Police Pension Board

Agenda Village of Glen Ellyn Police Pension Board Meeting Wednesday, April 17, 2024 4:30 PM Glen Ellyn Civic Center, Room 306 Visitors are most welcome to attend all meetings of the Police Pension Board and can find copies of the Agenda at the meeting or online at www.glenellyn.org prior to the meeting. Any individual with a disability requiring reasonable accommodation in order to participate in a meeting should contact The Village of Glen Ellyn ADA Coordinator, 630-469-5000, at least five (5) business days in advance of the next scheduled meeting. All matters on the Agenda may be discussed, amended, and acted upon. A. Call to Order B. Roll Call C. Public Comment D. Approval of Minutes 1) January 17, 2024 Meeting E. Accountant's Report 1) Lauterbach and Amen will present the monthly financial report 2) Presentation and approval of bills as listed in the monthly financial report 3) Additional Bills 4) Cash Management Policy F. Investment Report 1) IPOPIF - Verus Advisory Inc. G. Communication and Reports 1) Affidavits of Continued Eligibility 2) Statements of Economic Interest H. Trustee Training Updates 1) Approval of Trustee Training Registration Fees & Reimbursable Expenses I. Approval of Membership/Withdrawals from Fund 1) Application for Membership – Nicholas Bradberry 2) Contribution Refund - Ryan Rader J. Applications for Retirement/Disability Benefits K. Old Business 1) Portability Updates - Caitlin Tabor 2) Benefit Discrepancy - Thomas Roman L. New Business 1) IDOI Annual Statement 2) Fiduciary Liability Insurance Renewal Village of Glen Ellyn Page 1 of 43 Police Pension Board Agenda April 17, 2024 Page 2 3) Review Updated Letter of Credit M. Attorney Report 1) Legal Updates N. Adjourn to Exec Session, if needed O. Adjourn Village of Glen Ellyn Page 2 of 43 Village of Glen Ellyn Minutes Village of Glen Ellyn Police Pension Board Meeting Regular Meeting January 17, 2024 4:30 PM Civic Center Room 306 Board or Police Pension Date: January 17, 2024 Commission: Meeting: Regular Called to 4:30 p.m. Order: Quorum: Yes Adjourned: 5:17 p.m. MEMBER ATTENDANCE: Jim Monson President Present John Adduci Trustee Present William Housey Jr. Trustee Absent James King Trustee Present Anthony Terranova Trustee Present Also Present: Patrick Brankin Finance Director Elisa Pollina Recording Secretary Richard Lamb Lauterbach & Amen Public: A. CALL TO ORDER The January 17, 2024 meeting of the Police Pension Board was called to order by President Monson at 4:30 pm at the Glen Ellyn Civic Center, Room 306. B. PUBLIC COMMENT – None C. APPROVAL OF MINUTES FROM OCTOBER 25, 2023 MEETING MOTION TO APPROVE MINUTES FROM OCTOBER 25, 2023 POLICE PENSION BOARD MEETING MOTION BY: John Adduci, Trustee SECONDED BY: James Kings, Trustee RESULT: UNANIMOUS APPROVAL Page 3 of 43  Police Pension 2 January 17, 2024 D. Accountant’s Report 1. Lauterbach and Amen deliver the monthly financial report, with Richard Lamb presenting the financial details for the month ending November 30, 2023 Statement of Net Position as of November 30, 2023: •Total Assets: $36,478,675.14 •Total Contributions: $2,300,334.73 •Total Additions: $5,173,136.57 •Total Expenses - $249,900.37 Lamb reviews the payroll report, quarterly disbursement report, and transfer report in detail. Trustee Terranova motions to accept the accountant's report, seconded by Trustee King, and the motion is unanimously approved. 2. Presentation and approval of bills as listed in the monthly financial report – The Police Pension Board reviews the quarterly disbursements. Trustee Adduci motions to approve the disbursements totaling $15,885.41 as outlined in the Quarterly Disbursement report; Trustee Terranova seconds the motion. MOTION TO APPROVE QUARTERLY DISBURSEMENTS IN THE AMOUNT OF $15,885.41 MOTION BY: John Adduci, Trustee SECONDED BY: Anthony Terranova, Trustee RESULT: UNANIMOUS APPROVAL AYES – Adduci, Terranova, Monson, King 3. Additional Bills & Cash Management Policy – The Police Pension reviews the cash management policy. Richard Lamb states the cash management policy has been rebalanced to the cash reserve minimum of $15,000. No action need at this time. E. Investment Report 1. IPOPIF Versus Advisory Inc. – The Police Pension Board received and reviewed the performance of the IPOPIF report. F. Communication and Reports 1. Affidavits of Continued Eligibility – Richard Lamb confirms that the Affidavits of Continued Eligibility were sent out in December, with the first deadline at the end of January. If there are any outstanding, a second request will be sent. If there is still no response after the second request, the Police Pension Board will decide the appropriate course of action. 2. Statements of Economic Interest – The list of filers are due on February 1, 2024. The statements of Economic Interest must be completed and turned in by May 1, 2024. Finance Director Brankin emphasizes that failure to comply will result in personal fines being assessed. Page 4 of 43  Police Pension 3 January 17, 2024 G. Trustee Training Updates 1. Approval of Trustee Training Registration Fees and Reimbursable Expenses – Lamb reports that there is nothing to approve today. The training is scheduled for May, and he will provide the reimbursement forms. H. Approval of Membership / Withdrawals from Fund - None I. APPLICATIONS FOR RETIREMENT / DISABILITY BENEFITS - None J. OLD BUSINESS 1. Portability Updates – Kevin Lombard and Caitlin Tabor. Trustee Terranova motions to acknowledge that the balance of $83,104.79 was paid in full by Kevin Lombard with Nationwide Check #2810487658. Trustee Adduci seconds the motion. MOTION TO ACKNOWLEDGE THAT THE BALANCE OF $83,104.79 WAS PAID IN FULL BY KEVIN LOMBARD WITH NATIONWIDE CHECK #2810487658. MOTION BY: Anthony Terranova, Trustee SECONDED BY: John Adduci, Trustee RESULT: UNANIMOUS APPROVAL AYES - Terranova, Adduci, Monson, King President A Monson motions to revise Kevin Lombard’s date of hire from July 22, 2022 to July 22, 2019; Trustee Adduci seconds the motion. MOTION TO REVISE KEVIN LOMBARD’S DATE OF HIRE FROM JULY 22, 2022 TO JULY 22, 2019 MOTION BY: James Monson, President SECONDED BY: John Adduci, Trustee RESULT: UNANIMOUS APPROVAL AYES - Terranova, Adduci, Monson, King A Richard Lamb provides an update stating calculations were sent to Caitlin Tabor but we haven’t received a response. Therefore there is no action required at this time. 2. Review/Approve Lauterbach & Amen Engagement Letter – Finance Director Brankin clarifies that the contract with Lauterbach & Amen, initiated at the beginning of 2023, experienced a delay in one of the monthly services (payroll). Consequently, this delay made the perceived increase in fees appear more significant than it was. Upon closer examination with Lauterbach, it was revealed that the proposed fees were, in fact, lower. The overall dollar amount for the contract turned out to be less than the Police Pension Board's budget. Given this, President Monson and I approved and signed the contract. Page 5 of 43  Police Pension 4 January 17, 2024 3. Benefit Discrepancy – Thomas Roman – President Monson provides an update stating our attorney sent a letter to both Tom Roman and his ex-wife. Since they have not responded, we can either send a second notice seeking direction, or we can schedule another hearing on this issue. Trustee Adduci motions to make a second notice to the Romans; Trustee Terranova seconds the motion. President Monson will contact the attorney and request a second notice be sent. K. NEW BUSINESS 1. Approve Annual cost of Living Adjustments for Pensioners – Richard Lamb explains the COLA would be effective on January 1, 2024 per the state statute. Trustee Terranova motions to approve the Annual Cost of Living adjustments as stated in the packet; Trustee Adduci seconds the motion. 2. Review Trustee Term Expirations and Election Procedures – Richard Lamb reviews the term expirations and confirms the current board’s term expires in 2025. No action needed at this time. 3. Review Updated Letter of Credit – Richard Lamb informs the Police Pension Board that the letter of credit is set to expire at the end of February. There is discussion to extend the letter beyond February or sign a new letter. Trustee Terranova motions to allow Finance Director Brankin and President Monson to review and approve an updated letter of credit should this occur before the next Police Pension Board meeting; Trustee King seconds the motion. L. ATTORNEY’S REPORT – Reimer, Dobrovolny & LaBardi PC 1. Legal updates – None 2. Annual Independent Medical Examination – Ray Munch – President Monson provides an update on Ray Munch, noting that annually, Ray undergoes a reevaluation of his injuries by a doctor. During this year's examination with his doctor, it was determined that his injuries persist. As a result, a vote is required to decide whether to continue his disability pension. Trustee Terranova motions to continue Ray Munch’s disability pension; Trustee King seconds the motion. MOTION TO CONTINUE RAY MUNCH’S DISABILITY PENSION MOTION BY: Anthony Terranova, Trustee SECONDED BY: James King, Trustee RESULT: UNANIMOUS APPROVAL AYES - Terranova, Adduci, Monson, King A Page 6 of 43  Police Pension 5 January 17, 2024 3. Review, Adopt and Publish Decision and Order – Thomas Hartzell Trustee Adduci motions to approve and adopt the summary submitted by Attorney Reimer for the decision and order for Thomas Hartzell; Trustee King seconds the motion. MOTION TO APPROVE AND ADOPT THE SUMMARY SUBMITTED BY ATTORNEY REIMER FOR THE DECISION AND ORDER FOR THOMAS HARTZELL MOTION BY: John Adduci, Trustee SECONDED BY: James King, Trustee RESULT: UNANIMOUS APPROVAL AYES - Terranova, Adduci, Monson, King M. ADJOURNMENT A – President Monson motions and Trustee Terranova seconds to adjourn the meeting. The meeting was adjourned at 5:17 p.m. Submitted by Elisa Pollina, Recording Secretary Reviewed by Finance Director Brankin Page 7 of 43  Glen Ellyn Police Pension Meeting 4/17/2024 4:30 PM Board Department: Finance 535 Duane Street Department Head: Patrick Brankin Glen Ellyn, IL 60137 Category: Report Prepared By: Patrick Brankin AGENDA ITEM (ID # 2024- DOC ID: 2024-240 240) IPOPIF - Verus Advisory Inc. Statement of the Issue: Analysis: Budget Impact: Contribution to Strategic Plan Action Requested: Attachments: 1. IPOPIF February 2024 2. IPOPIF January 2024 3. Verus Statement February 2024 4. Verus Statement January 2024 Page 8 of 43 GLEN ELLYN POLICE PENSION FUND Month Ended: February 29, 2024 Market Value Summary: Current Period Year to Date Beginning Balance $38,016,862.89 $38,214,782.11 Contributions $34,400.00 $58,000.00 Withdrawals ($63,636.00) ($127,272.00) Transfers In/Out $0.00 $0.00 Income $16,948.22 $26,170.06 Administrative Expense ($651.58) ($1,233.09) Investment Expense ($926.72) ($1,498.02) Investment Manager Fees ($42.98) ($83.43) IFA Loan Repayment $0.00 $0.00 Adjustment $0.00 $0.00 Realized Gain/Loss $31,392.05 $60,059.77 Unrealized Gain/Loss $784,906.01 $590,326.49 Ending Balance $38,819,251.89 $38,819,251.89 Performance Summary: Inception to Participant MTD QTD YTD One Year Three Years Five Years Ten Years Date Inception Date Net of Fees: 2.19% 1.77% 1.77% 12.44% N/A N/A N/A 2.86% 04/01/2022 Contact Information: Illinois Police Officers’ Pension Investment Fund, 456 Fulton Street, Suite 402 Peoria, Illinois 61602 Phone: (309) 280-6464 Email: Info@ipopif.org Page 1 of 3 Page 9 of 43 GLEN ELLYN POLICE PENSION FUND Fund Name: IPOPIF Pool Month Ended: February 29, 2024 Market Value Summary: Unit Value Summary: Current Period Year to Date Current Period Year to Date Beginning Balance $38,016,862.89 $38,214,782.11 Beginning Units 3,545,269.168 3,549,038.901 Contributions $34,400.00 $58,000.00 Unit Purchases from Additions 3,148.401 5,340.930 Withdrawals ($63,636.00) ($127,272.00) Unit Sales from Withdrawals (5,867.739) (11,830.000) Transfers In/Out $0.00 $0.00 Ending Units 3,542,549.831 3,542,549.831 Income $16,948.22 $26,170.06 Administrative Expense ($651.58) ($1,233.09) Period Beginning Net Asset Value per Unit $10.723266 $10.767643 Investment Expense ($926.72) ($1,498.02) Period Ending Net Asset Value per Unit $10.957997 $10.957997 Investment Manager Fees ($42.98) ($83.43) IFA Loan Repayment $0.00 $0.00 Adjustment $0.00 $0.00 Realized Gain/Loss $31,392.05 $60,059.77 Unrealized Gain/Loss $784,906.01 $590,326.49 Ending Balance $38,819,251.89 $38,819,251.89 Performance Summary: GLEN ELLYN POLICE PENSION FUND Inception to Participant MTD QTD YTD One Year Three Years Five Years Ten Years Date Inception Date Net of Fees: 2.19% 1.77% 1.77% 12.44% N/A N/A N/A 3.22% 04/06/2022 Contact Information: Illinois Police Officers’ Pension Investment Fund, 456 Fulton Street, Suite 402 Peoria, Illinois 61602 Phone: (309) 280-6464 Email: Info@ipopif.org Page 2 of 3 Page 10 of 43 Statement of Transaction Detail for the Month Ending 02/29/2024 GLEN ELLYN POLICE PENSION FUND Trade Date Settle Date Description Amount Unit Value Units IPOPIF Pool 02/20/2024 02/21/2024 Redemptions (63,636.00) 10.845064 (5,867.7385) 02/28/2024 02/29/2024 Contribution 34,400.00 10.926180 3,148.4014 Page 3 of 3 Page 11 of 43  February 2024 Statement Supplement IPOPIF Total Monthly Asset Flows New Asset Transfers Cash Contributions Cash Withdrawals Zero $35.99 million $44.7 million IPOPIF Total Monthly Expenses Paid Administrative Investment Investment Expenses Expenses Manager Fees $170,504.45 $242,500.38 $11,247.00 • Expenses are paid from the IPOPIF Pool and allocated proportionately by member value. • Investment expenses exclude investment manager fees. IPOPIF Investment Pool Details Date Units Value Unit Price 01/31/24 927,715,440.0322 9,948,139,061.19 10.723266 02/29/24 926,904,588.2057 10,157,018,083.52 10.957997 A spreadsheet with complete unit and expense detail history is linked on the Article 3 Fund Reports page as -IPOPIF Trust Fund Unit Details- NAV and Receivable Calculations Under Development The IPOPIF Valuation and Cost Rule, AR-2022-01, stipulates that the Net Asset Value (NAV) for each Participating Police Pension Fund will include receivables representing proportionate amounts due from late-transferring pension funds for all Costs, IFA Loan Repayments, and interest. These calculations are under development. Resources • Monthly statement overview: https://www.ipopif.org/reports/article-3-reports/ • Monthly financial reports: https://www.ipopif.org/reports/monthly-financial-reports/ • Monthly and quarterly investment reports: https://www.ipopif.org/reports/investment- reports/ • IPOPIF Board Meeting Calendar: https://www.ipopif.org/meetings/calendar/ • Daily value and transaction information for Participating Police Pension Funds is available to account representatives via the NRS reporting portal. Illinois Police Officers’ Pension Investment Fund 309-280-6464 456 Fulton Street, Suite 402 info@ipopif.org Peoria, Illinois 61602 Page 12 of 43 GLEN ELLYN POLICE PENSION FUND Month Ended: January 31, 2024 Market Value Summary: Current Period Year to Date Beginning Balance $38,214,782.11 $38,214,782.11 Contributions $23,600.00 $23,600.00 Withdrawals ($63,636.00) ($63,636.00) Transfers In/Out $0.00 $0.00 Income $9,221.84 $9,221.84 Administrative Expense ($581.51) ($581.51) Investment Expense ($571.30) ($571.30) Investment Manager Fees ($40.45) ($40.45) IFA Loan Repayment $0.00 $0.00 Adjustment $0.00 $0.00 Realized Gain/Loss $28,667.72 $28,667.72 Unrealized Gain/Loss ($194,579.52) ($194,579.52) Ending Balance $38,016,862.89 $38,016,862.89 Performance Summary: Inception to Participant MTD QTD YTD One Year Three Years Five Years Ten Years Date Inception Date Net of Fees: (0.41%) (0.41%) (0.41%) 7.59% N/A N/A N/A 1.78% 04/01/2022 Contact Information: Illinois Police Officers’ Pension Investment Fund, 456 Fulton Street, Suite 402 Peoria, Illinois 61602 Phone: (309) 280-6464 Email: Info@ipopif.org Page 1 of 3 Page 13 of 43 GLEN ELLYN POLICE PENSION FUND Fund Name: IPOPIF Pool Month Ended: January 31, 2024 Market Value Summary: Unit Value Summary: Current Period Year to Date Current Period Year to Date Beginning Balance $38,214,782.11 $38,214,782.11 Beginning Units 3,549,038.901 3,549,038.901 Contributions $23,600.00 $23,600.00 Unit Purchases from Additions 2,192.529 2,192.529 Withdrawals ($63,636.00) ($63,636.00) Unit Sales from Withdrawals (5,962.262) (5,962.262) Transfers In/Out $0.00 $0.00 Ending Units 3,545,269.168 3,545,269.168 Income $9,221.84 $9,221.84 Administrative Expense ($581.51) ($581.51) Period Beginning Net Asset Value per Unit $10.767643 $10.767643 Investment Expense ($571.30) ($571.30) Period Ending Net Asset Value per Unit $10.723266 $10.723266 Investment Manager Fees ($40.45) ($40.45) IFA Loan Repayment $0.00 $0.00 Adjustment $0.00 $0.00 Realized Gain/Loss $28,667.72 $28,667.72 Unrealized Gain/Loss ($194,579.52) ($194,579.52) Ending Balance $38,016,862.89 $38,016,862.89 Performance Summary: GLEN ELLYN POLICE PENSION FUND Inception to Participant MTD QTD YTD One Year Three Years Five Years Ten Years Date Inception Date Net of Fees: (0.41%) (0.41%) (0.41%) 7.59% N/A N/A N/A 2.15% 04/06/2022 Contact Information: Illinois Police Officers’ Pension Investment Fund, 456 Fulton Street, Suite 402 Peoria, Illinois 61602 Phone: (309) 280-6464 Email: Info@ipopif.org Page 2 of 3 Page 14 of 43 Statement of Transaction Detail for the Month Ending 01/31/2024 GLEN ELLYN POLICE PENSION FUND Trade Date Settle Date Description Amount Unit Value Units IPOPIF Pool 01/22/2024 01/23/2024 Redemptions (63,636.00) 10.673131 (5,962.2617) 01/30/2024 01/31/2024 Contribution 23,600.00 10.763827 2,192.5287 Page 3 of 3 Page 15 of 43  January 2024 Statement Supplement IPOPIF Total Monthly Asset Flows New Asset Transfers Cash Contributions Cash Withdrawals Zero $34.9 million $-44.5 million IPOPIF Total Monthly Expenses Paid Administrative Investment Investment Expenses Expenses Manager Fees $152,188.31 $149,516.09 $10,587.00 • Expenses are paid from the IPOPIF Pool and allocated proportionately by member value. • Investment expenses exclude investment manager fees. IPOPIF Investment Pool Details Date Units Value Unit Price 12/31/23 928,833,395.9350 10,001,345,952.62 10.767643 01/31/24 927,715,440.0322 9,948,139,061.19 10.723266 A spreadsheet with complete unit and expense detail history is linked on the Article 3 Fund Reports page as -IPOPIF Trust Fund Unit Details- NAV and Receivable Calculations Under Development The IPOPIF Valuation and Cost Rule, AR-2022-01, stipulates that the Net Asset Value (NAV) for each Participating Police Pension Fund will include receivables representing proportionate amounts due from late-transferring pension funds for all Costs, IFA Loan Repayments, and interest. These calculations are under development. Resources • Monthly statement overview: https://www.ipopif.org/reports/article-3-reports/ • Monthly financial reports: https://www.ipopif.org/reports/monthly-financial-reports/ • Monthly and quarterly investment reports: https://www.ipopif.org/reports/investment- reports/ • IPOPIF Board Meeting Calendar: https://www.ipopif.org/meetings/calendar/ • Daily value and transaction information for Participating Police Pension Funds is available to account representatives via the NRS reporting portal. Illinois Police Officers’ Pension Investment Fund 309-280-6464 456 Fulton Street, Suite 402 info@ipopif.org Peoria, Illinois 61602 Page 16 of 43 Total Fund Illinois Police Officers' Pension Investment Fund Asset Allocation & Performance (Net of Fees) - Preliminary Period Ending: February 29, 2024 Market % of Target Since Inception 1 Mo Fiscal YTD YTD 1 Yr 2023 Value Portfolio (%) Inception Date Total Fund with Member and Transition Accounts 10,157,016,823 100.0 100.0 2.2 8.1 1.8 12.5 13.7 3.0 03/01/22 Policy Index 2.3 8.4 1.9 13.2 14.4 3.1 Policy Index- Broad Based 2.6 9.0 2.3 16.0 16.8 2.5 IPOPIF Investment Portfolio 10,157,016,823 100.0 100.0 2.2 8.1 1.8 12.5 13.7 2.8 04/01/22 Policy Index 2.3 8.4 1.9 13.2 14.4 3.0 Policy Index- Broad Based 2.6 9.0 2.3 16.0 16.8 2.3 Growth 5,834,907,220 57.4 58.0 3.8 10.6 3.4 18.0 19.4 3.9 04/01/22 Growth Benchmark 3.8 10.7 3.4 18.1 19.5 3.7 RhumbLine Russell 1000 Index 2,335,671,022 23.0 23.0 5.4 15.8 6.9 29.8 26.5 12.1 03/15/22 Russell 1000 Index 5.4 15.9 6.9 29.8 26.5 12.3 RhumbLine Russell 2000 Index 521,418,826 5.1 5.0 5.6 9.7 1.5 9.9 16.8 4.1 03/15/22 Russell 2000 Index 5.7 9.9 1.5 10.0 16.9 4.5 SSgA Non-US Developed Index 1,792,931,472 17.7 18.0 1.7 8.3 2.2 14.4 18.3 7.8 03/10/22 MSCI World ex U.S. (Net) 1.7 8.2 2.1 14.0 17.9 7.5 SSgA Non-US Developed SC Index 360,802,103 3.6 2.5 0.3 5.3 -1.4 6.1 12.9 0.5 03/10/22 MSCI World ex U.S. Small Cap Index (Net) 0.3 5.2 -1.4 5.7 12.6 0.3 Acadian ACWI ex US Small-Cap Fund 132,454,753 1.3 2.5 2.7 - - - - 2.1 01/30/24 MSCI AC World ex USA Small Cap (Net) 1.0 - - - - 1.7 SSgA Emerging Markets Equity Index 691,629,043 6.8 7.0 4.8 4.1 -0.2 8.6 9.6 -1.5 03/10/22 MSCI Emerging Markets (Net) 4.8 4.6 -0.1 8.7 9.8 -0.6 Income 1,604,099,511 15.8 16.0 0.6 7.6 0.2 10.9 12.8 1.4 04/01/22 Income Benchmark 0.5 7.5 0.2 10.7 12.6 2.6 SSgA High Yield Corporate Credit 993,858,980 9.8 10.0 0.3 8.1 0.3 11.3 13.8 3.0 03/18/22 Spliced SSgA U.S. High Yield Index 0.3 8.0 0.3 11.0 13.5 3.0 SSgA EMD Hard Index Fund 610,240,531 6.0 6.0 1.0 6.7 -0.1 10.1 11.2 1.2 03/14/22 Spliced SSgA EMD Hard Index 1.0 6.7 -0.1 10.1 11.1 1.3 Inflation Protection 859,823,325 8.5 9.0 0.7 2.3 -1.2 1.9 5.4 -2.8 04/01/22 Inflation Protection Benchmark 0.8 4.4 -0.8 3.7 7.5 -3.0 SSgA US TIPS Index 280,443,218 2.8 3.0 -0.2 3.3 0.2 4.4 4.6 0.3 03/17/22 Blmbg. U.S. TIPS 0-5 Year -0.2 3.3 0.2 4.5 4.6 0.5 SSgA REITs Index 418,214,008 4.1 4.0 1.9 5.3 -2.3 5.6 13.9 -5.3 03/16/22 Dow Jones U.S. Select REIT Total Return Index 1.9 5.3 -2.2 5.6 14.0 -5.2 Principal USPA 161,166,099 1.6 2.0 -0.9 -6.8 -0.8 -10.7 -10.7 -7.7 04/06/22 The Principal USPA Real Estate Fund is benchmarked against the NCREIF ODCE index on a quarterly basis and against itself for the purpose of monthly flash reports due to quarterly index data availability. 1 Page 17 of 43 Total Fund Illinois Police Officers' Pension Investment Fund Asset Allocation & Performance (Net of Fees) - Preliminary Period Ending: February 29, 2024 Market % of Target Since Inception 1 Mo Fiscal YTD YTD 1 Yr 2023 Value Portfolio (%) Inception Date Risk Mitigation 1,858,085,891 18.3 17.0 -0.5 3.1 -0.2 4.5 5.1 1.0 04/01/22 Risk Mitigation Benchmark -0.5 3.2 -0.2 4.5 5.0 1.0 SSgA Core Fixed Income Index 376,864,257 3.7 3.0 -1.4 1.6 -1.6 3.4 5.6 -2.3 03/17/22 Blmbg. U.S. Aggregate Index -1.4 1.6 -1.7 3.3 5.5 -2.3 SSgA Short-Term Gov't/Credit Index 1,324,646,330 13.0 13.0 -0.4 3.5 0.0 4.6 4.6 1.5 03/17/22 Bloomberg U.S. Gov/Credit 1-3 Year Index -0.4 3.5 0.0 4.6 4.6 1.4 Cash 156,575,304 1.5 1.0 0.4 3.5 0.8 5.3 5.0 3.4 03/22/22 90 Day U.S. Treasury Bill 0.4 3.6 0.8 5.2 5.0 3.8 IPOPIF Pool Fixed Income Transition 100,876 0.0 - Member Funds - 0.0 - The Principal USPA Real Estate Fund is benchmarked against the NCREIF ODCE index on a quarterly basis and against itself for the purpose of monthly flash reports due to quarterly index data availability. Cash balance includes $60,00,200 that was transferred to Ares, Aristotle, LSV and WCM on 2/26 and 2/27 for 3/1 funding. 2 Page 18 of 43 Total Fund Illinois Police Officers' Pension Investment Fund Data Sources and Methodology Page Period Ending: February 29, 2024 Performance Return Calculations Performance is calculated using Time Weighted Rates of Return (TWRR) methodologies. Monthly returns are geometrically linked and annualized for periods longer than one year. Data Source Verus is an independent third party consulting firm and calculates returns from best source book of record data. Returns calculated by Verus may deviate from those shown by the manager in part, but not limited to, differences in prices and market values reported by the custodian and manager, as well as significant cash flows into or out of an account. It is the responsibility of the manager and custodian to provide insight into the pricing methodologies and any difference in valuation. Manager Line Up Manager Inception Date Data Source Manager Inception Date Data Source RhumbLine Russell 1000 Index Fund 3/15/2022 State Street SSgA EMD Hard Index Fund 3/14/2022 State Street RhumbLine Russell 2000 Index Fund 3/15/2022 State Street SSgA US TIPS Index Fund 3/17/2022 State Street SSgA Non-US Developed Index Fund 3/10/2022 State Street Principal USPA 4/6/2022 State Street SSgA Non-US Developed SC Index Fund 3/10/2022 State Street SSgA REITs Index Fund 3/10/2022 State Street Acadian ACWI ex US Small-Cap Fund 1/30/2024 State Street SSgA Core Fixed Income Index Fund 3/17/2022 State Street SSgA Emerging Markets Equity Index Fund 3/10/2022 State Street SSgA Short-Term Gov't/Credit Index Fund 3/17/2022 State Street SSgA High Yield Corporate Credit 3/18/2022 State Street Cash 3/22/2022 State Street Policy Index Composition Inflation Policy Inflation Risk As of 5/1/2023 Policy Index Growth Income Protection Risk Mitigation As of 1/1/2023 Index Growth Income Protection Mitigation Russell 1000 23% 39.7% Russell 1000 18% 36.0% Russell 2000 5% 8.6% Russell 2000 5% 10.0% MSCI World ex U.S. 18% 31.0% MSCI World ex U.S. 15% 30.0% MSCI World ex U.S. Small Cap 5% 8.6% MSCI World ex U.S. Small Cap 5% 10.0% MSCI Emerging Markets 7% 12.1% MSCI Emerging Markets 7% 14.0% Bloomberg US Aggregate Index 3% 17.6% Bloomberg US Aggregate Index 7% 28.0% Bloomberg 1-3 Year Gov/Credit Index 13% 76.5% Bloomberg 1-3 Year Gov/Credit Index 15% 60.0% Bloomberg US Corporate High Yield Index 10% 62.5% Bloomberg US Corporate High Yield Index 10% 62.5% Bloomberg US TIPS 0-5 Year 3% 33.3% Bloomberg US TIPS 0-5 Year 3% 33.3% JPM EMBI Global Diversified Index 6% 37.5% JPM EMBI Global Diversified Index 6% 37.5% NFI-ODCE Equal-Weighted Index 2% 22.2% NFI-ODCE Equal-Weighted Index 2% 22.2% Wilshire US REIT Index 4% 44.5% Wilshire US REIT Index 4% 44.5% 90 Day US Treasury Bill Index 1% 5.9% 90 Day US Treasury Bill Index 3% 12.0% Inflation As of 3/31/2022 Policy Index Growth Income Protection Risk Mitigation Russell 3000 23% 46.0% MSCI ACWI ex USA IMI 20% 40.0% MSCI Emerging Markets IMI 7% 14.0% Bloomberg US Aggregate Index 7% 28.0% Bloomberg 1-3 Year Gov/Credit Index 15% 60.0% Bloomberg US Corporate High Yield Index 10% 62.5% Bloomberg US TIPS 0-5 Year 3% 33.3% 50% JPM EMBI GD/50% JPM GBI EM GD 6% 37.5% NCREIF Property Index 2% 22.2% Wilshire US REIT Index 4% 44.5% 90 Day US Treasury Bill Index 3% 12.0% Custom Benchmark Composition Benchmark Time period Composition Policy Index -Broad Benchmark 4/1/2022 - Present 70% MSCI ACWI IMI (Net) and 30% Bloomberg Global Multiverse. Spliced SSgA EMD Hard Benchmark 7/1/2023 - Present 100% JPM EMBI Global Diversified Index Spliced SSgA EMD Hard Benchmark 3/14/2022 - 6/30/222 100% JPM EMBI Global Core Index Spliced SSgA U.S. High Yield Index 12/1/2022 - Present 100% ICE BofA US High yield Master II Constrained Spliced SSgA U.S. High Yield Index 4/1/2022 - 11/30/2022 100% Bloomberg U.S. High Yield Very Liquid Index 3 Page 19 of 43 Total Fund Illinois Police Officers' Pension Investment Fund Asset Allocation & Performance (Net of Fees) - Preliminary Period Ending: January 31, 2024 Market % of Target Since Inception 1 Mo Fiscal YTD YTD 1 Yr 2023 Value Portfolio (%) Inception Date Total Fund with Member and Transition Accounts 9,948,138,830 100.0 100.0 -0.4 5.7 -0.4 7.7 13.7 2.0 03/01/22 Policy Index -0.4 6.0 -0.4 8.3 14.4 2.0 Policy Index- Broad Based -0.2 6.2 -0.2 9.8 16.8 1.2 IPOPIF Investment Portfolio 9,948,138,830 100.0 100.0 -0.4 5.7 -0.4 7.7 13.7 1.7 04/01/22 Policy Index -0.4 6.0 -0.4 8.3 14.4 1.9 Policy Index- Broad Based -0.2 6.2 -0.2 9.8 16.8 1.0 Growth 5,621,974,044 56.5 58.0 -0.4 6.5 -0.4 10.3 19.4 2.0 04/01/22 Growth Benchmark -0.4 6.7 -0.4 10.6 19.5 1.8 RhumbLine Russell 1000 Index 2,216,402,965 22.3 23.0 1.4 9.9 1.4 20.2 26.5 9.5 03/15/22 Russell 1000 Index 1.4 10.0 1.4 20.2 26.5 9.7 RhumbLine Russell 2000 Index 493,673,011 5.0 5.0 -3.9 3.9 -3.9 2.3 16.8 1.3 03/15/22 Russell 2000 Index -3.9 4.0 -3.9 2.4 16.9 1.7 SSgA Non-US Developed Index 1,762,457,327 17.7 18.0 0.4 6.5 0.4 9.8 18.3 7.2 03/10/22 MSCI World ex U.S. (Net) 0.4 6.4 0.4 9.5 17.9 6.8 SSgA Non-US Developed SC Index 424,850,604 4.3 2.5 -1.7 5.0 -1.7 3.2 12.9 0.4 03/10/22 MSCI World ex U.S. Small Cap Index (Net) -1.7 4.9 -1.7 2.8 12.6 0.2 Acadian ACWI ex US Small-Cap Fund 64,607,179 0.6 2.5 - - - - - -0.6 01/30/24 MSCI AC World ex USA Small Cap (Net) -1.7 - -1.7 - - 0.7 SSgA Emerging Markets Equity Index 659,982,958 6.6 7.0 -4.7 -0.6 -4.7 -3.6 9.6 -4.0 03/10/22 MSCI Emerging Markets (Net) -4.6 -0.2 -4.6 -2.9 9.8 -3.0 Income 1,595,126,217 16.0 16.0 -0.4 7.0 -0.4 8.4 12.8 1.2 04/01/22 Income Benchmark -0.4 6.9 -0.4 8.3 12.6 2.5 SSgA High Yield Corporate Credit 990,761,158 10.0 10.0 0.0 7.7 0.0 9.5 13.8 3.0 03/18/22 Spliced SSgA U.S. High Yield Index 0.0 7.7 0.0 9.2 13.5 3.0 SSgA EMD Hard Index Fund 604,365,059 6.1 6.0 -1.0 5.7 -1.0 6.6 11.2 0.7 03/14/22 Spliced SSgA EMD Hard Index -1.0 5.6 -1.0 6.6 11.1 0.9 Inflation Protection 854,125,573 8.6 9.0 -1.9 1.7 -1.9 -1.0 5.4 -3.3 04/01/22 Inflation Protection Benchmark -1.5 3.6 -1.5 0.6 7.5 -3.5 SSgA US TIPS Index 281,006,701 2.8 3.0 0.4 3.5 0.4 4.4 4.6 0.4 03/17/22 Blmbg. U.S. TIPS 0-5 Year 0.4 3.4 0.4 4.3 4.6 0.6 SSgA REITs Index 410,568,221 4.1 4.0 -4.0 3.4 -4.0 -1.5 13.9 -6.4 03/16/22 Dow Jones U.S. Select REIT Total Return Index -4.0 3.4 -4.0 -1.5 14.0 -6.3 Principal USPA 162,550,651 1.6 2.0 0.0 -6.0 0.0 -9.8 -10.7 -7.6 04/06/22 The Principal USPA Real Estate Fund is benchmarked against the NCREIF ODCE index on a quarterly basis and against itself for the purpose of monthly flash reports due to quarterly index data availability. 1 Page 20 of 43 Total Fund Illinois Police Officers' Pension Investment Fund Asset Allocation & Performance (Net of Fees) - Preliminary Period Ending: January 31, 2024 Market % of Target Since Inception 1 Mo Fiscal YTD YTD 1 Yr 2023 Value Portfolio (%) Inception Date Risk Mitigation 1,876,811,318 18.9 17.0 0.3 3.6 0.3 3.9 5.1 1.3 04/01/22 Risk Mitigation Benchmark 0.3 3.7 0.3 3.8 5.0 1.3 SSgA Core Fixed Income Index 382,239,443 3.8 3.0 -0.2 3.1 -0.2 2.1 5.6 -1.7 03/17/22 Blmbg. U.S. Aggregate Index -0.3 3.1 -0.3 2.1 5.5 -1.7 SSgA Short-Term Gov't/Credit Index 1,329,386,480 13.4 13.0 0.4 3.8 0.4 4.2 4.6 1.7 03/17/22 Bloomberg U.S. Gov/Credit 1-3 Year Index 0.4 3.8 0.4 4.2 4.6 1.7 Cash 165,185,395 1.7 1.0 0.4 3.1 0.4 5.2 5.0 3.3 03/22/22 90 Day U.S. Treasury Bill 0.4 3.1 0.4 5.1 5.0 3.7 IPOPIF Pool Fixed Income Transition 101,678 0.0 - Member Funds - 0.0 - The Principal USPA Real Estate Fund is benchmarked against the NCREIF ODCE index on a quarterly basis and against itself for the purpose of monthly flash reports due to quarterly index data availability. 2 Page 21 of 43 Total Fund Illinois Police Officers' Pension Investment Fund Data Sources and Methodology Page Period Ending: February 29, 2024 Performance Return Calculations Performance is calculated using Time Weighted Rates of Return (TWRR) methodologies. Monthly returns are geometrically linked and annualized for periods longer than one year. Data Source Verus is an independent third party consulting firm and calculates returns from best source book of record data. Returns calculated by Verus may deviate from those shown by the manager in part, but not limited to, differences in prices and market values reported by the custodian and manager, as well as significant cash flows into or out of an account. It is the responsibility of the manager and custodian to provide insight into the pricing methodologies and any difference in valuation. Manager Line Up Manager Inception Date Data Source Manager Inception Date Data Source RhumbLine Russell 1000 Index Fund 3/15/2022 State Street SSgA EMD Hard Index Fund 3/14/2022 State Street RhumbLine Russell 2000 Index Fund 3/15/2022 State Street SSgA US TIPS Index Fund 3/17/2022 State Street SSgA Non-US Developed Index Fund 3/10/2022 State Street Principal USPA 4/6/2022 State Street SSgA Non-US Developed SC Index Fund 3/10/2022 State Street SSgA REITs Index Fund 3/10/2022 State Street Acadian ACWI ex US Small-Cap Fund 1/30/2024 State Street SSgA Core Fixed Income Index Fund 3/17/2022 State Street SSgA Emerging Markets Equity Index Fund 3/10/2022 State Street SSgA Short-Term Gov't/Credit Index Fund 3/17/2022 State Street SSgA High Yield Corporate Credit 3/18/2022 State Street Cash 3/22/2022 State Street Policy Index Composition Inflation Policy Inflation Risk As of 5/1/2023 Policy Index Growth Income Protection Risk Mitigation As of 1/1/2023 Index Growth Income Protection Mitigation Russell 1000 23% 39.7% Russell 1000 18% 36.0% Russell 2000 5% 8.6% Russell 2000 5% 10.0% MSCI World ex U.S. 18% 31.0% MSCI World ex U.S. 15% 30.0% MSCI World ex U.S. Small Cap 5% 8.6% MSCI World ex U.S. Small Cap 5% 10.0% MSCI Emerging Markets 7% 12.1% MSCI Emerging Markets 7% 14.0% Bloomberg US Aggregate Index 3% 17.6% Bloomberg US Aggregate Index 7% 28.0% Bloomberg 1-3 Year Gov/Credit Index 13% 76.5% Bloomberg 1-3 Year Gov/Credit Index 15% 60.0% Bloomberg US Corporate High Yield Index 10% 62.5% Bloomberg US Corporate High Yield Index 10% 62.5% Bloomberg US TIPS 0-5 Year 3% 33.3% Bloomberg US TIPS 0-5 Year 3% 33.3% JPM EMBI Global Diversified Index 6% 37.5% JPM EMBI Global Diversified Index 6% 37.5% NFI-ODCE Equal-Weighted Index 2% 22.2% NFI-ODCE Equal-Weighted Index 2% 22.2% Wilshire US REIT Index 4% 44.5% Wilshire US REIT Index 4% 44.5% 90 Day US Treasury Bill Index 1% 5.9% 90 Day US Treasury Bill Index 3% 12.0% Inflation As of 3/31/2022 Policy Index Growth Income Protection Risk Mitigation Russell 3000 23% 46.0% MSCI ACWI ex USA IMI 20% 40.0% MSCI Emerging Markets IMI 7% 14.0% Bloomberg US Aggregate Index 7% 28.0% Bloomberg 1-3 Year Gov/Credit Index 15% 60.0% Bloomberg US Corporate High Yield Index 10% 62.5% Bloomberg US TIPS 0-5 Year 3% 33.3% 50% JPM EMBI GD/50% JPM GBI EM GD 6% 37.5% NCREIF Property Index 2% 22.2% Wilshire US REIT Index 4% 44.5% 90 Day US Treasury Bill Index 3% 12.0% Custom Benchmark Composition Benchmark Time period Composition Policy Index -Broad Benchmark 4/1/2022 - Present 70% MSCI ACWI IMI (Net) and 30% Bloomberg Global Multiverse. Spliced SSgA EMD Hard Benchmark 7/1/2023 - Present 100% JPM EMBI Global Diversified Index Spliced SSgA EMD Hard Benchmark 3/14/2022 - 6/30/222 100% JPM EMBI Global Core Index Spliced SSgA U.S. High Yield Index 12/1/2022 - Present 100% ICE BofA US High yield Master II Constrained Spliced SSgA U.S. High Yield Index 4/1/2022 - 11/30/2022 100% Bloomberg U.S. High Yield Very Liquid Index 3 Page 22 of 43  Certified Trustee Training Organization: Glen Ellyn Police Pension Fund Year: 2024 James Monson Hours Date Hours Required Type of Training Completed Completed Cert on File 1 8 2 3 4 5 6 J James King Hours Date Hours Required Type of Training Completed Completed Cert on File 1 8 2 3 4 5 6 Anthony Terranova Hours Date Hours Required Type of Training Completed Completed Cert on File 1 8 2 3 4 5 6 John Adducci Hours Date Hours Required Type of Training Completed Completed Cert on File 1 8 2 3 4 5 6 William Housey Hours Date Hours Required Type of Training Completed Completed Cert on File 1 8 2 3 4 5 6 Hours Date Hours Required Type of Training Completed Completed Cert on File 1 2 3 4 5 6 Page 1 of 1 45 of 63 Page 23 of 43  2024 IPPFA Trustee Training Opportunities IPPFA ONLINE SEMINAR COURSE WHEN: Ongoing • Online 8 hr. seminar (Recorded from the 2023 MidAmerican Pension Conference) WHERE: IPPFA Website: www.ippfa.org/education/online-classes/ COST: IPPFA MEMBER: $285.00/seminar IPPFA NON-MEMBER: $570.00/seminar This online seminar agenda includes: • School's in Session - How to Ace your Fund Administration • Retirement Healthcare Funding • Private vs. Public Pensions • Pension Funding Policy • Legal Updates and Recent Court Cases • Ask Your Attorney • Fiduciary Liability Insurance vs. Directors and Officers Insurance • Benefit Enhancements to Attract and Retain Public Safety Officers • Consolidation Update • The Wonderfully Weird World of Administrative Review - this online seminar satisfies 8 hours of the required continuing pension trustee training 46 of 63 Page 24 of 43  16-hour Certified Trustee Programs* offered through IPPFA IPPFA ONLINE Certified Trustee Program COST: IPPFA MEMBER: $ 550.00 IPPFA NON-MEMBER: $1,100.00 Registration is online at the IPPFA website www.ippfa.org/education/trustee-program/ IPPFA In-Person Certified Trustee Program WHEN: April 2, 2024 - April 3, 2024 WHERE: NIU Outreach Campus 1120 E. Diehl Rd., Room 266 Naperville, IL 60563 COST: IPPFA MEMBER: $500.00 IPPFA NON-MEMBER: $1,000.00 *On December 18, 2019, Governor J.B. Pritzker signed SB 1300, making it Public Act 101-0610. This act will consolidate all Article 3 and 4 pension fund's investment assets. Under Public Act 101-0610, training requirements have now been reduced from 32-hours to 16-hours of new trustee training, however all pension trustees will still need 4-hours of mandatory consolidation transition training. All Article 3 & 4 Pension Trustees elected or appointed are required to complete the 16-hour trustee certification course within 18 months of election or appointment to the board. 47 of 63 Page 25 of 43 48 of 63 Page 26 of 43 49 of 63 Page 27 of 43  2024 IPFA SPRING PENSION SEMINAR Friday May 3, 2024 Black Shift Empress Banquets 200 East Lake Street Addison, IL 60101 630-279-5900 IN-PERSON SEMINAR REGISTRATION FORM Municipality, (please print or type) District, or Firm: _____________________________________________ Address: _________________________________________________ City: ____________________________________________ , IL Zip: ____________ Phone: _____________________________ SEMINAR FEES: IPFA Members: $ 210.00 Non - Members: $ 260.00 Walk-In Registration: $ 290.00 Avoid the walk-in surcharge – register on or before Monday, April 29, 2024 Registration opens at 07:00, event begins at 08:00, & ends at 16:00 First Name: Last Name: e-mail Address: Member Non-Member ____________________ _________________________ ____________________________________ $_______.___ $_______.____ ____________________ _________________________ ____________________________________ $_______.___ $_______.____ ____________________ _________________________ ____________________________________ $_______.___ $_______.____ ____________________ _________________________ ____________________________________ $_______.___ $_______.____ ____________________ _________________________ ____________________________________ $_______.___ $_______.____ TOTAL CHECK ENCLOSED $_______.____ Payment must accompany this Registration Form and be received in our office on or before April 29, 2024 to qualify for lower rates. Reservations received after the above date will be charged walk-in registration fee. Requests for refunds must be received on or before Monday, April 29, 2024 for full fee credit. No credits of seminar fees after this date. Please mail the completed form to IPFA, 188 Industrial Drive, Suite 134, Elmhurst, IL 60126-1608, fax it to 630-833-2412, or scan & e-mail to ipfa@aol.com. Any questions, call 630-833-2405. For Tax Reporting Purposes our Federal I.D. Number is: 36-2650496. The Illinois Pension Statute requires continuing education for all pension board trustees. This seminar provides up to 8 hours of credits. For IPFA Office Use: Date: ___________ Check #: ___________ Amount: _____________ Payer: ________________________________________ ___________________________________________________________________________ 50 of 63 Page 28 of 43 51 of 63 Page 29 of 43  0123456ÿ8ÿ09 ÿ0123456ÿ ÿÿ ÿ!ÿ"#!ÿ"$$%&#!ÿ'&ÿ(ÿ)*%&+ÿ"#!ÿ'&ÿ,ÿ)-&'./0'1+ÿ%"ÿ$#1&%# 2%"'!ÿ'311ÿ"'ÿ'43&'!ÿ%ÿ$"'&&$"ÿ&#ÿ1"56"#!"!ÿ'31ÿ'&."&%#ÿ'"&#&#/ 0"ÿ%#1&11ÿ%7ÿ"ÿ"1ÿ89ÿ0%3'1ÿ&#ÿ0&'ÿ.'1ÿ:"'ÿ"1ÿ"ÿ'31;ÿ<#ÿ"!!&&%#=ÿ'311ÿ631 %6$ÿ"ÿ6&#&636ÿ%7ÿ&/0ÿ0%3'1ÿ%7ÿ%#&#3&#/ÿ'31ÿ!3"&%#ÿ"##3":ÿ0'"7'; >?@ÿBCCDEFDGÿHIEDJDKLCÿM@LNI@ÿKOFPDQ@G R?DGÿJ@ORDSJLRDFEÿROLDEDENÿLRÿEFÿJ?LON@ÿRFÿLCCÿROIGR@@GT UCDJVÿ?@O@ÿRFÿW@NDEÿXFIOÿK@EGDFEÿROIGR@@ÿROLDEDENT Y0&1ÿ'"&#&#/ÿ&1ÿ$'%Z&!!ÿ%#&#ÿ"#!ÿ&#ÿ"%'!"#ÿ[&0ÿ1"3%':ÿ'43&'6#1; \@EGDFEÿ>OIGR@@ÿU@ORDSJLRDFEÿ]LJRÿ^?@@R ÿDE ÿ KLORE@OG?DK `DR? abÿdefÿghijÿkfjlmneolÿpjqhprnoqÿspmntujÿvÿepÿspmntujÿwÿxjolneoÿmpflmjjÿtjpmnythmneoz xujhljÿteomhtmÿflÿ{dÿj|hnuÿhmÿxjolneompflmjjl}n|u~epq~ 52 of 63 Page 30 of 43  Glen Ellyn Police Pension Meeting 4/17/2024 4:30 PM Board Department: Finance 535 Duane Street Department Head: Patrick Brankin Glen Ellyn, IL 60137 Category: Personnel Prepared By: Patrick Brankin AGENDA ITEM (ID DOC ID: 2024-244 # 2024-244) Application for Membership – Nicholas Bradberry Statement of the Issue: Analysis: Budget Impact: Contribution to Strategic Plan Action Requested: Attachments: 1. Bradberry application Page 31 of 43 53 of 63 Page 32 of 43  Glen Ellyn Police Pension Meeting 4/17/2024 4:30 PM Board Department: Finance 535 Duane Street Department Head: Patrick Brankin Glen Ellyn, IL 60137 Category: Other Prepared By: Patrick Brankin AGENDA ITEM (ID # 2024- DOC ID: 2024-245 245) Contribution Refund - Ryan Rader Statement of the Issue: Analysis: Budget Impact: Contribution to Strategic Plan Action Requested: Attachments: 1. Rader refund application Page 33 of 43 54 of 63 Page 34 of 43  Volume 25, Issue 2, April 2024 Legal and Legislative Update Illinois Supreme Court Finds In This Issue… Consolidation Legislation Valid 1 Illinois Supreme Court Finds Arlington Heights Police Pension Fd. et al. v. Consolidation Legislation Valid Pritzker, et al., 2024 IL 129471 3 Due Process Requirements in Pensionable Salary Matters On January 19, 2024, the Illinois Supreme Court filed its opinion on the lawsuit filed by several 4 Village Violates Litigation and police and fire pension funds and their Bargaining Exceptions to Open representatives challenging the constitutionality of Meetings Act Public Act 101-610 (eff. Jan. 1, 2020). Plaintiffs made two arguments before the Court. Plaintiffs 6 Reciprocity Does Not Apply to Non- argued the Act violated Article XIII, Section 5, of Duty Disability Benefits the Illinois Constitution, commonly known as the “Pension Protection Clause”, and Article I, Section 7 DOI Issues Siren Regarding Local 15, of the Illinois Constitution, commonly known Money Market Accounts as the “Takings Clause”. The Circuit Court of Kane County granted Defendants’ Motion for Summary Judgment. The Second District 8 Email Service of Administrative Appellate Court and Illinois Supreme Court Decision Not Sufficient affirmed. 9 Suggested Agenda Items for July On January 1, 2020, the Act became effective and Meeting amended the Illinois Pension Code (“Code”) to consolidate all Article 3 and 4 pension investment funds. Per the Act, all Article 3 and 4 Pension funds 9 RDL News were required to transfer custody and investment responsibility for their fund assets to their 6 Collective Bargaining Agreement Finds © 2024 REIMER DOBROVOLNY & LABARDI PC 1 Firefighter Not Eligible for Family Insurance Coverage 55 of 63 Page 35 of 43 RDL News respective statewide funds, who would invest and and eligibility to receive a retirement annuity and administer these two consolidated funds. Once survivor benefit, along with the right to purchase transferred, each fund retains a separate account in optional service credit in the state pension system the respective statewide fund that is dedicated for past military service.” solely to paying benefits to the local fund’s members and covering operating expenses. The Conversely, the Court held the Pension Protection returns on the consolidated investments are Clause does not protect the ability to vote in distributed pro rata among each participating fund. elections for local pension board members or the ability to have local board members control and The Court noted the stated goal of the Act was to invest pension funds. This Clause does not protect streamline investments and eliminate unnecessary the adequacy of the funding to pay for benefits or a and redundant administrative costs. Despite particular level of funding. Instead, in its simplest consolidation, pension funds retain exclusive form, the Clause protects a members’ right to authority to adjudicate and award retirement and receive his or her promised pension benefit. The other benefits. The consolidated funds will not be Court held local pension funds have no involved in the adjudication and award of benefits. constitutional right regarding who invests their assets, just as they have no constitutional right to In February 2021, Plaintiffs filed a three-count how their funds are funded or the adequacy of complaint against Defendants. They alleged the funding. Lastly, the Court held the startup costs do Act diminished and impaired their pension benefits not impair or diminish Plaintiffs’ pension benefits. because (1) it deprived them of their exclusive In fact, the Court noted the consolidated funds are ability to manage and control their investment intended to streamline investments and eliminate expenditures and incomes; (2) it diluted their unnecessary and redundant costs. voting power in the selection of investment managers, investments, risks, rates of return, costs, The Court then addressed Plaintiffs’ argument and expenses through the participation of other concerning the Takings Clause of the Illinois local funds; and (3) the local funds bear the Constitution. Plaintiff argued they had to transfer transition costs. The Circuit Court of Kane County their private property, consisting of securities, granted the Defendants’ Motion for Summary funds, assets, monies, and cash reserves, to the Judgment. Plaintiffs appealed only two of the three consolidated funds and bear the transition costs in counts. The Second District Appellate Court violation of the Takings Clause. The Taking Clause affirmed the Circuit Court. The Illinois Supreme of the Illinois Constitution states, “[p]rivate Court affirmed the Appellate Court. property shall not be taken or damaged for public use without just compensation as provided by law. The Court first addressed Plaintiff’s argument Such compensation shall be determined by a jury concerning the Pension Protection Clause of the as provided by law.” Illinois Constitution. That Clause states, “[m]embership in any pension or retirement system The Court held Plaintiffs have a property right to of the State, any unit of local government or school receive their promised benefits but do not have a district, or any agency or instrumentality thereof, property right in the source of funding for those shall be an enforceable contractual relationship, the payments. The Court noted the Act does not impact benefit of which shall not be diminished or Plaintiffs right to receive pension benefits. Instead, impaired.” The Illinois Supreme Court interpreted the Act simply transfers control and management that Clause to protect all benefits that flow from the of the local pension funds’ assets from one contractual relationship arising from membership government-created pension fund to another such in a public pension system. Specifically, they fund. The Court held the Circuit Court properly include “those benefits attendant to membership in granted summary judgment in favor of the the State’s retirement system, such as subsidized Defendants.❖ health care, disability and life insurance coverage, © 2024 REIMER DOBROVOLNY & LABARDI PC 2 56 of 63 Page 36 of 43 Due Process Requirements in witnesses testified. The Board voted to table the Pensionable Salary Matters decision to a later date. Ibrahim v. Bd. of Trustees of Romeoville On January 11, 2022, The Board reconvened and Firefighters' Pension Fund, 2024 IL App (3d) voted unanimously to deny Ibrahim's request. It 230215-U issued a written Findings and Decision, which reiterated the reasoning set forth in the Board In a recent unpublished Rule 23 order, the Third President’s earlier letter to Ibrahim. Thereafter, District Appellate Court analyzed the due process Ibrahim filed a complaint for administrative review required for pension decisions. The court in the Will County circuit court arguing the Board examined when due process must be given and failed to provide him with proper notice or an what the substance of that due process needs to be. opportunity to be heard, violating his right to due process. Ibrahim, a deputy chief for the Village of Romeoville Fire Department, was awarded an After briefing, the circuit court remanded the case increase in his salary from $125,000 to $150,000 back to the Board for “a full de novo hearing on by the Village Mayor in September of 2018, and issues, with Ibrahim permitted to call and cross retired less than one month later. His last paystub examine witnesses.” While Ibrahim had raised reflected the recently increased salary. additional substantive issues in his complaint, the appeal was limited to these due process issues as Ibrahim then filed for a retirement pension on the Board filed a petition for leave to appeal under March 10, 2021. The Pension Board initially Illinois Supreme Court Rule 306(a)(6), which reviewed his application on April 7, 2021, and allows for review of an order remanding an approved the application in “an amount to be administrative decision for de novo hearing. determined with calculations made by the village management.” No specific amount was approved On appeal, the Board argued the circuit court erred by the Board at the meeting and no written decision in remanding the matter for a de novo hearing. The was published at that time. Appellate Court applied an abuse of discretion standard of review, which both parties agreed was The Village Finance Director emailed Ibrahim a appropriate. An abuse of discretion occurs when copy of his final pension calculations based on an the circuit court's decision is arbitrary, fanciful, or annual salary of $125,052.46, which Ibrahim unreasonable. disputed. The Village Finance Director forwarded Ibrahim's calculations to the Pension Board. The Appellate Court then addressed what, if any, due process Ibrahim was entitled to. First, the court On May 21, 2021, the Board President sent a letter noted that the timing of access to due process only to Ibrahim denying his request to adjust his requires that it be afforded before the final retirement calculations for three reasons. determination by an administrative agency or Importantly, the letter also included an invitation to board is rendered, not at the initial stage or at any Ibrahim to the next Board meeting to review the particular point. The Appellate Court stated that decision. notice in an administrative proceeding must be reasonably calculated to apprise interested parties On August 17, 2021, the Board held a board of the contemplated action and to afford the meeting where the agenda listed a possible action interested parties an opportunity to present their item of reviewing Ibrahim's pension request. objections and that it was clear that Ibrahim had Ibrahim attended this meeting with his attorney, notice of the meeting. It also noted that the Findings who gave a brief presentation arguing why Ibrahim and Decision in this case serve as the actual final should receive the increased salary benefit. No decision, and Ibrahim received notice before that decision was made. © 2024 REIMER DOBROVOLNY & LABARDI PC 3 57 of 63 Page 37 of 43 After disposing of the timing element in its witnesses, the Court noted Ibrahim’s failure to even analysis, the Appellate Court then addressed attempt to subpoena any witnesses or otherwise whether Ibrahim also had a sufficient opportunity question members of the Board. The Board cannot to be heard when his attorney presented his position later be found to have deprived Ibrahim of a right and objections on his behalf at a Board meeting. A when he chose not to exercise that right in the first full evidentiary hearing is not necessarily required place. to afford a party due process. An affected party must have an opportunity to present objections to The Appellate Court found the Board did not the administrative board's actions, but there are no violate Ibrahim’s due process rights. Ibrahim other formal requirements. received notice of the Board meeting where he could explain his position that he should receive a In deciding whether a party was afforded a higher pension. He was present, with an attorney, meaningful opportunity to be heard, the Appellate and argued before the Board prior to the issuance Court used a three-part test. First, it considers and of the Board's Findings and Decision. Thus, weighs the private interest affected by the action. Ibrahim received notice and an opportunity to be Second, the risk of an erroneous deprivation of a heard prior to the Board's decision on a pension protected right through the procedure used, as well amount. Accordingly, the circuit court abused its as any additional safeguards that could be discretion in remanding the matter back to the employed. Third, the government's interests, Board for a new hearing and its order was reversed. including any burdens that additional safeguards would entail. While noting that Ibrahim clearly had a significant private interest in receiving his It should be noted that while the Appellate Court pension, the Court also noted the Board's found die process had been satisfied, the underlying fundamental interest in protecting the fiscal issue of the amount of Ibrahim’s pensionable salary integrity of the pension fund by ensuring its was not adjudicated. The matter was remanded to participants do not receive benefits to which he or the circuit court for consideration of the remaining she are not entitled. issues.❖ As for the second factor, the risk of an erroneous Village Violates Litigation and decision was mitigated by procedural safeguards. Bargaining Exceptions to Open Meetings The Court found the Board took several steps to Act mitigate this risk. It notified Ibrahim of its preliminary assessment of the situation, explained Int'l Ass'n of Fire Fighters Loc. 4646 v. Vill. of Oak the analysis the Board's attorney took to reach the Brook, 2024 IL App (3d) 220466 conclusion Ibrahim should not receive the increased pension, and invited Ibrahim to the next In a recent Third District case, the Appellate Court Board meeting to further discuss the matter. After reiterated important issues and rules public bodies Ibrahim indicated he wished to attend the next must follow when conducting public meetings in meeting, the Board placed him on the agenda. At light of the Freedom of Information and the Open that meeting, the Board afforded him and his Meetings Acts. The take-away is that Pension attorney the opportunity to voice their objection Boards, like all other public bodies conducting and provide argument to support their position. The public business, must follow these strict rules Board's procedural safeguards in this case were regarding closed sessions or face significant sufficient to substantially reduce any risk of an penalties. erroneous decision. As background, on December 8, 2020, the Village While Ibrahim also argued he did not receive his of Oak Brook Board of Trustees conducted a public full procedural due process rights because he was hearing to consider its proposed 2021 budget. By not given the opportunity to subpoena and question © 2024 REIMER DOBROVOLNY & LABARDI PC 4 58 of 63 Page 38 of 43 a vote of 6 to 0, the Village trustees voted to close (2) “when the public body finds that an action is a portion of the meeting, purportedly to discuss probable or imminent.” When a public body finds subjects described in subsections (c)(2) [collective that an action is probable or imminent, “the basis negotiating matters] and (c)(11) [probable or for the finding shall be recorded and entered into imminent litigation] of section 2 of the Open the minutes of the closed meeting.” Discussions Meetings Act. The closed session lasted slightly about the “potential” for future litigation or of less than three hours and included, among others, “plausible” litigation cannot satisfy the exception the Village's regular attorney and its labor counsel. for probable or imminent litigation. When the After resuming the open session, the Village litigation exception justifies a closed meeting, adopted its 2021 budget. relevant topics include discussions about legal theories, claims, or defenses, or possible The International Association of Fire Fighters approaches to litigation. Even if a meeting is Local 4646 (Union) sued the Village of Oak Brook lawfully closed, a public body violates the Act (Village) on the grounds that the Village held a when it considers topics beyond the scope of the closed meeting in violation of the Open Meetings topics that justified the closed meeting. Act and denied its request for records pertaining to that meeting in violation of the Freedom of The Appellate Court took to task the Village’s Information Act (FOIA). claim it was allowed to enter closed session for any of its proposed grounds. First, it found the claim it The Union filed a motion for summary judgment was discussing collective bargaining was on both claims, which the trial court granted, unsupported. The Village conceded it was not in ordering the Village to disclose the requested active negotiations with a collective bargaining unit records, denying the Village's request to redact when it conducted its closed meeting. The Court portions of the records sought by the Union on the found the Village’s reliance on a prior Attorney ground those portions contained privileged General opinion was not warranted. That opinion attorney-client communications and ordering the addressed the question “whether a public body may Village pay reasonable attorney fees to the Union. meet unilaterally to consider its negotiating The Village appealed all three rulings. response to collective negotiating topics.” While the cited Attorney General opinion supported the The Appellate Court first presented basic principles notion the Village could hold a closed session to of law related to the Open Meetings Act. First, all unilaterally discuss matters pertaining to an active meetings of public bodies shall be open to the negotiation, it did not support holding a closed public unless excepted in subsection (c) and closed session to discuss matters pertaining to an in accordance with the Act. Two exceptions under anticipated or hypothetical negotiation. section 2(c) were at issue in this appeal: the collective-negotiating-matters exception and the The purpose of the Village's closed session was to litigation exception. The exceptions are to be choose one of two budget proposals, and the strictly construed, extending only to subjects possibility of future negotiations was merely a clearly within their scope. factor it considered. The purpose was not to discuss a response to collective negotiating topics. There Under section 2(c)(2), a public body may hold a was no purported collective negotiating demand by closed meeting to discuss “[c]collective negotiating the bargaining unit and, as the Village makes clear, matters between the public body and its employees the Union indeed refused to engage in mid-term or their representatives, or deliberations concerning bargaining. salary schedules for one or more classes of employees.” Under subsection (c)(11), a public Taken to its logical conclusion, the Village's body may hold a closed meeting to discuss argument would lead to an untenable end-run litigation in two circumstances: (1) when an action around the Act. Because there was no active or has been filed and is pending, or, as is claimed here, imminent collective bargaining when the Village © 2024 REIMER DOBROVOLNY & LABARDI PC 5 59 of 63 Page 39 of 43 held its closed session, the Appellate Court 2021, Wessel applied for a non-duty disability concluded the Village did not satisfy the collective- pension with the Lake Villa District Firefighters' negotiating-matters exception. Pension Board (Lake Villa Board). The Lake Villa District intervened in the proceedings. The Village also claimed its closed meeting was necessary to discuss “probable or imminent” On May 15, 2021, Wessel filed a separate litigation. This claim relied on predicted litigation application for a non-duty disability pension with if it chose a budget that violated the collective the Wilmette Fund. Wessel’s hearing was bargaining agreement then in place. However, the scheduled, and he was given notice of the hearing. Village failed to argue that it had reasonable The Wilmette Board decided Wessel was not grounds to believe a lawsuit was more likely than eligible for non-duty disability benefits. not at the time it entered the closed session, as its Specifically, it found Wessel was no longer stated purpose was to discuss different proposed employed by Wilmette Fire when he applied for budgets. Accordingly, the Village had no disability benefits. discernable basis to conclude that a lawsuit was more likely than not. On February 1, 2022, Wessel filed his complaint in the circuit court for declaratory judgment and The Village had conceded that a violation of the administrative review. On June 24, 2022, the circuit Open Meeting Act would necessarily implicate a court dismissed the declaratory judgment count. On violation of FOIA, as it had refused to tender March 3, 2023, the circuit court granted summary requested recording under FOIA based on the judgment to the Wilmette Fund. On March 28, closed session exceptions under the Act. Because 2023, Wessel filed his timely notice of appeal. On of these violations, the Village was also ordered to appeal, the Appellate Court interpreted the pay a portion of the Union’s attorney’s fees. meaning of §4-111 and §4-109.3(n). Again, the exceptions to the presumed public hearing requirements are to be narrowly used and §4-109.3(n) states in pertinent part: must be supported by actual existing facts and (n) If a firefighter who elects to make contributions circumstances. This case stands for the under subsection (c) of Section 4-118.1 for the fundamental principle that these exceptions cannot pension benefits provided under this Section be used as a carte blanche tool to keep important becomes entitled to a disability pension under and necessarily public information and discussions Section 4-111 [40 ILCS 5/4-111], the last pension out of the public eye. Violation of this fundamental fund is responsible to pay that disability pension, principle will add significant and wholly provided that the firefighter has at least 7 years of unnecessary costs to the Fund. ❖ creditable service with the last pension fund. Reciprocity Does Not Apply to Non-Duty Public Act 95-1036 amended §4-109.3(n) to include the following language: Disability Benefits In the event a firefighter began employment with a Wessel v. Wilmette Firefighters' Pension Fund, new employer as a result of an intergovernmental 2024 IL App (1st) 230565 agreement that resulted in the elimination of the Firefighter Michael Wessel applied for non-duty previous employer’s fire department, the firefighter disability benefits from the Wilmette Firefighters’ shall not be required to have 7 years of creditable Pension Fund (“Wilmette Fund”). Wessel worked service with the last pension fund to qualify for a for the Wilmette Fire Department (“Wilmette disability pension under Section 4-111. Under this Fire”) from September 27, 2010 until January 31, circumstance, a firefighter shall be required to have 2020. Wessel then began working for the Lake 7 years of total combined creditable service time to Villa Fire Protection District (“Lake Villa qualify for a disability pension under Section 4- District”) on February 1, 2020. On February 1, 111. The disability pension received pursuant to © 2024 REIMER DOBROVOLNY & LABARDI PC 6 60 of 63 Page 40 of 43 this Section shall be paid by the previous employer subsection (m) diverges greatly from that of and new employer in proportion to the firefighter’s subsection (n); thus, the Appellate Court held the years of service with each employer. legislature intended each subsection to mean something different. The Appellate Court held Section 4-109.3(n) concerns two scenarios. The first scenario provides Wessel demonstrates that under Article 4 of the the last pension fund is responsible for the non-duty Illinois Pension Code, reciprocity does not apply to disability pension and that an employee is entitled non-duty disability benefits. If a firefighter to that non-duty disability pension if the firefighter transfers from one department to another, he or she has at least seven (7) years of credible service at will lose his or her eligibility for non-duty disability that fund. Wessel agreed Lake Villa was his “last benefits except for very limited circumstances. ❖ pension fund.” Because he had less than seven (7) years of credible service with the Lake Villa DOI Issues Siren Regarding Local Pension Fund, he was not entitled to non-duty Money Market Accounts disability benefits from Lake Villa. In the wake of consolidation of Article 3 and 4 The second scenario provides a firefighter can pension fund assets, the newly created consolidated stack his credible service from multiple funds only funds recommended local boards keep three if “a firefighter began employment with a new months of benefits and expenses on hand in a local employer as a result of an intergovernmental account. Now that most funds have been agreement that resulted in the elimination of the successfully transferring monies to and from previous employer's fire department.” In that POPIF or FPIF for some time, most local funds instance, a firefighter will not need to have seven have decreased their local account balance to about (7) years of credible service with his “last pension one month of benefits and expenses. Many funds fund” to qualify for disability benefits under §4- have chosen to keep their local cash in a money 111. Wessel did not leave the Wilmette Fire market account rather than a low or non-interest because of an “intergovernmental agreement that bearing checking account. While use of this type resulted in the elimination” of Wilmette Fire. of account is clearly contemplated by the Statute, Instead, he quit because he wished to work at the the Department of Insurance (DOI) was asked to Lake Villa District. opine whether these are permissible vehicles for Article 3 and 4 funds to use. The Appellate Court also relied on §4-109.3(m) when limiting the scope of the second scenario. §4- In response to this inquiry, the DOI issued a Siren 109.3(m) concerns occupational disease disability on February 8, 2024, opining money market mutual and specifically states in pertinent part that “each funds are permissible but adding they should only pension fund to which the firefighter has made be used to make benefit payments or cover other contributions under subsection (c) of Section 4- reasonable expenses. They further suggested the 118.1 must pay a portion of that occupational amount of money a local fund may retain in a local disease disability pension[.]” It further states “[a] account is limited and that amounts not firefighter who has made contributions…for at “imminently” needed for payments should be sent least 5 years of creditable service shall be deemed to the respective consolidated fund and not to have met the 5-year creditable service maintained in a money market. To ensure requirement…, regardless of whether the compliance, the Siren suggested local funds (1) firefighter has 5 years of creditable service with the communicate with the consolidated fund about last pension fund.” The Appellate Court noted local cash needs and observe guidance provided by subsection (m) explicitly requires a pension fund to the consolidate fund for cash management and (2) stack a firefighter’s credible service from multiple consider a local bank account for cash kept locally. departments when determining eligibility for occupational disease disability. The language in © 2024 REIMER DOBROVOLNY & LABARDI PC 7 61 of 63 Page 41 of 43 Investment or brokerage fees are generally not typically disability or retirement decisions made by appropriate. the board. While a money market mutual fund is permitted by In this case, the Court wrestled with the issues of the Statue for local cash needs, the Statute does when to start the 35 day clock on a plaintiff who limit the amount a fund may keep in that local was not a party to the administrative proceeding, account. While there is no bright line rule whether the method of service chosen by the indicating a specific dollar figure, the Statute does administrative agency was valid, and, in light of the require any money kept locally be tied to the preceding questions, whether the plaintiff’s necessity to pay benefits and expenses. The complaint was filed within the 35 day time amount is not limitless. From a fiduciary and limitation of the Administrative Review Law. regulatory standpoint, our suggestion is boards review their cash position/policy at every meeting The underlying administrative decision in this case to ensure they are maximizing return on was the Illinois Health Facilities & Services investment. Balances kept in a local account Review Board decision to approve a certificate to should be tied to a specific dollar figure in relation establish a hospital in Quincy. The decision of the to a number of months of benefits/expenses the board was issued via a permit letter. The letter fund typically expends. For example, many of our stated it was emailed but did not include an email clients have elected to keep one month of address, fax number, or proof of service. While benefits/expenses in a money market account with plaintiff Blessing Hospital was not a party to that any amount accruing in excess of that target administrative proceeding, they had standing to automatically transferred to the consolidated fund. seek administrative review claiming they would be If they have not already done so, Funds should also adversely affected by the decision. (Much like case consider setting up an automatic monthly deposit law establishes a municipality may challenge the from the consolidated fund in the amount of decision of a pension board even if they fail to monthly benefits/expenses. intervene in the underlying administrative hearing). The defendants filed a motion to dismiss the Management of local accounts should be an complaint for administrative review arguing it was ongoing discussion between vendors and the board. not filed in a timely manner. While we cannot advise on the proper amount of cash to keep on hand, should you have any Inasmuch as plaintiff to this case was not a party to questions on the statutory requirements, please do the administrative proceeding, the first question the not hesitate to contact your RDL attorney. ❖ appellate court dealt with was when the 35 day period commences on a party that was not entitled Email Service of Administrative Decision to be served with the administrative decision in the first place. While the court conceded this is an Not Sufficient unusual situation when the party charged with filing the appeal of the administrative decision Blessing Hospital v. Illinois Health Facilities & within 35 days of service is not the party served, the Services Review Bd. et al., 2024 IL App (4th) law clearly indicates the 35 days runs from the date 230282 of service on the party to the administrative proceeding. As such, Blessing Hospital’s 35 days By statute, administrative decisions made by to appeal the administrative decision to which they Article 3 and 4 pension boards are subject to the were not a party began to run on the date of service Administrative Review Law. That means they are to the hospital that was a party to the proceeding. subject to review in the circuit courts as long as a complaint is filed within 35 days from the date of The next step in the analysis was to determine what service of the administrative decision. In the type of service was required for the 35 day period context of pension boards, these decisions are to begin to run. The Administrative Review Law © 2024 REIMER DOBROVOLNY & LABARDI PC 8 62 of 63 Page 42 of 43 provides that, if no method of service is provided writing should be served upon the parties to the in the laws governing procedure for the administrative proceeding preferably via U.S. mail administrative agency, a decision is “served” when with proof of mailing. In an ideal world, it should either a copy of the decision is personally delivered be sent via certified mail or using some form where or when it is deposited in the U.S. mail. In this delivery can be confirmed. ❖ case, the Administrative Code governing the proceeding provided the board’s decision must be Suggested Agenda Items for July (or 3rd sent certified mail or personally served on all Quarter) parties. Here, the only indication was the decision was emailed to the parties and proof of service of • Semi-annual review of closed executive any mailing or personal service was not provided. The court found email service was not authorized. session minutes to determine what needs to remain confidential. In short, while the 35 day time period as to a non- • Election of Board Officers. (e.g. President, party would begin to run upon the date of service on a party, in this case that time did not begin to run Secretary, etc.) because the only method of service identified • Potential selection of independent enrolled (email) was not authorized by either the statute or law governing proceeding before the agency. actuary for recommended tax levy. Personal service or service by certified mail with • Review status of Trustees’ annual training accompanying proof of service would have been requirements. required to commence the 35 day administrative review period. As a result, the motion to dismiss for failure to timely commence the action granted by the trial court was reversed by the appellate court. How does all this apply to your pension fund? First, it illustrates the importance of memorializing decisions of the pension board in writing. That REIMER DOBROVOLNY & LABARDI PC NEWS • April 2, 2024, RDL managing partner Rick Reimer will present at the IPPFA certified trustee training at NIU in Naperville. • May 3, 2024, RDL partner Brian LaBardi will present at the IPFA spring pension seminar in Addison. • May 7-10, 2024, RDL attorneys will attend and present at the IPPFA Illinois Pension Conference in Galena. Legal and Legislative Update Volume 25, Issue 2, April 2024 This publication constitutes advertising material. Information contained herein should not be considered legal advice. Legal and Legislative Update is published periodically. Questions may be directed to: REIMER DOBROVOLNY & LABARDI PC A Public Safety Law Firm 15 Spinning Wheel Road, Suite 310, Hinsdale, IL 60521 (630) 654-9547 Fax (630) 654-9676 www.rdlaborlawpc.com Unauthorized reproduction prohibited. All rights reserved. © 2024 REIMER DOBROVOLNY & LABARDI PC 9 63 of 63 Page 43 of 43