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09/12/1994 TRUSTEES OF THE EMPLOYEES' PENSION FUND MEETING September 12, 1994 The City Commission, meeting as the Board of Trustees of the Employees Pension Fund, met in regular session at City Hall, Monday, September 12, 1994 at 1:55 P.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 City Manager Paul Richard Hull Assistant City Attorney Cynthia E. Goudeau City Clerk ITEM #2 - Minutes: Trustee Fitzgerald moved to approve the minutes of the August 29, 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) Walter Sarna b) Jerry Butler c) Willie Porter d) Derick Blunt e) Thomas L. Wiggins f) Robert Ellington Trustee Deegan 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 Kenneth Hovance, Jr. be granted a job-connected disability pension under Section(s) 2.397 and/or 2.399 of the Employees' Pension Plan. Kenneth Hovance, Jr., was employed by the City on October 10, 1977, and began participating in the Pension Plan on that date. On April 18, 1994, he injured his back while on duty which is the basis for his request for a job-connected disability pension. Mr. Hovance has submitted letters from Dr. Jodi A. Shields, dated May 25, 1994, and Dr. William J. Near, dated July 18, 1994. The letter from Dr. Shields states, "...he fell off of a truck sustaining both a knee injury and a back injury when he jammed his left knee ... In any event, this patient's job description comes under the heading of heavy physical labor. He will not be able to return to regular duty as a fireman for the rest of his life ... This is a permanent disability as it relates to his specific job classification." The letter from Dr. Near states, "The above named patient was seen by me for a second opinion regarding his lower back injury sustained on April 18, 1994 .. I do not feel that he will be able to carry out the activities associated with that of a Fire Fighter which requires a significant physical activity on certain occasions ... I feel that this is a permanent injury and I see no evidence of any improvement on this." Mr. Hovance was sent to Dr. Richard Lyster for an independent medical evaluation (IME). His report, dated August 10, 1994, states, "The patient states that he was injured on 4/18/94 while working as a Fire Fighter ... The impression after reading the last definition of duties and tasks of a firefighter would lead me to believe that the patient would not be able to do the jobs that were assigned as routine firefighting, particularly in view of the fact that the patient has marked difficulty going to a squat position and is unable to forward flex easily..." Mr. Hovance's request for a job-connected disability pension was approved by the PAC at its meeting of August 17, 1994. This pension will be effective at the expiration of his vacation and sick leave as prorated with Workers' Compensation. Based on an average salary of approximately $33,329 over the past five years and the formula for computing job-connected disability pensions, Mr. Hovance's pension will approximate $24,929 annually. Charts from Finance which take into consideration mortality rates and age reflect the "present value cost of financing" this pension will be approximately $285,917. Trustee Thomas pointed out that while Mr. Hovance could not work as a firefighter, he was not totally disabled. H. M. Laursen, Human Resources Director, indicated the current interpretation that applies to all employees is if they are unable to do their particular job, they may apply for disability pension. In response to a question by Trustee Thomas, Mr. Laursen indicated Mr. Hovance had been offered other city jobs but had not accepted any. Trustee Thomas stated he was aware that this was an issue currently being bargained but he wanted the public to be aware that the current pension plan harms the City financially because it does not allow for partial disability. Trustee Fitzgerald moved to accept the recommendation of the Pension Advisory Committee. The motion was duly seconded and carried unanimously. ITEM #5 - Other Business: - None. ITEM #6 - Adjournment: The meeting adjourned at 1:59 p.m.