ABOUT

BOARD OF RETIREMENT MINUTES 8-13-09

PRESENT

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

ABSENT

• William de la Garza, Chair
• William R. Pryor

STAFF ADVISORS AND PARTICIPANTS

• Robert Hill, Assistant Executive Officer
• Robb Van Der Volgen, Chief Counsel
• James J. Castranova, Senior Staff Counsel
• Michael D. Herrera, Senior Staff Counsel
• Kimberly Hines, Manager, Claims Processing Division
• Stephen Gibbs, Claims Processing Division
• Robert Proctor, Director, Human Resources
• John Nogales, Senior Human Resources Analyst
• Sharon Norton, Senior Human Resources Analyst
• Stephanie Kawai, Outreach Team, Member Services
• Michael Mabry, Claims Processing
• Nancy Harper, Claims Processing

1. CALL TO ORDER

   Vice Chair Russin, presiding in the absence of Chair de la Garza, called the meeting to order at 9:00 a.m., in the Board Room of Gateway Plaza.

2. PLEDGE OF ALLEGIANCE

   Mr. Chery led the Board Members and staff in reciting the Pledge of Allegiance.

3. BOARD MEMBER ANNOUNCEMENTS (For Information Only)

   Acting Chair Russin announced that Messrs. de la Garza, and Pryor would not be present at today’s meeting.

4. APPROVAL OF THE MINUTES OF THE REGULAR MEETING OF JULY 9, 2009

   Ms. Antebi questioned the validity of submitting memos signed on behalf of Mr. de la Garza, as Chair of the Insurance, Benefits and Legislative Committee when in fact he has been absent from the committee for several months. Discussion among the Board Members and staff ensued with Mr. Hill noting that LACERA staff raised that question to Mr. Muir, LACERA’s former Chief Counsel. Mr. Muir said that because Mr. de la Garza is technically the Chairman of the Insurance, Benefits and Legislative Committee his name should still appear on the memo. Additionally, the minutes do reflect that he is absent.

   A brief discussion ensued whereby staff said that they would look further into the matter and provide a solution.

   A motion was made by Mr. Morris, seconded by Mr. Chery, to approve the minutes of the regular meeting of July 9, 2009.

   The motion passed unanimously.

5. OTHER COMMUNICATIONS
   1. For Information
      1. July 2009 All Stars

         Mr. Hill announced the eight winners for the month of July, (Gary Smith, Sandra Cortez, Mary Arenas, Bernie Buenaflor, Susana Seeckts, Andrea Ellison, Glen Musson, and Barbara Gordon) of the Employee Recognition Program. Yoichi Fujiki was the winner of LACERA’s Web Watcher Award. Diana Huang, David Murphey, Renee Copeland, and Marlene Johnson were the winners of LACERA’s RideShare Program.

      2. Chief Executive Officer’s Report (Memo dated August 6, 2009)

         Mr. Hill offered his congratulations to Mr. Russin on winning the election. He will begin his new term on January 1, 2010. Mr. Hill provided a brief overview of the Chief Executive Officer’s Report with emphasis on the Semi-Annual Interest Crediting Rate as of June 30, 2009.

6. NON-CONSENT AGENDA
   1. Recommendation as submitted by Stephen Gibbs, Claims Processing Division:

      1) Determine, based upon medical evaluation conducted July 7, 2009, that Levon L. Andrews is not incapacitated for the duties assigned to him in the position of Procurement Assistant I; and 2) Grant the application of Levon L. Andrews for reinstatement to active membership. (Memo dated July 31, 2009.)

      A motion was made by Mr. Chery, seconded by Mr. Harris, to approve the recommendation.

      The motion passed unanimously.

7. PUBLIC COMMENT
8. GOOD OF THE ORDER (For discussion purposes only.)

   Patricia Recinos, SEIU, Local 721, said that the following LACERA employees would be addressing the Board: Stephanie Kawai, Michael Mabry, and Nancy Harper. Ms. Kawai spoke on behalf of those employees who signed a petition requesting that Management and the LACERA Board of Retirement negotiate a contract that will not require LACERA employees to take a cut in pay if Los Angeles County Employees vote for one during the term of their agreement.

   Mr. Harris accepted signed petitions, by LACERA staff, on behalf of the Board of Retirement.

9. EXECUTIVE SESSION
   1. CONFERENCE WITH LEGAL COUNSEL–EXISTING LITIGATION (Subdivision (a) of California Government Code Section 54956.9)
      1. Jennifer Barnard vs. LACERA

         L.A. Superior Court Case No. BS 108608

   2. CONFERENCE WITH LABOR NEGOTIATORS (Government Code Section 54957.6)

      Agency designated representatives:
      Robert Hill, Assistant Executive Officer
      Robert Proctor, Director of Human Resources
      John Nogales, Senior Human Resources Analyst
      Sharon Norton, Senior Human Resources Analyst
      Robb Van Der Volgen, Chief Counsel

      Employee organization:
      Service Employees International Union (SEIU), Local 721

      The Board met in Executive Session to discuss the above existing litigation with its legal counsel. The Board reconvened in open session, at which time Mr. Castranova made the following statement for the record:

      In the case of Jennifer Barnard vs. LACERA, on a motion by Mr. Harris, seconded by Mr. Robbins, the Board unanimously approved staff’s recommendation regarding guidelines for resolution of attorney fees.

      The Board met in Executive Session pursuant to Government Code Section 54957.6 to discuss labor negotiations with Service Employees International Union (SEIU), Local 721. Mr. Hill said there were no matters to report.

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

      1. LACERA Legislative Report –Bills Amending CERL. (Dated August 10, 2009)
      2. LACERA Legislative Report – Other. (Dated August 10, 2009)
      3. LACERA Legislative Report – PERS/STRS Bills. (Dated August 10, 2009)
      4. Memo from Nai-len Ishikawa, Acting Manager, Financial and Accounting Services Division, regarding: Semi-Annual Interest Crediting Rate as of June 30, 2009 (Unaudited)

10. ADJOURNMENT

Documents subject to public disclosure that relate to an agenda item for an open session of the Board of Investments that are distributed to members of the Board of Investments 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 Investments 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.

9/10/09