MINUTES OF THE BOARD OF TRUSTEES
November 8, 2012
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 11:01 a.m.
ROLL CALL
MEMBERS PRESENT:
- John Jacobsen, President
- Juan Albarran, Vice President
- Andrew Kuljis, Secretary
- Trustee Jeff Cawdrey
- Trustee Gene Bednarchik
- Trustee Gary Matsubara
- Trustee Rick Godinez
- Trustee Doak Smith
- Trustee Francisco Hernandez
- Trustee Mark Akahoshi
- Trustee Robert Steinbacher
- Trustee Steven Domanski
- Trustee David Peters
- Trustee Chris Hart
- Trustee Steve Tufts
- Trustee David Ortiz
- Trustee David Lowe – Pension
- Trustee Barry Hedberg – Pension
- David Ned Smith – Executive Director
- Controller – Todd Layfer
MEMBERS ABSENT:
- Trustee Michael Overholser (Excused)
- Trustee Chris Stine (Excused)
- Trustee Craig White (Excused)
- Trustee James Coburn (Excused)
- Trustee Kurt Stabel (Excused)
- Trustee Tim Larson – Pension (Excused)
GUESTS:
- Lee Kebler, L.A. Retired Fire & Police
- Jim Dolan, Asst. Secretary
- David Wagner, Grapevine Editor
INVOCATION & Flag Salute
Rick Godinez led the invocation. David Lowe led the flag salute.
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 October 3, 2012. David Lowe so moved. Gary Matsubara seconded. There was no further discussion or objections.
Motion carried to ratify and dispense with the reading of the minutes of the Board of Trustees held October 3, 2012.
RATIFICATION OF ELECTION
Jacobsen entertained a motion to ratify the white ballot election of Trustees. The only nominations for the expiring term positions were from the existing Trustees. David Lowe so moved. Robert Steinbacher seconded. There was no discussion or objections.
Motion carried to ratify the white ballot election.
INVESTMENT REPORT
Garth Flint presented the 3rd quarter investment portfolio performance. The one-year performance, at 16.5%, was behind the Policy Index because the S & P was so strong last year that most managers under performed. He indicated that performance continues to look good for the five and seven year periods. Also, the managers ranked very well and outperformed the index for these longer periods. He reviewed each manager’s performance and mentioned that international managers have performed particularly well.
Steinbacher informed the Board that Garth had narrowed down to two private REITs for the November 27th meeting. He indicated that he has sent an email to the Investment Committee informing them of the meeting.
PRESIDENT REPORT
1) Jacobsen referred to strategic planning and stated that we will hold another session in March of next year. He said that they will be scheduling a day and a half for the session. He indicated that they would like to have Dawna Gray and Robert Ridley participate in the meeting.
2) Jacobsen indicated that he sent the Trustees the City Pension reform ballot initiative for review. He indicated that it also included an actuarial study from Pensions. He stated that, if passed, it will affect their families, benefits and future healthcare.
VICE PRESIDENT REPORT
1) Juan Albarran referred to the Grass Valley event and indicated that he is getting estimates for reserving spots for the event. He indicated that once he gets more information he will report back to the Board to determine if they want to hold the event in 2013. He also stated that they considered having a local event to have more participants from the southern California members.
2) Juan Albarran referred to the Sacramento Memorial and indicated that Glenn Smith and Eric Shepherd were placed on the memorial wall. He mentioned that he and Steve Domanski attended the memorial and met with the families.
EXECUTIVE DIRECTOR’S REPORT
1) David Smith referred to the Firemen’s Brew Bachelor Auction and stated that it was not a very good turnout. He stated that there was no net profit for the event; however the Firemen’s Brew has graciously donated $500 to the WODFF.
2) David Smith referred to the LAFRA.org site and stated that they received about 50 wire frames to review. He stated that they are in the process of reviewing them and will give the ok and hopefully the new website will be online in a few weeks.
3) David Smith referred to the mailing for those members not participating in payroll deductions to WODFF and indicated that they have received around 184 new contributing members. He mentioned that this will result in about a 10% increase annually to the WODFF.
4) David Smith referred to the FRITS programming and indicated that Liz Denison is currently reviewing the report. He mentioned that she will be in Southern California for a meeting on November 28th. He stated that they will go through the report and develop a recommendation if we should upgrade platforms.
5) David Smith asked the Trustees to turn in their expense reports before the end of the year.
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 $1,182,953.71. There was no discussion or objections.
Motion carried to pay the usual and customary bills in the amount of $1,182,953.71.
The committee recommends and I so move to pay the professional fees in the amount of $71,020.03. There was no discussion or objections.
Motion carried to pay the professional fees in the amount of $71,020.03.
The committee recommends and I so move to donate up to $200 to the L.A. Retired Fire & Police Christmas Celebration. There was no discussion or objections.
Motion carried to donate up to $200 to the L.A. Retired Fire & Police Christmas Celebration.
The committee recommends and I so move to approve up to $5,000 in seed money for next year’s Buzzard Bait Family Fun Ride. There was no discussion or objections.
Motion carried to approve up to $5,000 in seed money for next year’s Buzzard Bait Family Fun Ride.
The committee recommends and I so move to donate up to $250 for the LAFD Leadership Academy for their In-Service graduation reception. There was no discussion or objections.
Motion carried to donate up to $250 for the LAFD Leadership Academy for their In-service graduation reception.
MEDICAL COMMITTEE REPORT
David Peters presented the following motion.
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.
David Peters mentioned that they have received money from the Retirement Drug Subsidy (RDS). He indicated that they encourage their members not to enroll onto Medicare Part D and to continue with the Fire Relief Plan. He stated that we have requested a progress payment in the amount of $533K for 2012 which totals $1.1 million year to date back to the Medical plan.
RELIEF COMMITTEE REPORT
Doak Smith presented the following motion.
The committee recommends and I so move to pay:
The Sick & Injury benefits in the amount of $64,678.89
The Estate Planning benefit in the amount of $5,598.95,
The Relief Death Benefits in the amount of $45,000,
The Life & Accident Death Benefit in the amount of $12,000.
There was no discussion or objections.
Motion carried to pay the above Relief benefits.
Doak Smith read the names of members who recently passed and asked for a moment of silence from the Board.
MEMORIALS
Alvin Rodger Ruddick
Alfred Unzueta
Charles F. Nielsen
Clarence A. Woodburn, Jr.
Richard A. Purdy
David L. Megorden
Paul A. Orduna
Franklin D. Cutter
Kenneth G. Skersick
Robert J. Board
The committee recommends and I so move to approve the annual Christmas bonus to surviving spouses, dependents and orphans.
Motion carried to approve the annual Christmas bonuses.
ASSISTANCE COMMITTEE
Doak Smith presented the following motions.
The committee recommends and I so move to accept the donations in the amount of $20,958.48 to the Widows, Orphans & Disabled Firemen’s Fund. There was no discussion or objections.
Motion carried to accept the donations in the amount of $20,958.48 to the Widows, Orphans & Disabled Firemen’s Fund.
The committee recommends and I so move to approve the financial assistance applications for surviving spouses, active and retired members. There was no discussion or objections.
Motion carried to approve the financial assistance applications for surviving spouses, active and retired members.
EMERGENCY ADVANCEMENTS
Doak Smith presented the following motion.
The committee recommends and I so move to approve the emergency advancement applications for active and retired members. There was no discussion or objections.
Motion carried to approve the emergency advancement applications for active and retired members.
EXECTIVE SESSION
The Board entered into Executive Session at 12:01pm.
The Board adjourned from Executive Session at 12:20pm.
President Jacobsen stated that the Board has authorized the restructuring of a member’s advancement.
Motion carried to authorize restructuring of a member’s advancement.
GRAPEVINE/WEBSITE REPORT
Jeff Cawdrey reported that they are using a new mailing house for distribution. He mentioned that it costs around $100 more per month but stated that there is a quicker turnaround time.
SETTING OF DATES
1) IFEBP Annual Employee Benefits Conf. – November 11th – 14th
2) LAFRA Open House – December 1st
3) L.A. Retired Fire & Police Holiday Party – December 9th
RETIREMENT DINNERS
1) Brian Rubino – November 13th Knollwood Country Club (Peters)
2) Paul Ortega – November 16th Brookside Golf Club (Bednarchik)
3) Joe Porras – November 17th – Knollwood Country Club (Steinbacher)
4) Michael Camello – January 25th Brookside Golf Club (Kuljis)
5) Mike Brehm – February 23rd Ports O’Call Restaurant (Bednarchik)
ADJOURNMENT
John Jacobsen entertained a motion to adjourn. Gary Matsubara so moved. David Lowe seconded. There was no discussion and no objections.
Motion carried to adjourn.
The Board of Trustees meeting adjourned at 12:27 am.
John Jacobsen, President
