The URL can be used to link to this page

Home My WebLink AboutMinutes - Minutes - Public Safety Personnel Retirement Boards - Meeting Date: 6/26/2019MINUTES PUBLIC SAFETY PERSONNEL RETIREMENT SYSTEM LOCAL POLICE BOARD CITY HALL - 4TH FLOOR CONFERENCE ROOM 6860 W. GLENDALE AVE. GLENDALE, ARIZONA 86301 JUNE 26, 2019 9:30 A.M. 1. CALL TO ORDER A JOINT MEETING OF THE LOCAL FIRE AND POLICE BOARDS Chair Charles Erickson called the joint meeting to order at 9:34 a.m. 2. ROLL CALL FOR THE JOINT MEETING OF THE LOCAL FIRE AND POLICE BOARDS Present: Mayor Jerry Weiers City Manager & Board Member Kevin Phelps Board Member & Chair Charles Erickson Fire Board Member Paul Morales, Fire Captain Fire Board Member Anthony Love, Fire Fighter Police Board Member Justin Harris, Police Officer Absent: Police Board Member Cody Carmichael, Police Officer Staff Present: Vicki Rios, Assistant City Manager Lisette Camacho, Acting Finance Director Ken Barnes, Assistant Fire Chief Jim Brown, Board Secretary & Director of Human Resources & Risk Mgmt. Kurt Christianson, Assistant City Attorney Vicki Moss, HR Administrator, Benefits Lisa Chill, Management Assistant, HR Other Attendees: Attorney Carrie O'Brien 3. DISTRIBUTION/REVIEW OF THE JUNE 30, 2018 ANNUAL ACTUARIAL VALUATION OF MEMBERS FOR GLENDALE FIRE AND POLICE COVERED BY THE PSPRS HR Director Jim Brown introduced Assistant City Manager Vicki Rios and Acting Finance Director Lisette Camacho who were in attendance in order to answer any questions or share any comments they had related to the actuarials. Ms. Rios stated the there was an item on the Council agenda last night (June 25, 2019) and the Council elected to extend the amortization period for the unfunded pension liability from 20 years, which was the assumption under this document, to 25 years. She said it is a one-time election that they discussed with the Council and the Council made that election. She continued that it is the official notification to PSPRS that we're extending that amortization period; however, the Council did also adopt at the same time a policy that says that their intention will be to still pay it off over 20 years. She stated that it gives a little bit more flexibility if there were to be an economic downturn of some kind to pay at the lower rate, but the intention of the Council is to continue to pay it at the 20 year rate and also to look for opportunities if the city has one-time cash available or something of that nature to pay towards the unfunded liability. She concluded her comments by stating that is the only change; other than that, the actuarial is more or less what they expected. Ms. Camacho stated that the 25 years would be reflected in the June 30, 2019 budget report so it would be on the next annual actuarial report. She continued that the city has purchased software that allows the Finance Department to do some analysis and some modeling with the information provided by PSPRS. For example if there are any new MOU provisions, they would be able to find out if it would have any impact on the city's contribution rates. Chair Erickson asked how Glendale compared to other cities. Ms. Camacho replied that Glendale is right about in the middle. She stated that she didn't have the exact number, but said she believes that we are about 50% funded, maybe slightly higher. She said the the city pre -funds the contributions on July 1 st, and they have been doing that for a couple of years. Since they have been pre -paying the full amount she has seen a slight increase in the funded assets. Even though it is a slight percentage increase, they are seeing the benefit of paying it in a lump sum. Ms. Rios noted that the city is paying at the budgeted amounts as opposed to paying it at the actual so if there are any salary savings or vacancies in either department, the city is still contributing their portion at the budgeted amount. She said that those are things the city has been doing to try to pay down the unfunded liability. Police Board Member Justn Harris asked if the budgeting for the unfilled positions included the appropriate tier structure. Ms. Camacho confirmed that for positions that are not filled, the city is funding the retirement contribution for the correct tier structure. Fire Board Member Anthony Love asked if the city's portion would stay the same with the new amortization schedule. Ms. Rios confirmed that the rate will be calculated as if we were amortizing over 25 years; but they will have the tool to calculate and what the rates and contributions would be at the 20 year and the 25 year amortization. Finance will present those numbers to Council and Council will decide what to pay knowing they have that flexibility. City Manager Kevin Phelps compared it to a 30 year mortgage that you accelerate your payments on and amortize over 20 years, but you would still have the flexibility to pay at the lower payment. He stated that the City's financial policy will continue to be to amortize and pay it over the 20 years, but would have the flexibility in the event of an unexpected downturn in the economy. 4. ADJOURN THE JOINT MEETING OF THE LOCAL FIRE AND POLICE BOARDS Chair Erickson adjourned the joint meeting at 9:40 a.m. 5. CALL TO ORDER THE LOCAL POLICE BOARD At the conclusion of the Fire Board meeting, Chair Erickson called the Police Board meeting to order at 9:48 a.m. 6. ROLL CALL Present: Mayor Jerry Weiers City Manager & Board Member Kevin Phelps Board Member & Chair Charles Erickson Board Member Justin Harris, Police Officer Absent: Board Member Cody Carmichael, Police Officer Staff Present: Jim Brown, Board Secretary & Director of Human Resources & Risk Mgmt. Kurt Christianson, Assistant City Attorney Vicki Moss, HR Administrator, Benefits Lisa Chill, Management Assistant, HR Other Attendees: Attorney Carrie O'Brien 7. CITIZEN COMMENTS No citizens were present. 8. APPROVAL OF THE MINUTES Public Safety Personnel Retirement System - Local Police Board Minutes of May 22, 2019 Motioned by Board Member Kevin Phelps, seconded by Board Member Justin Harris AYE: Mayor Jerry Weiers Board Member Kevin Phelps Board Member Charles Erickson Board Member Justin Harris Other: Board Member Cody Carmichael (ABSENT) Passed 9. NEW BUSINESS A. Mr. Brown read the pertinent information from the application and the Board reviewed an application for Normal Retirement from the Public Safety Personnel Retirement System (PSPRS) submitted by Gilberto Comparan, Police Officer. Gilberto Comparan has completed 20.036 years of credited service. He chose to retire on June 14, 2019. He has been a member of the PSPRS since June 1, 1999. The Board voted to approve the application. Motioned by Board Member Justin Harris, seconded by Board Member Kevin Phelps AYE: Mayor Jerry Weiers Board Member Kevin Phelps Board Member Charles Erickson Board Member Justin Harris Other: Board Member Cody Carmichael (ABSENT) Passed B. Mr. Brown read the pertinent information from the application and the Board reviewed an Application for Retirement from the Deferred Retirement Option Plan (D.R.O.P.) submitted by Jacqueline Cole, Police Sergeant. Jacqueline Cole has elected to retire from the D.R.O.P. and terminate her employment with the Glendale Police Department on June 27, 2019. On January 24, 2018, the Local Police Board had approved her Application for Enrollment into the D.R.O.P. and she had elected to participate on December 4, 2017. She was required to terminate her employment with the City of Glendale Police Department on or before December 31, 2022. The Board voted to approve the application. Motioned by Mayor Jerry Weiers, seconded by Board Member Kevin Phelps AYE: Mayor Jerry Weiers Board Member Kevin Phelps Board Member Charles Erickson Board Member Justin Harris Other: Board Member Cody Carmichael (ABSENT) Passed C. Mr. Brown read the pertinent information from the application and the Board reviewed an Application for Retirement from the Deferred Retirement Option Plan (D.R.O.P.) submitted by Brandon Keefer, Police Officer. Brandon Keefer has elected to retire from the D.R.O.P. and terminate his employment with the Glendale Police Department on August 15, 2019. On January 28, 2015, the Local Police Board had approved his Application for Enrollment into the D.R.O.P. and he had elected to participate on January 2, 2015. He was required to terminate his employment with the City of Glendale Police Department on or before January 31, 2020. The Board voted to approve the application. Motioned by Board Member Justin Harris, seconded by Mayor Jerry Weiers AYE: Mayor Jerry Weiers Board Member Kevin Phelps Board Member Charles Erickson Board Member Justin Harris Other: Board Member Cody Carmichael (ABSENT) Passed D. Mr. Brown read the pertinent information from the application and the Board reviewed an Application for Enrollment into the Deferred Retirement Option Plan (D.R.O.P.) submitted by Michael P. Ostin, Police Lieutenant. Michael P. Ostin has 28.002 years of credited service. He has elected to participate in the D.R.O.P. on August 23, 2019 and must terminate employment with the City of Glendale Police Department on or before August 31, 2024. The Board voted to approve the application. Motioned by Board Member Justin Harris, seconded by Board Member Kevin Phelps AYE: Mayor Jerry Weiers Board Member Kevin Phelps Board Member Charles Erickson Board Member Justin Harris Other: Board Member Cody Carmichael (ABSENT) Passed 10. EXECUTIVE SESSION Upon a public majority vote of a quorum of the Local Police Board, the Board may hold an executive session, which will not be open to the public, regarding any item listed on the agenda but only for the following purposes: (i) discussion or consideration of records exempt by law from public inspection (A.R.S. § 38-431.03(A)(2)); (ii) discussion or consultation for legal advice with the city's attorneys (A.R.S. § 38-431.03(A)(3)); The Board voted to go into Executive Session. Motioned by Mayor Jerry Weiers, seconded by Board Member Kevin Phelps AYE: Mayor Jerry Weiers Board Member Kevin Phelps Board Member Charles Erickson Board Member Justin Harris Other: Board Member Cody Carmichael (ABSENT) Passed Medical Evaluations for two (2) New Police Personnel were reviewed by the Board: A. Medical Evaluation for New Police Personnel - Joseph Parra -Jimenez B. Medical Evaluation for New Police Personnel - Lucy Marie Protze 11. ADJOURN EXECUTIVE SESSION AND RECONVENE IN OPEN SESSION 12. CONSIDERATION AND POSSIBLE VOTE ON EXECUTIVE SESSION ITEMS Mr. Brown confirmed that the following new Police Personnel met the standards of the Glendale Police Department and the Arizona Peace Office Standards and Training Board. The Board voted to accept the two (2) New Police Personnel into the Public Safety Personnel Retirement System (PSPRS) with any pre-existing conditions noted on the Pre -Existing Medical Condition Form: A. Joseph Parra -Jimenez B. Lucy Marie Protze Motioned by Board Member Justin Harris, seconded by Board Member Kevin Phelps AYE: Mayor Jerry Weiers Board Member Kevin Phelps Board Member Charles Erickson Board Member Justin Harris Other: Board Member Cody Carmichael (ABSENT) Passed 13. BOARD COMMENTS AND SUGGESTIONS There were no Board comments or suggestions. 14. NEXT MEETING The next regular meeting of the Public Safety Personnel Retirement System Local Police Board will be held on July 24, 2019 at 9:30 a.m., in the 4th Floor Conference Room, located at 5850 W. Glendale Ave., Glendale, Arizona, 85301. 15. ADJOURN THE LOCAL POLICE BOARD MEETING Chair Erickson adjourned the meeting at 9:57 a.m. The Public Safety Personnel Retirement System Local Fire & Police Boards meeting minutes of June 26, 2019 were submitted and approved this 24th day of July, 2019. /s/Jim Drown Jim Brown Recording Secretary