Police Pension Minutes
North Aurora Police Pension
Board of Trustees
Regular Board Meeting
Minutes of the meeting – October 17, 2017
The meeting was called to order at 5:02pm, by Robyn Stecklein. Roll call was conducted and members present were as follows: Robyn Stecklein, Mary Licar and Greg Manko. Steve VanLoan and Paul Dilley were absent. MB Financial representative, Frank Fanelli was present as well as Board Attorney Charles Atwell, Bill Hannah from the Village of North Aurora, and Anise Hesson.
Audience Comments
None
Approval of Minutes
A motion was made to approve the minutes of the Regular Board Meeting dated July 17, 2017 by Greg; motion seconded by Mary. A roll call vote was taken: Stecklein – yes; Licar – yes; Manko – yes. Motion passes.
Presentation and Acceptance of Treasurer’s Report and Approval of Bills Presented and Paid
Bill Hannah presented summary and detailed financial reports for the Pension Fund with all activity in the accounts through September 30, 2017 including expenses paid. Total market value of all investments held at MB Financial and Old Second is $16,867,673.43. Bill provided comparison statements showing quarter to quarter; reflecting a 3.8% change in market value. Treasurer Hannah also reviewed bills paid during the quarter. A motion was made to approve the Treasurer’s Report by Greg; seconded by Mary. A roll call vote was taken: Stecklein – yes; Licar – yes; Manko – yes. Motion passes.
Presentation and Acceptance of Investment Report
Frank Fanelli presented the Performance Report as of September 30, 2017. The report indicated that as of September 30, 2017 the ending market value of the portfolio with accrued income was $16,830,462. Goal is based on 50% equity securities, 45% fixed income securities and 5% alternative strategies and the current portfolio at 49.63% equity, 45.01% and 5.36% alternative strategies. The total earnings fiscal year to date (calendar year) equaled $1,391,745.
A motion was made to accept the Investment Report by Greg; seconded by Mary. A roll call vote was taken: Stecklein – yes; Licar – yes; Manko – yes. Motion passes.
New Business
1. Discussion and Approval of 6/1/2017 Police Pension Valuation and Recommended Tax Levy – Bill Hannah presented the Village of North Aurora Police Pension Fund Actuarial Valuation as of June 1, 2017. Foster & Foster prepared the report again this year. The recommend tax levy is $1,046,968, an increase from the $955,822 from last year. Reasons for the increase include actuarial investment performance that was less than the 7.0% assumption, change in payroll growth rate assumption from 5.0% to 3.0%, more retirement activity than expected and unfavorable turnover experience. The sole favorable experience was average salary increases that were lower than assumed. Also implemented this year was a change in salary increase assumptions from 5.0% to a table based on years of service. Hannah indicated that in addition to updating many assumptions in the valuation over the last three years the Village has made additional contributions to the fund over the last four years totaling $575,000. A motion was made to accept the valuation report and request a tax levy in the amount $1,046,968 per the actuarial report by Greg; seconded by Mary. A roll call vote was taken: Stecklein – yes; Licar – yes; Manko – yes. Motion passes.
2. Approval of Police Pension Fund Application for Ethan Majerus – this item has been tabled until next meeting. A motion was made to table the application by Mary; seconded by Greg. A roll call vote was taken: Stecklein – yes; Licar – yes; Manko – yes. Motion passes. Item will be added to agenda for January 2018 meeting,
3. Approval of Meeting Dates for 2018 – the following meeting dates have been set for 2018:
a. January 16, 2018
b. April 24, 2018
c. July 17, 2018
d. October 16, 2018
A motion was made to accept the above meeting dates for 2018 by Mary; seconded by Greg. A roll call vote was taken: Stecklein – yes; Licar – yes; Makno – yes. Motion passes.
Audience Comments
None
Other
The board’s next meeting will be Tuesday, January 16, 2018 at 5pm.
A motion was made to adjourn the meeting by Greg; seconded by Mary. A roll call vote was taken: Stecklein – yes; Licar – yes; Manko – yes. Motion passes.
Meeting adjourned at 5:33pm.
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Robyn Stecklein – President
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Greg Manko – Secretary
