Monthly Board Report

BOARD OF TRUSTEES APPROVES 2019 OPERATING BUDGET

The 2019 budget process concluded when the Ohio Police & Fire Pension Fund (OP&F) Board of Trustees approved the operating budget for the coming year during its meeting on Nov. 14. The total operating budget (including investment management fees) is $77.3 million or 6.6 percent above the 2018 budget. Also approved is the rolling three-year capital improvements budget for the years 2019-21. This budget of $1.49 million includes computer hardware, software and equipment.

PORTFOLIO UPDATE

OP&F's investment portfolio value:

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

• GOVERNMENT AFFAIRS AND POLICY: The Committee heard updates on pending legislation for the remainder of the year and discussed the recently concluded elections.
• INVESTMENT: In addition to the monthly portfolio performance update, the Board received the Investment Performance Report for the periods ended Sept. 30, 2018, the Private Equity and Private Credit Program Analysis for the periods ended June 30, 2018. Consultants also discussed international equity investing and reviewed an international small cap mandate managed by Franklin Templeton. Bridgewater Associates presented their China outlook to the Board.
• FINANCE: Representatives from OP&F’s Finance Department presented the 3rd Quarter Budget-to-Actual Report and a review of past due employers. The 3rd quarter travel expense reports were also available for review by the Committee.
• HEALTH CARE: Representatives from Aon and eHealth provided an update on the Jan. 1, 2019 Health Care Transition and answered questions from trustees concerning the enrollment process and plan choices for both the Medicare and pre-Medicare retiree populations.The Board also reviewed the 3rd quarter 2018 Health Care Stabilization Fund balances.
  

Motions:

At its November 2018 meeting, the OP&F Board of Trustees approved the following motions:

• Approved staff’s and Wilshire’s investment manager rating recommendations for State Street Global Advisors, Western Asset Management and Pacific Investment Management Company. Motion passed by unanimous vote (Investment Committee).
• Approved the Real Estate Investment Policy as recommended by Townsend. Motion passed by unanimous vote (Investment Committee).
• Approved the Real Assets Investment Policy as recommended by Townsend. Motion passed by unanimous vote (Investment Committee).
• Approved the Committee recommendations for the initial determination of disability for the members as identified in the initial determination hearings list presented to the Board on Nov. 14, 2018. Motion passed by unanimous vote (Disability Committee).
• Approved the Committee recommendations for appeal hearings for the members identified in the appeals list presented to the Board on Nov. 14, 2018. Motion passed by unanimous vote, with the exception of member #2, which passed by a vote of 7-1 (Disability Committee).
• Approved the Committee recommendation for reconsideration for the members identified in the reconsideration hearings list. Motion passed by unanimous vote (Disability Committee).
• Approved the Committee recommendation for Death Fund benefits for the members identified. Motion passed by unanimous vote (Disability Committee).
• Approved the 2019 Annual Budget in the form submitted to the Board on Nov. 13, 2018. Motion passed by unanimous vote (Finance Committee).
• Approved the Medicare Part B reimbursement rate at the maximum rate of $107 for the period Jan. 1, 2019 through Dec. 31, 2021. Motion passed by unanimous vote (Health Care Committee).
  

  NEXT BOARD OF TRUSTEES MEETINGS DEC. 18-19, 2018

  Posted 11/21/2018