MINUTES OF THE BOARD OF TRUSTEES
June 9, 2011
CALL TO ORDER
President John Jacobsen called the meeting of the Board of Trustees of the Los Angeles Firemen’s Relief Association to order at 10:55 a.m.
ROLL CALL
MEMBERS PRESENT:
- John Jacobsen, President
- Juan Albarran, Vice President
- Andrew Kuljis, Secretary
- Trustee Jeff Cawdrey – Battalion 1
- Trustee James Coburn – Battalion 4
- Trustee Mark Akahoshi, Battalion 5
- Trustee Doak Smith – Battalion 9
- Trustee Gary Matsubara – Battalion 11
- Trustee Craig White – Battalion 12
- Trustee Chris Stine – Battalion 13
- Trustee Robert Steinbacher – Battalion 14
- Trustee Steven Domanski – Battalion 15
- Trustee Francisco Hernandez – Battalion 17
- Trustee Steve Tufts – Battalion 18
- Trustee David Ortiz – Headquarters 1
- Trustee Tim Larson – Pension 3
- David Ned Smith – Executive Director
- Controller – Todd Layfer
MEMBERS ABSENT:
- Trustee Gene Bednarchik – Battalion 2 (Excused)
- Trustee Michael Overholser, Battalion 3 (Excused)
- Trustee Chris Hart – Battalion 6 (Excused)
- Trustee Rick Godinez – Battalion 7 (Excused)
- Trustee David Peters – Battalion 10 (Excused)
- Trustee Kurt Stabel – Headquarters 2 (Excused)
- Trustee David Lowe – Pension 1 (Excused)
- Trustee Barry Hedberg – Pension 2 (Excused)
GUESTS:
- Lee Kebler, L.A. Retired Fire & Police
- David Wagner, Grapevine Editor
- Tom Stires, Retired
INVOCATION & Flag Salute
Andy Kuljis led the invocation. Tim Larson asked that the Trustees remain standing to honor the memory of San Francisco firefighters’ Anthony Valerio and Vincent Perez.
RATIFICATION OF MINUTES
John Jacobsen entertained a motion to ratify and dispense with the reading of the minutes of the Board of Trustees meeting held April 7, 2011 and May 12, 2011. Gary Matsubara so moved. Jeff Cawdrey seconded the motion. There was no further discussion or objections.
Motion carried to ratify and dispense with the reading of the minutes of the Board of Trustees meeting held April 7, 2011 and May 12, 2011.
PRESIDENT’S REPORT
1) John Jacobsen mentioned the Hope for Firefighter event and thanked everyone for all their efforts. He indicated that they do not yet have their final count of how much was raised for the WODFF.
2) Jacobsen referred the Medical subsidy issue and indicated that there has been talk of a potential subsidy cap for future Retirees and Actives possibly paying 2% more towards their future medical care. He stated that at this point, they don’t have any further information so it is best for the Association to stay informed and wait to see how it works out. He mentioned that he is waiting to see the Chief Officers M.O.U. which has not yet been approved by the City Council. He stated that our tables and rates for the July 1st effective date need to be appropriately updated.
3) Jacobsen mentioned the ERRP filing and stated that they have designated HealthScope Benefits as LAFRA’s filer for the Fire Medical plan, Kaiser and drug prescriptions costs. He indicated that all the data had to be complied and filed with the government in hopes of getting those funds reimbursed.
4) Jacobsen referred to the third-party subrogation issues and explained the process on how they try to recover most of the funds expended from the medical plan. He mentioned that it was a process and indicated that they were working on a few large recovery items.
5) Jacobsen mentioned the Operations Agreement with the Pension Department and indicated that they have been working to come to a closure by the end of the week. He stated that there were a few minor details to work out, but should be finalized soon. Pension’s has deleted all reference to an audit from this agreement.
6) Jacobsen referred to the Loughran Estate and indicated that they continue to work with the attorneys and conservator of the estate to hopefully come to a settlement.
EXECUTIVE DIRECTOR’S REPORT
1) Todd Layfer reported on the First Quarterly review of budget/expenditures. He indicated that the Association is on budget. He indicated that donations were running slightly ahead of schedule. He also stated that the benefits were slightly ahead of schedule as well. He mentioned the fund raising events and the projected income expected for HFF. He reported on the operating expenses and stated that it appears that they are ahead of the first quarter budget due to the separation payments for the Dalmatian store employees. He stated that the figures would soon catch up with budgeted amounts. He reported on the last sales for the Dalmatian store and reported the on the loss for the year. He reported on the investment balances and compared the figures from 2010. David Smith suggested that they also keep in mind is that Relief membership is down by 100 compared to one year ago due the Department not hiring. He also mentioned that Todd had built that reduction into the budget as well.
ADMINISTRATIVE COMMITTEE REPORT
Robert Steinbacher presented the following motions.
The committee recommends and I so move to pay the usual and customary bills in the amount of $897,837.44. There was no discussion or objections.
Motion carried to pay the usual and customary bills in the amount of $897,837.44.
The committee recommends and I so move to pay the professional fees in the amount of $70,682.54. There was no discussion or objections.
Motion carried to pay the professional fees in the amount of $70,682.54.
The committee recommends and I so move to approve up to $250 for FS 87’s Blood Drive refreshments. There was no discussion or objections.
Motion carried to approve up to $250 for FS 87’s Blood Drive refreshments.
David Smith mentioned that they were in the process of doing the annual evaluations on all employees. He also mentioned that all of the Association’s insurance policies will renew on July 1st. He indicated that he and Jacobsen will meet with the insurance carrier for various options. He mentioned that they had some concern on the worker’s comp costs because of the worker’s comp claims during the year. He indicated that they have asked the insurance carriers for options on alternatives for very large deductibles. He stated that they will report back to the Administrative Committee in two weeks.
David Smith provided an update on the Trellon services and indicated that they have had a conference call with them and stated that they agreed on an action plan on moving forward. He mentioned that their contract expires at the end of July and indicated that they are scheduled to talk with them to go over what the various options are to renew for the following year.
David Smith updated on the Hope For Firefighters event and reported that as of to date, they have a gross income of $111K. He indicated that the figure may increase a bit.
David Smith mentioned that after pursuing several alternatives of disposing the remaining Dalmatian merchandise, they have decided to take it to the Pasadena Salvation Army. He also mentioned that because of Tina Haro, they received a $200 donation from Gary Rodriguez and $168 from Richie Valen from the Fire Service Day T-shirt vendor sales.
MEDICAL COMMITTEE REPORT
Robert Steinbacher 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 all applications to the Medical Plan.
He stated that will have David Peters and Steve Tufts report on the Washington Legislative conference at the next committee meeting.
RELIEF COMMITTEE REPORT
James Coburn presented the following motion.
The committee recommends and I so move to pay:
The Sick & Injury benefits in the amount of $13,603.02
The Estate Planning benefit in the amount of $7,600,
The Life & Accident withdrawal in the amount of $8,871
The Relief Death Benefits in the amount of $18,000.
There was no discussion or objections.
Motion carried to pay the above Relief benefits.
MEMORIALS
Thomas M. Thumm
Arthur J. Harring
Kenneth G. Borst
Stephen F. Koenekamp
James Coburn read the names of members who recently passed and asked for a moment of silence from the Board.
ASSISTANCE COMMITTEE
James Coburn presented the following motions.
The committee recommends and I so move to accept the donations in the amount of $2,893 to the Widows, Orphans & Disabled Firemen’s Fund. There was no discussion or objections.
Motion carried to accept the donations in the amount of $2,893 to the Widows, Orphans & Disabled Firemen’s Fund.
Donations to WODFF for May 2011
- VIOLA R. MARTIN IN MEMORY OF HUSBAND & FATHER FRED MARTIN
- IVAR L. MIHLD IN GRATITUDE FOR THE MEDICAL EQUIPMENT AND SUPPORT DURING MY RECENT ILLNESS
- DAK CACHUMA
- FRED CHOVIL IN MEMORY OF DICK GOLDEN RETIRED LAFD
- HELEN L. SCHULZ
- CRAIG A. HURST IN MEMORY OF BOB & NOREEN HENDERSON
- ELIZABETH C WONG IN MEMORY OF KENNETH GLENN BORST
- BOEING CO EMP COMM FUND C/O CYBERGRANTS INC.
- BETTY V. LARSON
- GUY C. MILLER IN MEMORY OF MY WIFE LINDA RICH
- RALPH N. NELMAN IN MEMORY OF MY WIFE JEAN NELMAN
- JAMES GILLUM FROM THE SIMI VALLEY BREAKFAST CLUB
- JAMES E PANEK IN MEMORY OF KENNETH BORST
- SUZANNE G GARCIA
- GEORGE R. CANNON IN MEMORY OF CAPTAIN WILLIAM C. HAYS
- RAYMOND MARTIN
- URSULA HEDGES IN MEMORY OF ESTHER WILKINSON
- JAMES Y. TAKISHITA IN MEMORY OF ESTHER WILKINSON
- ANONYMOUS DONATION
- JAMES E. GILLUM FROM THE “SIMI VALLEY BREAKFAST CLUB”
- MR & MRS. NORMAN CROSS IN MEMORY OF KEN BORST
- DOROTHY H. LORTIE IN MEMORY OF WILLIAM LATHAM
- MR & MRS. TROY L. GUINN IN MEMORY OF KENNETH BORST
- MARY TUCK STANDERFER IN MEMORY OF MY BROTHER JOSEPH C. TUCK
- HELEN MEGORDEN
- LILLIAN ASHTON IN MEMORY OF PAT MCCULLOM
- JERRY FREEMAN
- HIROYUKI TAGA
The committee recommends and I so move to approve the assistance applications for surviving spouses, active and retired members. There was no discussion or objections.
Motion carried to approve the assistance applications for surviving spouses, active and retired members.
EMERGENCY ADVANCEMENTS
James Coburn presented the following motion.
The committee recommends and I so move to approve the advancements for active members and surviving spouses. There was no discussion or objections.
Motion carried to approve the advancements for active and retired members and surviving spouses.
SECRETARY REPORT
Andy Kuljis stated that they continue to field calls and answer questions. He indicated that they have been to several funerals and have been attending several retirement dinners.
SCHOLARSHIIP COMMITTEE REPORT
Doak Smith reported that the letters were going out that day to the non-winners. He indicated that the scholarships winners’ applications are still being reviewed and will be notified in the next couple of days. He stated that the winners will be recognized at a future Trustee meeting in the next few weeks.
INVESTMENT COMMITTEE REPORT
Robert Steinbacher presented the following motions.
The committee recommends and I so move to terminate Columbia International and move those funds to IVA located in New York. He reported that he and Jacobsen visited their office last week. There was no discussion or objections.
Motion carried to terminate with Columbia International and move funds to IVA.
The committee recommends and I so move to take the stated amount of funds and move into a private equity fund called RCP located in Chicago. He reported that he and Jacobsen had met with the principal owners in Chicago as well as their local representative in Newport Beach. There was no discussion or objections.
Motion carried to move stated amount into RCP.
OLD BUSINESS
1) John Jacobsen referred to the retirement dinners for members and indicated that they need help explain the process to those getting ready to retire. He stated that he was going to place an article in the Grapevine on what they need to do in terms of ordering the badge, ordering the Red book and submitting all the other information for printing in the Grapevine. He also indicated that they will email the entire retiree group with that same information.
SETTING OF DATES
1) Magic Mountain Firefighter Night – August 26th
2) Kings Fest – September 10th
3) IAFF Fallen Firefighter Memorial Colorado Springs Sept. 17th
4) LAFD Invitational Golf Tourn. – September 19th
5) SIIA – October 9th – October 12th
6) LAFRA Casino Night – October 22nd
7) IFEBP Annual Conf. – October 30th – November 2nd
8) LAFRA Open House – November 5th
RETIREMENT DINNERS
1) Brian Sandwick – June 9th Los Angeles Police Academy (Cawdrey)
2) Craig A. Yoder – June 10th The Los Angeles Athletic Club (White)
3) Paul Silveri – June 26th @ 23030 Cherokee Ln., Saugus 91390 (Peters)
4) Rick McLaren – July 14th Los Angeles Police Academy (Jacobsen)
5) Ralph Ramirez – July 16th Mediterranean Room Brookside Golf Club (Tufts)
6) Jimmy Hill – July 23rd Wilshire Grand Hotel (Tufts)
7) Rich Enciso – July 30th Mammoth Lakes Firemen’s Canoe Races
8) James Horimoto & Richard Hirigoyen – August 5th Ports O’Call Restaurant (Larson)
9) Robert “LL” Wilcox – August 9th Knollwood Country Club (Steinbacher)
ADJOURNMENT
John Jacobsen entertained a motion to adjourn in memory of deceased San Francisco Firemen, Antonio Valerio and Vincent Perez. Gary Matsubara so moved. Tim Larson seconded. There was no discussion and no objections.
Motion carried to adjourn.
The Board of Trustees meeting adjourned at 12:04 am.
John Jacobsen, President