CITY OF KNOXVILLE PENSION BOARD
MINUTES
APRIL 13, 2006
8:15 A.M.
917B E. 5TH AVENUE
The regular meeting of the City of Knoxville Pension Board was held in the Pension Board Conference Room at 917 E. 5th Avenue at 8:15 a.m. on April 13, 2006.
Present were: Mr. Scott Calloway, Mr. Greg Coker, Mr. Buddy Harrell, Mr. Stephen King, Mr. Christopher Kinney, Ms. Barbara Pelot, Mr. Michael Cherry and Attorney Bud Gilbert.
Also present: Lt. Cheri Matlock, Knoxville Police Department; Police Department disability applicant, Mr. Jerrod Smith and Mrs. Smith.
CALL TO ORDER:
Mr. Calloway presided and called the meeting to order at 8:17 a.m.
APPROVAL OF REGULAR MEETING MINUTES FOR March 9, 2006
Mr. Harrell made a motion to approve the March 9, 2006, meeting minutes. Ms. Pelot
seconded the motion. The motion carried unanimously by the members present.
APPROVAL OF REVISED AGENDA: Exhibit 1
The Revised Agenda was adopted without objection.
CONTRACTS: None
ADMINISTRATIVE MATTERS: None
EXECUTIVE DIRECTOR COMMENTS: None
ATTORNEY COMMENTS:
Global Crossing Bankruptcy Proceedings
Attorney Gilbert advised the Board that there was still no work from the bankruptcy court on the pleadings filed on behalf of the Pension Board and the other plan defendants in the proceeding.
ENROLLMENTS:
The following General Government employees have filed applications to become members of the Plan G1 pension system.
Mark A. Acuff
Henry H. Breeden
Toney Calacino
Leonard Campbell
Arnold Jay Davis, III
Sandra G. Hicks
Kristin Jurica
John D. White
Jeffrey L. Yates
Motion: Ms. Pelot made a motion to approve these applications for enrollment in the Plan G1 pension system. Mr. Kinney seconded the motion. The motion carried unanimously by the members present.
WITHDRAWALS:
The following employee(s) have filed applications to withdraw employee pension contributions plus 4% interest and the supplemental retirement account as applicable in Plan G Option 1.
Ronald E. Adams, General Government, Plan G1 – Non-Vested
Shayne W. Cooper, Police Department, Plan C - Vested
Patrick Klepper, Police Department, Plan C – Non-Vested
Christopher Jon Livengood, General Government, Plan G1 – Non-Vested
Gregory Sayles, General Government, Plan G1 – Non Vested
Christopher Williams, Police Department, Plan C – Non-Vested
*Brian K. Wallace, Police Department, Plan C – Vested (See FYI File)
Mr. Wallace was issued a refund prior to Board approval as per Mr. Cherry’s memo dated March 17, 2006.
Motion: Mr. Harrell made a motion to approve these applications for withdrawal of employee contributions. Mr. Kinney seconded the motion. The motion carried unanimously by the members present.
DISABILITIES
APPLICATION FOR INJURY IN LINE OF DUTY RETIREMENT: PLAN C – Exhibit 2
CHARTER SECTION: 1390.11
Jerrod W. Smith, Police Department – Uniformed No Option
Date of birth, January 28, 1968: 38 years of age
Total credited service: 12 years 3 months 2 days
Average monthly salary for 2 highest -12 month periods, $3,074.76 x 50% =
$1,537.38 pension effective May 1, 2005.
After a discussion with Attorney Gilbert, review of the medical reports including Dr. Hovis’ letter of March 24, 2006, and Mr. Cherry’s disability recommendation report, the following motion was made:
Motion: Mr. Kinney made a motion to approve this application for Injury in Line of Duty retirement based on Dr. Hovis’ recommendation and Mr. Cherry’s disability recommendation report. Mr. Coker seconded the motion. The motion carried unanimously by the members present.
APPLICATION FOR DISABILITY NOT IN LINE OF DUTY RETIREMENT: PLAN G2
CHARTER SECTION 1360.20
Gary D. Bell, General Government Option A-6
100% without reinstatement
Date of birth, March 17, 1955: 51 years of age*
*(computed as if 62 years of age)
Total credited service: 25 years 5 months 19 days
Average monthly salary for 2 highest 12 month periods, $2,122.12 x 2.1% =
$44.56 x 25.46872 = $1,134.89. Mr. Bell chose Option A-6 – 100% without reinstatement to Rodney R. Bell. $1,134.89 x .8539 =
$969.08 pension effective April 1, 2006.
Motion: Mr. Harrell made a motion to approve this application for Disability Not in Line of Duty retirement payable under Option A-6 based on Dr. Cooper’s recommendation and Mr. Cherry’s disability recommendation report. Ms. Pelot seconded the motion. The motion carried unanimously by the members present.
RETIREMENTS:
APPLICATION FOR RETIREMENT: PLAN A
CHARTER SECTION 1360.12
Carolyn A. Daniel, Schools Certified No Option
Date of birth, July 10, 1943: 62 years of age
Total City credited service: 22 years 5 months
Total County credited service: 18 years 8 months
Total credited service: 41 years 1 month
Last date of employment with City: June 1987
Last date of employment with County: March 2006
Average base earnings for 4 years, $400.00 x 75% = $3.00
Average excess earnings for 4 years, $1,488.95 x 1.50% = $22.33
making a total of $25.33 benefit per year of service. $25.33 x 22.41667
$567.81 pension effective April 1, 2006.
The City benefit payment is determined using City only salaries and City service time.
The City benefit does not include any County service.
The total amount of the combined City and County benefit is $2,292.86.
Motion: Ms. Pelot made a motion to approve this application for retirement. Mr. Coker seconded the motion. The motion carried unanimously by the members present.
APPLICATION FOR RETIREMENT: PLAN G2
CHARTER SECTION 1360.12
John D. VanHoose, General Government Option A-7
50% with reinstatement
Date of birth, September 23, 1940: 65 years of age
Total credited service: 15 years 1 month 25 days
Average monthly salary for 2 highest 12 month periods, $3,439.95 x 2.1% =
$72.24 x 15.15183 = $1,094.57. Mr. VanHoose chose Option A-7 – 50% with reinstatement to Mary C. VanHoose. $1,094.57 x .8732 =
$955.78 pension effective April 1, 2006.
Motion: Ms. Pelot made a motion to approve this application for retirement payable under Option A-7. Mr. King seconded the motion. The motion carried unanimously by the members present.
APPLICATION FOR PARTICIPATION IN THE DELALYED RETIREMENT OPTION PROGRAM (DROP): PURSUANT TO CHARTER SECTION 1390.22 – PLAN C.
The following employee has chosen a Delayed Retirement Option and will receive a one-time payment of the accumulated monthly benefits on termination of employment with the City of Knoxville.
George A. Sayne, Fire Department Uniformed Option A-6
100% without reinstatement Date of birth, March 26, 1948: 58 years of age
Total credited service: 32 years 5 months 24 days
Average monthly salary for 2 highest 12 month periods, $3,846.56 x 2.5% =
$96.16 x 30 = $2,884.80. Mr. Sayne chose Option A-6 – 100% without reinstatement to Beverly D. Sayne, spouse. $2,884.80 x .9144 =
$2,637.86 pension effective April 1, 2006.
DROP complete March 31, 2008.
Motion: Mr. Coker made a motion to approve this application for DROP retirement payable under Option A-6. Mr. King seconded the motion. The motion carried unanimously by the members present.
APPLICATION FOR PARTICIPATION IN THE DELALYED RETIREMENT OPTION PROGRAM (DROP): PURSUANT TO CHARTER SECTION 1371.8 – PLAN G.
The following employee has chosen a Delayed Retirement Option and will receive a one-time payment of the accumulated monthly benefits on termination of employment with the City of Knoxville.
Steve H. Whitt, General Government – Plan G2 Option A-7
50% with reinstatement
Date of birth, March 10, 1945: 61 years of age
Total credited service: 26 years 2 months 18 days
Average monthly salary for 2 highest 12 month periods, $3,042.67 x 2.1% =
$63.90 x 26.21598 = $1,675.20. Mr. Whitt chose Option A-7 – 50% with reinstatement to Mary Carolyn Childress. $1,675.20 x .9371 =
$1,569.83 pension effective April 1, 2006.
DROP complete March 31, 2008.
Motion: Ms. Pelot made a motion to approve this application for DROP retirement payable under Option A-7. Mr. Kinney seconded the motion. The motion carried unanimously by the members present.
Karen M. Wright, General Government – Plan G2 Option A-7
50% with reinstatement
Date of birth, July 8, 1954: 51 years of age
Total credited service: 28 years 5 months 15 days
Average monthly salary for 2 highest 12 month periods, $3,289.52 x 2.1% =
$69.08 x 28.45776 = $1,965.86. Ms. Wright chose Option A-7 – 50% with reinstatement to Hattie A. Wright. $1,965.86 x .9842 =
$1,934.80 pension effective April 1, 2006.
DROP complete March 31, 2008.
Motion: Ms. Pelot made a motion to approve this application for DROP retirement payable under Option A-7. Mr. Kinney seconded the motion. The motion carried unanimously by the members present.
APPROVAL OF INVOICES FOR PROFESSIONAL SERVICES:
Bryan, Pendleton, Swats & McAllister – Actuary (January 2006) $ 9,794.00
Kennerly, Montgomery & Finley – Attorney (Global Crossing litigation) 424.46
Kennerly, Montgomery & Finley – Attorney (General) 2,717.89
Kennerly, Montgomery & Finley – Attorney (Glenda Fields) 3,123.73
State Street – Custodial (February 2006) 14,166.67
Mr. Cherry, Executive Director, has reviewed the bills and certifies that they are consistent with the services provided and are within the budgeted figures of the system’s financial plan.
Motion: Mr. Kinney made a motion to pay these invoices. Ms. Pelot seconded the motion. The motion carried unanimously by the members present.
OTHER:
Retiree reemployment – Exhibit 3
Mr. Cherry reviewed with the Board information provided by a Police Department – Uniformed Body, injury in the line of duty pension recipient, Steve Sanders, who is a current employee of the Oliver Springs Police Department as a School Resource Officer.
After a discussion of the matter and review of the information with Attorney Gilbert, the
Board concluded that Mr. Sanders was not functioning as a Police Officer and that no further action was required.
Litigation Matters – Glenda Fields
Attorney Gilbert reviewed with the Board a recent offer made by Glenda Fields’ attorney, Anthony Farmer, to dismiss the pending chancery court litigation and allow Ms. Fields to have a contested case hearing before the Pension Board on her earlier in Line of Duty disability application. Attorney Gilbert discussed the various advantages and disadvantages of accepting the proposal.
Mr. King made a motion to deny the settlement offer from Glenda Field’s attorney, Tony Farmer, in regards to the pending litigation per the Board’s denial for an injury in line of duty disability award. Mr. Harrell seconded the motion. The motion carried unanimously by the members present.
INVESTMENT MATTERS: None
PUBLIC COMMENTS: None
ADJOURNMENT:
There being no further business, the following motion was made:
Motion: Mr. Harrell made a motion to adjourn the meeting at 9:35 a.m. Ms. Pelot seconded the motion. The motion carried unanimously by the member present.
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Chair
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Date
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