ABOUT LACERA

BOARD OF RETIREMENT MINUTES 1-15-09

PRESENT

• William de la Garza, Chair
• Simon S. Russin, Vice Chair
• Yves Chery, Secretary
• Sadonya Antebi
• Edward L. Blecksmith
• Si Frumkin
• James P. Harris (Alternate Member)
• Ed C. Morris (Alternate Retired)
• Les Robbins
• Mark J. Saladino

ABSENT

• William R. Pryor

STAFF ADVISORS AND PARTICIPANTS

• Gregg Rademacher, Chief Executive Officer
• Robert Hill, Assistant Executive Officer
• Janice Golden, Assistant Executive Officer
• David L. Muir, Chief Counsel
• Johanna M. Fontenot, Senior Staff Counsel
• Fern M. Billingy, Senior Staff Counsel
• Robert Proctor, Director, Human Resources
• Darla J. Fletcher, Training Coordinator
• Kimberly Hines, Manager, Claims Processing Division
• Stephen Gibbs, Claims Processing Division

The meeting was called to order by Chair de la Garza at 9:00 a.m., in the Board Room of Gateway Plaza. The Board Members and staff recited the Pledge of Allegiance.

1. APPROVAL OF THE MINUTES OF THE REGULAR MEETING OF DECEMBER 11, 2008

   A motion was made by Mr. Morris, seconded by Mr. Chery, to approve the minutes of the regular meeting of December 11, 2008. The motion passed unanimously.

2. OTHER COMMUNICATIONS
   1. For Information
      1. December 2008 All Stars

         Mr. Hill announced the eight winners for the month of December, (Jay Fullwood, Katie Hancock, Lillie Abram, James Beasley, Penelope Rodriguez, Kent Tondreau, June Kim, and Vanessa Gonzalez) of the Employee Recognition Program. Mamie Kwan was the winner of LACERA's Web Watcher Award. Frank Boyd, Allene Davis, Bonnie Magallon, and Cassandra Smith were the winners of LACERA's RideShare Program.

      2. Service Award

         Mr. Rademacher presented a 30 year service award to Renee Henry. Additionally, Mr. Rademacher noted that upon her retirement, Ms. Henry's name will be placed on LACERA's honor roll plaque because of her 30 years of service with LACERA.

      3. Chief Executive Officer's Report (Memo dated January 7, 2009)

         Mr. Rademacher provided a brief overview of his Chief Executive Officer's Report. Mr. Rademacher noted that the Consumer Price Index (CPI) figures will not be released from the Bureau of Labor Statistics until Friday, January 16, 2009. LACERA's Cost of Living Adjustments (COLA) are based on annual CPI numbers. In anticipation of there being a negative CPI number Member Services Outreach staff have contacted 79 members who were retiring between the end of December, 2008 and January 24, 2009 informing them of the possibility of a negative CPI and its impact to them.

3. NON-CONSENT AGENDA
   1. Recommendation as submitted by Yves Chery, Chair, Operations Oversight Committee: Authorize a retiree warrant deduction for Pacific Group Agencies, Inc. (Memo dated December 18, 2008.)

      A motion was made by Mr. Morris, seconded by Mr. Chery, to approve the recommendation. The motion passed unanimously.

   2. Recommendation as submitted by Stephen Gibbs, Claims Processing Division: 1) Determine, based upon medical evaluation conducted September 2, 2008, that Vance Colvig is not incapacitated for the duties assigned to him in the position of Pilot; and 2) Grant the application of Mr. Colvig for reinstatement to active membership. (Memo dated January 8, 2009.)

      A motion was made by Ms. Antebi, seconded by Mr. Chery, to approve the recommendations. The motion passed unanimously.

   3. Recommendation as submitted by Bob Proctor, Director of Human Resources: 1) That the Board provide the LACERA Chief Executive Officer (CEO) with a 3% salary increase, effective January 1, 2009; and 2) That the Board adopt an Executive Compensation Policy and Program that establishes clear and comprehensive executive compensation guidelines that are in accordance with LACERA's mission, vision, and values. (Memo dated January 7, 2009.)

      A motion was made by Mr. Saladino, seconded by Mr. Russin, to approve the recommendations. Mr. Procter provided a brief overview of the proposed recommendation. The Board commended Mr. Rademacher on his overall performance. They also expressed disappointment in that the current economic climate hinders bringing Mr. Rademacher's salary to the current market level. After a brief discussion among the Board Members the motion was voted on. The motion passed with Ms. Antebi voting no.

4. PUBLIC COMMENT
5. GOOD OF THE ORDER

   (For discussion purposes only.)

Green Folder Information

(Information distributed in each Board Member's Green Folder at the beginning of the meeting.)

1. Memo from William de la Garza, Chair, Board of Retirement regarding 2009 Committee Assignments. (Memo dated January 13, 2009.)

2. Memo from Gregg Rademacher, Chief Executive Officer, regarding: Board Offsite Agenda. (Memo dated January 13, 2009.)

6. ADJOURNMENT

Documents subject to public disclosure that relate to an agenda item for an open session of the Board of Retirement that are distributed to members of the Board of Retirement less than 72 hours prior to the meeting will be available for public inspection at the time they are distributed to a majority of the Board of Retirement Members at LACERA’s offices at 300 N. Lake Avenue, Suite 820, Pasadena, CA 91101, during normal business hours of 9:00 a.m. to 5:00 p.m. Monday through Friday.

Listening Devices are available at days notice before the meeting date. Persons requiring an alternative format of this public notice pursuant to Section 202 of the Americans with Disabilities Act of 1990 may request one by contacting Cynthia Guider at (626) 564-6000, x3327 from 8:30 a.m. to 5:00 p.m. Monday through Friday, but no later than 48 hours prior to the time the meeting is to commence.

2/17/09