IMRF ranks highly on customer service benchmarking study
IMRF ranked among the top 16% of North American public pensions in cost-effective customer service, according to a new report.
Kam Mangat, a Vice President with CEM Benchmarking, Inc., told the IMRF Board of Trustees that IMRF ranked highly in CEM’s recent analysis of 42 North American public pension systems. The study evaluates the operating costs and customer service performance of the systems. Highlights from the report include:
- IMRF’s Overall Service Score ranked 7th highest of the 42 pension plans in the peer group.
- Despite operating in the study’s fourth-highest cost environment, IMRF’s total cost of $95 annually per active member and retiree was $34 below the average peer group cost.
- IMRF’s customer transaction volume – which includes fielding calls and emails, counseling members, and processing pension applications – ranked fifth out of the 42 systems.
- IMRF provided the most customer-focused online transaction tools within the peer group.
“You have been able to maintain lower costs despite higher transactions and a higher cost environment,” Mangat said. “It shows you are doing quite well relative to your peers.”
Board provides Springfield an update on Illinois-based investments
The Board approved the submission of an annual report to Gov. Bruce Rauner and the General Assembly that documents IMRF investments made in Illinois.
Highlights from the report include:
- About 41% of IMRF total assets - $15.9 billion - are invested with Illinois-based investment management firms and private equity partnerships.
- IMRF is invested in 111 real estate properties in Illinois.
- IMRF's private equity portfolio includes 111 Illinois companies.
- Illinois-based brokers executed $1.7 million in brokerage commissions for the 12-month period ending June 30.
Staff provides update on executing 2017-2019 Strategic Plan objectives
IMRF Executive Director Louis W. Kosiba updated the Board on activities undertaken during the second quarter in support of the 2017-2019 Strategic Plan. Key successes within each of the Strategic Plan’s Key Result Areas (KRAs) included:
Financial Health KRA:
- Funding status on a market basis increased from 89.4% on December 31, 2016, to 93.7% as of June 30, 2017.
Customer Engagement KRA:
- Metrics related to employer transactions and overall satisfaction are trending up, and have reached the top decile.
Workforce Engagement:
- The level of engagement of the IMRF staff, as measured by a 2017 Employee Engagement Survey, placed IMRF at the 95th percentile, as compared to the survey companies.
Operational Excellence:
- The average IMRF Call Center hold time has decreased 27 seconds from 2016 average.
Staff updates Board on pending legislation
The two bills that made up the Board’s 2017 Legislative Agenda were passed by the General Assembly, IMRF Legislative Liaison Bonnie Shadid reported, and have since been signed into law by the Governor.
- House Bill 2966, now Public Act 100-0139 makes two changes to the Illinois Pension Code. First, it updates the qualifications section for IMRF trustees to ensure that candidates are vested in IMRF, regardless of which tier retirement plan they participate in. Secondly, it modifies incorrect verbiage in the statute dealing with Accelerated Payments.
- House Bill 3070, now Public Act 100-0148, clarifies in the current statute that members may make one payment after termination for past service purchases, as long as a valid application is on file with IMRF prior to terminating employment.
No items to which the Board was opposed passed the General Assembly.
For more information on these and other bills that may impact IMRF, see IMRF’s website.
New units of government join IMRF
The Board approved the participation of the following new employers:
- Village of Leland
- Hampshire Fire Protection District
- Village of Bluffs
- Schaumburg Township
Next Board meeting
The next regular meeting of the IMRF Board of Trustees will be September 8 at 9 AM at IMRF’s Oak Brook headquarters. The Board will be in executive session for the discussion at this meeting.