12/11/2003 (2)
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PAC
Pen~i~n Advisory Committee
.Minutes
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PENSION ADVISORY COMMITTEE MEETING
CITY OF CLEARWATER
December 11. 2003
Present:
Whitney Gray
John. Lee
John Schmalzbauer
Tom Jensen
Hoyt, P. Hamilton
Frank Hibbard
Nathan Hightower
Chair/Commissioner
Vice-Chair
Committee Member
Committee Member
Committee Member/Commissioner
Committee Member/Commissioner
Committee Member
Also Present: Joe Roseto
Robert D. Klausner
Patricia O. Sullivan
Human Resources Director
Pension Advisory Committee Attorney
Board Reporter
The Chair cal,led the meeting to order at 9:00 a.m. at City Hall.
To provide continuity for research, items are in agenda order although not,
necessarily discussed in that order.
2 - Approval of Minutes
In reference to page 4 under Director's Report, it was indicated Joseph J. Rinaldi's
name had been misspelled. '
Member Hibbard moved to approve the minutes of the regular meeting of November 13,
2003, as corrected. The motion was duly seconded and carried unanimously.
3 - Emplovees to be Heard - None.
4 - Action Items
a) Review and Action on Employee Requests for Years of Service Pension:
1. Michael Burke - Equity Services
2. William Alan Mayberry - Public SerVices
3. Joseph J. Rinaldi - Police,
4. Thomas M. Grow - Gas
Member Schmalzbauer moved to approve Years of Service Pensions for Michael, Burke,
William Alan Mayberry, Joseph J. Rinaldi, and Thomas M. Grow. The motion was duly
seconded and carried unanimously.
b) Review and Action on Employee Requests to Vest Pensions:
,1. Millie F . McFadden - Parks & Recreation Department
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Millie F. McFadden has resigned her position after being employed by the City for more
than 14 years. She will qualify to receive her pension beginning August 1, 2014.
AND
2. Paul S. Ritz - Library
Paul S. Ritz has resigned his position after being employed by the City for more than 18
years. 'He will qualify to receive his pension beginning May 1, 2007.
Member Hibbard moved to approve the Employee Requests to Vest Pensions for Millie
F. McFadden and Paul S. Ritz. The motion was duly seconded and carried unanimously.
c) Approval of New Hires as Plan Members:
As of November 26, 2003, the City had 1766.3 FTEs out of 1844.9 budgeted positions.
Merewyn Mendenhall originally was employed as part-time; status changed to full-time and
pension eligible as of November 17, 2003. '
Member Jensen moved to accept the following employees into membership in the
Pension Plan:
Date of Pension
Employment Elio. Date
Kathy Day, Police Communication Operator Police Department
Michael Conroy, Recreation Programmer Parks & Recreation
Jason Wallace, Solid Waste Worker Solid Waste
Gerard Grace, Parks Service Technician I .Parks & Recreation
Darren Pohorenec, Recreation Programmer Parks & Recreation
Joseph Metz, Fleet Mechanic Gen Svcs/Fleet Maint
Chris Topping, Tradesworker Gen Svcs/Bldg Maint
Terry Swatzell, Solid Waste Worker Solid Waste
Merewyn Mendenhall, Library Assistant Library
Tarik Jones, Solid Waste Worker Solid Waste
10/20/03
10/01/03
11/03/03
11/03/03
11/03/03
11/17/03
11/17/03
11/17/03
05/19/03
11/17/03
The motion was duly seconded and carried unanimously.
5 - Pendino/New Business
a) Marcus Lane - Hearing for Job-connected Disability Application
Marcus Lane was not present.
10/20/03
10/01/03
11/03/03
11/03/03
11/03/03
11/17/03
11/17/03
11/17/03
11/17/03
11/17/03
While employed by the City as a Police Officer, Marcus Lane fatally shot a' 16 year-old,
boy in the performance of his duty on November 111 2002. He submitted his disability
application on April 7, 2003. claiming PTSD (Post-Traumatic Stress Disorder) and major
depression.
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Pension Advisory Committee Attorney Robert Klausner stated e~mail correspondence
between Mr. Lane and the City Manager on November 13, 2003, confirms that Mr. Lane was
notified of today's hearing. Human Resources Director Joe Roseto said if today's hearing is
continued, Mr. Lane's no-pay status will remain unchanged. Assistant City Attorney Leslie
Dougall~Sides said the City believes Mr. Lane's condition is not permanent and that he could
work as a Police Officer assigned to dispatcher duties. Mr. Roseto said the IME (Independent
Medical Evaluation) had opined that Mr. Lane could recover from PTSD within six to nine
months. The Police Department is willing for Mr. Lane to remain under professional care and
return to duty as a dispatcher, with a reevaluation in six months. Previously the Police
Department did not have an expectation that Mr. Lane could return to work.
Discussion ensued regarding Mr. Lane and if he understood his presence at today's
meeting was recommended. Pension Advisory Committee Attorney Robert Klausner stated at
the time of his last contact, Mr. Lane was not represented by legal counsel. Concern was
expressed Mr. Lane may be unaware the City had changed its position regarding an offer of
useful meaningful work.
Member Lee moved to change the agenda order and hear Item 5a at the end of the
, meeting so that Mr. Lane could be contacted. The motion was duly seconded and carried
unanimously.
Jeff Rawson, Fraternal Order of Police President. left the meeting to telephone Mr. Lane
and returned, reporting that Mr. Lane was too far away to attend today's meeting. Police
Officer Rawson said he has been in frequent contact with Mr. Lane and reported the shooting
had taken a debilitating toll on Mr. Lane, who now is penniless, bankrupt, and living with
relatives. Police Officer Rawson said Mr. Lane has lost everything, cannot meet his child
support obligations, and at times is suicidal. Police Officer Rawson said Mr. Lane fears his
ability to perform as a dispatcher may be compromised should he freeze if a similar shooting
incident occurs. Mr. Lane expressed interest in returning some order to his life and requested
that his case be heard today. In response to a question, Police Officer Rawson said Mr. Lane
was unaware his presence today was necessary. He said Mr. Lane is in a difficult crisis and his
mental state fluctuates.
In response to a question, Ms. Dougall-Sides said the IME report had found that Mr.
Lane's condition is not permanent. The City prefers placing Mr. Lane in a dispatcher position
and reevaluating him in six to nine months. She indicated IME physician Eric Kaplan, M.D. had
recommended Mr. Lane return to light duty as his condition improves. Dr. Kaplan did not
indicate Mr. Lane could return to work as a Police Officer in the near future. Mr. Roseto said
the City could determine after the reevaluation if Mr. Lane is able to return to full duty as a
Police Officer. Mr. Klausner agreed the IME physician had indicated Mr. Lane is not ready to
return to light duty ~
Member Hibbard moved for the PAC to hear the job-connected disability application for
Mr. Lane. The motion was duly seconded and carried unanimously.
Discussion ensued regarding information provided applicants with a recommendation
that City correspondence indicate that applicants are alloWed to and encouraged to attend
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hearings. Mr. Roseto said at the office he had discussed the process and procedure with Mr.
Lane.
As Mr. Lane was not present. Mr. Klausner recommended the application serve as the
opening statement.
Member Hightower moved for the PAC to accept all appropriate medical records and
supporting documents as part of the record. The motion was duly seconded and carried
unanimously.
Mr. Klausner said Mr. Lane indicates he cannot return to police work following the
shooting and requests a disability pension. Mr. Klausner said the IME report indicates as Mr.
Lane's condition improves, he may be able to return to light duty. Joseph Shanklin, M.D., had
reported that Mr. Lane's condition will not improve and he did not think Mr. Lane could work
again as a Police Officer or in the law enforcement field.
Ms. Dougall-Sides said Mr. Lane had considered a transfer to dispatch as a non Police
Officer. She said Dr. Shanklin earlier had found Mr. Lane may be able to work outside criminal
justice but in his November 3, 2003, letter had indicated improvement in Mr. Lane's condition is
not likely. Dr. Shanklin had diagnosed Mr. Lane with PTSD and major depression, indicating
. the length of his PTSD disability could not be determined and that Mr. Lane could not return to
work until the PTSD was under control. Bernadette Ackerman, A.R,N.P., originally had
diagnosed an adjustment disorder, depression, and marital problems. In February 2003, Ms.
Ackerman had diagnosed acute PTSD. Ms. Dougall-Sides said Mr. Lane had told Dr. Kaplan
that he could work. An earlier worker's compensation action regarding a previous back injury is
still pending and is not part of this claim.
Ms. DougallMSides said the City prefers to place Mr. Lane on light duty as a dispatcher
as soon as the doctor releases him to work. The dispatcher position would be offered at no '
loss of pay and his supplemental pension would continue to accrue.
Lisa Averoff, L.M.H.C., medical health provider, stated she had treated Mr. Lane since
the day after the incident and was present at Mr. Lane's request. She indicated she had
forwarded a summary of therapy, stating Mr. Lane exhibits symptoms of PTSD.
Ms. Dougall-Sides objected to Ms. Averoff's testimony as the applicant had not
submitted a witness list 10 days prior to the hearing as required or noticed the City regarding
,Ms. Averoft's testimony.
Member Hibbard moved to allow Ms. Averoft's testimony. The motion was duly
seconded and carried unanimously.
Ms. Averoff reviewed Me Lane's case and expressed concern he could "freak out"
, without warning and respond incorrectly as a dispatcher. She said Mr. Lane had applied for .
work at other police departments because he needed income but was not considered for any
positions due to his history following the shooting incident. She said her earlier approval of Mr.
Lane's return to work was based on his request, not her recommendation. She said her role is
to help patients progress as they wish.
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Police Officer Rawson said the shooting was a traumatic event for which Mr. Lane was
castigated publicly and by the shooting victim's peers. He said the incident was debilitating and
Mr. Lane could never work as a police officer again..
Concerns were expressed Mr. Lane could not be recertified as a Police Officer if his
duties are limited to those of a dispatcher and that the position of dispatcher could be too
stressful, and endanger officers during critical situations. It was stated evidence provided
raises questions if Mr. Lane could ever again act efficiently on the street as a police officer.
Member Schmalzbauer m,oved to approve a job~connected disability pension for Marcus'
Lane. The motion was duly seconded.
Concern was expressed the City's recommendation that Mr. Lane return to work as a
police officer doing dispatcher duty when he is unable to come to the aid of another police
officer is inconsistent with City policy. Mr. Roseto said prior to the IME recommendation, the
City had not received a professional opinion that Mr. Lane could return to full duty. Ms.
Dougall-Sides said the City maintains that light duty positions assigned by the Police Chief are
valid assignments. She said the PAC had determined police officers assigned to light duty had
to be able to perform full police duties on the street.
Concerns were expressed regarding Mr. Lane's mental condition, his ability to handle
stress related to the dispatcher position. and the possibility he could endanger officers in the
field. It-was indicated Mr. Lane would not be required to carry a gun when performing a light
duty job. It was suggested Mr. Lane's condition would more likely improve if he returned to
work. It was stated documentation supports Mr. Lane's contention that he cannot work as a
police officer. It was recommended the PAC permit Mr. Lane to continue with his therapy, put
this incident behind him. and continue with his life.
It was noted that Dr. Kaplan's evaluation included conflicting statements regarding Mr.
Lane's ability to return to work as a police officer, with one comment indicating Mr. Lane would
never be able to work as a police officer again. It was stated, Mr. Lane could not meet the job
requirement that a dispatcher exercise sound judgment and must be able to respond
immediately. It was suggested Mr. Lane would receive necessary therapy and medication only
if he returns to work.
The question was called. The motion to call the question and end discussion carried
unanimously.
Mr. Klausner requested the motion be amended.
Member Schmalzbauer moved to amend his motion to grant Marcus Lane a job~
connected disability pension. that Mr. Lane's disability is permanent and not the result of an
, injury or impairment or medical condition preexisting participation of the plan and is not
inconsistent with the forfeiture of benefits provisions, and was not occasioned by the excessive
or habitual use of drugs, intoxicants, or alcohol. The seconder agreed. '
Upon the vote being taken, the motion carried unanimously.
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Mr. Roseto said staff would contact Mr. Lane regarding the PAC's decision.
b) Discuss Policies and Procedures
In response to a question regarding Section 2, Mr. Klausner said the language is
advantageous to participants. He advocated a distinction between service-connected and non-
service-connected disabilities due to tax breaks for service-connected awards.
Regarding Section 4, Mr. Klausner said the IME provider reviews all medical reports
before determining if an applicant's condition will improve. Mr. Klausner said there is a concern
that reports by applicants' personal physicians may be shaded in support of applicants' desires
to be granted disability benefits. The PAC (Pension Advisory Committee) should judge all
medical evidence and decide which opinion is compelling. The PAC is not required to place
greater weight on the IME report than on other medical opinions.
It was requested the summary include information regarding the significance of IME
reports. Concern was expressed physicians who are paid by the Pension Plan to perform IMEs
may perceive that it is in their best interest to' deny benefits. Mr. Klausner said the PAC has a
fiduciary responsibility to decide disability cases correctly, based on the law and without regard
to economic impacts on the plan.
In response to a question, Mr. Klausner said statistically a high incidence of reinjury
occurs among employees brought back to work from a disability. He ,said when reinjury occurs,
the employee receives an increased disability benefit based on a higher rate of pay.
Discussion ensued regarding Section 5. Mr. Klausner said fire and police certified staff
must be assigned to a useful job without a loss of payor benefits if it is determined they are
disabled. He said terminology referencing the usefulness of a position is up for interpretation.
Personnel can be denied disability benefits if they refuse work.
Regarding Section 7. it was recommended illegible medical reports be transcribed so
that committee members can read and understand them. It was stated the translation of
medical abbreviations also may be helpful.
Regarding Section 10, it was recommended language be added regarding forfeiture of
pension benefits if.fraud is proven.
Member Schmalzbauer moved to approve the Pension Advisory Committee Policies and
Procedures, as amended. The motion was duly seconded and carried unanimously.
Mr. Klausner said changes to Sections 13 and 14 will occur as new related cases are '
decided.
6 ~ Director's Reports
Recommend approval of $400 expenditure for FPPTA membership
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FPPTA (Florida Public Pension Trustees Association) is a non-profit organization
dedicated to the goal of educating public pension trustees. FPPTA holds two schools and one
conference a year. The Plan's Pension Attorney, Klausner & Kaufman, is very active in FPPTA.
As staff becomes aware of other similar organizations that are of benefit to the Plan,
authorization to join the organization(s) will be brought forward for Trustee approval.
The membership fee for FPPTA is $400 annually.
In response to a question, Cash & Investments Manager Steve Moskun said funds are
budgeted for travel and training. Membership allows attendance at conferences.
Member Hibbard moved to recommend approval of a $400 expenditure for Florida
Public Pension Trustees Association membership. The motion was duly seconded and
carried unanimously.
I nvesco
Mr. Moskum reported staff had met with consultants last night, and more meetings are
planned, regarding turmoil at the Citis investment firm. Invesco. The Pension Fund has not
suffered any losses due to current allegations. Staff will make a decision based on daily
" monitoring of the account, a review of events, and affects to the plan. Should change occur,
the City would provide Invesco a 3D-day notice, reinvest subject funds into Lehman Brothers,
and reqalance the Plan's portfolio.
7 - Committee Members to be Heard
Member Schmalzbauer reported blue lights in living room windows are lit to respect
officers and firefighters who lost their lives in the line of duty.
Committee members wished all a happy holiday season.
Chair Gray said this is her last meeting a!1d thanked all for their support. Chair Gray
was complimented for her dedicated service.
8 - Adiournment
The meeting adjourned at 10:27 a.m., _ _ j . ~
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Pension Advisory Committee
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