Municipal Employees' Annuity and Benefit Fund of Chicago met March 23.
Here is the minutes provided by the Fund:
Public Comment:
Mr. Michael Tierney, Director of Political and Municipal Affairs, Plumbers Local 130, U. A., requested and was granted the opportunity to address the Board regarding Shift Differential pay and its effect on pension calculations.
President Guest thanked Mr. Tierney for coming and for his statements with respect to shift differential pay and its effect on pension calculations.
Legislation:
Mr. Mohler updated the Board on the status of Senate Bill 2437. Trustee Johnson added that Senate Bill 14 was going before the Personnel and Pensions Committee of the Illinois General Assembly in ten days.
Legislative Update
Investments:
Market Environment-
Mr. Jamie Wesner, Marquette Associates, the Fund’s Investment Consultant, reviewed the current market environment.
Monthly Performance Report-
Mr. Brian Wrubel, Marquette Associates, the Fund’s Investment Consultant, presented the Fund’s market performance for the month of February and noted that asset allocation was driving the positive returns.
Watchlist-
Mr. Wesner reported the following firms remain on Watch: Geneva Capital, Keeley and FIS.
Liquidity Needs-
Mr. Juan Lopez, Jr., Investment Officer, reported on the current cash balances of the Fund. Based on Mr. Lopez’s report, it was unnecessary for the Board to liquidate any investments.
Real Estate Allocation-
Mr. Lopez reviewed liquidations approved in from 2016. Based on this review, the anticipated receipt of these liquidated funds and the recommendation of Mr. Lopez and the Investment Consultant, Trustee Johnson made a motion to reallocate previously liquidated Funds to the following Real Estate Managers: $30 million to AFL-CIO, $20 million to American Realty and $10 million to J.P. Morgan. Seconded by Trustee Keane.
Carried: Ayes – Trustee Guest, Trustee Johnson and Trustee Keane. Nays – None.
Other:
FOIA Update-
Ms. Ruffolo reported on requests made under the Illinois Freedom of Information Act.
IRS Private Ruling Letter-
Ms. Sarah Boeckman, Fund Attorney, presented the draft of the letter requesting a Private Ruling for the Fund regarding the use of active member contributions to pay benefits. Based on this presentation and on the advice of Fund Counsel, Trustee Johnson made a motion to file the Private Ruling Letter as presented. Seconded by Trustee Keane.
Carried: Ayes – Trustee Guest, Trustee Johnson and Trustee Keane. Nays – None.
Legal Update-
The Board moved into closed session at 10:01 a.m. on a motion by Trustee Johnson in accordance with 5 ILCS 120/2(c)(11) to discuss issues related to current or potential litigation involving the Fund. Seconded by Trustee Keane.
Roll call:
Trustee Guest Aye
Trustee Johnson Aye
Trustee Keane Aye
Motion carried.
While in closed session, Trustee Summers arrived at 10:15 a.m.
The Board moved into open session at 10:29 a.m. on a motion by Trustee Johnson. Seconded by Trustee Summers. Carried by a unanimous voice vote.
The Board excused Ms. Boeckman from the Board room.
The Board moved into closed session at 10:30 a.m. on a motion by Trustee Johnson in accordance with 5 ILCS 120/2 (c)(1) to discuss matters relating to the appointment and compensation of the Fund’s Legal Counsel and matters of personnel. Seconded by Trustee Summers.
Roll call:
Trustee Guest Aye
Trustee Johnson Aye
Trustee Keane Aye
Trustee Summers Aye
Motion carried.
The Board moved into open session at 10:54 a.m. on a motion by Trustee Johnson. Seconded by Trustee Keane. Carried by a unanimous voice vote.
Adjournment:
There being no further business to come before the Board, Trustee Keane made a motion to adjourn the meeting at 10:55 a.m. Seconded Trustee Johnson. Carried: Ayes - Trustee Guest, Trustee Johnson, Trustee Keane and Trustee Summers. Nays-None.
http://www.meabf.org/assets/pdfs/meetings/minutes/2017-03-02_Minutes_Web.pdf
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