Fire Pension Board Meeting (2025-03-11)

MEETING MINUTES SESSION OF THE FIRE PENSION BOARD CITY OF KISSIMMEE CITY HALL, COMMISSION CHAMBERS 101 CHURCH STREET, KISSIMMEE, FLORIDA 34741-5054 TUESDAY, MARCH 11, 2025, AT 1:00 PM

1. MEETING CALLED TO ORDER Members Present: Board Member Jeffrey Booher, Board Member Dan Garaguso Jr., Board Member Dr.R. LeWayne Johnson, Board Member Spencer Goodwin

Staff Present: Pension Administrator, Linda Gomez Members Absent: Board Member Reginald Hardee

Dan Garaguso called the meeting to order at 01:00 PM.

2. HEAR AUDIENCE No one was in the audience.

3. FINANCIAL AGENDA

3.A Review of the 1st Quarter BCA Investment Report Burgess Chambers, President, BCA, provided a re Report for FY 2025. No recommendations or asset quarter.

r FY 2025iew of the 1st Quarterly Investment Allocation changes were made for this

3.B Approval of the FY 2024 Firefighters Actuarial Valuation Report Doug Lozen, Senior Consulting Actuary, Foster & Foster presented the 2024 Firefighters Actuarial Valuation Report. He also reminded the Board that a decision needs to be made on any overage of the frozen Share Allocation amount of 853,025.00. You have not reached that amount yet. It's something to think about. Jeffrey asked about the cost of mirroring the Drop like the FRS. Doug reminded the Board that would have to be negotiated.

Board Member Jeffrey Booher made a motion to approve the FY 2024 Firefighters Actuarial Valuation Report as presented. Board Member Spencer Goodwin seconded the motion.

AYE: Board Member Booher, Board Member Garaguso Jr., Board Member Dr. Johnson, Board Member Goodwin

NAY: None

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AYE: Board Member Booher, Board Member Garaguso Jr., Board Member Dr. Johnson, Board Member Goodwin NAY: None

Motion to Approve Passed 4-0.

3.C Discussion on the amortization payment schedule for buybacks of prior credited service Spencer Goodwin, Board Member, asked the actuary who would pay for the additional amortization payment schedule for buybacks of prior credited service. Doug indicated that the cost of the buy-back calculation at this time is $160.00, which is half of the buyback cost. Sean indicated that Per Sec. 30-168 - Prior Fire Service reads as follows. The member contributes to the fund the sum that he would have contributed, based on his salary and the member contribution rate in effect at the time that the credited service is requested, had he been a member of the system for the years or fractional parts of years for which he is requesting credit plus amounts actuarily determined such that the crediting of service does not result in any cost to the fund plus payment of costs for all professional services rendered to the board in connection with the purchase of years of credited service. Foster & Foster will send the invoice to Linda Gomez for payment, and she will then request payment from the member for her to deposit it back to the Firefighters retirement fund.

4. ADMINISTRATIVE AGENDA

Jeffrey Booher Board Member made a motion to approve the Firefighters Pension Board Minutes for a meeting held on November 5,2024. Board Member Board Member Dr.R. LeWayne Johnson seconded the motion.

AYE: Board Member Booher, Board Member Garaguso Jr., Board Member Dr. Johnson, Board Member Goodwin NAY: None

4.B Approval of 1st Quarterly Expenses for FY 2025 Spencer Goodwin Board Member made a motion to appro for FY 2025. Board Member Jeffrey Booher seconded the

e the 1st Quarterly Expenses emotion.

Motion to Approve Passed 4-0.

AYE: Board Member Booher, Board Member Garaguso Jr., Board Member Dr. Johnson, Board Member Goodwin NAY: None

4.C Approval of 1st Quarterly Retirements, Return of Contributions, and Share Allocation Payouts for FY2025 Jeffrey Booher Board Member made a motion to approve the 1st Quarterly Retirements. Return of Contributions, and Share Allocation Payouts for FY2025. Board Member Dr.R. LeWayne Johnson seconded the motion.

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AYE: Board Member Booher, Board Member Garaguso Jr., Board Member Dr. Johnson Board Member Goodwin NAY: None

Motion to Approve Passed 4-0.

4.D Discussion on New Withholding Requirements Sean M. Sendra, Pension Attorney Klausner, Kaufman, Jensen & Levinson discussed the memo dated November 18, 2024, regarding the New IRS Withholding Requirements. A retiree cannot elect "no withholding" if the recipient provides a residence address located outside the US or fails to provide a residence address, even if the payment is sent to a financial institution or other individual located in the US. A retiree cannot elect no withholding, if the distribution is sent to a financial institution or other individual outside the US, even if the recipient has a US residence address. If a retiree uses a military or diplomatic address as their residence address, those addresses are treated as within the US, so recipients at these addresses may elect "no withholding." Withholding is required if the recipient has a US residence address and does not elect no withholding. The regulation does not apply to non-U.S. citizens or non-resident aliens of the United States.

5. HEAR THE ATTORNEY, Sean M. Sendra, Pension Attorney, Klausner, Kaufman, Jensen & Levinson informed the board about the legislative updates. There is a bill being presented for the state to possibly invest in cryptocurrency. Currently, we are watching Your consultant is not recommending it for your plan currently. That is the consensus with most investment consultants. There is a proposed bill for a revenue cap on property taxes. The governor floated the idea of eliminating property taxes entirely. My understanding from talking to others that were around the last time this was brought up 20-30 years ago and, obviously, we are still paying property taxes. There is a bill in place that they are going to do a study on what the impact would be if they eliminated property taxes. How would it impact education and other services, and how would you supplement them?

6. OLD BUSINESS No old business for discussion.

7. ADJOURNMENT

There being no further business to come before the Firefighters Retirement Board Chairman Dan Garaguso adjourned the meeting at 02:33 PM.

Board Secretary - Jeffrey Booher

Board Chairman - Dan Garaguso