The Chicago Teachers Pension Fund will name its new committee chairs at its next CTPF Board Meeting Nov. 16, 2023.
Who will lead the powerful Investment Committee to replace Phil Weiss, who lost in the recent election? The Board is dominated by CORE Trustees (President Jeffery Blackwell, VP Jacquelyn Price-Ward, Tammie Vinson, Paula Barrajas, Quentin Washington, Mary Sharon-Reilly and Lois Nelson) and only one Members First Trustee (Victor Ochoa) and one Independent Trustee (Maria J. Rodriguez).
Members First Teacher Trustees Phil Weiss and Victor Ochoa voted with CORE on almost every motion, whereas independent and former UPC Retired Trustee Maria J. Rodriguez voted no many times. Administrator Trustee Jerry Travlos has missed meetings but mostly votes with CORE and CPS Board Trustee Tanya Woods is new.
In the last October 19 CTPF Board Meeting Ex. Dir. Carlton Lenoir made his usual report and stated that the Fund continues to outperform the benchmark. The question not asked but should be, what is the benchmark?
Lenoir said birthday cards were sent out to 26 pensioners who turned 90 or older, and two who turned 100 or older. He said CTPF has invested $2.2 billion or 18.69% of its total portfolio in Illinois.
The new Chicago Board of Education Trustee Tanya Woods was full of questions about the lobbyist who was not present at the meeting. Woods, who has said several times she is an attorney, wanted to know what legislation CTPF was sponsoring. Lenoir said the only current bill concerns pensioners returning to work in schools that are suffering teacher shortages and CTPF easing off on its previous harsh penalties if they exceed the number of days they can substitute teach. “CTPF would take the onus to issue refunds.” He said the other bill is HB 4098 addressing the Tier 2 problem which they hope there is movement on. Trustee Woods then asked what would be the dollar amount that CTPF would have to pay to cover pensioners who were penalized and Lenior said they would provide it later. When she asked how many pensioners have been impacted, the answer was 15 - 20 members.
“I request a lobbyist report and that they can be present,” Trustee Woods said. Retired Trustee Lois Nelson responded that the lobbyist is normally present.
CTPF Chief Investment Office (CIO) Fernando Vinzons announced a new hire who will be covering domestic equity and private credit.
During a debate on moving up the date to restore the funding level of the Pension Fund, Board Trustee Woods poured cold water on pensions by stating, “It's a difficult decision. The employer and state have to come up with more money. Our financial reality when we invest somewhere else is less money spent in the classrooms.”
This was the same argument made by past anti-union and pro-corporate Mayors Rahm Emanuel & Richard Daley.
Former Teacher Trustee Lois Ashford made a surprise visit asking to fix the death benefits problem. I remember campaigning on behalf of JaLo - Trustees Jay Rehak and Lois Ashford who both ran on the CORE ticket. They upset the ruling UPC party incumbents to mark CORE’s first victory before upsetting UPC in the President election to take over the Chicago Teachers Union in 2010. The two decided to both call it quits in 2018 and not run again for the Pension Board.
Ashford said the lowly death benefits paid out by CTPF is unfair. A staff member said CTPF pays out $10k in death benefits if the member perishes while on the job, but then gradually declines each year after retirement. The state law would have to change the amount of payout. The minimum is $5k. It was noted that CPS has a nice life insurance policy of $25k. Trustees noted the spiraling funeral costs that can put families in a bind. CTPF said over 95 percent of death benefits are paid to retired members, and “less than a handful” are paid out monthly to members who died while working (about 160 death benefits are paid out each month). Trustee Rodriguez suggested trading conference expenses to increase death benefits. Trustee Washington said a lot of CTU members are not aware they have death benefits which come in handy, especially when it takes time to make payments and significant funeral costs must be paid immediately. He suggested educational seminars for teachers to help them access their benefits.
No trustees asked to go to any conferences at this meeting.
In the final scene reminiscent of the battle between President Blackwell and three female minority trustees, Blackwell refused to take Trustee Rodriguez's last question before adjournment, stating, “She always speaks over me.” Rodriguez was one of three censored and one reprimanded trustees who is still on the board. The trustees voted 6-3 to adjourn. MF Trustee Victor Ochoa stated before his vote to adjourn, “I hate this.” Trustees Weiss (his final act), Lois Nelson and Rodriguez voted against adjournment. “I say no because one of the Trustees couldn't speak,” Trustee Nelson said. Rodriguez’s question was a letter from a pensioner asking CTPF to not invest in defense companies.
Thanks for the mention, Jim. I read your postings with great interest.