WAYNE COUNTY RETIREE SUB-CHAPTER 38 WE MAKE MICHIGAN HAPPEN

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Henry Lykes President

Gil Cox Vice-President

Hugh S. Macdonald Secretary Treasurer

Mary Etta Kreklau Recording Secretary

Walter Beard Sergeant-At-Arms

Julie Bauman Ronald Yee

James Sockolosky Executive Board

Faith Cairgle John M. McCall

Jerry Smith Trustees

Executive Board Meeting

May 12, 2015

The meeting was called to order and was opened with the Pledge of Allegiance.

PRESENT: Cairgle, Cox, Kreklau, Lykes, Macdonald, Sockolosky, Smith, and Yee

EXCUSED: Bauman, Beard, and McCall

ABSENT: None

ROLL CALL OF OFFICERS: Brother Macdonald made the motion, properly seconded by Sister Cairgle, to accept the roll call of officers. The motion carried.

Sub-Chapter 38 minutes for the Executive and Membership meetings are recorded to help the Recording Secretary to produce minutes for each meeting. Pursuant to the previous direction of the membership these recordings shall be disposed of as soon as reasonably possible after the Sub-Chapter 38 membership has approved the minutes. The minutes are not or intended to be an actual verbatim record of the proceedings but are summarized notes of the agenda items, motions maker of the motion, votes and lengthy discussions.

CORRESPONDENCE: The following correspondence was received from:

Michigan Alliance for Retired Americans - MiARA April 2015 Newsletter reporting on the Trans-Pacific Partnership trade agreement likely will increase drug costs and announcing the next membership meeting on Wednesday, June 17, 2015 starting at 11:00 am at the Michigan Education Association Headquarters, 1216 Kendale Blvd., East Lansing, Ml. This will be a Birthday Party celebrating the 50 t h Anniversary of Medicare and Medicaid.

Wayne County Employees' Retiree Club - Issue #9 of the WCERC Newsletter including Management demands on retirees and active employees.

Secretary-Treasurer - Financial Report -Schedule of legal fees incurred and payments made to Miller Cohen for the prescription co-pay lawsuit. Fees through April 2015 totaling $1,038,598.42 with payments to date of $199,999.98 for a balance of $838,598.44.

May 2015 Executive Board Meeting Page 1 J 600 VVest LataveTte Boulevard, Suite 500, Detroit, Michiean 48226 Boulevard, Suite 500, Detroit, Michigan 48226

Telephone (313) 964-1711 • Fax (313) 964-0230

Brother Macdonald made the motion, and properly seconded by Sister Cairgle, to receive and file all correspondence. The motion carried.

READING OF MINUTES

Brother Macdonald made the motion, properly seconded by Brother Yee, to waive the reading and approve the minutes of the Executive Board meeting of April 14, 2015, leaving the record open to the end of the meeting for corrections, additions, or deletions and adopt as submitted. The motion carried.

Brother Macdonald made the motion, properly seconded by Sister Cairgle, to waive the reading and approve the minutes of the Membership meeting of April 14, 2015, leaving the record open to the end of the meeting for corrections, additions, or deletions and adopt as submitted. The motion carried.

REPORT OF OFFICERS

PRESIDENT

I want to compliment the author of the Wayne County Employee Retiree Club Newsletter (Ron Yee) for the last issue. It was a very well written newsletter.

MiARA - There is a General Meeting for the Michigan Alliance for Retired Americans on Wednesday, June 17, 2015, in Lansing that is also a Birthday Party for the Medicare and Medicaid Program. This is the first general meeting in Lansing. It is hoped that members will attend this meeting. There are a number of well-versed persons involved with this group providing information we all need.

County - The latest information that I have is that we are having a meeting this afternoon with Subchapter 38 attorneys regarding the on-going facilitation meetings regarding the Prescription Co-Pay lawsuit.

CEO Meetings - We were at the presentation by CEO Warren Evans about Wayne County finances on April 23 r d at WCCC in Belleville. There was a large police presence at the meeting. There were a number of questions asked including one regarding how the County could justify the number of retirees who have been reemployed by the County on a contractual basis and paid large sums of money for a few hours of work while the County is asking for large cutbacks from current employees and retirees also. While the CEO said there is a 1,000 hour limitation per year, they are still paid huge sums of money. There are no further meetings like this planned. In the past when the union officials demanded answers, they are invited to leave. There was no intention by Mr. Evans to answer questions of the public.

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Council 25 - Sister Cairgle raised a question about PEOPLE meetings being scheduled and cancelled without notification to the members of the Committee. President Lykes said they are trying to deal with the notification problems.

Conferences and Conventions - AFSCME Retiree Council will be meeting from July 7 - 10, 2015, in Washington DC. The Alliance for Retired Americans will have their convention immediately following this also in Washington DC.

The AFSCME Convention should be in late summer and the AFL-CIO Convention will be this fall somewhere in Detroit.

Constitution Committee - This committee has met and I will defer to Vice-President Cox for a report on the meeting.

Motion by Sister Cairgle to accept the President's report, properly seconded by Brother Cox. The motion carried.

VICE-PRESIDENT

The Wayne County Labor Coalition will meet May 27, 2015, Wednesday, Noon at Council 25 offices in Detroit. Due to the Memorial Day holiday, the Wayne County Retirement Board will meet Wednesday, May 27, 2015, 9:15 am at 28 W. Adams, Detroit, Ml.

President Lykes, Brother Macdonald and Brother Cox met with AFSCME President, Al Garrett, prior to the last Coalition meeting, April 29 t h, a meeting we called for regarding AFSCME's non­action on our health care lawsuits. We were promised nothing, but we were assured that they will take a hard look at it. However, action from the International will not be forthcoming. We have a meeting today at 4 pm with our attorneys regarding the health care lawsuits.

Motion by Brother Macdonald, supported by Brother Sockolosky, to accept the report. The motion carried.

SECRETARY TREASURER

Financial Report

Brother Macdonald reported that the subchapter has $75,759.86 in cash and investments as of April 30, 2015. There are 1,516 current members with 182 participating in the PEOPLE Plan.

Motion by Brother Macdonald to accept the financial portion of the report, supported by Brother Cox. The motion carried.

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Lawsuits

13 t h Check - The Michigan Supreme Court remanded the case to the trial court for further proceedings. The Board of Trustees from the retirement system filed a motion in Wayne County Circuit Court to reinstate the case that was successful. In the meantime, the County has shown some interest in settling the case. The Court has scheduled a meeting for May 14, 2015. The Court date last week has put the pressure on the County.

The Michigan Employment Relations Commission has been drafting its order in response to the Wayne County appeal of the administrative law judge ruling setting aside the whole 2010 retirement ordinance amendment related to the 13 t h check for over a year. Still no order has been issued. The active employees have now filed an Unfair Labor Practice grievance seeking to require Wayne County to immediately fund the retirement system at 100%. This is in the initial stages and no progress has occurred.

The Prescription Co-Pay lawsuit - Post 1990 retirees' portion of case is at the Appeals court and the Court of Appeals has refused to hear those appeals until the whole of the original case is disposed of at Wayne County Circuit court. Miller-Cohen has filed briefs on the post 1990 matter at Appeals. The pre-1990 retirees' portion of the case is still a Wayne county Circuit Court. Recently both sides participated in a Facilitation session. The county has made several unacceptable proposals. Unfortunately, we are unable to discuss those proposals due to a confidentiality agreement. We are meeting with our attorneys later today to discuss continuing strategy.

Lawsuit against Wayne County Employees Retirement System - Two Wayne County retirees have filed a lawsuit against current and former Retirement commissioners accusing them of failing to perform their "Fiduciary" duties and requesting that the courts certify the lawsuit as a "class action". The Commissioners have filed motions for summary dismissal and another opposing "class action" status that are scheduled to be heard June 4, 2015.

Chapter Status

At the meeting on April 29 t h, Brother Cox was discussing, Brother Macdonald brought up the issue of chapter status with AFSCME Council 25 President, Al Garrett. President Garrett was informed that if we don't get Chapter status, we will seek another affiliation. President Garrett indicated he understood this and would contact AFSCME International in Washington DC for action. However, we have heard nothing more regarding this. President Lykes indicated that both Larry Roehrig and Al Garrett requested a meeting with him which has not happened yet.

Motion by Brother Macdonald, supported by Brother Yee, that if no response is received from President Al Garrett by May 26, 2015, regarding chapter status, Brother Macdonald will draft a

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letter to Ann Widger, AFSCME International, demanding a response in writing within 60 days on Chapter status for Subchapter 38, or this Subchapter will seek another affiliation. The motion carried.

County of Wayne

Brother Macdonald informed the Board that the Retirement Board has been cutting off people working more than 1,000 for the County for some time. The Statute allows that "appointed County officials" are exempt from the 1,000 rule. However, there is currently no definition of appointed County officials. The Retirement Board is seeking a definition of this.

Delegate to National ARA Convention

Brother Macdonald brought up that Pamela Hyde-Shelton had requested consideration to attend the national convention to be held in Washington DC in July 2015. She has attended as a Delegate from Subchapter 38 in the past. Brother Macdonald would like this to be placed on the agenda under New Business.

Proposal from Wayne County Sheriff Retiree Group

Motion by Brother Macdonald, supported by Brother Yee, to approve the recommendation that Subchapter 38 will administer the Wayne County Sheriffs Retiree Association dues deductions from the Wayne County Employees Retirement System retirement pensions, which shall include a separate membership in Subchapter 38. Subchapter 38 will then be responsible to forward said membership dues to the Wayne County Sheriff's and Airport Retiree Association. This administrative service will be provided only for those members who hold membership in both retiree groups. The motion carried.

Brother Sockolosky made the motion, and properly seconded by Sister Cairgle, to accept the Secretary Treasurer's report. The motion carried.

COMMITTEE REPORTS

Brother Cox gave a report on the Constitution Committee. Copies of the constitution are available this month. The Committee will continue to meet and anyone with recommendations is asked to comment. The report will be delivered at the October 2015 meeting. Motion by Brother Macdonald, to accept the report of the Constitution Committee, support by Brother Sockolosky. The motion carried.

The PEOPLE Committee for the Region is scheduled for Thursday, May 28, 2015 at 5 pm per Denis Martin; however, it may be rescheduled since it conflicts with other meetings.

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UNFINISHED BUSINESS

None

NEW BUSINESS

Motion by Brother Macdonald, supported by Sister Cairgle, to designate Pamela Hyde-Shelton as a second delegate from Subchapter 38, to the national convention for the Association of Retired Americans to be held July 7-10, 2015, in Washington DC and to authorize reimbursement for appropriate costs. The motion carried.

GOOD AND WELFARE

A moment of silence for deceased members was observed.

ADJOURNMENT

Brother Macdonald made the motion which was properly seconded by Brother Yee, to adjourn the meeting at 12:14 pm. The motion carried.

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