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05/10/2001PENSION ADVISORY COMMITTEE MEETING CITY OF CLEARWATER May 10, 2001 Present: Dick Fitzgerald Acting Chair/Committee Member Steve Sarnoff Committee Member/Commissioner Bill Jonson Committee Member Ed Hart Committee Member/Commissioner John Schmalzbauer Committee Member John Lee Committee Member Whitney Gray Committee Member/Commissioner Also Present: Lee Dehner Pension Advisory Committee Attorney Paul O’Rourke Human Resources Administrator Debbie Ford Human Resources Analyst Brenda Moses Board Reporter The Acting Chair called 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. ITEM #2 – Selection of Chair* Member Jonson moved to appoint Member Fitzgerald as Chair. The motion was duly seconded and carried unanimously. ITEM #3 – Approval of Minutes of April 12, 2001 Member Schmalzbauer requested that Item #4 B1 on page 2, sentence 1 read “..vest her…”. Chair Fitzgerald requested that the list of attendees on page 1 reflect “Bill Jonson Committee Member/Commissioner”, and “Whitney Gray Committee Member/Commissioner”. Chair Fitzgerald requested that the last sentence on page 4 read “… include it in the FY 2002…”. Member Schmalzbauer moved to approve the minutes of the regular meeting of April 12, 2001, as amended. The motion was duly seconded and carried unanimously. ITEM #4 – Employees to be heard – None. *As Member Fitzgerald was nominated and voted Chair during the meeting, he will not be listed as Chair until the next meeting. ITEM #5 – Action Items Review and Action on Employee Requests for Years of Service Pensions Richard Vellucci, Fire William Buchenhorst, Public Utilities Member Lee moved to approve the requests by Richard Vellucci and William Buchenhorst for a Years of Service Pension. The motion was duly seconded and carried unanimously. Review and Action on Employee Requests to Vest Pensions John Weppler, Gas It was remarked that the application for vested right pension form that Mr. Weppler completed should reflect that the eligibility date for his pension is 2011, not 2111. Ms. Ford said Mr. Weppler filled out that date, but it would be corrected by staff. Member Sarnoff moved to approve the request by John Weppler to vest his pension. The motion was duly seconded and carried unanimously. Approval of New Hires as Plan members: As of May 10, 2001, the City had 1,695.17 FTEs out of 1,799.3 budgeted positions (including the City Commission). Member Lee moved to accept the following employees into membership in the Pension Plan: Date of Pension Employment Elig. Date Kimberly McDaniel, Library Assistant Library 10/09/00 4/07/01* Jessica Jameson, Pol. Com. Op. Trainee Police 4/09/01 4/09/01 Vicki Duffey, Pol. Com. Op. Trainee Police 4/09/01 4/09/01 Eileen Karner, Pol. Info. Tech. I Police 4/09/01 4/09/01 Katie Robinson, Parks Svc. Tech I Parks & Rec. 4/09/01 4/09/01 Michelle Arnold, Librarian I Library 4/09/01 4/09/01 William Daniel, Personnel/Payroll Tech Police 3/26/01 3/26/01 Manuel Cordero, Custodial Worker Parks & Rec. 3/10/01 3/10/01 Charles Walden, WWTP Op. Trainee Public Utilities 4/09/01 4/09/01 Stanley Conord, Police Cadet Police 3/12/01 3/12/01 Lydia Moreda, Senior Systems Analyst Plan & Dev Svcs 4/23/01 4/23/01 James Wagner, Dev. Review Tech I Plan & Dev Svcs 4/23/01 4/23/01 Samantha Stahl, Pol. Com. Op. Trainee Police 4/09/01 4/09/01 * Originally hired as permanent part-time; status changed to full-time and pension eligible as of 4/07/01. In response to a question, Human Resources Administrator Paul O’Rourke said the right column on the sheet titled “FTE’s vs. Positions Filled” reflects the number of FTEs approved by the Commission effective the beginning of the fiscal year budget shown. Departments make additional requests throughout the year, which is reflected on the left-hand side of the form. He said historically, the departments are at 93% - 94% of positions budgeted. The fractions reflect part-time and seasonal employees. The motion was duly seconded and carried unanimously. ITEM #6 – Pending/New Business Johnny Jackson – Schedule Hearing on Request for Non-Job Connected Disability Pension Advisory Committee Attorney Lee Dehner reviewed the procedures, plan provisions that determine entitlement, and legal principals that need to be applied by the PAC regarding Johnny Jackson’s request for non-job connected disability benefits. Section 2.397(c) of the Disability Benefits Section of the Pension Ordinance states that it must be determined whether or not the applicant has an illness that renders him unable to perform any useful, necessary, or meaningful work for the City in an available position that he is trained and qualified for, or an alternate position that he could be trained to perform. Mr. Dehner said the PAC has received information regarding Mr. Jackson’s medical history including physician evaluations and personnel records. Mr. Dehner reviewed the 3 legal principles that are applicable to this request: 1) the PAC’s decision must be supported by substantial and competent evidence: 2) the PAC must provide Mr. Jackson with due process by following the applicable rules and regulations; and 3) the PAC must comply with essential requirements of law, applying the provisions of the ordinance as they pertain to the standards of disability. Mr. Dehner said upon review of all records, there is clearly substantial and competent evidence to support Mr. Jackson’s claim. Correspondence dated May 7, 2001, from Mr. O’Rourke indicates that based on medical records submitted and opinions rendered, there is no position available for which Mr. Jackson could perform useful work nor a position that Mr. Jackson could be retrained to perform. He read Mr. O’Rourke’s letter into the record, as it was distributed after the agenda packets were mailed. In response to a question, Mr. Dehner said if Mr. Jackson is granted the disability request, he will be terminated from employment status; but the PAC is required to periodically review his physical status in the event of recovery. Should a recovery occur, Mr. Jackson’s disability would terminate and if a position is available at that time, he would be re-employed. It was requested that rather than the requirement that a quarterly review be done, an annual review be required. Mr. O’Rourke said Mr. Jackson has been informed that he may be required to undergo several medical operations including a lung and hip transplant. He said Mr. Jackson has proven his ability to perform his job under extremely difficult physical conditions, however, he continues to require the assistance of his coworkers as his condition worsens. His quality of life has continued to deteriorate over the past few years and he has exhausted his sick and vacation time. Mr. Jackson would be eligible to retire under the City pension plan upon 30 years of employment. The difference in his salary and his pension is approximately $16,000 a year. Staff recommends the PAC grant Mr. Jackson’s disability request. Mr. Dehner said the City’s net gain or loss is not relevant to the PAC’s determination of the request. In response to a question, Mr. Dehner said he represents the City’s employee pension plan. Member Sarnoff moved to approve the recommendation of the Human Resources Director to grant a not -in-line of duty disability pension pursuant to Section 2.397(C1) and (C2) of the employee pension ordinance to Johnny Jackson, with the provision that only an annual review of his condition is necessary, waiving the quarterly review. The motion was duly seconded. Johnny Jackson said he has worked for the City for many years and his illness is a disappointment. He has made a concerted effort to come to work before his disease took over. His medications create additional problems in being able to perform his job. He said he prefers to work for and retire with the City but unfortunately cannot control his illness. He has exhausted his sick time. It was remarked that everyone appreciates Mr. Jackson’s good service and hopes his situation will improve. Upon the vote being taken, the motion carried unanimously. ITEM #7 - Director’s Reports Mr. O’Rourke said fiduciary training is scheduled for the PAC and Pension Trustees at 10:00 a.m. to 2:00 p.m. on June 14, 2001 from with Mr. Dehner in the OED Training Room on the second floor at City Hall. On June 19, 2001, investment training also is scheduled from 9:00 a.m. to 1:00 p.m. and PAC members are welcome to attend. Mr. O’Rourke said the PAC approved a request last month to use $9,000 from the Employee’s Pension Plan to help support the Integrated Disability Management contract. It had been suggested that the request be included in the fiscal year 2002 budget and staff concurs. Since a change in benefit consultants has been made and staff is working on a medical RFP (Request for Proposal) that will consume most of the Human Resources staff over the next 3 – 4 months, the presentation regarding the Integrated Disability Management contract must be delayed for the next 30 – 60 days. Mr. O’Rourke said it has been estimated that $50,000 should be budgeted for the initial assessment costs. The second phase also is estimated at $50,000. This will not be on the March 2002 referendum. ITEM #8 – Committee Members to be Heard The Committee welcomed new members. ITEM #9 – Adjournment The meeting adjourned at 9:38 a.m. ________________________________ Chair Pension Advisory Committee Attest: ________________________________________ Board Reporter