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Home My WebLink About2005-07-21 Retirement Board Minutes939 MINUTES OF THE READING RETIREMENT BOARD MEETING THURSDAY, JULY 21, 2005 The Reading Retirement Board held a regular session meeting on July 21, 2005, in the Accounting and Finance Department Office, Town Hall, Reading, Massachusetts. The meeting was called to order at 6:02 P.M. by Chairman Joseph Veno in the presence of members Richard Foley, Francis Driscoll, and Daniel Seferian, and board administrator Karen DeAngelis. Board member Elizabeth Klepeis was not able to attend. MINUTES • Regular session minutes for the May 25, 2005 meetings were signed by all board members, except Elizabeth Klepeis who was not able to attend that meeting. • RICHARD FOLEY moved to accept the June 23, 2005 regular session minutes as written. SECONDED BY: FRANCIS DRISCOLL VOTED: (4 -0) UNANIMOUS APPROVAL OF NEW MEMBERS RETIREMENTS, TRANSFERS AND REFUNDS FRANCIS DRISCOLL moved to approve the superannuation retirement calculation for Elizabeth Klepeis: Finance Director Retiring 6/24/05 Creditable service of 29 years, 0 months Option A Annuity $13,757.16 Pension $45,654.84 Yearly $59,412.00 Monthly $ 4,951.00 SECONDED BY: DANIEL SEFERIAN VOTED: (4 -0) UNANIMOUS FRANCIS DRISCOLL moved to approve the superannuation retirement calculation for Barbara Hickey: Educational Asst Retiring 6/28/05 Creditable service of 25 years, 9 months Option B Annuity $ 3,307.56 Pension $ 6,697.68 Yearly $10,005.24 Monthly $ 833.77 SECONDED BY: DANIEL SEFERIAN VOTED: (4 -0) UNANIMOUS • RICHARD FOLEY moved to approve the superannuation retirement application for Bruce Gustafson: RMLD Lineman Retiring on 8/1/05 Creditable service of 31 years, 0 months Option A SECONDED BY: FRANCIS DRISCOLL VOTED: (4 -0) UNANIMOUS 939 9'iQ • FRANCIS DRISCOLL moved to approve new member Aron J. Overberg: DPW -Parks & Rec Date of hire & membership - 6/27/05 Deduction rate 9 %+ 2% SECONDED BY: DANIEL SEFERIAN VOTED: (4 -0) UNANIMOUS FRANCIS DRISCOLL moved to approve a refund for Mary Lou Halloran: Elder Services -Clerk Resigned on 10/28/04 Creditable service of 5 years, 8 months Total deductions & interest $13,193.26 Less 50% interest Less 0% federal taxes Net refund (rollover) SECONDED BY: DANIEL SEFERIAN VOTED: (4 -0) UNANIMOUS $ - 192.30 $ -0.00 $13,000.96 • FRANCIS DRISCOLL moved to approve an Option B refund for Joan M. Millar: Beneficiary of deceased retiree Barbara Feener Annuity balance remaining $538.72 Less 20% federal taxes $107.74 Net Option B refund $430.98 SECONDED BY: DANIEL SEFERIAN VOTED: (4 -0) UNANIMOUS APPROVAL OF MISCELLANEOUS ITEMS John Doherty, who worked full -time for the Town of Reading from 9/29/69 to 1/30/70 but did not contribute to the Reading Retirement System, would like to purchase this time as creditable service. He is now a member of the MWRA Retirement System and the MWRA would like to know if the Reading Retirement Board will accept liability for this service. • DANIEL SEFERIAN moved to deny liability for Mr. Doherty's purchase of prior employment as creditable service. SECONDED BY: FRANCIS DRISCOLL VOTED: (4 -0) UNANIMOUS James Flanagan worked for the Town of Reading DPW during the periods 6/25/74 - 8/30/74 and 6/10/75 - 8/22/75 and was not a member of the retirement system. He became a full -time employee on August 25, 1975, at which time he was enrolled in the Reading Retirement System. He would like to buyback this time and would make .a Jump-sum payment. • DANIEL SEFERIAN moved to approve a buyback for James Flanagan for the period 6/10/75 to 8/22/75, based upon the board's supplementary regulations. SECONDED BY: FRANCIS DRISCOLL VOTED: (4 -0) UNANIMOUS 941 941 James Flanagan worked for the DPW and left employment on July 15, 2005. He was out on worker's compensation for three periods of time. He received worker's compensation payments under Section 34, temporary total disability for two periods but for a third time 3/18/88 to 4/30/89 it cannot be determined under which section he received the compensation payments. There are copies of checks Mr. Flanagan received from Alexsis, the worker's compensation administrator at the time, but the periods covered are 9/3/88 to 4/30/89. The Board is requested to make a determination as to which section Mr. Flanagan collected worker's compensation payments for this period of time. • DANIEL SEFERIAN moved to consider James Flanagan's worker's compensation payments to have been paid under Section 34 — temporary total disability for the period 3/18/88 to 4/30/89. SECONDED BY: FRANCIS DRISCOLL VOTED: (4 -0) UNANIMOUS Bruce Gustafson is a lineman at RMLD and will be retiring on August 1, 2005. On October 5, 1990 he was injured and was on worker's compensation until November 26, 1991. When he started receiving worker's compensation payments it was under Section 34, which is temporary total disability. There are no records that indicate whether or not his payments continued under Section 34 or if he was eventually compensated under Section 35, which is partial disability. Under Section 34 Mr. Gustafson would get full creditable service for the time he was out but under Section 35 he would only get creditable service, pro- rated, if he was paid anything by RMLD. Since records cannot be found the Board is requested to make a determination as to which section Mr. Gustafson collected worker's compensation payments. • DANIEL SEFERIAN moved to consider Bruce Gustafson's worker's compensation payments to have been paid under Section 34 — temporary total disability for the period 10/5/90 to 11/26/90. SECONDED BY: FRANCIS DRISCOLL VOTED: (4-0) UNANIMOUS The Reading Retirement Board has been receiving Section 3(8)(c) payments from the Peabody Retirement Board for Wayne Harding since he was retired under a superannuation retirement on 5/24/03. Now that he has been approved for an accidental disability retirement beginning 3/22/04 Reading must assume liability for Mr. Harding's entire retirement allowance. Reading owes Peabody $11,271,78 for the period 3/22/04 to 12/31/04. • FRANCIS DRISCOLL moved to pay back to the Peabody Retirement Board a Section 3(8)(c) reimbursement for Wayne Harding for the period 3/22/04 to 12/31/04 during which he now has been retired under an accidental disability retirement. SECONDED BY: DANIEL SEFERIAN VOTED: (4 -0) UNANIMOUS 94-2 APPROVAL OF VOUCHERS • FRANCIS DRISCOLL moved to approve the following vouchers: 2005 Voucher # 62 63 64 65 66 67 Town of Reading Treasurer Town of Reading Treasurer Peabody Retirement Board Fidelity Investments FBO Mary Lou Halloran Joan M. Millar Town of Reading Treasurer 68 W.B. Mason SECONDED BY: DANIEL SEFERIAN VOTED: (4 -0) UNANIMOUS INFORMATION /QUESTIONS /OTHER ITEMS $497,784.87 July retiree payroll $ 3,256.00 July administrator's salary $ 11,271.78 3(8)(c)- Harding on ADR $ 13,000.96 Refund to member (rollover) $ 430.98 Option B benef of B. Feener $ 107.74 20% federal taxes (Millar) $ 110.70 Adm Exp (Minutes Bk -Exec Sess) A response was received from PERAC on July 20, 2005 regarding Donald Stead's arguments as to why he believes he is entitled to retain his retirement allowance. PERAC affirmed its prior determinations on excess earnings by Mr. Stead for 2001, 2002, and 2003 and directs the board to collect the total amounts due of $75,741.48. • The Board instructed the Board Administrator to suspend Mr. Stead's retirement allowance, with the exception of the amount that covers his health and life insurance premiums payments, until the entire amount due to the Board has been refunded. The Board Administrator will also notify Mr. Stead and his attorney of this and include a copy of PERAC's response. RICHARD FOLEY moved to void 2005 Voucher # 62 because the amount needs to be adjusted as a result of Donald Stead's suspension of his retirement allowance, with the exception of the amount that covers his insurance premiums payments. SECONDED BY: FRANCIS DRISCOLL VOTED: (4 -0) UNANIMOUS Board members provided their signatures to the Treasurer as documentation for who is authorized to sign the Reading Retirement Board's vouchers. Barbara Hickey,'who received the Board's approval to make a lump -sum payment to buyback 7 years, 4 months of creditable service from Mass Teachers' Retirement, was able to retire on June 28, 2005. Her rollover check from an eligible retirement account was received by the Board on June 27, 2005. A "Notification of Termination" for failure to complete his Annual Statement of Earned Income was sent to Paul Sheridan by certified mail and a return receipt was requested (and received by the Board). Mr. Sheridan has not contacted the Board to request a hearing so in accordance with PERAC's instructions and the Board's approval Mr. Sheridan's retirement allowance will be terminated beginning with his July 2005 check. 943 943 Jim Ryan, one of PERAC's auditors, has finished up his audit of the Reading Retirement System for the 2002- 2004 period. There were no significant audit findings and he had only two verbal recommendations. Joseph Ryan, who worked for the DPW and retired on February 14, 1986, passed away on 6/24/05. He chose Option A at his retirement. PERAC has published an update of their regulations (840 CMR). MEMORANDUMS & LETTERS RECEIVED PERAC — Memo # 19/2005 — Reinstatement to Service under G.L. c. 32 § 105 — Updated application form. PERAC — Memo # 20/2005 — Investment Manager List. PERAC — Memo # 21/2005 — Tobacco Company List. PERAC — Memo # 22/2005 — PERAC Regulation Book. PERAC — Memo # 23/2005 — Cost of Living Increase for Supplemental Dependent Allowance Paid to Accidental Disability Retirees. The next two Board Meetings will be held on August 24, 2005 and September 28, 2005. ADJOURNMENT • FRANCIS DRISCOLL moved to adjourn this open session at 7:15 P.M. SECONDED BY: DANIEL SEFERIAN VOTED: (4 -0) UNANIMOUS airman, Joseph elected /_4.jj ' 24 Richard P. Foley, Ex Offi Eli eth W. Klepeis, 1' apbointed Francis P. Driscoll, I" elected XQ iV ce Ch� � a , B. Seferian, 2 appointed