be deemed to contain forward‐looking information. Examples of forward looking information include, but are not limited to, (a) projections of or statements regarding return on investment, future earnings, interest income, other income, growth prospects, capital structure and other financial terms, (b) statements of plans or objectives of management,(c) statements of future economic performance, and (d) statements of assumptions, such as economic conditions underlying other statements. Such forward‐looking information can be identified by the use of forward looking terminology such as believes, expects, may, will, should, anticipates, or the negative of any of the foregoing or other variations thereon comparable terminology, or by discussion of strategy. No assurance can be given that the future results described by the forward‐looking information will be achieved. Such statements are subject to risks, uncertainties, and other factors which could cause the actual results to differ materially from future results expressed or implied by such forward looking information. The findings, rankings, and opinions expressed herein are the intellectual property of Verus and are subject to change without notice. The information presented does not claim to be all‐inclusive, nor does it contain all information that clients may desire for their purposes. The information presented should be read in conjunction with any other material provided by Verus, investment managers, and custodians. Verus will make every reasonable effort to obtain and include accurate market values. However, if managers or custodians are unable to provide the reporting period's market values prior to the report issuance, Verus may use the last reported market value or make estimates based on the manager's stated or estimated returns and other information available at the time. These estimates may differ materially from the actual value. Hedge fund market values presented in this report are provided by the fund manager or custodian. Market values presented for private equity investments reflect the last reported NAV by the custodian or manager net of capital calls and distributions as of the end of the reporting period. These values are estimates and may differ materially from the investments actual value. Private equity managers report performance using an internal rate of return (IRR), which differs from the time‐weighted rate of return (TWRR) calculation done by Verus. It is inappropriate to compare IRR and TWRR to each other. IRR figures reported in the illiquid alternative pages are provided by the respective managers, and Verus has not made any attempts to verify these returns. Until a partnership is liquidated (typically over 10‐12 years), the IRR is only an interim estimated return. The actual IRR performance of any LP is not known until the final liquidation. Net‐of‐Fees Returns mean gross‐of‐fees returns reduced by fees and expenses charged by third‐party investment managers on the products of such managers held by client. Net‐of‐Fees Returns does not include a reduction of returns for Verus’ investment management and consulting fees, or other expenses incurred by the asset owner, fund or plan. Verus receives universe data from InvMetrics, eVestment Alliance, and Morningstar. We believe this data to be robust and appropriate for peer comparison. Nevertheless, these universes may not be comprehensive of all peer investors/managers but rather of the investors/managers that comprise that database. The resulting universe composition is not static and will change over time. Returns are annualized when they cover more than one year. Investment managers may revise their data after report distribution. Verus will make the appropriate correction to the client account but may or may not disclose the change to the client based on the materiality of the change. 4 Page 22 of 42  2025 IPPFA Trustee Training Opportunities IPPFA ONLINE SEMINAR COURSE WHEN: Ongoing • Online 8 hr. seminar (Recorded 2024) WHERE: IPPFA Website: www.ippfa.org/education/online-classes/ COST: IPPFA MEMBER: $285.00/seminar IPPFA NON-MEMBER: $570.00/seminar This online seminar agenda includes: • School's in Session - How to Ace your Fund Administration • Retirement Healthcare Funding • Private vs. Public Pensions • Pension Funding Policy • Legal Updates and Recent Court Cases • Ask Your Attorney • Fiduciary Liability Insurance vs. Directors and Officers Insurance • Benefit Enhancements to Attract and Retain Public Safety Officers • Consolidation Update • The Wonderfully Weird World of Administrative Review - this online seminar satisfies 8 hours of the required continuing pension trustee training 48 of 67 Page 23 of 42  16-hour Certified Trustee Programs* offered through IPPFA IPPFA ONLINE Certified Trustee Program COST: IPPFA MEMBER: $ 550.00 IPPFA NON-MEMBER: $1,100.00 Registration is online at the IPPFA website www.ippfa.org/education/trustee-program/ IPPFA In-Person Certified Trustee Program WHEN: TBA WHERE: TBA COST: IPPFA MEMBER: $500.00 IPPFA NON-MEMBER: $1,000.00 *On December 18, 2019, Governor J.B. Pritzker signed SB 1300, making it Public Act 101-0610. This act will consolidate all Article 3 and 4 pension fund's investment assets. Under Public Act 101-0610, training requirements have now been reduced from 32-hours to 16-hours of new trustee training, however all pension trustees will still need 4-hours of mandatory consolidation transition training. All Article 3 & 4 Pension Trustees elected or appointed are required to complete the 16-hour trustee certification course within 18 months of election or appointment to the board. 49 of 67 Page 24 of 42  2025 IPPFA Pension Conferences 2025 Illinois Pension Conference May 7th - 9th Eagle Ridge Resort, Galena, IL Agenda at a glance: Tuesday, May 6th - Heroes Family Fund Charity Golf Outing Wednesday, May 7th - Educational Sessions 12:00 pm to 5:00 pm Thursday, May 8th - Educational Sessions 8:00 am to 5:00 pm Friday, May 9th - Educational Sessions 9:00 am to 12:00 pm 2025 MidAmerican Pension Conference October 1st - 2nd Oak Brook Hills Resort, Oak Brook PLEASE NOTE THE SCHEDULE CHANGE TO 2 FULL DAYS Agenda at a glance: Tuesday, September 30th - Heroes Family Fund Charity Golf Outing Wednesday, October 1st - Educational Sessions 9:00 am to 5:00 pm Thursday, October 2nd - Educational Sessions 9:00 am to 5:00 pm No Friday Sessions For more information, please visit our website at www.ippfa.org. You may also call us at (630) 784-0406. 50 of 67 Page 25 of 42  FACT SHEET M ar c h 1 0 , 2 0 2 5 ARTICLE 3 AND ARTICLE 4 PENSION TRUSTEE CERTIFICATION All elected and appointed Article 3 (police officers) and Article 4 (firefighters) local pension board trustees are required to participate in state-mandated trustee certification training. WHAT IS THE FIRST YEAR CERTIFICATION REQUIREMENT? The trustee certification training requirement for a first year trustee is at least 16 hours. WHAT IS THE ANNUAL CERTIFICATION REQUIREMENT? Annually, all trustees must complete a minimum of eight hours of continuing trustee education. Trustees are permitted to re-take previously selected courses to satisfy the training requirement. WHERE CAN TRUSTEES RECEIVE THEIR TRAINING? The Illinois Municipal League provides this certification training at no charge to all trustees. More information is available at iml.org/pensiontrustees. Trustee certification training is provided online, in partnership with Eastern Illinois University, and in accordance with all statutory requirements. If you have questions regarding pension trustee certification, please contact us by email at pensiontrustees@iml.org. HOW MUCH DOES THE TRAINING COST? $0. The Illinois Municipal League provides this certification training at no charge. Really — it’s free = no charge. WHAT ARE SOME TRUSTEE EDUCATION TOPICS? There are currently 21 videos available, including: • Administrative Review (New) • Felony Divestiture (New) • Illinois Court System and Standard of Review (New) • Mock Disability Pension Hearing (New) • Pensionable Salary under Article 3 and 4 (New) • QILDRO Training (New) • Various Benefits Training (New) • Articles 3 and 4 Pension Disability Pension Overview • Duties and Ethical Obligations of a Pension Fund Fiduciary • Board Oversight of Cyber Risk: Before a Breach • Pension Plan Funding 101 • Illinois Public Employee Disability Act and Public Safety Employee Benefits Act • Managing Generational Differences and Unconscious Bias in the Workplace Scan for PDF Version ILLINOIS MUNICIPAL LEAGUE 500 East Capitol Avenue | P.O. Box 5180 | Springfield, IL 62705-5180 | Ph: 217.525.1220 | Fx: 217.525.7438 | iml.org 51 of 67 Page 26 of 42  ARTICLE 3 AND ARTICLE 4 Pension Trustee Certification Instructions Ma r c h 1 0 , 2 0 2 5 How to Register (All Users Must Create an Account): 1) Click here to visit the registration page. 2) At the top of the page, click “Register” to create an account and click “Submit.” 3) Click “Login” to enter your username and password. 4) At the top of the page, click on “Dashboard” in the main menu. 5) Click “My Courses.” 6) Under basic information, click on the course platform. 7) Once the new window opens, enter your username and password and click “Submit.” How to Take a Training Course: 1) After you sign into the course platform, select a training course. 2) Click “Content” on the navigation bar. 3) Scroll down and click the video link to open the training. 4) The training presentation is available by clicking “Download: PowerPoint Slides.” 5) After viewing the video, click “Quizzes” on the navigation bar to take the quiz assessment. A quiz will not be available until the training video has been viewed. 6) After passing the quiz, your certificate will take a few minutes to generate and will appear under “Certificates” on the navigation bar. 7) Click “Home” in the top left corner to return to the full course menu. If you have questions regarding Article 3 or Article 4 pension trustee certification, please contact us by email at pensiontrustees@iml.org. 52 of 67 Page 27 of 42  Pension Trustee Training Course Course Titles Credit Hours Administrative Review 0.75 hours New Articles 3 and 4 Pension Disability Pension Overview 2.50 hours Board Oversight of Cyber Risk: Before a Breach 2.00 hours Cyber Security: Best Practices 1.00 hour Developments and Potential Changes in Federal and State of Illinois Labor and Employment Laws 1.50 hours Duties and Ethical Obligations of a Pension Fund Fiduciary 1.50 hours Felony Divestiture 0.75 hours New How to Identify, Address and Prevent Sexual Harassment & Discrimination 1.00 hours Illinois Court System and Standard of Review 1.00 hours New Illinois Freedom of Information Act and Open Meetings Act 1.50 hours Illinois Public Employee Disability Act and Public Safety Employee Benefits Act 1.50 hours Let Me Ask You A Question 2.00 hours Managing Generational Differences and Unconscious Bias in the Workplace 1.50 hours Mock Disability Pension Hearing 1.75 hours New Pension Plan Assumption 101: Common Approaches to Setting Actuarial Assumptions 0.75 hours Pension Plan Funding 101: The Basics of Public Pension Funding Mechanics 0.75 hours Pensionable Salary Under Articles 3 and 4 1.00 hour New Public Pension Fund Accounting Principles 0.50 hours QILDRO Training 1.00 hour New Qualified Illinois Domestic Order “QILDRO” 1.50 hours Various Benefits Training 2.00 hours New 53 of 67 Page 28 of 42  2025 IPFA SPRING PENSION SEMINAR Friday May 2, 2025 Red Shift Empress Banquets 200 East Lake Street Addison, IL 60101 630-279-5900 IN-PERSON SEMINAR REGISTRATION FORM Municipality, (please print or type) District, or Firm: _____________________________________________ Address: _________________________________________________ City: ____________________________________________ , IL Zip: ____________ Phone: _____________________________ SEMINAR FEES: IPFA Members: $ 230.00 Non - Members: $ 320.00 Walk-In Registration: $ 340.00 Avoid the walk-in surcharge – register on or before Monday, April 28, 2025 Registration opens at 07:00, event begins at 08:00, & ends at 16:00 First Name: Last Name: e-mail Address: Member Non-Member ____________________ _________________________ ____________________________________ $_______.___ $_______.____ ____________________ _________________________ ____________________________________ $_______.___ $_______.____ ____________________ _________________________ ____________________________________ $_______.___ $_______.____ ____________________ _________________________ ____________________________________ $_______.___ $_______.____ ____________________ _________________________ ____________________________________ $_______.___ $_______.____ TOTAL CHECK ENCLOSED $_______.____ Payment must accompany this Registration Form and be received in our office on or before April 28, 2025 to qualify for lower rates. Reservations received after the above date will be charged walk-in registration fee. Requests for refunds must be received on or before Monday, April 28, 2025 for full fee credit. No credits of seminar fees after this date. Please mail the completed form to IPFA, 188 Industrial Drive, Suite 134, Elmhurst, IL 60126-1608, fax it to 630-833-2412, or scan & e-mail to ipfa@aol.com. Any questions, call 630-833-2405. For Tax Reporting Purposes our Federal I.D. Number is: 36-2650496. The Illinois Pension Statute requires continuing education for all pension board trustees. This seminar provides up to 8 hours of credits. For IPFA Office Use: Date: ___________ Check #: ___________ Amount: _____________ Payer: ________________________________________ ___________________________________________________________________________ 54 of 67 Page 29 of 42  Glen Ellyn Police Pension Fund Board of Trustees ______________________________ Notice of Election Results ______________________________ April 2025 Election Active Member Positions Nominations are closed and have resulted in: James Monson and Anthony Terranova running unopposed for the positions of: Active Member Trustees Two-Year Term Expiring May 11, 2027 James Monson and Anthony Terranova have accepted the positions as members of the Board of Trustees and has agreed to uphold the duties required. Elections conducted by Amy Weslow, Professional Services Administrator Lauterbach & Amen 55 of 67 Page 30 of 42  Glen Ellyn Police Pension Fund Board of Trustees ______________________________ Notice of Election Results ______________________________ April 2025 Election Retired Member Position Nominations are closed and have resulted in: Jim King running unopposed for the position of: Retired Member Trustee Two-Year Term Expiring May 11, 2027 Jim King has accepted the position as a member of the Board of Trustees and has agreed to uphold the duties required. Elections conducted by Amy Weslow, Professional Services Administrator Lauterbach & Amen 56 of 67 Page 31 of 42  Adele Korczak PO Box 2950 Hartford, CT 06104-2950 Phone: (630) 961-7035 Fax: (630)961-7020 Email: AKORCZAK@travelers.com March 19, 2025 Amy Homer ROCKWOOD COMPANY 20 N WACKER DR STE 600 RE: Benefit Plan: VILLAGE OF GLEN ELLYN POLICE PENSION 535 DUANE STREET GLEN ELLYN, IL 60137 Insurance Representative: Patrick Brankin 535 DUANE STREET GLEN ELLYN, IL 60137 Expiring Policy Number: 106082905 Policy Period: May 1, 2025 to May 1, 2026 Dear Amy Homer: On behalf of Travelers Casualty and Surety Company of America we are pleased to provide the attached proposal of insurance for your review. The quotes contained in this document are valid until the expiration of your current policy, and are subject to the provision of, and Travelers' review and acceptance of, the required underwriting information noted in the Contingencies section. Travelers reserves the right to change the quotes in this document, or to refuse to bind coverage entirely, based on review of the required underwriting information or based on adverse change in the risk(s) to be insured prior to the quote expiration date noted in this document. Please note that we require a response to this document prior to expiration of the Insured's current policy in order to facilitate policy renewal. The insured's current policy will expire and not be renewed in the absence of a request, and Travelers' agreement, to bind coverage. Travelers is pleased to offer Risk Management PLUS+ Online®, the industry's most comprehensive program for mitigating your management liability exposures, which is available to you at no additional cost. Please visit www.rmplusonline.com to view the services that are available. If you have additional questions about the site please contact your Underwriter. Travelers Casualty and Surety Company of America, a subsidiary of The Travelers Companies, Inc., has consistently earned high ratings for financial strength and claims-paying ability from independent rating services, including a current A.M. Best rating of A++*. Founded in 1853, The Travelers Companies, Inc. is a Fortune 500 company, a component of the Dow Jones Industrial Average, and a leading provider of property casualty insurance for businesses. Thank you for considering Travelers for your client's insurance coverages. We look forward to discussing this opportunity with you. Sincerely, Adele Korczak Travelers Bond & Specialty Insurance *A.M. Best's rating of A++ applies to Travelers Casualty and Surety Company of America as well as to certain insurance subsidiaries of Travelers that are members of the Travelers Insurance Companies pool; other subsidiaries are included in another rating pool or are separately rated. For a listing of companies rated by A.M. Best and other rating services visit www.travelers.com. Ratings listed herein are as of July 2023, are used with permission, and are subject to changes by the rating services. For the latest rating, access www.ambest.com. LTR-4000 Rev. 07-16 Page 1 of 4 © 2016 The Travelers Indemnity Company. All rights reserved. Page 32 of 42  Travelers Casualty and Surety Company of America QUOTE OPTION #1 LIABILITY COVERAGES: Additional Prior & Pending Continuity Coverage Limit Defense Retention Proceeding Date Limit Date Designated Benefit Plan Fiduciary $1,000,000 for all Claims N/A $10,000(A) for each 05/01/2002 05/01/2002 Liability Claim under Insuring Agreement A TOTAL ANNUAL PREMIUM - $5,915.00 (Other term options listed below, if available) COVERAGE DETAILS: Settlement Program Limit of Liability: $100,000 for each Settlement Program Notice, which amount is included within, and not in addition to, any applicable Designated Benefit Plan Fiduciary limit of liability HIPAA Limit of Liability: $25,000 which amount is included within, and not in addition to, any applicable Designated Benefit Plan Fiduciary limit of liability 502(c) Penalties Limit of Liability: N/A which amount is included within, and not in addition to, any applicable Designated Benefit Plan Fiduciary limit of liability EXTENDED REPORTING PERIOD AND RUN-OFF: Extended Reporting Period for Liability Coverages: Additional Premium Percentage: 75% Additional Months: 12 Run-Off Extended Reporting Period for Liability Coverages: Additional Premium Percentage: N/A Additional Months: N/A CLAIM DEFENSE FOR ASSOCIATION MANAGEMENT LIABILITY COVERAGE, LIABILITY COVERAGES AND/OR CYBER COVERAGE: Duty to Defend ANNUAL REINSTATEMENT: Liability Coverage Limit of Liability: N/A PREMIUM DETAIL: Term Payment Premium Taxes Surcharges Total Total Term Type Premium Premium 1 Year Prepaid $5,915.00 $0.00 $0.00 $5,915.00 $5,915.00 POLICY FORMS APPLICABLE TO QUOTE OPTION # 1: DBP-15001-1112 Designated Benefit Plan Fiduciary Liability Coverage Declarations DBP-16001-1112 Designated Benefit Plan Fiduciary Liability Coverage ENDORSEMENTS APPLICABLE TO QUOTE OPTION # 1: AFE-19029-0719 Cap On Losses From Certified Acts Of Terrorism Endorsement AFE-19030-0920 Federal Terrorism Risk Insurance Act Disclosure Endorsement DBP-17014-1218 Illinois Changes Endorsement LTR-4000 Rev. 07-16 Page 2 of 4 © 2016 The Travelers Indemnity Company. All rights reserved. Page 33 of 42  DBP-19001-1112 Designation of Insurance Representative Endorsement DBP-19003-1112 Governmental Plan Endorsement DBP-19083-0315 Global Coverage Compliance Endorsement CONTINGENCIES APPLICABLE TO QUOTE OPTION # 1: This quote is contingent on the acceptable underwriting review of the following information prior to the quote expiration date. None QUOTE NOTES: We will continue to monitor the Funding Ratio and active participants. If they decline we may need to get off account. NOTICES: It is the agent's or broker's responsibility to comply with any applicable laws regarding disclosure to the policyholder of commission or other compensation we pay, if any, in connection with this policy or program. Important Notice Regarding Compensation Disclosure For information about how Travelers compensates independent agents, brokers, or other insurance producers, please visit this website: http://www.travelers.com/w3c/legal/Producer_Compensation_Disclosure.html If you prefer, you can call the following toll-free number: 1-866-904-8348. Or you can write to us at Travelers, Agency Compensation, P.O. Box 2950, Hartford, CT 06104-2950. FEDERAL TERRORISM RISK INSURANCE ACT DISCLOSURE The federal Terrorism Risk Insurance Act of 2002 as amended (“TRIA”), establishes a program under which the Federal Government may partially reimburse “Insured Losses” (as defined in TRIA) caused by “Acts Of Terrorism” (as defined in TRIA). Act Of Terrorism is defined in Section 102(1) of TRIA to mean any act that is certified by the Secretary of the Treasury - in consultation with the Secretary of Homeland Security and the Attorney General of the United States - to be an act of terrorism; to be a violent act or an act that is dangerous to human life, property, or infrastructure; to have resulted in damage within the United States, or outside the United States in the case of certain air carriers or vessels or the premises of a United States Mission; and to have been committed by an individual or individuals as part of an effort to coerce the civilian population of the United States or to influence the policy or affect the conduct of the United States Government by coercion. The Federal Government's share of compensation for such Insured Losses is 80% of the amount of such Insured Losses in excess of each Insurer's “Insurer Deductible” (as defined in TRIA), subject to the “Program Trigger” (as defined in TRIA). In no event, however, will the Federal Government be required to pay any portion of the amount of such Insured Losses occurring in a calendar year that in the aggregate exceeds $100 billion, nor will any Insurer be required to pay any portion of such amount provided that such Insurer has met its Insurer Deductible. Therefore, if such Insured Losses occurring in a calendar year exceed $100 billion in the aggregate, the amount of any payments by the Federal Government and any coverage provided by this policy for losses caused by Acts Of Terrorism may be reduced. For each coverage provided by this policy that applies to such Insured Losses, the charge for such Insured Losses is no more than one percent of your premium, and does not include any charge for the portion of such Insured Losses covered by the Federal Government under TRIA. Please note that no separate additional premium charge has been made for coverage for Insured Losses covered by TRIA. The premium charge that is allocable to such coverage is inseparable from and imbedded in your overall premium. Coverage Disclaimer: THIS QUOTE DOES NOT AMEND, OR OTHERWISE AFFECT, THE PROVISIONS OR COVERAGE OF ANY RESULTING INSURANCE POLICY ISSUED BY TRAVELERS. IT IS NOT A REPRESENTATION THAT COVERAGE DOES OR DOES NOT EXIST FOR ANY PARTICULAR CLAIM OR LOSS UNDER ANY SUCH POLICY. COVERAGE DEPENDS ON THE APPLICABLE PROVISIONS OF THE ACTUAL POLICY ISSUED, THE FACTS LTR-4000 Rev. 07-16 Page 3 of 4 © 2016 The Travelers Indemnity Company. All rights reserved. Page 34 of 42  AND CIRCUMSTANCES INVOLVED IN THE CLAIM OR LOSS AND ANY APPLICABLE LAW. THE PRECEDING OUTLINES THE COVERAGE FORMS, LIMITS OF INSURANCE, POLICY ENDORSEMENTS AND OTHER TERMS AND CONDITIONS PROVIDED IN THIS QUOTE. ANY POLICY COVERAGES, LIMITS OF INSURANCE, POLICY ENDORSEMENTS, COVERAGE SPECIFICATIONS, OR OTHER TERMS AND CONDITIONS THAT YOU HAVE REQUESTED THAT ARE NOT INCLUDED IN THIS QUOTE HAVE NOT BEEN AGREED TO BY TRAVELERS. PLEASE REVIEW THIS QUOTE CAREFULLY AND IF YOU HAVE ANY QUESTIONS, PLEASE CONTACT YOUR TRAVELERS REPRESENTATIVE. LTR-4000 Rev. 07-16 Page 4 of 4 © 2016 The Travelers Indemnity Company. All rights reserved. Page 35 of 42  Volume 26, Issue 2, April 2025 Legal and Legislative Update Disability Claim Remanded to Pension In This Issue… Board Despite Failure to Treat 1 Disability Claim Remanded to Pension Board Despite Failure to Treat Petersen v. The Bd. of Trustees of the Oak Lawn 2 Firefighter Awarded PSEBA Benefits After Police Pension Fd., 2025 IL App (1st) 240591-U Patient Transfer Injury Plaintiff originally applied for duty disability 4 Trial Court Upholds Tier 2 Classification benefits after injuring his shoulder responding to for Judges with Prior Service two separate domestic incidents. Plaintiff 5 Chicago Annuitants Again Denied Increased underwent surgery to repair a partial rotator cuff Insurance Benefits tear and a “SLAP” tear in his right shoulder. Following surgery and physical therapy, Plaintiff 6 Suggested Agenda Items for July 2025 returned to light-duty, yet he continued to experience problems with his right shoulder. 7 RDL News Plaintiff sought several doctors’ opinions as to his post-surgical medical condition. Ultimately, he wrestled a male subject to the ground, tackling and was diagnosed with an intrasubstance rotator cuff pinning him using both arms and knees to restrain tear and an intrasubstance supraspinatus tear. the subject until police arrived. Body camera Surgery was recommended by all doctors making videos of the incident were made available to the this diagnosis. Notably, those doctors expected Pension Board. Plaintiff to make a full recovery given his age and physical fitness. Nevertheless, Plaintiff chose not At the hearing, Plaintiff amended his application to to have surgery. alternatively request a non-duty disability. The independent medical examiners (“IMEs”) After Plaintiff was taken off light duty and stripped evaluated the evidence and gave conflicting of his police powers, he was involved in an off-duty opinions as to disability but also gave unanimous altercation where he intervened in a possible opinions as to surgery returning Plaintiff to full domestic incident in Westchester. Plaintiff duty. One doctor opined Plaintiff was able to work © 2025 REIMER DOBROVOLNY & LABARDI PC 1 61 of 67 Page 36 of 42 full, unrestricted duty as demonstrated by his applicants should complete all treatment before conduct during the incident in Westchester. The proceeding to hearing.  other two doctors found Plaintiff to be disabled, but both recommended surgery, finding it had a high Firefighter Awarded PSEBA Benefits potential for improvement and would restore After Patient Transfer Injury functionality at a high probability level between 80-90%, respectively. Ford v. Village of Northbrook et al., 2025 IL App (1st) 231952-U The Pension Board concluded Plaintiff failed to establish he was disabled based on the opinion of Regular readers may recall that, while PSEBA one of the IMEs, along with the videos showing his benefits are not administered by the pension fund, actions during the Westchester incident. The Board there is an intersection between line of duty also found Plaintiff’s testimony was not credible as disability benefits and PSEBA awards. PSEBA it was inconsistent with the videos, and thus, benefits are the award of health insurance benefits rendering unpersuasive the opinions of those to an injured first responder. While other criteria doctors finding him to be disabled. Also, the may apply, in general to be eligible for PSEBA, a Pension Board found Plaintiff’s refusal to obtain first responder must be 1) catastrophically injured further medical treatment was unreasonable and a 2) in response to what was reasonably believed to superseding cause of his disability. be an emergency. The Illinois Supreme Court has After Plaintiff sought administrative review in the held the award of line of duty disability pension Circuit Court, he tried to introduce additional benefits meets the definition of “catastrophically medical evidence of his current condition by asking injured” under the PSEBA statute. For a first the court to remand the matter back to the Pension responder who is found to be line of duty disabled, Board for further hearing. However, the Circuit this means they need only show their disability Court refused to remand the matter back to the resulted from what was reasonably believed to be Board, instead reversing the Pension Board’s an emergency. decision and awarding Plaintiff duty disability benefits. This inquiry can be surprisingly complicated as illustrated in this recent appellate case. The On appeal, the Appellate Court concluded the plaintiff was employed as a firefighter/paramedic motion to remand should have been granted by the for the Village of Northbrook. He was dispatched Circuit Court, finding the new medical evidence to the home of a person “feeling weak”. According was discovered after the Pension Board rendered its to the testimony of the plaintiff, the call was decision, the Pension Board could not have considered “non-fire emergent”. Upon arrival at obtained this evidence during the hearing, and the the call, the firefighter found an obese patient evidence was material to the issue. Accordingly, unable to stand. Together with the other the Appellate Court vacated the Circuit Court’s and firefighter/paramedics on the call, plaintiff moved the Pension Boad’s decisions and remanded the the patient from the bathroom to an ambulance cot matter back to the Pension Board for further evidentiary proceedings. in the living room. The patient was transported to the hospital via ambulance. During transport, Pension Board’s should carefully consider whether plaintiff provided the patient with “basic life to move forward with disability claims if the support”. The purpose was to monitor the patient officer/firefighter is continuing to treat. It is and keep her comfortable while she was being understandable to want to proceed quickly to a transported to the hospital. Plaintiff testified the hearing so as to provide benefits to an injured patient had no urgent medical issues and, while she officer/firefighter, but this case shows potential stated she was in pain, refused medication. pitfalls of doing so. Since future medical treatment may impact the Pension Board’s decision, © 2025 REIMER DOBROVOLNY & LABARDI PC 2 62 of 67 Page 37 of 42 Upon arrival at the hospital, plaintiff transferred the be an emergency. The court found the coding of the patient from the ambulance cot to an emergency call as an emergency by dispatch, combined with room bed. While lifting the patient for this transfer, the multiple health problems being experienced by plaintiff felt a pop in his right shoulder. Subsequent the patient which precluded a definitive diagnosis, x-rays and MRI revealed plaintiff suffered from a to support the conclusion plaintiff reasonably narrowing of his cervical spine in some areas. believed he was faced with an emergency. Plaintiff sought and was awarded line of duty In finding for plaintiff, the appellate court disability benefits from the pension board due to his distinguished a similar prior case which found a inability to use his right shoulder. citizen lift assist call was not an emergency under After he was awarded line of duty disability PSEBA. (Wilczak v. Vill. of Lombard, 2016 IL App benefits, plaintiff applied to the village for PSEBA (2d) 160205). This court distinguished that case by benefits. In addition to the evidence submitted to noting that call was coded as a non-life-threatening the pension board, plaintiff provided the village emergency and the firefighter determined on the with the reports from the incident generated by the scene there was no emergency, only a fall requiring dispatch center. It showed the dispatch center assist and not transportation to the hospital. coded the call as “1 Emergency” and dispatched According to the reasoning of the appellate court, both an ambulance and a fire truck. the firefighter’s belief there was an emergency in Wilczak was not reasonable while the plaintiff in Because plaintiff had been awarded a line of duty this case, could reasonably believe there was an disability benefit, the village conceded the only emergency due to the need to transport to the issue was whether he had been injured during the hospital and lack of definitive diagnosis for the course of what he reasonably believed to be an problems being experienced by the patient. emergency. The village denied the application for PSEBA benefits finding the firefighter was not Certainly, one of the conclusions from this PSEBA injured during the course of what he believed to be case is that they are highly factually dependent. an emergency because, at the time the lifting injury Similar circumstances may result in different occurred at the hospital, no emergency existed. conclusions. On review, the appellate court reversed the village’s Trial Court Upholds Tier 2 decision and awarded the firefighter PSEBA Classification for Judges with Prior benefits. The appellate court’s analysis revolved Service around the meaning of the word “emergency”. Citing the seminal Illinois Supreme Court decision Kievlan et al. v. Judges Retirement System of in Gaffney, the court applied the definition as, “an Ill. et al., Cook Co. Case No. 2024 CH 1708 unforeseen circumstance involving imminent danger to a person or property requiring an urgent In an action for administrative review, two response.” This definition was subsequently Illinois state court judges - one active, one expanded by the appellate court to removal of road retired - challenged their designation as "Tier debris by police officers in the Springborn case to 2" participants in the Judges Retirement find an emergency can include, “a distressing event System of Illinois ("JRS") for purposes of calculating their pension benefits. Their four- or condition that can often be anticipated or issue complaint was rejected by the Cook prepared for but seldom exactly foreseen.” County Circuit Court, after a thorough Applying these standards to the lifting of the patient analysis using a de novo standard of review. from the ambulance cot to the emergency room bed, the appellate court found plaintiff was injured JRS is one of five state-funded pension systems in response to what he could reasonably believe to for state employees. The other four are the General Assembly Retirement System © 2025 REIMER DOBROVOLNY & LABARDI PC 3 63 of 67 Page 38 of 42 ("GARS"), the State Employees' Retirement he has pension credits which he elects to have System ("SERS"), the State Universities considered under this Article.” Retirement System ("SURS"), and the Teachers' Retirement System ("TRS"). First, Plaintiffs argued that Defendants' decision violates the Illinois Constitution's Pension The litigation was prompted after the JRS Protection Clause and the Reciprocal Act. Plaintiffs informed both judges their judicial pension contend that when they joined other public benefits would be calculated as Tier 2 pensions in 1997 and in 2005, respectively, they pensions, notwithstanding the fact that both acquired constitutionally protected benefits of had previously been employed in the public membership in those systems and in JRS as a sector and gained status as Tier 1 beneficiaries reciprocal system. They maintained they should be in other retirement systems. classified by JRS as Tier 1 judges, even though both Plaintiffs first served as judges on or after In 2010, the Illinois General Assembly enacted January 1, 2011. certain reforms to the state-funded pension systems by passing Public Act ("P.A.") 96-0889. Pertinent The Pension Protection Clause of the Illinois here, the legislation created a two-tier pension Constitution provides strong contractual protection structure for all public pensions. Focusing on the of pension benefits. The Clause does not, however, JRS system, the Court explained that Tier specify the particular benefits of membership in eligibility in JRS depends on when the participant any one retirement system. Rather, "the scope of "first serves as a judge." A participant who "first the pension protection clause's application is serves as a judge" before January 1, 2011, is 'governed by the actual terms of the contract or considered a Tier 1 member. By contrast, a pension." According to the actual terms of the JRS participant who "first serves as a judge" on or after pension, a participant who "first serves as judge" on January 1, 2011, is considered a Tier 2 member. or after January 1, 2011 is eligible for benefits The benefits for Tier 1 are substantially greater than under the Tier 2 judge formula. Plaintiffs claim that Tier 2 in many respects. notwithstanding this provision, they had a "future right to move to other covered pension systems— As opposed to JRS and GARS, the other three state- including JRS—while maintaining consistent funded systems set eligibility and benefits benefits" under the Reciprocal Act. depending on when one first becomes a participant in "any retirement system or pension fund" under The court found this argument wholly unsupported the Pension Code. Under the statutory language, by either case law or statutory language. JRS determinations are based on when a participant According to the Court, the Plaintiffs improperly “first serves as a judge”. conflated the concept of credit with the concept of benefits. The Reciprocal Act, according to the The Court also examined relevant statutory ruling, addresses the timing of benefits over language from the Reciprocal Act, where multiple pension systems, not the actual benefits. participants in certain pension systems can combine For the computation of the benefit itself (here, the their service credits across systems. Relevant here, proportional retirement annuity), the Reciprocal individuals who have participated in multiple Act leaves that to each participating system. The participating systems may choose to have their court also recognized that this provision service credits combined and then receive a acknowledges the potential for different separate pension from each system. Each computation methods in each participating system, participating system then calculates its own and it does not dictate the formula for any system. proportional annuity “in accordance with the formula or method prescribed by each Plaintiffs attempted to rely on the often-cited participating system which is in effect at the concept that the courts have an obligation to liberally date of the employee's latest withdrawal from construe the language of pension statutes in favor of service covered by any of the systems in which the rights of the pensioner. While acknowledging © 2025 REIMER DOBROVOLNY & LABARDI PC 4 64 of 67 Page 39 of 42 the obligation, the Court pointed to fundamental In their third argument, Plaintiffs argued their principles of statutory construction that prevent the designation as Tier 2 judges violated the legislative judiciary from adding concepts or interpretations intent of Public Act 96-0889 notwithstanding the that are contrary to the plain language of a statute statutory language. To meet their burden, Plaintiffs when the legislative intent is clear. must show ambiguity in the statute as well as clearly expressed legislative intent that participants Plaintiffs second argument claimed violations of who joined JRS on or after January 1, 2011, from a the Equal Protection Clauses of the United States reciprocal system should be deemed Tier 1 judges. and Illinois Constitutions and the Special Legislation Clause of the Illinois Constitution. The court found the Plaintiffs did not meet their burden. First, the Court did not find the pertinent The Court first pointed out the analysis of both statutory provisions ambiguous. Secondly, a equal protection and special legislation clauses use review of the complete relevant record showed that the same standards. Under equal protection the legislature’s intent was in fact to create and analysis, legislation will be found unconstitutional implement the plain and unambiguous language if a statutory classification is based either on a used. `suspect' class, such as race, or impinges on a fundamental constitutional right. Because As their final argument, Plaintiffs maintained the neither of these standards was implicated, the statute’s enactment violated the Three Readings Court will uphold legislation’s constitutionality Clause of the Illinois Constitution. Based on clear if it finds that a “rational basis” for the legislation Supreme Court precedent, this claim was denied as exists, i.e. if it "bears a rational basis to a well based on the “enrolled-bill doctrine.” Under legitimate state interest." The Court found that that legal rule, once the Speaker of the House of the addition of Tier 2 classification did have a Representatives and the President of the Senate “rational basis,” notwithstanding the Plaintiffs’ certify that the procedural requirements for claim that it only provided minimal benefit to the passing a bill have been met, a bill is overall pension system. Further, the General conclusively presumed to have met all Assembly did not act arbitrarily in treating procedural requirements for passage." The members of JRS and GARS differently from certification was made in this situation. Based members of the other three state pension systems. on binding precedent, Plaintiffs' argument failed as a matter of law. In its analysis, the Court found that setting a cutoff date is entirely rational, based on prior cases. Plaintiffs have appealed the Circuit Court’s Additionally, the Court reasoned that ruling and this case is presently pending in the "[a]dvancement of the State's economic goals First District Appellate Court. clearly is a legitimate rationale for legislation." Further, the distinction was not arbitrary. Judges Chicago Annuitants Again Denied and legislators receive "more favorable Tier 1 Increased Insurance Benefits benefits rules than members of other systems" including higher multipliers and higher caps on Underwood v. City of Chicago, 2025 IL App (1st) retirement annuities; higher average salaries and 231132 retirement annuities than participants in other state- funded systems; and at the time of the challenged This opinion (Underwood V) is one of many in a reforms, JRS and GARS were "by far the smallest series concerning insurance benefits for annuitants state-funded systems, [and] had the worst funded of various retirement funds of the City of Chicago. ratios."' These formed, according to the Court, a The previous decision concerned Chicago while rational basis for enacting the reforms to protect the this decision concerns the various funds, including health of JRS and GARS while still attracting the Chicago police and fire funds. quality candidates for public office. © 2025 REIMER DOBROVOLNY & LABARDI PC 5 65 of 67 Page 40 of 42 At issue is the Plaintiffs’ belief the funds’ the Funds have any obligation to provide—any healthcare options are insufficient. In Underwood additional monetary contributions or to guarantee III, Justice Mikva held “the plaintiffs have no right affordable healthcare.” to receive—and that neither the City nor the Funds have any obligation to provide—any additional The trial court denied Plaintiffs’ motion to amend monetary contributions or to guarantee affordable their complaint to include a breach of fiduciary healthcare” in excess of what is already provided. duty count. The Appellate Court affirmed, holding the trial court did not abuse its discretion. It held As background, the City of Chicago previously the most important consideration is whether the provided annuitants with fixed-care healthcare amendment would further the interests of justice. subsidies. The Illinois Pension Code was amended Here, the Appellate Court held it cannot find the in 1983 to include these subsidies for police trial court abused its discretion given the litigation officers and firefighters and again amended in 1985 has been ongoing for 10 years, and Plaintiffs were to include municipal employees, laborers, and given six prior opportunities to amend their retirement board employees. Chicago announced in complaint. 1987 that it would stop paying the subsidies effective 1988. Finally, the Appellate Court affirmed the trial court’s denial of attorney’s fees, holding Plaintiffs’ Litigation ensued, but the parties reached an attorney reused an argument previously rejected by interim 10-year settlement. The parties reached a the Appellate Court. second interim settlement prior to the expiration of the first. The Pension Code was amended to reflect Underwood V illustrates relitigating identical both interim settlements. The parties reached a final issues with identical facts is unlikely to result in a settlement on April 4, 2003. Nonetheless, Plaintiffs favorable ruling from the Appellate Court. Further, filed a lawsuit against Chicago in 2013, which is annuitants are not entitled to benefits not provided the present litigation. for in the Illinois Pension Code. While numerous issues were raised, this appeal primarily concerned whether the trial court Suggested Agenda Items for July (or 3rd properly granted summary judgment in favor of Quarter) Defendants. The Appellate Court affirmed the grant of summary judgment, holding, “Plaintiffs • Semi-annual review of closed executive cannot dispute that the Funds have provided session minutes to determine what needs to healthcare options for eligible annuitants. Nor can remain confidential. Plaintiffs dispute that the Funds have made, and are making, the subsidy payments required by the 1983 • Election of Board Officers. (e.g. President, and 1985 amendments.” Secretary, etc.) In short, the Court found that while Plaintiffs • Potential selection of independent enrolled continue to argue they are entitled to money and actuary for recommended tax levy. healthcare guarantees, the Court’s prior rulings have found they have no such right. Specifically, • Review status of Trustees’ annual training the Court pointed out it found in Underwood III, “It requirements. is absolutely law of the case that the plaintiffs have no right to receive—and that neither the City nor © 2025 REIMER DOBROVOLNY & LABARDI PC 6 66 of 67 Page 41 of 42  REIMER DOBROVOLNY & LABARDI PC NEWS • March 18-19, 2025, RDL partners Rick Reimer and Vince Mancini presented at the IPPFA Certified New Trustee Training at the NIU campus in Naperville. • May 2, 2025, RDL partner Brian LaBardi will attend and present at the IPFA Spring Pension Conference in Addison. • May 7-9, 2025, RDL attorneys will attend and present at the IPPFA Spring Conference in Galena. Legal and Legislative Update Volume 26, Issue 2, April 2025 This publication constitutes advertising material. Information contained herein should not be considered legal advice. Legal and Legislative Update is published periodically. Questions may be directed to: REIMER DOBROVOLNY & LABARDI PC 15 Spinning Wheel Road, Suite 310, Hinsdale, IL 60521 (630) 654-9547 Fax (630) 654-9676 www.rdlaborlawpc.com Unauthorized reproduction prohibited. All rights reserved. © 2025 REIMER DOBROVOLNY & LABARDI PC 7 67 of 67 Page 42 of 42