February 2014 Monthly Board Report

PETRICK’S RETIREMENT OPENS VACANCY ON OP&F BOARD
Lawrence G. Petrick, Jr., who has served on the OP&F Board of Trustees since 2003, announced that he was retiring and therefore resigning his active fire seat on the Board effective March 5. Petrick, a lieutenant with the Shaker Heights Fire Department prior to his retirement, served as the chairman of the Board twice and also chaired the Disability Committee. He was recognized by his fellow trustees and OP&F staff during his final Board meeting on Feb. 25.

Petrick’s departure leaves a vacancy on the OP&F Board of Trustees, but it is expected to be filled in March. The Board’s Nominating Committee has been accepting applications for the vacancy and interviewed candidates on March 5. The Board was expected to select an active fire representative to fill the vacancy and have the individual sworn in during the Board’s annual retreat in Columbus on March 6. The new trustee will serve on the Board until the spring of 2015, when an election will take place for a four-year term.

This spring’s election is for the term currently filled by OP&F Chairman of the Board of Trustees, David Witner (Cuyahoga Falls Fire).

TRUSTEE ELECTION DUE DATES APPROACHING
The 2014 Trustee election will elect an active firefighter representative to the OP&F Board of Trustees. Active fire members of OP&F will elect a representative to serve a four year term that will commence June 2. Nominating petitions and candidate packets are now available at OP&F headquarters and online at op-f.org. The filing deadline for nominating petitions and the certificate of eligibility is April 7. Ballots for the elections will be mailed by May 5 and the election results will be announced May 27. This spring’s election is for the term currently filled by OP&F Chairman of the Board of Trustees, David Witner (Cuyahoga Falls Fire).

 PORTFOLIO UPDATE
OP&F's investment portfolio value:

Board of Trustees Committee Notes
(Motions approved by the Board are listed separately)

• DISABILITY: The Committee/Board reviewed disability cases in addition to the regularly scheduled hearings and appeals. The Committee/Board also discussed results of the 2nd Half 2013 Disability Exam Satisfaction Survey with staff and panel physicians.
• HEALTH CARE: The Committee/Board reviewed the 2013 year-end report of the Health Care Stabilization Fund and also received an update from UnitedHealthcare regarding Medicare supplement communication material and the AARP Medicare supplement appeals process. OP&F staff also presented a memo describing procedures for logging member issues and resolutions between OP&F and UnitedHealthcare or OptumRx.
• INVESTMENT: In addition to the monthly portfolio update, the Committee/Board received the investment performance report for periods ending Dec. 31, 2013. The Committee/Board also was provided an educational presentation on middle market direct lending. Additionally, staff commented on the Semi-Annual Securities Lending Report for the second half of 2013.

• Approved manager rating recommendations from staff for OP&F’s ACWI ex-US equity managers, Causeway, Pyramis and Thornburg. Motion passed by unanimous vote (Investment Committee).
• Approved the Committee recommendations for the initial determination of disability for the eight members as identified in the initial determination hearings list presented to the Board on Feb. 26, 2014. Motion passed with six for and two abstentions (Disability Committee).
• Approved the determination for reconsiderations for the members identified. Motion passed with six for and two abstentions (Disability Committee).
• Approved the recommendations for the appeal hearings for four of the six members identified in the appeals list presented to the Board on Feb. 26, 2014. Motion passed six for and two abstentions for three members, by a vote of five for, one against and two abstentions for one member. One member’s appeal was denied by a vote of two for, four against and two abstentions (Disability Committee).
• Waived the mandatory medical evaluation and filing of annual earnings statements for future years for the members identified in the disability reporting waivers list presented to the Board on Feb. 26, 2014. Motion passed with six for and two abstentions (Disability Committee).
• Approved the travel recommendations as discussed during the Health Care Committee meeting on Feb. 25, 2014. Motion passed by unanimous vote (Health Care Committee).
  

Next Board of Trustees Meetings: March 25-26, 2014