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Home My WebLink About2005-08-25 Retirement Board MinutesA MINUTES OF THE READING RETIREMENT BOARD MEETING THURSDAY, August 25, 2005 The Reading Retirement Board held a regular session meeting on August 25, 2005, in the Accounting and Finance Department Office, Town Hall, Reading, Massachusetts. The meeting was called to order at 6:00 P.M. by Chairman Joseph Veno in the presence of members Francis Driscoll, Richard Foley, Elizabeth Klepeis, and Daniel Seferian. HEARING A hearing was held upon the request of Retired Police Officer Paul Sheridan. Mr. Sheridan was concerned that his health insurance was not withheld from his July pension allowance. Richard Foley explained that PERAC had directed the Reading Retirement Board to stop paying a pension allowance, including health insurance premium, due to Mr. Sheridan's lack of compliance in filing his earnings statements for years 1997- 2004. Mr. Sheridan filed his statements for years 2003 -2004 at the end of July. PERAC has instructed the Reading Retirement Board that Mr. Sheridan is still in non compliance for a pension allowance, but will be able to have his health insurance deducted. Three deductions will be made in September, to bring Mr. Sheridan's health insurance account up to date. Mr. Sheridan was happy with this resolution of the matter. MINUTES • Regular session minutes for the June 23, 2005 meeting were to be signed by all board members, but will be signed at the next meeting due to the minutes being missing. • RICHARD FOLEY moved to accept the July 21, 2005 regular session minutes as written. SECONDED BY: FRANCIS DRISCOLL VOTED: (4 -0 -1) ABSTAINED ELIZABETH KLEPEIS APPROVAL OF NEW MEMBERS RETIREMENTS, TRANSFERS AND REFUNDS • ELIZABETH KLEPEIS moved to approve the following superannuation retirement calculation: Bruce Gustafson RMLD- Lineman 8/1/05 31 years, I month Option A Annuity $ 6,051.36 Pension $ 36,466.20 Yearly $ 42,517.56 Monthly $ 3,543.13 SECONDED BY: FRANK DRISCOLL VOTED: (5 -0) UNANIMOUS • ELIZABETH KLEPEIS moved to approve the following new members: Matthew Wilson School -Tech Date of Reading hire — 10/25/04 Date of membership — 7/18/05 9%+2% Position is now full -time Contributed to social security so cannot purchase prior service Sean Wilson Police - officer Date of Reading hire — 7/29/05 9%+2% Date of membership — 8/11/04? Funds to be transferred from State Ian Nelson Police - officer Date of hire & membership — 7/30/05 9%+2% Richard Abate Police - officer Date of hire & membership - 7/31/05 9%+2% 945 SECONDED BY: VOTED: FRANK DRISCOLL (5 -0) UNANIMOUS • FRANK DRISCOLL moved to approve the following superannuation retirement application: Richard Foley Accounting Dept 9/30/05 36 years, 7 months Option A SECONDED BY: DANIEL SEFERIAN VOTED: (3 -0 -2) ABSTAINED: RICHARD FOLEY AND ELIZABETH KLEPEIS • ELIZABETH KLEPEIS moved to approve a refund for Thomas Sullivan, School Custodian: Thomas Sullivan Resigned 7/29/05 6 years, 4 months (School- Custodian) Total deductions & interest $18,724.69 Less 50% interest $ - 238.04 Less 20% federal taxes $ - 3,697.33 Net refund (cash) $14,789.32 SECONDED BY: FRANK DRISCOLL VOTED: (5 -0) UNANIMOUS APPROVAL OF MISCELLANEOUS ITEMS Thomas Sullivan requested that he be able to pick up his refund check on Friday, August 26, 2005. 945 • ELIZABETH KLEPEIS moved to allow Mr. Sullivan to pick up his check on August 26th, but that this be a non precedent setting event. SECONDED BY: FRANCIS DRISCOLL VOTED: (5 -0) UNANIMOUS Louis Cimaglia, the new Veteran's Agent, has requested permission to buy back veteran's service in the future. • ELIZABETH KLEPEIS moved to approve a veteran's buyback for Louis Cimaglia at such time as he requests a specific time and amount within the PERAC regulations for buyback. SECONDED BY: FRANCIS DRISCOLL VOTED: (5 -0) UNANIMOUS • Arlington Retirement Board has filed legislation to have teacher aids and teacher assistants go directly into the Mass Teachers' Retirement system. The Reading Board decided to take no action on this legislation. APPROVAL OF VOUCHERS • ELIZABETH KLEPEIS moved to approve the following vouchers: 2005 Voucher # 69 Town of Reading Treasurer $501,852.10 August retiree payroll 70 Town of Reading Treasurer $ 2,785.18 August administrator's salary 71 Thomas E. Sullivan $ 14,789.32 Refund to member 72 Town of Reading Treasurer $ 3,697.33 20% federal taxes (Sullivan) 73 MWRA Retirement Board $ 1,462.22 Section 3(8)(c) reimbursement SECONDED BY: FRANK DRISCOLL VOTED: (5 -0) UNANIMOUS MW INFORMATION /OUESTIONS /OTHER ITEMS Board Member Francis Driscoll requested a discussion regarding membership requirements for the Reading Retirement System. It was explained that in 2004, the Board dropped the number of hours required for membership from 37.5 per week for 52 weeks to 32.5 per week for 52 weeks. This action resulted in approximately 10 new members being eligible. It doesn't seem feasible to drop the requirement further at this time. Should an employee wish to be eligible for retirement, he or she could apply for a job which meets the requirements. The issue of health insurance membership regulations is a town issue, not a Retirement Board issue. • A discussion was held regarding the process for replacing Retirement Board Administrator Karen DeAngelis who resigned from that position on August 17, 2005. Elizabeth Klepeis and Richard Foley explained that they had interviewed three candidates for the position, and were willing to go forward with the process of hiring a replacement for Karen. FRANK DRISCOLL moved to authorize Richard Foley and Elizabeth Klepeis to proceed with the hiring of a retirement administrator at the salary level approved by the Town Manager. SECONDED BY: DANIEL SEFERIAN VOTED: (3 -0 -2) ABSTAINED: RICHARD FOLEY AND ELIZABETH KLEPEIS • Dorothy Maxwell, Secretary to the Board of Selectmen, retired 6/29/74 and died 7/31/05, Option A • Bernard Jobe, Police Officer retired under ADR on May 5, 1978, and died August 14, 2005, Option B (benefits under Option B now 0); Jacqueline Jobe, his spouse is applying for Accidental Death Benefits (ADB) as a survivor. She is eligible for 101 benefits ($ 6,000 per year) and can collect that benefit pending approval of the ADB. • A negative 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. Mr. Stead has appealed PERAC's ruling. The Board does not need to take action at this time as PERAC's direction to withhold money from Mr. Stead's pension is being followed. • Copies of the following Reading Retirement Board reports will be handed out for review: General Ledger Trial Balance as of July 31, 2005. Bank Reconciliation for the month ending July 31, 2005. The PRIT fund's monthly statement & fund performance for period ending July 31, 2005. MEMORANDUMS & LETTERS RECEIVED PERAC — Memo #24/2005 — How to Treat Contributions to Teachers' Retirement Plus When a Member Transfers to Another System PERAC — Memo # 25/2005 — PERAC's Advisory Committee has issued a report on recommended Reform Initiatives. (copies to be distributed) Public hearings are being held in September, 2005. Board members are urged to attend a hearing (schedule to be distributed at Board meeting) and may give written comments to PERAC until October 12, 2005. PRIM - Memo from Stan Mavromates explaining the PRIT Fund Net of Fees Performance as of June 30, 2005 947 947 The next Board Meeting will be held September 28, 2005. ADJOURNMENT • DANIEL SEFERIAN moved to adjourn this open session at 7:35 P.M. SECONDED BY: FRANCIS DRISCOLL VOTED: (5 -0) UNANIMOUS Joseph R. Veno, 2n° elected Richard P. Foley, E�x�O"ici W' Eli��eth W. Klepeis, 15sapOiinteedrr Francis P. Driscoll, I' elect ea Q Vice Chairman, Daniel efenan, 2 1" appointed