Board of Trustees of the Police Pension Fund

Regular Meeting

Arlington Heights, IL · October 22, 2025

Minutes

MINUTES OF THE REGULAR MEETING OF THE ARLINGTON HEIGHTS POLICE PENSION FUND BOARD OF TRUSTEES MULDER COMMUNITY ROOM, POLICE DEPARTMENT 200 E. SIGWALT STREET WEDNESDAY, OCTOBER 22, 2025 Secretary Tom Henderson called the meeting to order at 5:30 PM. Roll call was taken with: Board Members Present: Petar Milutinovic, President Tom Henderson, Secretary Bill Falk, Assistant Secretary Harry Malone, Trustee Board Members Absent: Steven Klopack, Vice President Also Present: Jeff Goodloe, Pension Board Attorney, Mary Ellen Juarez, Assistant Director, Finance and Kim Peterson, Recording Secretary PUBLIC COMMENT Keith Moens, thanked the Board for successfully hyper-linking the meeting minutes to the agenda on the Village’s website. Mr. Moens asked who determines the level of contribution, which Mr. Henderson advised that the State sets a level, although the employer can choose to exceed it. Ms. Juarez explained how the actuary does a report every year and provides a determination of what the Village should fund so that they stay at a good rating. When pensions are funded well, it helps with the credit rating. Mr. Falk advised that there are a number of ways you can calculate the required contribution. The State law has a particular method that sets the minimum for all such plans in the State, The Village has historically and currently elected to take a more conservative approach so that they fund more than the minimum which puts them in a much better position. APPROVAL OF MINUTES A. July 23, 2025 Mr. Falk moved, seconded by Mr. Malone, to approve the minutes of the regular board meeting held on October 22, 2025. The motion passed unanimously. TREASURER’S REPORT A. Report from the Village Treasurer Ms. Juarez presented the Police Pension Fund Financial Report and stated that there is 218 million in assets with IPPOPIF.Ms. Juarez advised that the market value adjustments year-to-date budget was $1.5 million and it is now at $26 million. In regards to contributions compared to service pensions, they will draw down from IPPOPIF if the contributions and real estate taxes don’t cover the service pensions. Ms. Juarez advised that Cook County has still not sent out their second installment, therefore the Village will compensate if funds are needed so they don’t have to draw out of IPPOPIF. Once the Village starts receiving property taxes, they will keep whatever is needed until they are even to minimize transfers. In regards to the Cash Flow Chart, a payment in the amount of $38,000 was received for a credible service transfer of $38,000 in September and in October they did square up with Ofc. Trudeau -1- for his payments. Ms. Juarez stated that she included the budget for 2026, that includes a 3% increase for service pensions. Mr. Henderson moved, seconded by Mr. Falk to accept the Treasurer’s Report. The motion passed unanimously. PAYMENT OF BILLS B. Approval of the Check Register Mr. Henderson moved, seconded by Mr. Falk, to approve checks #782 through 787, including Mr. Goodloe and Ms. Peterson’s check. Roll Call was taken. The motion passed unanimously. REPORTS A. IPOPIF Quarterly Statements reviewed by the Pension Board Mr. Henderson stated that the Board has reviewed the monthly statements from IPOPIF. OLD BUSINESS A. Review/Approve Actuarial Valuation and Tax Levy Request Mr. Falk moved, seconded by Mr. Malone, to approve the Actuarial Valuation and Tax Levy Request in the amount of $5,284,733. Roll Call was taken. The motion passed unanimously. B. Review/Approve Municipal Compliance Report Mr. Milutinovic moved, seconded by Mr. Malone, to approve the Municipal Compliance Report. C. Status Update – Beneficiary Nicole Grelecki Mr. Goodloe advised that he has not received any communication back from Human Resources in regards to Nicole Grelecki’s status, therefore there is no potential settlement of any kind without the Village’s participation. Ms. Grelecki could defer to a regular retirement package once she turns 50, although that is a few years off. She currently has almost 7 years of credible service. Mr. Henderson advised that she has been out so long, that if she were to return to regular duty, she would have to get re-certified through the police academy. Mr. Goodloe advised that the Board can have him bring Dr. Talerico in to testify, but that is quite expensive. Mr. Malone asked if the Village has been presented with the proposal to bring her back, which Mr. Goodloe explained that they were verbally told, but hasn’t responded. Mr. Malone stated that this has gone on for a really long time and if it is necessary to bring the doctor in to testify, he would support that. Mr. Henderson asked if they should send her to another doctor, which Mr. Goodloe advised that they have a solid opinion from Dr. Talerico, but that is an option. Mr. Goodloe stated that he will move forward with setting up Dr. Talerico’s evidence deposition. NEW BUSINESS -2- A. Possible review/approval of the Decision and Order and Certificate of Payment in the matter of the disability application of Nickolas Trudeau Mr. Milutinovic moved, seconded by Mr. Falk, to approve the Decision and Order for payment in the amount of the disability application for Nickolas Trudeau. Roll Call was taken. The motion passed unanimously. B. Retirement – Approval of Decision and Order for Sergeant Alexandra Nelson, September 17, 2025 Mr. Henderson moved, seconded by Mr. Milutinovic, to approve the Decision and Order in the matter of the retirement of Alexandra Nelson. Roll Call was taken. The motion passed unanimously. C. New Hire – Juan A. Gonzalez #404, September 29, 2025, Tier II participant D. New Hire – Justin A. Obaldo #405, September 29, 2025, Tier II participant E. New Hire – Christopher M. Macko #406, September 29, 2025, Tier II participant F. New Hire – Jesse Wienski #407, October 13, 2025, Tier II participant Mr. Falk moved, seconded by Mr. Malone, to accept these four individuals into the Police Pension Fund. The motion passed unanimously. G. Establish 2026 Board Meeting Dates Mr. Milutinovic advised that the 2026 Regular Board meetings will be held on January 28, April 22, July 22, October 28. OTHER BUSINESS None. ADJOURNMENT Mr. Henderson moved, seconded by Mr. Malone to adjourn the meeting at 6:13 PM. The motion passed unanimously. -3-

Agenda

Packet

AGENDA Board of Trustees of the Police Pension Fund Community Room, Police Department 200 E. Sigwalt October 22, 2025 5:30 PM I. CALL TO ORDER II. ROLL CALL OF MEMBERS III. PUBLIC COMMENT Anyone wishing to speak on a subject not on the Agenda may speak at this time. Please limit your comments to three minutes. IV. APPROVAL OF MINUTES A. July 23, 2025 V. CLOSED SESSION VI. TREASURER'S REPORT A. Report of the Village Treasurer VII. PAYMENT OF BILLS A. Approval of the Check Register VIII. REPORTS A. IPOPIF Quarterly Statements IX. OLD BUSINESS A. Review/Approve Actuarial Valuation and Tax Levy Request B. Review/Approve Municipal Compliance Report C. Status Update - Beneficiary Nicole Grelecki X. NEW BUSINESS A. Possible review/approval of the Decision and Order and Certificate of Payment in the matter of the disability application of Nickolas Trudeau B. Retirement - Approval of Decision and Order for Sergeant Alexandra Nelson, September 17, 2025 C. New HIre - Juan A. Gonzalez #404, September 29, 2025, Tier II Page 1 of 13 D. New Hire - Justin A. Obaldo #405, September 29, 2025, Tier II E. New Hire - Christopher M. Macko #406, September 29, 2025, Tier II F. New Hire - Jesse Wienski #407, October 13, 2025, Tier II G. Establish 2026 Board Meeting Dates XI. OTHER BUSINESS XII. ADJOURNMENT Persons with disabilities requiring auxiliary aids or services, such as an American Sign Language interpreter or written materials in accessible formats, should contact the Health & Human Services Department, at 33 S. Arlington Heights Road, Arlington Heights, IL 60005, healthmail@vah.com or 847/368-5760. Page 2 of 13 MINUTES OF THE REGULAR MEETING OF THE ARLINGTON HEIGHTS POLICE PENSION FUND BOARD OF TRUSTEES MULDER COMMUNITY ROOM, POLICE DEPARTMENT 200 E. SIGWALT STREET WEDNESDAY, JULY 23, 2025 Secretary Tom Henderson called the meeting to order at 5:30 PM. Roll call was taken with: Board Members Present: Tom Henderson, Secretary Bill Falk, Assistant Secretary Harry Malone, Trustee Board Members Absent: Petar Milutinovic, President Steven Klopack, Vice President Also Present: Jeff Goodloe, Pension Board Attorney, Mary Ellen Juarez, Assistant Director, Finance PUBLIC COMMENT Keith Moens, asked again if the meeting minutes could be hyperlinked to the Agenda on the Village’s website, which Mr. Henderson advised he would remind everyone about this. APPROVAL OF MINUTES A. April 23, 2025 Mr. Henderson moved, seconded by Mr. Falk, to approve the minutes of the regular board meeting held on April 23, 2025. The motion passed unanimously. TREASURER’S REPORT A. Report from the Village Treasurer Ms. Juarez presented the Police Pension Fund Financial Report and stated that the Fund currently has a balance of $209,671,583, with the majority of it in the state pension fund. In regards to the cash flow statement, Ms. Juarez advised that she plans on maintaining only $50,000 in the checking account iso that they can take advantage of the higher interest rates in the Illinois Funds Account, which currently has a balance of $6.4 million, Ms. Juarez stated that Finance Director Melissa Gallagher is still not listed as an authorized agent and cannot withdraw money from the State account yet. Once she is authorized agent, they can transfer some money there. Ms. Juarez also stated that the Village has not received any property tax money yet, but is hopeful that will start coming in. Ms. Juarez advised that the Village transferred $600,000 of surplus funds into the pension fund in April and then in June they sent a pension refund to Naperville in the amount of $143,363. Mr. Henderson moved, seconded by Mr. Malone to accept the Treasurer’s Report. The motion passed unanimously. -1- Page 3 of 13 PAYMENT OF BILLS B. Approval of the Check Register Mr. Henderson moved, seconded by Mr. Falk, to approve checks #773 through 783. Roll Call was taken. The motion passed unanimously. REPORTS A. IPOPIF Quarterly Statements reviewed by the Pension Board Mr. Henderson stated that the Board has reviewed the monthly statements from IPOPIF. OLD BUSINESS A. Disability Application – status update for Officer Nickolas Trudeau Mr. Goodloe advised that all of the exhibits were finalized, which the Board should already have. The exhibits also got sent out to the counsel for the Village, as well as to Officer Trudeau, at the end of May. Mr. Goodloe advised that the disability hearing will be held sometime between the dates of September 18th and the 23rd, and will let the Board know as soon as a date has been finalized. He will then send a Notice of Hearing, as well as an agenda, that will need to be posted 48 hours before the hearing. B. Status Update – Beneficiary Nicole Grelecki Mr. Goodloe advised that the exhibits stating that Ms. Grelecki has recovered from her disability are all ready, however Mr. Goodloe stated that Ms. Grelecki’s attorney reached out and proposed an agreement to settle this case, which the Village and the Board would have to agree to. Mr. Henderson advised that it is his recollection that Ms. Grelecki was officially terminated for job abandonment and suggested Mr. Goodloe ask Human Resources if this is correct. Mr. Goodloe stated that what could happen is that she comes back to work for 1 ½ years, she will have eight years vested, and then pulls her retirement pension. With those eight years, she would collect 20% of her salary, starting at age 60. Right now, she is receiving 50%, as a non-duty disability pension based upon whatever her salary was when she went out. Mr. Henderson advised that she is currently collecting about $43,000 a year and the pension fund has paid out about $750,000 to her over the years. Mr. Henderson stated that it does add up and they need to be fiduciaries here. Mr. Goodloe advised that the Board could decide to move forward with accepting an agreement and provided a variety of possible scenarios as to how Ms. Grelecki may proceed. The Board could also decide to not accept any type of agreement and go right to a hearing. Mr. Henderson advised that he does not feel it’s appropriate to make a decision right now without the other Board members present. Mr. Goodloe stated that he will reach out to the Village Attorney to see if they are even interested in entertaining this idea, and if not, they will just go right to a hearing. If they are interested that could hold a special Board meeting to discuss this. Mr. Falk suggested that the deal is more with the Village than the Board. Mr. Malone asked if there was a way to get out of this without paying Ms. Grelecki any additional money. Mr. Goodloe advised the best result would be holding a hearing, terminating the pension, and then her not suing and going away. Things are currently sitting with the Village Attorney and there will ultimately be three parties to the agreement. Mr. Malone asked if it matters if she was terminated and didn’t voluntarily leave, which Mr. Goodloe stated that he doesn’t know the answer to that. Mr. Henderson advised that they will defer this discussion to the next meeting for the full Board to decide on Counsel’s suggestion/advice on a potential deal with Ms. Grelecki. -2- Page 4 of 13 NEW BUSINESS A. Review/Approve Actuarial Valuation and Tax Levy Request Ms. Juarez asked if the Board received the Actuarial report, which they indicated they did not. Ms. Juarez advised that she will send it to them and explained how they do the actuarial report to get the tax levy where it needs to be sure that they are funding the pension fund appropriately. They always do what the actuary determines, which is more than what is state mandated. The tax levy will be $5,284,733, and levied in December to be collected throughout the year in 2026. Mr. Malone stated that he wants it to be clear that the Board is accepting the Actuarial report and the recommend contribution from the Village, as there are two different numbers. Mr. Falk stated that looking at their current assets, they are 90% funded, which is phenomenal. Mr. Falk moved, seconded by Mr. Henderson, to accept the Actuarial Valuation report and request a recommend levy of $5,284, 733. Roll Call was taken. The motion passed unanimously. B. Review/Approve Municipal Compliance Report Mr. Goodloe advised that this is a report that needs to get approved, probably at the next meeting, and provide it to the Village prior to the tax levy, which takes place in December. Mr. Henderson stated this item will be deferred to the October meeting. C. 2025 IPPFA MidAmerican Pension Conference – October 1 – October 2, 2025 Mr. Henderson advised that it would only be Mr. Falk and Mr. Malone who would need to go to this conference and asked if they will be going, which they both advised they will not be going. D. Ratify transfer of creditable service time for Kenneth Ruff to the Naperville Police Pension Fund - $143,362.78 (May 23, 2025) Mr. Henderson moved, seconded by Mr. Falk, to approve the transfer of service time for Officer Kenneth Ruff to the Naperville Police Department, in the amount of $143,362.78. Roll Call was taken. The motion passed unanimously. E. Retirement – Approval of Decision and Order for Officer Michael Butler, June 4, 2025 Mr. Henderson moved, seconded by Mr. Malone, to approve the Decision and Order for Officer Michael Butler. Officer Butler retired on June 4, 2025. Roll Call was taken. The motion passed unanimously. F. Retirement – Approval of Decision and Order for Sergeant Russ Mandel, June 23, 2025 Mr. Henderson moved, seconded by Mr. Malone to approve the Decision and Order for Sergeant Russ Mandel. Sergeant Mandel retired on June 23, 2025. Roll Call was taken. The motion passed unanimously. G. Resignation – Probationary Police Officer Zachary Hicks, July 4, 2025 Mr. Henderson advised that Probationary Police Officer Zackary Hicks resigned on July 4, 2025. H. Resignation – Probationary Police Officer Joseph Tonkovich, July 9, 2025 Mr. Henderson advised that Probationary Police Officer Joseph Tonkovich resigned on July 9, 2025. -3- Page 5 of 13 I. New Hire – Nisa Santana, June 9, 2025, Tier II Mr. Henderson moved, seconded by Mr. Falk to accept Nisa Santana, hired on June 9, 2025, into the pension fund as a Tier II participant. The motion passed unanimously. J. New Hire – Michael Palacios, June 9, 2025, Tier II Mr. Henderson moved, seconded by Mr. Malone, to accept Michael Palacios, hired on June 9, 2025, into the pension fund as a Tier II participant. The motion passed unanimously. K. New Hire – Laiken Lockley, June 9, 2025, Tier II Mr. Henderson moved, seconded by Mr. Malone, to accept Laiken Lockley, hired on June 9, 2025, into the pension fund as a Tier II participant. The motion passed unanimously. OTHER BUSINESS None ADJOURNMENT Mr. Henderson moved, seconded by Mr. Falk to adjourn the meeting at 6:01 PM. The motion passed unanimously. -4- Page 6 of 13 Board of Trustees of the Police Pension Fund 10/22/2025 Item: Possible review/approval of the Decision and Order and Certificate of Payment in the matter of the disability application of Nickolas Trudeau Department: Police Item Description: ATTACHMENTS: None Page 7 of 13 Board of Trustees of the Police Pension Fund 10/22/2025 Item: Retirement - Approval of Decision and Order for Sergeant Alexandra Nelson, September 17, 2025 Department: Police Item Description: ATTACHMENTS: None Page 8 of 13 Board of Trustees of the Police Pension Fund 10/22/2025 Item: New HIre - Juan A. Gonzalez #404, September 29, 2025, Tier II Department: Police Item Description: ATTACHMENTS: None Page 9 of 13 Board of Trustees of the Police Pension Fund 10/22/2025 Item: New Hire - Justin A. Obaldo #405, September 29, 2025, Tier II Department: Police Item Description: ATTACHMENTS: None Page 10 of 13 Board of Trustees of the Police Pension Fund 10/22/2025 Item: New Hire - Christopher M. Macko #406, September 29, 2025, Tier II Department: Police Item Description: ATTACHMENTS: None Page 11 of 13 Board of Trustees of the Police Pension Fund 10/22/2025 Item: New Hire - Jesse Wienski #407, October 13, 2025, Tier II Department: Police Item Description: ATTACHMENTS: None Page 12 of 13 Board of Trustees of the Police Pension Fund 10/22/2025 Item: Establish 2026 Board Meeting Dates Department: Police Item Description: ATTACHMENTS: None Page 13 of 13