The LAGERS Board of Trustees convened for their quarterly board meeting on Friday, Dec. 12, 2025, at the LAGERS office in Jefferson City. Board Chair Joan Leary called the meeting to order, after which a motion to approve the consent agenda was unanimously approved. Of note, the following new employer has joined the system since the last board meeting:
- City of Sturgeon
Next, LAGERS staff updated the board on LAGERS’ legacy plan administration and new legacy plans. The board unanimously approved the following new legacy plans:
- High Ridge Fire Protection District
- Sedalia Firefighter’s Retirement Fund
Chairperson Leary turned the meeting over to the LAGERS staff for their investment and management reports.
Investment Report
LAGERS investment and operations teams reviewed the quarterly Investment Summary. The Investment Summary provides the trustees with an update on all investment compliance metrics defined in LAGERS’ Investment Policy Statement (IPS), and reviews portfolio performance and attribution for the total portfolio.
The operations team reported that all portfolio measures are currently within LAGERS’ investment compliance measures. Next, LAGERS’ CIO Scott Day reviewed the portfolio performance. LAGERS’ investment performance as of 9/30/2025 is as follows:
- One-year: 6.1%
- Five-year: 8.5%
Actuary’s Report
LAGERS actuary Gabriel, Roeder, Smith & Company (GRS) presented the preliminary results of the system’s five-year experience study. The actuarial experience study reviews how the plan’s recent demographic and economic experience compare to the assumptions used in the annual valuation. This process ensures that key assumptions—such as retirement patterns, mortality rates, and salary growth—accurately reflect observed trends. Any assumption changes will be incorporated into the actuarial valuations prepared as of February 28, 2026, and may affect employer contribution rates.
LAGERS’ actuary notes that the five-year experience study coupled with LAGERS’ strong funding policy help ensure the system remains financially strong for the long-term.
GRS reported that based on the study’s results, they recommend implementing some minor changes to LAGERS’ demographic assumptions including adopting new base public sector tables (Pub2016), which is the new mortality tables recently adopted by the Society of Actuaries, and minor adjustments to retirement rates and police disability rates to more closely reflect recent plan experience. LAGERS’ actuary, Judith Kermans, notes, the net effect of the changes to employer rates will be minor.
Next, Mita Drazliov discussed recommendation for the board’s economic assumptions to increase in wage inflation assumption from 2.75% to 3%. GRS made no other recommendations to LAGERS’ economic assumptions including the system’s assumed rate of return, which is currently 7.0%.
No action was taken today, and the board is expected to review the study and vote on the recommendations at their March board meeting.
Auditor’s Report
LAGERS external auditors, Williams Keepers (WK), presented their findings of the audit of the system’s financial statements for the fiscal year ended June 30, 2025, as presented in the Annual Comprehensive Financial Report (ACFR). They noted that the audit was conducted in accordance with generally accepted auditing standards and Government Auditing Standards and reported an unmodified opinion noting that LAGERS’ financial statements are presented fairly, in all material respects, noting no material weaknesses in internal control were identified.
LAGERS CFO Melissa Rackers notes that overall, the audit supports that the system maintains sound financial reporting practices and a strong control environment. LAGERS Annual Financial Report can be found here.
Management Report
Governance Handbook Revisions:
LAGERS staff reviewed proposed changes to the Board Governance Handbook from the board’s governance committee. The proposed changes amended the timelines for when agenda and meeting materials are provided to the board and document routine board reports.
The committee voted to recommend these updates to the full Board of Trustees for consideration. The board unanimously approved Resolution 2 -2025 to adopt the recommended changes.
Legislative Report:
LAGERS staff reported on expectations of the upcoming legislative session which begins on Jan. 7, 2026, noting that LAGERS is not planning on filing any legislation this session.
Next, staff reviewed LAGERS’ Policy Beliefs, which serve as the foundation for LAGERS’ legislative activity. These statements:
- Guide the system’s legislative efforts
- Provide a clear, unified framework for advocacy
- Ensure policy alignment with LAGERS’ mission and values
Staff made no recommendations for change to the policy beliefs.
Strategic Plan Scorecard Review:
LAGERS’ strategic plan, Vision 2030, helps propel the organization toward a state of continuous improvement by cultivating a culture of performance management and measurement. LAGERS staff reviewed a new quarterly report that shows the progress being made on strategic objectives through key performance indicators (KPIs), operational measures, and project statuses. No major areas of concern were identified for the quarter.
Next, the board moved into closed session pursuant to § 610.021(1), (3), (5), (13), and/or (14) (2006).
LAGERS Board of Trustees is a seven-member volunteer board comprised of member and employer representatives. This summary is not the official minutes of the meeting. Visit our website to learn more about LAGERS’ trustees or to view official minutes.
