Laborers' & Retirement Board Employees' Annuity Benefit Fund of Chicago Board of Trustees met October 24.
Here is the minutes provided by the Board:
Public Participation:
None.
Approval Of Minutes From Previous Meetings:
It was moved by Trustee LoVerde, seconded by Trustee Joiner, that the regular minutes of Meeting No. 989 held on September 19, 2017 be approved as submitted.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Capasso and Joiner.
Against -- None.
Abstain -- Trustees Summers, Hamburger, and Brown.
It was moved by Trustee LoVerde, seconded by Trustee Joiner, that the minutes of Executive Sessions 1, 2, 3 and 4 of Meeting No. 989 held on September 19, 2017 be approved as submitted.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Capasso and Joiner.
Against -- None.
Abstain -- Trustees Summers, Hamburger, and Brown.
Schedule A – Applications For Refunds:
1. Refund of Contributions Due to Separation from Service
It was moved by Trustee Hamburger, seconded by Trustee LoVerde, that applications presented for Refunds of Contributions Due to Separation from Service be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
2. Miscellaneous Refunds
It was moved by Trustee Hamburger, seconded by Trustee LoVerde, that applications presented for Miscellaneous Refunds be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
Schedule B – Applications For Annuities:
1. Employee Annuities
It was moved by Trustee Hamburger, seconded by Trustee LoVerde, that the applications for Employee Annuities be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
2. Spouse and Child Annuities
It was moved by Trustee Hamburger, seconded by Trustee LoVerde, that the applications for Spouse and Child Annuities be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
Chedule C – Adjustment Refunds To New Annuitants:
It was moved by Trustee Brown, seconded by Trustee Hamburger, that Adjustment Refunds to New Annuitants be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Hamburger, Summers, Brown, Capasso and Joiner.
Against -- None.
Schedule D – Applications For Duty Disability Benefits:
It was moved by Trustee LoVerde, seconded by Trustee Joiner that, with the exception of the application for Gina Giannola, the applications for Duty Disability Benefits be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
Schedule E – Applications For Ordinary Disability Benefits:
It was moved by Trustee Hamburger, seconded by Trustee LoVerde, that the applications for Ordinary Disability Benefits, with the exceptions of Gina Giannola and Victor Roa, Sr., be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
It was moved by Trustee LoVerde, seconded by Trustee Hamburger, that all applications of Gina Giannola for disability benefits be excluded from all motions of the Board at the meeting of October 24, 2017.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
It was moved by Trustee LoVerde, seconded by Trustee Brown, that the application for Ordinary Disability Benefits for Victor Roa, Sr. be approved and ordered paid. President Roa recused himself in this matter.
Roll-call: For-- Trustees Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
Abstain -- Trustee Roa.
Schedule F – Extension Of Duty Disability Benefits:
It was moved by Trustee LoVerde, seconded by Trustee Capasso that, with the exception of the application for Gina Giannola, the applications for Extension of Duty Disability Benefits, be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
Schedule G – Extension Of Ordinary Disability Benefits:
It was moved by Trustee LoVerde, seconded by Trustee Joiner, that the applications for Extension of Ordinary Disability Benefits be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
Schedule H – Payment Of Uncashed Checks Of Deceased Members:
It was moved by Trustee Hamburger, seconded by Trustee LoVerde, that the applications for Payment of Uncashed Checks of Deceased Members be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
Schedule I – Payment Of Expenses:
It was moved by Trustee Joiner, seconded by Trustee LoVerde, that Administrative and Investment Invoices be approved and ordered paid.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
Investments Report:
September 30, 2017 Preliminary Performance Report-
Mr. Wesner reviewed the Market Tracker and the September 30, 2017 Preliminary Performance Report.
Asset Allocation Discussion-
This topic was discussed in executive session.
Executive Session No. 1:
At 1:32 p.m., Trustee LoVerde requested an executive session under 5 ILCS 120/2(c)(7) to discuss the sale or purchase of securities, investments or investment contracts. Trustee Hamburger seconded the motion.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Hamburger, Capasso, Brown and Joiner.
Against -- None.
At 1:48 p.m., Trustee LoVerde made a motion, seconded by Trustee Hamburger, that the executive session be adjourned and that the Board return to open session.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
It was moved by Trustee LoVerde, seconded by Trustee Joiner, to terminate the Western Asset Macro Opportunities Portfolio, LLC.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
It was moved by Trustee LoVerde, seconded by Trustee Hamburger, to terminate the Ariel Investments Micro Cap Portfolio.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Hamburger, Capasso, Brown, and Joiner.
Against – Trustee Summers.
Administrative Report:
LABF Former Staff Annuitant Healthcare Renewal
Mr. Walsh started the discussion of the proposed 2018 healthcare rates under consideration for LABF annuitants who are former staff members of the Fund. As the discussion progressed, the Fund’s counsel recommended that the discussion of this topic continue in executive session.
Executive Session No. 2:
At 2:07 p.m., Trustee LoVerde requested an executive session under 5 ILCS 120/2(c)(11) to discuss current or
potential litigation of the Fund. Trustee Joiner seconded the motion.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
At 3:10 p.m., Trustee Summers made a motion, seconded by Trustee LoVerde, that the executive session be adjourned and that the Board return to open session.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
It was moved by Trustee LoVerde, seconded by Trustee Summers, for the year 2018, to subsidize retiree healthcare at a rate of 55% for LABF staff retirees who are retired by December 31, 2017.
Roll-call: For-- Trustees Roa, LoVerde, Summers, Capasso and Joiner.
Against -- Trustees Keane, Hamburger and Brown.
The Board directed Fund staff to draft a policy regarding healthcare benefits for retired LABF staff to be discussed at the upcoming 2017 Board meetings and approved by the January 2018 Board meeting.
Legislative Matters:
Mr. Walsh gave a brief update on a potential trailer bill to PA 100-0023. Mr. Walsh stated that there was very little movement and that he would report back to the Board at the November 21, 2017 meeting.
Annuitant Member Trustee Election:
Mr. Walsh announced that the Annuitant Member Trustee Election had been held on October 12, 2017 and that James Capasso, Jr. had received the majority of votes in the election. Mr. Walsh reported that the Election Committee certified Mr. Capasso as the winner of the 2017 Annuitant Member Trustee Election.
Miscellaneous:
- Update on Senate Hearing on Investments – Mr. Walsh gave an update on the Senate Hearings on Pension Investments held on October 16-17, 2017.
- 2018 Budget – Mr. Walsh informed the Board that the 2018 budget would be presented at the December Board meeting and that he would be scheduling preliminary meetings with the trustees prior to the December meeting to discuss the budget.
- Election of Officers – Mr. Walsh reminded the Board that the annual Election of Board Officers would take place at the December 19, 2017 Board meeting.
- 2018 Board Meetings Schedule – Mr. Walsh informed the Board that they would receive a draft schedule of the 2018 Board meetings prior to the next meeting and he asked the Trustees to review the schedule for any conflicts.
Executive Session No. 3:
At 3:29 p.m., Trustee LoVerde requested an executive session under 5 ILCS 120/2(c)(11) to discuss current or potential litigation of the Fund. Trustee Capasso seconded the motion.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
At 3:44 p.m., Trustee LoVerde made a motion, seconded by Trustee Summers, that the executive session be adjourned and that the Board return to open session.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
It was moved by Trustee LoVerde, seconded by Trustee Summers, to report a reasonable suspicion of fraud to the State’s Attorney and to forward the matter to Markoff Law, LLC for collections processing.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
Legal Report:
Carmichael Litigation-
Mr. Donham gave a brief update on the status of the Carmichael litigation and noted that it had been docketed in the Illinois Supreme Court.
Coveliers Litigation-
Mr. Donham reported to the Board that he received a note from the attorney of Mr. Richard Coveliers stating that he intends to file a Petition for Leave to Appeal to the Illinois Supreme Court.
Underwood Litigation-
This topic was discussed in executive session.
Executive Session No. 4:
At 3:46 p.m., Trustee LoVerde requested an executive session under 5 ILCS 120/2(c)(11) to discuss current or potential litigation of the Fund. Trustee Joiner seconded the motion.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
At 3:59 p.m., Trustee LoVerde made a motion, seconded by Trustee Summers, that the executive session be adjourned and that the Board return to open session.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
The Trustees took no action.
Adjournment:
With no further business, at 3:59 p.m., Trustee LoVerde made a motion to adjourn the meeting. Trustee Capasso seconded the motion.
Roll-call: For-- Trustees Roa, Keane, LoVerde, Summers, Hamburger, Capasso, Brown, and Joiner.
Against -- None.
http://www.labfchicago.org/assets/1/33/October_24__2017_LABF_Reg_minutes_Final.pdf
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