Board Report, December 2022

OP&F

A major retirement bill, which is commonly known as the SECURE Act 2.0, in the end-of-year omnibus appropriations bill, cleared Congress on Dec, 27, 2022, and signed into law by President Biden. OP&F worked on many of the provisions in the SECURE Act 2.0 and also we were the originator and sponsor of the language which removed the “direct payment” requirement from the public safety officers’ tax exclusion for health care.

In other legislative news closer to home, Ohio House Bill 512 the legislation introduced late in 2021 that would have made long overdue changes to the employer contribution rates, which have not been changed since 1986 did not pass.

However, the work on this legislation was not in vain. OP&F provided early warning of its funding issues, educated members, members of the General Assembly and the public about the looming funding issues and lack of equalization between police and fire employer rates. OP&F is hopeful these efforts have created opportunities in the new General Assembly, which will began Jan. 1.

HB 512 remains historic as the first to be introduced to equalize and raise the employer share on behalf of Ohio’s municipal public safety officers since 1986. 

PORTFOLIO UPDATE

Board of Trustees Committee Notes

(Motions voted on by the Board are listed separately)

DISABILITY: The Committee conducted its scheduled initial determination and appeal hearings and also reviewed the Annual Earnings Statement, the Annual Report of Disability Terminations and the Annual Report of Disability Fraud Activity.

ADMINISRATION AND AUDIT: The Summary of Internal Audit Activity was reviewed along with the 2023 Administration and Audit Committee Agenda Schedule.

HEALTH CARE: OP&F’s health care administrator, Alight, presented updates on the 2022 retiree health care plan.

INVESTMENT: In addition to a review and discussion of the investment portfolio, the Board received the Private Markets Program Review and the Investment Performance Report for periods ended Sept. 30, 2022, as well as the Private Equity and Private Credit Program Analysis for periods ended June 30, 2022.

Motions:

At its December 2022 meeting, the OP&F Board of Trustees approved the following motions:

• Approved two, and disapproved one, Death Benefit Fund cases.
• Approved 12 Initial Determination of Disability. One Initial Determination was disapproved.
• Approved one Reconsideration hearing.
• Approved four Appeal hearings.
• Approved the Disability Reporting Waivers list.

NEXT BOARD OF TRUSTEES MEETINGS: Jan. 24-25, 2023