March 2014 Monthly Board Report
DESMOND APPOINTED TO BOARD
Daniel Desmond, a Toledo firefighter and paramedic with more than 25 years of
service, was appointed to the OP&F Board of Trustees on March 6. Desmond fills
the active fire representative position vacated when Lawrence G. Petrick, Jr.
resigned from the Board after retiring from active fire service. Desmond will
serve until the spring of 2015, when he will be eligible to run for a full
four-year term on the Board of Trustees..
Desmond has been with the Toledo Fire and Rescue Department since 1989 and
previously served with the Sylvania Township Fire Department. He is also the
vice president of the Toledo Firefighters Local 92. During his career Desmond
has been awarded the Life Saving Achievement Award and decorated for a
job-related incident.
TRUSTEE HELLER TO SERVE ON INVESTMENT
ADVISORY BOARD
David Heller, the Governor’s representative to the
OP&F Board of Trustees, has been asked to serve on the Alternative Investments
Forum (AIF) Advisory Board. AIF is an independent economic think tank focused on
institutional investment policy. Its mission is to foster education,
communication and information exchange among institutional investors globally to
help them achieve their investment objectives. Heller accepted the invitation.
PORTFOLIO UPDATE
OP&F's investment portfolio value:
|
Current value (3/25): |
$14.1 billion |
|
End of February value: |
$14.2 billion |
|
End of January value: |
$13.8 billion |
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 a memorandum regarding the reporting of
potential disability fraud for two members.
- BENEFITS: The Committee discussed with staff the salary
benchmark process. Also discussed was a mailing from AARP concerning members
aging-in to Medicare as they approach age 65. The Committee requested that
UnitedHealthcare provide copies to OP&F of mass mailings to members.
Requested for the April meeting was information detailing what causes a
member to lose health care coverage and that the next Deferred Retirement
Option Plan (DROP) Experience Report show 10 years of data regarding the
average time members remain in DROP.
- INVESTMENT: In addition to the monthly portfolio
update, the Committee/Board received information on the Semi-Annual Proxy
Voting Report. Several 4th quarter reports were also presented to the Board
for informational purposes: Compliance Review, Net of Fees Performance
Report, Timberland Report, and the Private Markets Report. The annual
Manager Meetings Report was also included.
Motions: At its March 2014 meeting, the OP&F Board of Trustees voted on the following motions:
- Approved the updates to the Investment Policy and Guidelines as
discussed on March 26, 2014. Motion passed by unanimous vote (Investment
Committee).
- Approved Townsend’s recommendation to invest up to $50 million into
Greystar Equity Partners VIII. Motion passed 6-1 with one abstention
(Investment Committee).
- Approved staff’s recommendation to invest up to $100 million into MC
Credit Fund I. Motion passed7-1 (Investment Committee).
- Approved manager ratings for AQR, Grosvenor, Russell Implementation
Services and Neuberger Berman as recommended by staff. Motion passed by
unanimous vote (Investment Committee).
- Approved the revisions to the Proxy Voting Policy as recommended by
OP&F’s proxy voting advisor. Motion passed by unanimous vote (Investment
Committee).
- Approved a revised OP&F Securities Litigation Policy as discussed with
General Counsel. Motion passed by unanimous vote (Investment Committee).
- Approved the Committee recommendations for the initial determination of
disability for the nine members as identified in the initial determination
hearings list presented to the Board on March 26, 2014. Motion passed by
unanimous vote for all but member number 1, which passed 6-1 (Disability
Committee).
- Approved the determination for reconsiderations for the members
identified. Motion passed by unanimous vote (Disability Committee).
- Approved the recommendations for the appeal hearings for the six members
identified in the appeals list presented to the Board on March 26, 2014.
Motion passed by unanimous vote for all but member number 5, which passed
5-2 (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 March 26, 2014. Motion
passed by unanimous vote (Disability Committee).
- Approved the recommendations for Death Fund benefits for the members
identified. Motion passed unanimously (Disability Committee).
- Approved the recommendation that the two disability benefit recipients
outlined in staff’s memorandum dated March 25, 2014 be required to undergo
medical evaluations for the reasons outlined in that memorandum. Motion
passed unanimously (Disability Committee).
- Approved the travel recommendations as discussed during the
Administration/Audit Committee meeting on March 25, 2014. Motion passed 6-0
with one abstention (Benefit Committee).
Next Board of Trustees Meetings: April 29-30, 2014