At the regularly scheduled meeting of the Fire and Police Pension Fund held on the 2nd day of May 2013, President Terry Knowles presided. The meeting was held at the Pension Office, 6009 John Douglass Drive, Chattanooga, TN 37421.
The meeting convened at 1421 hours with board members Terry Knowles, Corliss Cooper, Shawn O’Kelley Phillip McClain, Chris Willmore, and Ray Ryan. Jerome Halbert joined the meeting at 1500 hours. Attorney Bill Robinson was also present.
Motion by Chris Willmore and seconded by Shawn O’Kelley to approve the minutes from the April 18, 2013 meeting. Motion carried unanimously.
Former FFS Tracy Williams appeared before the Board to reapply for a job-related disability. After notifying the Board on April 4, 2013 that his doctor (Dr. Kodsi) had released him to return to work, Mr. Williams told the Board that the Fire Department required that he participate in a Functional Comprehensive Evaluation (FCE). Mr. Williams stated that he did not perform to Fire Department standards on the FCE and was subsequently terminated from employment. Mr. Williams states that he is appealing the termination. Terry Knowles asked Mr. Williams if there was an update on his job-related injuries for which he had originally applied for disability. Mr. Williams stated nothing has changed in regards to his job related injuries, but he is reapplying because he could not pass the FCE. Bill Robinson confirmed with Mr. Williams that he has been terminated from the City. Mr. Robinson also confirmed that the status of his job related injuries has not changed. Mr. Robinson informed Mr. Williams that the Board’s policy has always been that to apply for disability, the applicant must not be actively working (performing the duties of a sworn Police Officer or Firefighter), but must also be actively employed (not terminated and within Injured-on-Duty leave, Personal leave, and/or Family Medical leave guidelines). Mr. Robinson told Mr. Williams that the Board could examine new evidence regarding his previously dismissed job related disability application, but since no new evidence is being presented, the Board could not accept a new disability application from a terminated employee. Terry Knowles let Mr. Williams know that with his eleven years of service he is eligible to vest his benefit or receive a refund of employee contributions.
Attorney Bill Robinson updated the Board on filing for an IRS determination letter for the Plan. He stated that the Board has until January 1, 2016 to file for the determination letter and recommended that the Board leave a budget line item in place for obtaining the determination letter. Mr. Robinson also stated that he reviewed and has responded to a letter from Police Officer G. Perry Walden’s attorney regarding Officer Walden’s retirement eligibility under the Plan.
Motion by Phillip McClain and seconded by Corliss Cooper to accept the following membership changes:
REMOVE FROM THE ROLLS:
Retired Fire Captain Daniel T. Christian, Sr., effective 4/30/2013, died 4/29/2013 (2-411)
ADD TO THE ROLLS:
Barbara Faye Christian, surviving spouse and 100% J&S of Daniel T. Christian, Sr., effective 05/01/2013 (2-411 & 2-418)
Fire Chief Randall Parker, with 30 years of service, reduced to a 27 year pension rate and a 36 month DROP, effective 5/4/2013, participation date of 5/3/1983 (2-411)
PAY DEATH BENEFIT:
Barbara Faye Christian, designated beneficiary of Daniel T. Christian, Sr. (2-411)
Motion carried unanimously.
Motion by Ray Ryan and seconded by Chris Willmore to pay the bills. Motion carried unanimously.
Bill Pickens and Mark Hicks of Gerber/Taylor Associates presented the 1Q-2013 investment report to the Board. Matt Clark of PIMCO also appeared at the request of the Board to discuss investment options that further diversify the Fund with non-equity investments. The Board discussed with Gerber/Taylor investment options at length presented by PIMCO noting the liquidity of the PIMCO funds. Chris Willmore noted that an allocation to the PIMCO Funds could require modifying the Investment Policy Statement. The Board discussed that the purpose of considering the PIMCO Funds is that the Board has identified a need for further diversification and preservation of the Fund and the IPS may need to be updated to reflect this need. Motion by Ray Ryan and seconded by Phillip McClain to use a recent cash distribution along with reducing allocations to Cohen & Steers, Eagle Global, and PIMCO High Yield Fund to purchase PIMCO Unconstrained Bond Fund, PIMCO All Authority Fund, and PIMCO Loan Interest and Credit Offshore Fund. Motion carried unanimously.
Motion by Phillip McClain and seconded by Corliss Cooper to adjourn at 1705 hours. Motion carried unanimously.
