Illinois Municipal Retirement Fund (IMRF)

This document is an annual report detailing the Illinois Municipal Retirement Fund's (IMRF) commitment to diversity. It outlines policies adopted to increase the utilization of minority, female, and disabled-owned investment managers, broker-dealers, fiduciaries, consultants, and businesses for contracts. The report provides a comprehensive overview of assets managed by these diverse firms by asset class and classification, and tracks IMRF's progress towards established diversity goals for the year 2016.

The Legislative Committee reviewed and approved the minutes from the February 27, 2020 meeting. The Committee recommended that the Board accept the current Legislative Committee Charter without changes. Discussions focused on proposals for the 2021 Board of Trustees Legislative Agenda, including updating language regarding required minimum distribution age for inactive members in conjunction with other pension systems. Two additional proposals were discussed for inclusion contingent upon non-emergency legislation being discussed in 2021: incorporating Tier 2 provisions into Article 7 of the Pension Code and removing the requirement for the State Auditor General to approve the firm used for the Fund's annual audit. Further consideration of a proposal to restrict participation on the Board of Trustees by current and former IMRF staff members was postponed until after the 2020 Trustee elections. A potential 2021 Springfield drive-down was decided against.

The committee addressed several key items. The primary discussions involved the Total and Permanent Disability Extent Denial for Patricia Burger, where the Committee recommended upholding staff's determination to deny benefits. Another significant matter concerned a Disputed Participation in the Original IMRF ECO Plan Hearing for Kathleen Konicki; the Committee recommended upholding staff's determinations regarding the unconstitutionality of a specific Public Act, Konicki's qualification for service conversion, and timeliness. Finally, the Committee recommended approval for the renewal of the Medical Consultant Contracts as amended.

The Board of Trustees meeting included the reporting of Mark F. Nannini subscribing to the constitutional oath of office. A significant portion of the meeting involved Callan Associates Inc. presenting the Monthly Performance Report for Illinois Municipal Retirement Fund for the period ended December 31, 2011, covering market environments, U.S. and Non-U.S. equity overviews, U.S. Fixed Income Overview, and performance attribution. The commentary section detailed the Total Fund performance for December, noting that all asset class allocations were within the allowable range for rebalancing. Specific performance reviews were provided for US Equity (Large Cap Growth, Value, Core, Small Cap, Micro Cap), International Equity, Domestic Fixed Income (Core, Core Plus, High Yield), and Alternatives. Asset allocation summary charts compared actual versus target allocations as of December 31, 2011. Furthermore, Callan reported on meetings held with various IMRF investment managers during the month.

The Special Board Meeting primarily focused on accepting recommendations from the Benefit Review Committee regarding claim appeals. Key discussions involved adopting revised appeal procedures to implement a hearing officer model for non-disability claims, detailing the steps from petition filing to final administrative decision by the full Board of Trustees, including provisions for continuance, late submissions, and representation. The Committee also presented recommendations on specific disability claims, including denying total and permanent disability benefits for one individual, denying and overturning temporary disability benefits for two others, upholding the termination of temporary disability benefits for another, and upholding the ineligibility determination for disability benefits for one person. Furthermore, the Board approved a Trustee request to attend the "Pension and Financial Services Conference."