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Pension_02-05-2025Min BOARD OF TRUSTEES City of Longwood Police Officers and Firefighters Pension and Trust Fund Longwood City Commission Chambers 175 West Warren Avenue Longwood, Florida REGULAR MEETING MINUTES February 5, 2025 6:00 P.M. Present: Robert Redditt, Chair Kevin Little, Vice Chair arrived at 6:28 p.m. Chris Eichler, Secretary Justin Lerro, Trustee Michelle Longo, City Clerk Jeremy Langley, Florida League of Cities Chuck Carr, Board Actuary via Zoom David Robinson, Board Attorney via Zoom 1. Call to Order and Pledge of Alligance. Chair Redditt called the meeting to order at 6:00 p.m. 2. Elect Board Officers: Chair, Vice Chair, and Secretary. Trustee Eichler moved to reappoint Robert Redditt as Chair. Seconded by Trustee Lerro and carried by a unanimous voice vote. Trustee Eichler moved to reappoint Kevin Little as Vice Chair. Seconded by Trustee Lerro and carried by a unanimous voice vote. Trustee Redditt moved to reappoint Chris Eichler as Secreatary. Seconded by Trustee Lerro and carried by a unanimous voice vote. 3. Approval of Minutes: November 6, 2024, Regular Meeting. The Board reviewed the minutes. It was noted that Joshua lamaio was misspelled on page 2 and 3. Trustee Eichler moved to approve the minutes as amended. Seconded by Trustee Lerro and carried by a unanimous voice vote. 4. Review of Agenda Packet Material. A. Expense Report for Approval. Chair Reddit presented the Expense Report. Trustee Eichler moved to approve the expenses as presented. Pension 2.5.2025/1 Seconded by Trustee Lerro and carried by a unanimous voice vote. B. Distributions and New Retirees. Chair Redditt presented the report. Trustee Eichler moved to approve the payments as presented. Seconded by Trustee Lerro and carried by a unanimous voice vote. C. Quarterly Investment Report ending September 30, 2024. Mr. Langley presented the quarterly report. The beginning balance was $31,162,148.32; contributions were $1,027,502.28; earnings were $1,661,988.28; distributions were $314,680.10; expenses were $14,282.92; and the ending balance was $33,522,675.86. He informed the Board that the Plan ended the quarter at 5.31% and ended the fiscal year at 11.01%. The Board discussed the current market conditions. Trustee Eichler moved to accept the Plan Account Statements as presented. Seconded by Trustee Lerro and carried by a unanimous voice vote. 5. Other Business. A. Actuarial Valution 10/01/2024. Mr. Carr presented the Actuarial Valuation report. He informed the Board that the minimum required contribution rate for 2025/2026 will be 34.49%. He reminded the Board of the 5 year "smoothing" method used for the unexpected gains and losses to help keep the minimum required contribution more stable. He explained that the advanced employer contributions could be used at any time by the City. Mr. Carr explained how the funded percentage of 111.26% was calculated. The Board asked for a report showing individual balances in the DRAGO Fund. Mr. Carr explained how the members' balances were calculated. Trustee Little moved to approve Actuarial Valuation as presented. Seconded by Trustee Eichler and carried by a unanimous voice vote. B. Set Expected Rate of Return. Mr. Langley explained that this was needed for Annual Report. Trustee Little moved to set the expected rate of return at 6.5%for this year, the next year, and the long term after. Seconded by Trustee Lerro and carried by a unanimous voice vote. C. Annual Disability Verification Forms The Attorney reminded the Board about the change in procedures made at the last meeting allowing for doctors' offices to fax the form in if no notary is available. Mr. Langley informed the Board that the missing paperwork from Mr. Morse and Mr. Albritton were in the packet materials. Pension 2.5.2025/2 Mr. Albritton will addressed the Board during public participation. The Board reviewed the forms. Trustee Little moved to accept the disability verification forms as presented. Seconded by Trustee Eichler and carried by a unanimous voice vote. The Board allowed public participation at this time. Mr. Robert Albritton addressed the Board. He informed the Board that he served as a police officer for 15 years. He explain how he granted a complete and permanent disability pension 10 years ago. He described his current medical condition for the Board. He informed the Board he did not understand the need to verify that he was disabled. He reported that he has several doctors and none of them wanted to sign the forms. Doctors do not have notaries in thier offices. He explained at length how this new verification requirement is stressful and very burdensome. At the age of 68, he was not going to get better or return to work. Mr. Albritton stated he understood that some people will try to take advantage of the system and asked the Board to reconsider modifying the verification process. The Board thanked Mr. Albritton for coming and speaking and informing them of his experience. They explained a disability could be granted on a wide rage of conditions and ages. The Board discussed ways to make the process less stressful. They considered after a certain age only completing the form every 3 years or having a cut off point where the form is no longer needed. Mr. Robinson reminded the Board that with this Plan a disability pension does not convert to a regular pension at a certain age. It was done this way in order to keep the tax benefits to the retiree. He informed the Board that any changes to the procedures would have to be done in a way as not to discriminate against anyone. He will research to see what accommodations could be applied to the verification process. Mr. Albritton asked the Board to condiser a cost-of-living adjustment (COLA). The Board informed him a COLA has been discussed several times but due to the cost of implementing a COLA it has not been added. The Board thanked Mr. Albritton for coming to the meeting and they valued his imput on the matter. They invited him back to the next meeting for further input on this matter. 6. Board Attorney Report. Mr. Robinson reiterated that he will bring back recommendations on the verification process to the next meting. He also reported that the Firm will be watching for new legislation that would affect the pension plan. 7. Member Comments. None. 8. Administrator Comments. A. DRAGO Fund Balance $3,281,301.22. The Board reviewed the DRAGO balance. Pension 2.5.2025/3 B. Annual Report Mr. Langley reported that the report is being worked on and will be submitted by March 15tn 8. Public Participation. Already discussed. 9. Next Meeting: April 30, 2025. 10. Adjournment. Chair Redditt adjourned the meeting at 7:12 p.m. Robert Redditt, Chair ATTEST: Jeremy Langley, Recording Secretary Pension 2.5.2025/4