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04/14/1994 TRUSTEES OF THE EMPLOYEES' PENSION FUND MEETING April 4, 1994 The City Commission, meeting as the Board of Trustees of the Employees Pension Fund, met in regular session at City Hall, Monday, April 4, 1994 at 9:00 A.M., with the following members present: Rita Garvey Chairperson Richard Fitzgerald Trustee Sue Berfield Trustee Arthur X. Deegan, II Trustee Fred Thomas Trustee Also Present were: Elizabeth M. Deptula Interim City Manager Milton A. Galbraith, Jr. City Attorney Cynthia E. Goudeau City Clerk ITEM #2 - Minutes: Trustee Deegan moved to approve the minutes of the February 28, 1994, meeting. The motion was duly seconded and carried unanimously. ITEM #3 - Request for Acceptance into Membership: The City Manager presented the recommendation of the Pension Advisory Committee to approve membership for the employee(s) listed below: a) Deritangian Davis b) Daniel J. Rozzi c) Carolyn L. Brink d) David A. Desgro e) Pawel W. Dembinski f) David G. Nardin Trustee Berfield moved to accept the recommendation of the Pension Advisory Committee. The motion was duly seconded and carried unanimously. ITEM #4 - Request for Pension: The City Manager presented the recommendation of the Pension Advisory Committee that John Chester be granted a regular pension under Section 2.396 of the Employees' Pension Plan. John Chester was employed on August 27, 1973, and began participating in the Pension Plan on February 27, 1974. His retirement will be effective on February 28, 1994, at the beginning of the day. Mr. Chester's pension was approved by the PAC at its meeting of February 16, 1994. Based on an average salary of approximately $38,640 over the past five years and the formula for computing regular pensions, Mr. Chester's pension will approximate $19,320 annually. Charts from Finance which take into consideration mortality rates and age reflect the "present value cost of financing" this pension will be approximately $188,622. Note: When Mr. Chester was originally employed, pension deductions were not taken for the first six months and employees contributed to Social Security. When employees were given an option to buy back their first six months of service, Mr. Chester chose not to exercise such option. Trustee Berfield moved to accept the recommendation of the Pension Advisory Committee. The motion was duly seconded and carried unanimously. ITEM #5 - Request for Pension: The City Manager presented the recommendation of the Pension Advisory Committee that Joan M. Stiers be granted a regular pension under Section 2.396 of the Employees' Pension Plan. Joan Stiers was employed on February 25, 1974, and began participating in the Pension Plan on that date. Her retirement will be effective on March 2, 1995, at the beginning of the day. Ms. Stiers' pension was approved by the PAC at its meeting of February 16, 1994. Based on an average salary of approximately $22,035 over the past five years and the formula for computing regular pensions, Ms. Stiers' pension will approximate $11,568 annually. Charts from Finance which take into consideration mortality rates and age reflect the "present value cost of financing" this pension will be approximately $103,374. Trustee Fitzgerald moved to accept the recommendation of the Pension Advisory Committee. The motion was duly seconded and carried unanimously. ITEM #6 - Request for Pension: The City Manager presented the recommendation of the Pension Advisory Committee that Robert C. Craft be granted a regular pension under Section 2.396 of the Employees' Pension Plan. Robert C. Craft was employed on June 27, 1973, and began participating in the Pension Plan on December 27, 1973. His retirement will be effective on September 9, 1994, at the beginning of the day. Mr. Craft's pension was approved by the PAC at its meeting of February 16, 1994. Based on an average salary of approximately $29,871 over the past five years and the formula for computing regular pensions, Mr. Craft's pension will approximate $15,458 annually. Charts from Finance which take into consideration mortality rates and age reflect the "present value cost of financing" this pension will be approximately $113,411. Note: When Mr. Craft was originally employed, pension deductions were not taken for the first six months and employees contributed to Social Security. When employees were given an option to buy back their first six months of service, Mr. Craft chose not to exercise such option. Trustee Berfield moved to accept the recommendation of the Pension Advisory Committee. The motion was duly seconded and carried unanimously. ITEM #7 - Request for Pension: The City Manager presented the recommendation of the Pension Advisory Committee that Reba J. Parker be granted a non-job-connected disability pension under Section(s) 2.396 and/or 2.399 of the Employees' Pension Plan. Reba J. Parker was employed on June 15, 1981, and began participating in the Pension Plan on that date. On February 1, 1994, Donald Parker, on behalf of Reba J. Parker, submitted a request to the PAC for a non-job-connected disability pension. Mrs. Parker suffered a stroke which is the basis for this request for pension. Letters from Dr. Michael B. Evans, dated 1/14/94 and 2/17/94, and Dr. James F. Rivenbark, dated 1/21/94 were submitted in support of this request. The letter from Dr. Evans dated January 14th states, "I first saw Mrs. Parker on 11/28/93 when she was admitted to Largo Medical Center Hospital in a state of coma ... I have read the information sent to me by Mr. Parker on the processing disability pension requests form and also the duties of an Accounting Clerk II, sent to me as a separate sheet. I do not believe that Mrs. Parker would be able to carry out any of the duties outlined on that sheet of paper". The letter from Dr. Evans dated February 17th states, "She was initially comatose and has improved to a state of severe memory and cognitive disability. Her prognosis for further recovery is poor. I suspect in all probability this will be a fixed deficit and a permanent condition". The letter from Dr. Rivenbark states "Reba Jean Parker has suffered a disabling stroke. We were highly surprised and actually considered it miraculous that she survived ... However, she is permanently and totally disabled and will never be able to work any type of position again. Her current cognitive abilities are limited, and she requires ongoing supervision and therapy". Mrs. Parker's pension was approved by the PAC at its meeting of February 16, 1994. This pension will be effective on March 3, 1994, at 1.3 hours into the day. Based on an average salary of approximately $21,892 over the past five years and the formula for computing non-job-connected disability pensions, this pension will approximate $6,896 annually. Charts from Finance which take into consideration mortality rates and age reflect the "present value cost of financing" this pension will be approximately $66,032. Trustee Deegan moved to accept the recommendation of the Pension Advisory Committee. The motion was duly seconded and carried unanimously. ITEM #8 - Other Business: H. M. Laursen, Human Resources Director, reported that shortly after the election to fill Fred Starzinger's expiring term was announced for June, Mr. Starzinger retired. This will result in a vacancy until June as an election can not be held earlier. PAC rules, approved by the Trustees, require all three members to vote on disability pension requests. The PAC is requesting this requirement be waived in order for action to be taken on disability pension requests between now and June. This rule was waived before when former member Nicholson suffered a heart attack. Chairperson Garvey questioned how many disability pension requests were pending. Ed Hooper, PAC member, stated he was aware of two. Trustee Deegan indicated he did not recall any problems the last time the requirement was waived. Trustee Deegan moved to waive the requirement for all three members to vote on disability pensions. The motion was duly seconded and carried unanimously. ITEM #9 - Adjournment: The meeting adjourned at 9:06 a.m.