Minutes - Los Angeles Fire and Police Pensions
Transcription
Minutes - Los Angeles Fire and Police Pensions
MINUTES OF THE BOARD OF FIRE AND POLICE PENSION COMMISSIONERS MEETING OF FEBRUARY 5,2009 The Board of Fire and Police Pension Commissioners of the City of Los Angeles met in Room 800,360 East Second Street, on Thursday, February 5,2009. COMMISSIONERS PRESENT: Sean Harrigan, President Mike Carter, Vice President George V. Aliano Elliott Broidy Maria Contreras-Sweet Steve Juarez (telephonic participation) Patricia Means Robert von Voigt COMMISSIONERS ABSENT: Sam Diannitto DEPARTMENT OF FIRE AND POLICE PENSIONS: CITY ATTORNEY'S OFFICE: Michael A. Perez, General Manager D. Edward Griffiths, Assistant General Manager Laura Guglielmo, Assistant General Manager Tom Lopez, Chief Investment Officer Barbara H. Nobregas, Commission Executive Assistant Mary Jo Cunven, Deputy City Attorney Board President Harrigan called the regular meeting to order at 9:06 a.m. All of the above-listed Commissioners were present at the start of the meeting, with the exception of Commissioner Contreras-Sweet who arrived at 9: 15 a.m. 1. NEW BUSINESS President Harrigan asked if any Board Member made any expenditure to influence State legislative or administrative action to which their reply was negative. Minutes of the Board of Fire and Police Pension Commissioners February 5,2009 Page 2 2. COMMUNICATIONS TO THE BOARD A. Miscellaneous correspondence from money managers, consultants, etc. - Received and Filed B. Communications to the Board from Aldus Capital, LLC - Received and Filed 3. COMMITTEE REPORTS A. Benefits Committee Chair Aliano reported no meeting has been scheduled. B. Governance Committee General Manager Perez reported a meeting is scheduled on March 19, 2009 regarding travel and IFS Audit recommendations. C. Audit Committee Chair Means reported a meeting is scheduled on February 19,2009. D. Ad Hoc Committee on Emerging Managers Chair Means reported that she will schedule a meeting. 4. PENSION CONSULTING ALLIANCE AND STAFF REVIEW OF LAFPP BOARD INVESTMENT POLICIES General Manager Perez reported that the Charter requires LAFPP review the Board Investment Policies. President Harrigan asked that the Commissioners get copies of the updated Board Policies. 5. PENSION CONSULTING ALLIANCE 2009 ANNUAL RETREAT FOLLOW UP Messrs. Allan Emkin, Managing Director, Pension Consulting Alliance (PCA) and Tom Lopez, Chief Investment Officer, Investments Division, came before the Board. A discussion was held on the various investment opportunities such as portable alpha, infrastructure, sustainability, real return and asset allocation. The Board agreed with PCA to return within 60 days with a policy or to discuss sustainable investing. The Board also agreed with PCA that they work with staff to return within 30 days to discuss opportunistic investing and scenarios from the actuary prior to conducting an asset allocation study. Minutes of the Board of Fire and Police Pension Commissioners February 5,2009 Page 3 6. FEEDBACK ON THE 2009 BOARD EDUCATIONAL RETREAT Ms. Laura Guglielmo, Assistant General Manager, Administrative Operations Division came before the Board and gave a summary of the Retreat fees. The Board discussed future topics and speakers for the 201 0 Board Retreat. Commissioner Carter suggested having a panel of Chief Investment Officers. President Harrigan suggested that the Board Members relay their suggestions to Ms. Guglielmo. 7. AUTHORIZATION FOR RETROACTIVE MISCELLANEOUS INFORMATION REQUESTS FROM OUR ACTUARY Ms. Robyn Barnes, Senior Management Analyst 11, Communications and Special Projects came before the Board to discuss actuarial services. The expenses were approved as submitted. RESOLUTION 09082 That the Board: 1. Approve the attached Letters of Agreement for actuarial services not specified in the current contract with the System's actuary, The Segal Company, at a total cost not to exceed $17,500; and, 2. Authorize the President of the Board, on behalf of the Board, to execute the Letters of Agreement, subject to City Attorney approval as to form and legality, and include the signature of the General Manager, which motion was seconded by Commissioner Aliano and approved by the following vote: ayes, Commissioners Aliano, Broidy, Carter, Contreras-Sweet, Juarez, Means, von Voigt and President Harrigan -8; nays, none. 8. AUTHORIZATION FOR MISCELLANEOUS ACTUARIAL CONSULTING REQUESTS Ms. Robyn Barnes, Senior Management Analyst 11, Communications and Special Projects came before the Board to discuss actuarial services. The expenses were approved as submitted. President Harrigan also authorized the Actuary to run tables on various scenarios containing two negative years of return into the existing letter of agreement, if the total cost permitted. RESOLUTION 09083 Commissioner Contreras-Sweet moved that the Board: 1. Approve the attached Letter of Agreement for actuarial services not specified in the current contract with the System's actuary, The Segal Company, at a total cost not to exceed $20,000; and, Minutes of the Board of Fire and Police Pension Commissioners February 5,2009 Page 4 2. Authorize the President of the Board, on behalf of the Board, to execute the Letter of Agreement, subject to City Attorney approval as to form and legality, and include the signature of the General Manager, which motion was seconded by Commissioner Carter and approved by the following vote: ayes, Commissioners Aliano, Broidy, Carter, Contreras-Sweet, Juarez, Means, von Voigt and President Harrigan -8; nays, none. 9. UPDATE ON THE 2008-09 STRATEGIC PLAN Mr. D. Edward Griffiths, Assistant General Manager, Pensions Division and Ms. Laura Guglielmo, Assistant General Manager, Administrative Operations Division came before the Board. General Manager Perez and Ms. Guglielmo gave an overview of the objectives and status of projects listed in the Strategic Plan. 10. APPROVAL OF INTEREST RATE TO BE CREDITED TO ACTIVE MEMBER ACCOUNTS AS OF DECEMBER 3 1,2008 The Board Report was approved as submitted. RESOLUTION 09084 Commissioner Carter moved that the Board direct the General Manager to credit the interest rate of 1.27% to the active member accounts as of December 31, 2008, which motion was seconded by Commissioner Contreras-Sweet and approved by the following vote: ayes, Commissioners Aliano, Broidy, Carter, ContrerasSweet, Juarez, Means, von Voigt and President Harrigan -8; nays, none. 12. GENERAL MANAGER'S REPORT A. Benefits actions approved by General Manager on January 15,2009 Pursuant to Resolution 04008, adopted by the Board of Fire & Police Pension Commissioners on August 7,2003, the following benefit actions have been approved by the General Manager on January 15,2009. DISCONTINUED PENSIONS - TIER 1 - 3 Morrie Henkin Marguerite Williams Dorothy L. Belle Police Disability Fire Widow Police Widow Retired: Retired: Retired: 04-0 1-59 12-14-92 07- 10-95 Died: Died: Died: 10-02-08 10-03-08 12-12-08 Minutes of the Board of Fire and Police Pension Commissioners February 5,2009 Page 5 DISCONTINUED PENSIONS - TIER 2 - 15 Robert J. Coffman J. S. Delaney Otis F. Kirkman Elmer G. Miller Larry G. Miller Delbert H. Winter Robert L. Ashworth Ernest F. Klapproth Dean R. Warner Earl S. Gerrard Fred Riscen Bette L. Benko Lorraine L. Frashure Judith C. Miller Syka J. Pickerel Retired: Retired: Retired: Retired: Retired: Retired Retired: Retired: Retired: Retired: Retired: Retired: Retired: Retired: Retired: Fire Service Fire Service Fire Service Fire Service Fire Service Fire Service Police Service Police Service Police Service Fire Disability Police Disability Fire Widow Fire Widow Fire Widow Fire Widow Died: Died: Died: Died: Died: Died: Died: Died: Died: Died: Died: Died: Died: Died: Died: DISCONTINUED FORMER SPOUSE PENSIONS - TIER 2 - 4 Carol A. Julian Doris Tutor Donna P. Klapproth Jennifer Gerrard-Dogar Fire Service Fire Service Police Service Fire Disability Retired: Retired: Retired: Retired: 03-04-94 07-01-82 03-0 1-77 11-28-03 Member Died: Member Died: Member Died: Member Died: 12- 1 1-08 10-17-08 12-10-08 10-06-08 SERVICE PENSIONS CORRECTION - POLICE - TIER 3 - 1 David U. Randall Police Officer I11 Eff: 0 1-04-09 12 Years 40 Days ELIGIBLE SURVIVING SPOUSE'S PENSION - TIER 2 - 4 Name Deceased Member Member's Class Effective Date Carmen S. Coffman Carlee P. Kirkrnan Donna M. Miller Somkid Riscen Robert J. Coffman Otis F. Kirkman Larry G. Miller Fred Riscen Fire Service Fire Service Fire Service Police Disability 12-18-08 11-27-08 12-19-08 12-15-08 Minutes of the Board of Fire and Police Pension Commissioners February 5,2009 Page 6 DECREASE SURVIVING SPOUSE'S PENSION - TIER 2 - 2 Decrease the pension payable to Elizabeth L. Dowling, Surviving Spouse of deceased Fire Captain I1 Thomas F. Dowling due to the attainment of age 18 by Erik F. Dowling, effective January 15. 2009. There is one remaining minor. Decrease the pension payable to Karen Rizzo, Surviving Spouse of deceased Police Detective Lawrence M. Rivera due to the attainment of age 18 by Brien R. Rivera, effective January 24,2009. There are no remaining minors. PARTIAL PAYMENT OF PENSION - TIER 2 - 2 In accordance with the City Attorney's advice, a designated proportion of the community property interest of the pension payable to Ronald L. Treutlein, Police Service Pensioner, is to be paid to his former spouse Anna C. Treutlein effective January 1,2009. In accordance with the City Attorney's advice, a designated proportion of the community property interest of the pension payable to Rhett B. Austin, Police Service Pensioner, is to be paid to his former spouse Lisa M. Austin-McClintock effective January 25,2009. Ms. Austin-McClintock will receive cost of living increases. PARTIAL PAYMENT OF PENSION - TIER 5 - 1 In accordance with the City Attorney's advice, a designated proportion of the community property interest of the pension payable to Jerome L. Pirro, Police Service Pensioner, is to be paid to his former spouse Virginia Pirro, effective January 1,2009. Ms Pirro will receive cost of living increases. MODIFIED PARTIAL PAYMENT OF PENSION - TIER 2 - 1 In accordance with the City Attorney's advice, a designated proportion of the community property interest of the pension payable to Gordon G. Hagge, Police Service Pensioner that was being withheld for his former spouse Laura Hagge, since April 27,2008 is now to be released effective January 1,2009. Ms. Hagge will receive cost of living increases. P P P P P P P e eet=eY!e 0 0 0 0 0 0 0 W w - h , C C h , \ \ \ \ \ \ \ NNh,Oh,h,O Y,Y,Y,Y,zz u uuuuu w w w w w w Y Y r = ? Y r O O N O O O Minutes of the Board of Fire and Police Pension Commissioners February 5,2009 Page 8 Police Richard A. Beach Michael D. Depasquale John D. Fletcher Paula J. Garcia William F. Holcomb Richard J. Hooper Ronald Y. Ito Brent R. Josephson Joseph A. Linares Jimmy L. Love William J. Maarschalk Michael C. Maloy Michael A. Nolan John T. Snee Jerry C. Szymanski Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Exit Close of: Retired: Retired: Retired: Retired: Retired: Retired: Retired: Retired: Retired: Retired: Retired: Retired: Retired: Retired: Retired: SURVIVING SPOUSE APPLICATION - TIER 5 - 2 Type: Name Rank % Rate Effective Date: Laura A. Chao (Rich D. Mathias) Police Officer I11 NSC w/o Prejudice: 30% 10/25/2008 Tracey J. Dunn (William A. Dunn) FirefighterIPara NSC w/o Prejudice: 30% With 1 Minor and 1 Surviving Child 11/22/2008 PENSION GRANTED - DISABILITY - TIER 5 - 1, December 18,2008 Effective Name William R. Paxson Years Days Date 20 71 12-18-08 Minutes of the Board of Fire and Police Pension Commissioners February 5,2009 Page 9 General Manager Perez reported on the following: 1. The McCauley initiative deals with taking back benefits from current active employees or retired employees. General Manager Perez stated he has a report from the California Legislative Analyst Office to distribute to the Board. The Board discussed the status of the initiative. General Manager Perez will keep the Board apprised on the matter. 2. The Budget & Finance Committee will have meetings at various locations in the City. Different departments have been invited. General Manager Perez will attend to answer questions from the public on status of Fund. 3. Councilmember Alarcon made a motion asking that the City a conduct study on the possibility of the Pension Funds divesting from banks that are not helping home owners in foreclosure problems. General Manager Perez stated he was not asked to respond but is informing the Board on the matter. 4. The LACERS Board is hosting a Retreat on Feb. 10 and 11. The LAFPP Board Members are invited. President Harrigan asked that the Retreat information be sent to the Board Members. 13. CONSIDERATION OF FUTURE AGENDA ITEMS Commissioner Carter requested the status of securities lending and how much has been lost with Northern Trust. Commissioner Carter also referred Real Estate Fund Concierge Opportunity Fund. 14. PUBLIC COMMENTS Ms. Elsa Moy, commented on the educational retreat and strategy indicating that DROP participants should have choices with specific guaranteed rates. Commissioner Aliano recommended the Vision Insights & Perspectives Conference, hosted by Institutional Real Estate, Inc., to be listed on the Recommended List of Seminars. 15. CONSENT ITEMS A. Approval of Travel 1) APPROVAL OF TRAVEL AUTHORITY - CALAPRS - PRINCIPLES OF PENSION MANAGEMENT FOR TRUSTEES -MARCH 24-27,2009, PAL0 ALTO, CA B. Approval of Minutes 1) Minutes of the Special Board Meeting of December 9,2008. Commissioner Carter moved that the Board approve the consent items, which was seconded by Commissioner Aliano and approved by the following vote: ayes, Commissioners: Aliano, Broidy, Carter, Contreras-Sweet, Juarez, Means, von Voigt and President Harrigan - 8; nays, none. Minutes of the Board of Fire and Police Pension Commissioners February 5,2009 Page 10 11. CLOSED SESSION PURSUANT TO GOVERNMENT CODE SECTION 54956.9: TO CONSIDER SETTLEMENT IN MITCHELL GROBESON V. BOARD OF PENSION COMMISSIONERS FOR THE CITY OF LOS ANGELES, CASE NO. BS 049 282 AND ACTION TO RECONSIDER DISABILITY PENSION APPLICATION President Harrigan reported that the Board met in closed session to confer with the City Attorney regarding the existing litigation. 16. DISABILITY CASES DISABILITY CLAIM - DEPENDENT CHILD - TIER 5 - I Elaine R. Harrison, Conservator of Aaron M. Harrison Dependent Child of David J. Harrison (p) Detective 111 (Deceased) As recommended by staff and concurred in by the applicant, Dependent Child status and benefits granted. Motion made by Commissioner Broidy, seconded by Commissioner Aliano and adopted by the following vote: ayes, Commissioners Aliano, Broidy, Carter, Contreras-Sweet, Juarez, Means, von Voigt, and President Harrigan - 8; nays, none. Mr. Harrison was not present nor was his conservator, Mrs. Elaine Harrison. The meeting was adjourned at 11:20 a.m. Preside