HomeMy WebLinkAbout2009-06-24 Retirement Board Minutes1124
MINUTES OF THE READING RETIREMENT BOARD MEETING
Wednesday, June 24, 2009
The Reading Retirement Board held a regular session meeting on June 24, 2009, in The Lower Level Conference
Room, Town Hall, Reading, Massachusetts.
The meeting was called to order at 6:00 P.M. by Chairman Joseph Veno in the presence of members Richard
Foley, Gail LaPointe, and Board Administrator, Colleen Loughlin. Daniel Seferian and Francis Driscoll were not
able to attend.
MINUTES
• Regular session minutes for the April 22, 2009 meeting were signed by all board members.
• RICHARD FOLEY moved to accept the May 27, 2009 regular session minutes as written.
SECONDED BY: GAIL LAPOINTE
VOTED: (3-0-0) UNANIMOUS
APPROVAL OF NEW MEMBERS, RETIREMENTS, TRANSFERS AND REFUNDS
• RICHARD FOLEY moved to approve the following new members:
David Chiaradonna DPW Date of hire & membership - 6/08/09
(Water & Sewer)
Michael Pulson
(Water & Sewer)
SECONDED BY:
VOTED:
DPW Date of hire & membership - 6/15/09
GAIL LAPOINTE
(3-0-0) UNANIMOUS
9%+2%
9%+2%
• RICHARD FOLEY moved to approve the following retirement applications:
Nancy Giannone Paraprofessional - School 6/24/09 13 years, 0 mths Option A
(Superannuation)
Madeleine Gillis
(Superannuation)
SECONDED BY
VOTED:
Tech - Library
GAIL LAPOINTE
(3-0-0) UNANIMOUS
7/31/09 16 years, 6 mths Option A
(pro-rated)
APPROVAL OF MISCELLANEOUS ITEMS
= 1125
APPROVAL OF VOUCHERS
• RICHARD FOLEY moved to approve the following vouchers:
2009 Voucher # 49 June Retirement Allowances $448,280.65
Town of Reading Treasurer $ 42,866.58
Reading Credit Union
$ 24,612.00
Commonwealth of Mass.
$
615.34
Internal Revenue Service
$
39,014.60
Commonwealth of Mass.
$
1,700.64
50
Town of Reading Treasurer
$
3,484.35
51
Town of Reading
$
156.29
52
Colleen Loughlin, Petty Cash
$
87.20
53
Colleen Loughlin
$
420.06
54
BACTES
$
64.30
55
The Graphics Shop, Inc.
$
82.91
SECONDED BY: GAIL LAPOINTE
VOTED: (3-0-0) UNANIMOUS
INFORMATION/QUESTIONS/OTHER ITEMS
Net Retiree Payroll
Health Insurance Deductions
Credit Union Deductions
RHA Health Ins. Deductions
Federal Tax Deductions
State Tax Deductions
June Administrator's Salary
Postage due to Town
Admin Exp - Postage & Mailings
Reimb for Travel Exp-MACRS Conf.
Admin. Exp-Fee for medical records
Admin. Expense - Envelopes
• Discussed dating for the monthly bills paid out of Reading Co-op. The Treasurer has requested that the
checks be dated for the 1" of the following month, with the exception of the monthly payroll. The Board has
agreed with the request.
• Discussed Chapter 21 of the Acts of 2009, Pension Reform. The Board would like to review changes and
discuss at the next board meeting when all board members will be present.
• At the August 27, .2003 Board Meeting, the Board approved Anthony Ricardo, school custodian, to purchase
his military service of 3 years, 11 months. After consulting with PERAC's legal unit, 6 months of that time
was considered training, therefore, not eligible to buyback. An adjustment was made on the buyback
calculation and Mr. Ricardo made a lump-sum payment of $10,557.91 to purchase 3 years and 5 months of
military service.
• Robert Toussaint, who has applied for Accidental Disability retirement, has been scheduled for 3 separate
single medical panel exams on June 19, 2009 at 10:30 am, June 24, 2009 at 2:00 pm, and June 26, 2009 at
10:30 am.
• On June 19, 2009 PERAC notified this Board that Leone Sullivan was evaluated for possible return to service
and PERAC's internal Nurse Case Manager determined that she is unable to perform the essential duties of
her job. The board is not required to take any action at this time.
• A COLA reimbursement of $215,119.15 from the State for the period l/l/09-6/30/09 was received on
6/24/09.
• The Board Administrator attended the Spring MACRS Conference in Hyannis, MA. The main topic of this
forum was pension reform.
• Copies of the following Reading Retirement Board reports were handed out for review:
The PRIT fund's monthly statement & fund performance for period ending May 31, 2009.
General Ledger Trial Balance as of May 31, 2009.
- 'r Bank Reconciliation for the month ending May 31, 2009.
• The next board meetings will be July 29, August 26, September 23, October 28, November 24(Tues), and
December 16, 2009 at 6:00 pm in the Lower Level Conference Room.
1126
MEMORANDUMS & LETTERS RECEIVED
PERAC - Memo #23/2009- Update Federal Withholding Tables. In March 2009, the Internal Revenue Service
released Publication 15-T, which established new wage withholding tables designed to accelerate the benefit of
the "Making Work Pay" tax credit passed under the American Recovery and Reinvestment Act of 2009. All
boards must continue using the new withholding tables or adopt an additional withholding procedure that
increases the withholding by a specific amount depending on the pensioner's payment frequency, marital status
and pension amount. Reverting to the old withholding tables is not an option.
PERAC - Memo #24/2009 - Chapter 21 of the Acts of 209, Pension Reform
MACRS - Memo from Ralph White - Special Commission Update - Peter Diamond, Professor of Economics at
MIT, who has played a major role in the Special Commission meetings, has introduced a model of a new
retirement system projected for new hires, which he felt would be compatible to Massachusetts. His plan would
utilize the lifetime earnings of an employee, with inflation included, as the formula for calculating a pension.
This concept is similar to the Social Security Formula.
MACRS - Memo from Ralph White - Pension Reform and Budget - The pension reform law signed by Governor
Patrick this week is now officially Chapter 21, Acts of 2009. They anticipate that PERAC will soon release initial
guidelines for Chapter 21. It does not appear to contain ANY changes to Chapter 32, local pension funding
schedules or municipal health insurance laws. The Legislature enacted the Transportation Reform legislation.
The bill dissolves the Turnpike Retirement System as of 1/1/10.
Opal Financial Group - Public Funds Summit July 8-10, 2009 at the Hyatt Regency Hotel in Newport, RI
OLD & NEW BUSINESS
ADJOURNMENT
• RICHARD FOLEY moved to adjourn this open session at 6:50 P.M.
SECONDED BY: GAIL LAPOINTE
VOTED: (3-0-0) UNANIMOUS
R. Veno:7,2` elected
Gail L~#oiinte,/Exx Officio
Richard P. Foley, I" appoin d
Francis P. Driscoll, 1st elected
Vice Chairman, Daniel B. Seferian, 2" appointed