MINUTES OF THE BOARD OF TRUSTEES
July 1, 2008
CALL TO ORDER
President David Marino called the meeting of the Board of Trustees of the Los Angeles Firemen’s Relief Association to order at 11:55 a.m.
ROLL CALL
MEMBERS PRESENT:
- David Marino, President
- Robert Steinbacher, Vice President
- Trustee Tim Larson – Battalion 6
- Trustee Gene Bednarchik – Battalion 7
- Trustee Doak Smith – Battalion 9
- Trustee David Peters – Battalion 10
- Trustee Glen Prine – Battalion 15
- Trustee Dennis Mendenhall – Battalion 18
- Trustee David Ortiz – Headquarters 1
- Trustee Kurt Stabel – Headquarters 2
- Trustee Warren Braun – Pension 1
- Trustee Tom Stires – Pension 2
- Andrew Kuljis, Secretary-Treasurer
- Controller – Todd Layfer
MEMBERS ABSENT:
- Trustee James Coburn – Battalion 1 (Excused)
- Trustee Gary Matsubara – Battalion 2 (Excused)
- Trustee Juan Albarran, Battalion 3 (Excused)
- Trustee Chris Hart – Battalion 4 (Excused)
- Trustee Mark Akahoshi, Battalion 5(Excused)
- Trustee Chris Stine – Battalion 11 (Excused)
- Trustee William Dunn – Battalion 12 (Excused)
- Trustee John Jacobsen – Battalion 13 (Excused)
- Trustee Michael Overholser – Battalion 14 (Excused)
- Trustee Francisco Hernandez – Battalion 17 (Excused)
- Trustee Robert Henderson – Pension 3 (Excused)
- Executive Director – David Ned Smith (Excused)
GUEST PRESENT:
- Garth Flint, Beacon Pointe Advisors
INVOCATION
Trustee Warren Braun led the invocation.
INVESTMENT COMMITTEE
Garth Flint addressed the Board and presented a brief asset allocation study review. He indicated that they have been working on Alternatives which cover real estate, commodities and hedge funds and anything not traditional in investments such as common stocks or bonds. Referring to the Efficient Frontier from the asset allocation study, he stated that it portrays the portfolio’s efficiency of return for each level of risk. He explained that risk in terms of investments meant fluctuations of returns from one time period to the next and how much volatility is seen in a portfolio.
He reviewed the different Mix levels as well as the current portfolio Mix. He stated that they were focusing on Mix #2 that would goes up in return, however keeping the same current risk level. He also mentioned that he had been working with the committee on the Fixed Income and including debt of emerging markets and other types of asset classes. Kurt Stabel stated that they were reducing exposure to domestic equity and fixed income exposure.
Chairman Kurt Stabel presented the following motion.
The committee recommends and I so move to approve a 20% allocation to “Alternative” investments as well as go with Mix 2 from the asset allocation study with a plus or minus in all categories of 2%. He stated that they will define as amendment to the Investment Policy statement. Marino requested Garth to adjust Mix 2 with Mix 3 for a little more conservative approach in the Bond Section. There was no discussion or objections.
Motion carried to approve 20% allocation to “Alternative” investments.
Kurt Stabel updated the Board on the PIMCO Distress Fund and stated that they would initially place $1 million on the first call.
PRESIDENT’S REPORT
1) President David Marino entertained a motion to ratify the Minutes of the Board Meeting held June 4, 2008. Trustee Warren Braun so moved. Trustee Gene Bednarchik seconded the motion. There was no discussion or objections.
Motion carried to ratify the Minutes of the Board Meeting held June 4, 2008.
David Marino entertained a motion to ratify the Special Board Meeting minutes held June 19, 2008. Gene Bednarchik so moved. Dennis Mendenhall seconded the motion. There was no discussion or objections.
Motion carried to ratify the Special Board Meeting minutes held June 19, 2008.
2) David Marino referred to the DME policy and indicated that it had been revised in terms of language and placing restriction on the President’s ability to approve equipment. He also mentioned that the Medical Committee wanted to add two items to the policy under the approved list. He indicated that he would have the completed revised version for approval at the next Board meeting.
3) David Marino provided an update on the Marketing and Development area in terms of upcoming events and raffles. He also presented marketing material that would be used for recruits.
4) David Marino encouraged the Trustees to get the word out to members about utilizing PS Medical for their medical equipment needs. He indicated that there is a substantial savings compared to obtaining equipment from doctor offices.
5) David Marino referred to the members with delinquent status on their medical premiums. He reported that they sent eight certified letters to those members on Thursday informing them that they were in a pended status and that no medical claims will be paid until payment was received. If no acknowledgement was received by July 20th, their medical coverage would terminate within ten days.
ADMINISTRATIVE COMMITTEE REPORT
Chairman David Peters presented the following motions.
The committee recommends and I so move to approve the usual and customary bills in the amount of $976,803.29. There was no discussion or objections.
Motion carried to approve the usual and customary bills in the amount of $976,803.29.
The committee recommends and I so moved to approve the professional fees in the amount of $31,082.66. There was no discussion or objections.
Motion carried to approve the professional fees in the amount of $31,082.66.
EXECUTIVE SESSION
Board entered into Executive Session at 12:02pm
Board adjourned from Executive Session at 12:15pm No action taken in Executive Session
The committee recommends and I so move to hire an H.R. Consultant for up to $6,000. David Marino indicated that the consultant would be hired to perform an overview and provide recommendations for the H.R. function. There was no further discussion or objections.
Motion carried to hire an H.R. Consultant for up to $6,000.
Todd Layfer mentioned that David Smith had given the managers a task in developing job descriptions and task for both themselves and their staff. During the next three months, they would evaluate descriptions and compensation. Dennis Mendenhall also added that the consultant was to analyze if H.R. was in compliance with State and Federal regulations, and if training was needed.
David Peters mentioned that the last portion of the tenant improvements have been billed to the Credit Union.
David Peters informed that the insurance has been renewed with the Rule Group and signage for the building has been approved.
MEDICAL COMMITTEE REPORT
Trustee Gene Bednarchik presented the following motions.
The committee recommends and I so move to accept the applications to the Medical Plan. There was no discussion and no objections.
Motion carried to accept the applications to the Medical Plan.
ACTIVE
MEMBER APPLICANTS COMING ON PLAN EFFECTIVE DATE
- Bader, Jeffrey Avila , Rosana 6/11/08
- Glynn, Casey Derick Glynn, Jaya Josephina (Dtr.) 5/20/08
- Havron, Wayne Anthony Ogawa, Dean (Step Son) 3/26/08
- Moore, Norman David Norman, Brianna (Dtr.) 7/1/08
- McCracken, Mark Gordon McCracken, Andrea (Spouse) 6/1/08
- Ochoa, Gerardo Ochoa, Sophia Lucia (Dtr.) 6/3/08
- Rodriguez, Ray Rodriguez, Crus Preston (Son) 5/23/08
- Sunderman, James William Andrade, Kristin (Dom. Partner) 7/1/08
- Taylor, Scott E. White, Adrienne (Dom. Partner) 6/3/08
- White, Amy (Step – Dep.) 6/3/08
- White, Elizabeth (Step Dep.) 6/3/08
- Wilkinson, Peter Damian Wilkinson, Elisha Sophia (Spouse) 8/1/08
- Wuerfel, Timothy Dale Moylan, Darlene M. (Dom. Partner) 6/22/08
- Olson, Tyler Jeffrey (Step Dep.) 6/22/08
RETIRED
- Carpenter, Fred Eugene Nachoum, Ilana (Dom. Partner) 7/1/08
- Parker, Nathaniel (Step Dep.) 7/1/08
- Garst, Frank R. Self 11/1/08
- Garst, Sharon E. (Spouse) 11/1/08
- Sullivan, Daniel A. Self 10/1/08
The committee recommends and I so move to pay the usual and customary bills for the medical plan. There was no discussion or objections.
Motion carried to pay the usual and customary bills for the medical plan.
RELIEF COMMITTEE REPORT
Asst. Chairman Doak Smith presented the following motions.
The committee recommends and I so move to pay the Sick and Injury benefits for active and retired members in the amount of $76,919.95. There was no discussion or objections.
Motion carried to pay the Sick and Injury benefits in the amount of $76,919.95.
The committee recommends and I so move to pay the Estate Planning benefits in the amount of $9,948. There was no discussion or objections.
Motion carried to pay the Estate Planning benefits in the amount of $9,948.
The committee recommends and I so move to pay the Relief Death benefits in the amount of $45,000. There was no discussion or objections.
Motion carried to pay the Relief Death benefits in the amount of $45,000.
The committee recommends and I so move to pay the Life & Accident Death benefits in the amount of $24,000. There was no discussion or objections.
Motion carried to pay the Life & Accident Death benefits in the amount of $24,000.
MEMORIALS
DELROY E. BUZZELL, JR.
LAWRENCE W. WILSON
RICHARD H. COLEMAN
LYLE W. NESSETH
ROBERT E. HILL
C.G. CURTIS
ROBERT D. SCHMIDT
GUS T. DOVE
RAY C. COBB
VICTOR D. JONES
ASSISTANCE COMMITTEE
Asst. Chairman Doak Smith presented the following motions.
The committee recommends and I so move to accept the donations in the amount of $7,454.52 to the Widows, Orphans & Disabled Firemen’s Fund. There was no discussion or objections.
Motion carried to accept the donations in the amount of $7,454.52 to the Widows, Orphans & Disabled Firemen’s Fund.
Donation to Widows, Orphans & Disabled Firemen’s Fund
June 1 – June 30th 2008
- VINCENT CARDINALE from the Grass Valley Annual Reunion
- LAFD – FS-95 in memory of Brent Lovrien
- LAFD – FS-95 in memory of Brent Lovrien
- DORALICE BURNHAM in memory of my husband John (Jack) W. Burnham
- SANTA MONICA FIREFIGHTERS LOCAL 1109 in memory of Brent Lovrien
- RICHARD A. LINDROTH from the Grass Valley Annual Reunion
- FIRE STATION NO 90 from our Fire Extinguisher Fund
- NANCY QUINTANO in memory of Brent Lovrien
- BARBARA SCHOLE in memory of Kathryn Uruburu
- ARTHUR ZWEBEN in memory of Delroy Buzzell
- JAMES L. STIGLICH in memory of Tom Dowling
- JAMES L. STIGLICH in memory of Brent Lovrien
- ROBERT E. NELSON in memory of C.G. Curtis
- MICHAEL D. NELSON in memory of C. G. Curtis
- JOHN CALLAHAN in memory of Jim Danskin one of the Greatest Generation & one who truly added value to the lives of
- CRAIG NEIGHBOURS in memory of James R. Danskin
- LEONARD L. EDWARDS in memory of Guy B. Smith
- FIRE STATION NO 72 your Fire Extinguisher Fund
- FIRE STATION NO. 96 from our Fire Extinguisher Fund
- FIRE STATION NO 69 from our Fire Extinguisher Fund
- FIRE STATION NO. 16 from your Fire Extinguisher Fund
- FIRE STATION NO 86 from our Fire Extinguisher Fund
- ROSALIE J. STEVENS in memory of Kathryn Uruburu
- IRENE E. HASKIN in memory of Robert Schmidt
- FUMIKO HUMBERD in memory of James R. Danskin
- MARIE D. SHAFER
- GILBERT L. MAGA in memory of C.G. Curtis
- C.L. CERNY in memory of James Danskin
- JEFFREY AHERN
- JOHN A. THAYER in memory of James Danskin
- JOY DE MAGGIO in memory of Lyle Nesseth
- NOAH WILLIAMS IV in memory of Verna Beaver wife of Captain John Beaver
- ANOYMOUS from the Fire Extinguisher at 2900 Temple
- BETTY ROYLE in memory of Jim Danskin
The committee recommends and I so move to assist a widow with medical premiums with a six month review. There was no discussion or objections.
Motion carried to assist a member with medical premiums with a six month review.
The committee recommends and I so move to assist a member with $6,000 for an insulin pump. There was no discussion or objections.
Motion carried to assist a member with $6,000 for an insulin pump.
The committee recommends and I so move to assist a member with $2,472 for out of pocket medical expenses for dependent’s therapy with a six month review. There was no discussion or objections.
Motion carried to assist a member with $2,472 for out of pocket medical expenses for dependent’s therapy with a six month review.
The committee recommends and I so move to assist a widow with medical premiums with a six month review. There was no discussion or objections.
Motion carried to assist a widow with medical premiums with a six month review.
The committee recommends and I so move to assist member with medical premiums with a six month review. There was no discussion or objections.
Motion carried to assist a member with medical premiums with a six month review.
The committee recommends and I so move to assist a widow with medical premiums with a six month review. There was no discussion or objections.
Motion carried to assist a widow with medical premiums with a six month review.
The committee recommends and I so move to assist a widow with $550 per month plus medical premiums with a six month review. There was no discussion or objections.
Motion carried to assist a widow with $550 per month plus medical premiums with a six month review.
The committee recommends and I so move to assist a member with $700 per month with a six month review. There was no discussion or objections.
Motion carried to assist a member with $700 per month with a six month review.
The committee recommends and I so move to assist a member with $444 for Durable Medical Equipment. There was no discussion or objections.
Motion carried to assist a member with $444 for Durable Medical Equipment.
The committee recommends and I so move to assist a widow with $500 per month with a six month review. There was no discussion or objections.
Motion carried to assist a widow with $500 per month with a six month review.
The committee recommends and I so move to assist a member with $1,100 for custodial care with a six month review. There was no discussion or objections.
Motion carried to assist a member with $1,100 for custodial care.
The committee recommends and I so move to assist a widow with medical premiums with a six month review. There was no discussion or objections.
Motion carried to assist a widow with medical premiums with a six month review.
The committee recommends and I so move to assist a widow with medical premiums with a six month review. There was no discussion or objections.
Motion carried to assist a widow with medical premiums with a six month review.
The committee recommends and I so move to assist a member with medical premiums with a six month review. There was no discussion or objections.
Motion carried to assist a member with medical premiums with a six month review.
EMERGENCY ADVANCEMENTS
Asst. Chairman Doak Smith presented the following motions.
The committee recommends and I so move to advance a member $2,596 per month for four months. There was no discussion or objections.
Motion carried to advance a member $2,596 per month for four months.
The committee recommends and I so move to advance a member $7,462 for back mortgage. There was no discussion or objections.
Motion carried to advance a member $7,462 for back mortgage.
The committee recommends and I so move to advance a member $2,000 for outstanding bills. There was no discussion or objections.
Motion carried to advance a member $2,000 for outstanding bills.
The committee recommends and I so move to advance a member $4,262 for back mortgages. There was no discussion or objections.
Motion carried to advance a member $4,262 for back mortgages.
The committee recommends and I so move to advance a member $2,000 per month for seven months. There was no discussion or objections.
Motion carried to advance a member $2,000 per month for seven months.
The committee recommends and I so move to advance a member $2,000. There was no discussion or objections.
Motion carried to advance a member $2,000.
The committee recommends and I so move to advance a member $1,500 for six months. There was no discussion or objections.
Motion carried to advance a member $1,500 for six months.
The committee recommends and I so move to advance a member $15,787. There was no discussion or objections.
Motion carried to advance a member $15,787.
The committee recommends and I so move to advance a member $4,252. There was no discussion or objections.
Motion carried to advance a member $4,252.
BY-LAWS COMMITTEE REPORT
Chairman Warren Braun updated the Board on the status on the By-laws and asked that if they have any changes, to submit as soon as possible so that they may review and update. David Marino stated that they will have a Special Board meeting on July 17th to approve the changes to the By-laws.
SPECIAL EVENTS
David Marino mentioned the upcoming events and asked of those Trustees interested in playing at the golf tournament to see Marlene.
SETTING DATES
1) LAFD Invitational Golf Tournament – July 28th
2) Picnic/Regatta – September 13th
3) Strategic Planning Retreat – September 30th – October 1st
4) Open House – November 6th
5) Chili Cook Off – November 22, 2008 (7:00a.m. – 2:00p.m.)
6) Holiday Hoorah – December 13th Biltmore Hotel
RETIREMENT DINNERS
1) Mike Proffitt – July 17th Doubletree Hotel (San Pedro) Madeo Room (Larson)
2) Jim Wolfe – July 26th Jim Wolfe’s Home
3) Tim McDonell – July 31st Sterling Hills Golf Club (Steinbacher)
4) George Matakovich – August 14th Brookside Golf Club (Stires)
5) Gilbert De La Vara – August 15th Kyoto Grand (New Otani) Hotel
6) Al Angulo – August 30th Fire Station 49 A Shift (Prine)
7) Larry Metz – August 20th (Marino)
8) Paul Hilzer- August 21st Ports O’Call (Prine)
9) Howard Kaplan – September 9th Knollwood Country Club
10) Rich Howe – September 10th Sagebrush Cantina
11) John Keys – September 12th Sportsmen’s Lodge
12) Ron Price – September 20th Wilshire Grand Hotel
13) Steve Norris – September 26th Odyssey Restaurant
14) Will Alderson, Mike Gross, James Just, Richard Miller, Edward Strange – October 3rd Odyssey (Smith)
ADJOURNMENT
David Marino entertained a motion to adjourn. Trustee David Peters so moved. Trustee David Ortiz seconded the motion. There was no discussion and no objections.
Motion carried to adjourn in.
The Board of Trustees meeting adjourned at 12:49p.m.
David Marino, President