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Home My WebLink About2010-12-14 Retirement Board MinutesMINUTES OF THE READING RETIREMENT BOARD MEETING Tuesday, December 14, 2010 QThe Reading Retirement Board held a regular session meeting on December 14, 2010, 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, Francis Driscoll, and Board Administrator, Colleen Loughlin. Thomas Clough was not able to attend. MINUTES • Regular session minutes for the August 10, 2010 meeting were signed by all board members, except Francis Driscoll who was not present. • Regular session minutes for the August 24, 2010 meeting were signed by all board members present, except Gail LaPointe who was not present • RICHARD FOLEY moved to accept the September 22, 2010 regular session minutes as written, except Joseph Veno and Thomas Clough who were not present SECONDED BY: FRANCIS DRISCOLL VOTED: (3-0-1) ABSTAINED: JOSEPH VENO • RICHARD FOLEY moved to accept the October 26, 2010 regular session minutes as written, except Francis Driscoll who was not present. SECONDED BY: GAIL LAPOINTE VOTED: (3-0-1) ABSTAINED: FRANCIS DRISCOLL APPROVAL OF NEW MEMBERS, RETIREMENTS, TRANSFERS AND REFUNDS • RICHARD FOLEY moved to approve the following new member: Rachid Kourbali Custodian Date of hire — 8/24/09 9%+2% (School) Date of membership — 11/8/10 (Possibly eligible for a buyback) SECONDED BY: FRANCIS DRISCOLL VOTED: (4-0-0)UNANIMOUS • RICHARD FOLEY moved to approve the following retirement applications: Linda LaBonte RMLD 1/8/11 24 years, 9 mths Option C (Superannuation) Rose Hines School I/3/11 12 years, 11 mths Option A (Superannuation) ® Pamela Corcoran RMLD 2/14/10 29 years, 6 mths Option B (Superannuation) SECONDED BY: FRANCIS DRISCOLL VOTED: (4-0-0) UNANIMOUS 1191 • RICHARD FOLEY moved to approve final calculations for the following retirements approved by PERAC: ® Mark Spataro (Accidental Disability) James Rich (Superannuation) DPW 10/27/09 23 years, 11 mths Dependents: $ 3,543.00 Annuity: $ 5,134.32 Pension: $32,560.92 Yearly: $41,238.24 Monthly: $ 3,436.52 DPW 11/22/10 22 years, 4 mths Annuity: $ 4,832.76 Pension: $14,842.08 Yearly: $19,674.84 Monthly: $ 1,639.57 SECONDED BY: FRANCIS DRISCOLL VOTED: (4-0-0) UNANIMOUS APPROVAL OF MISCELLANEOUS ITEMS Option C Option B • RICHARD FOLEY moved to approve the FY 12 Budget as presented. SECONDED BY: FRANCIS DRISCOLL VOTED: (4-0-0) UNANIMOUS �• RICHARD FOLEY moved to approve a pay date of December 17, 2010 for the December retiree checks. SECONDED BY: FRANCIS DRISCOLL VOTED: (4-0-0) UNANIMOUS • RICHARD FOLEY moved to approve to increase the benefit paid under G.L. c.32, § 101. The Board agreed that due to the fact that most of the Section 101 survivors were already receiving close to $9,000/year, it would not be a huge cost to the town or retirement system to increase the benefit. Once the legislative body approves the board's decision, the increased allowance will go into effect on the date of approval, but no earlier than January 1, 2011. Upon acceptance, the allowances of all individuals receiving an allowance pursuant to G.L. c.32, § 101 will be increased from $6,000 to $9,000: SECONDED BY: FRANCIS DRISCOLL VOTED: (4-0-0)UNANIMOUS • FRANCIS DRISCOLL moved to allow Board Administrator to contact Legal Council regarding Donald Stead if the Reading Retirement System needs to get involved in the lawsuit. SECONDED BY: RICHARD FOLEY VOTED: (4-0-0)UNANIMOUS APPROVAL OF INVOICES TO BE PAID OFRANCIS DRISCOLL moved to approve the following warrant #API 12010 totaling $620,426.96: Commonwealth of Mass. $ 649.34 RHA Health Ins. Deductions Commonwealth of Mass. $ 2,199.20 State Tax Deductions Commonwealth of Mass. $ 216.66 Child Support Internal Revenue Service Reading Credit Union ® Town of Reading Treasurer Nov Retirement Allowances Town of Reading Town of Reading Treasurer SECONDED BY: RICHARD FOLEY VOTED: (4-0-0) UNANIMOUS 1192 $ 49,461.64 Federal Tax Deductions $ 31,553.00 Credit Union Deductions $ 51,124.55 Hlth, Life, & Dental Ins. Deductions $ 481,441.78 Net Retiree Payroll $ 156.04 Postage due Town $ 3,624.75 November's Administrator's Salary RICHARD FOLEY moved to approve the following warrant OAP122010 totaling $634,442.53: Commonwealth of Mass. $ 649.34 RHA Health Ins. Deductions Commonwealth of Mass. $ 2,199.20 State Tax Deductions Commonwealth of Mass. $ 216.66 Child Support Internal Revenue Service $ 49,042.02 Federal Tax Deductions Reading Credit Union $ 31,553.00 Credit Union Deductions Dec Retirement Allowances $ 482,190.24 Net Retiree Payroll Town of Reading Treasurer $ 49,545.08 Hlth, Life, & Dental Ins. Deductions Town of Reading $ 179.28 Postage due Town Town of Reading Treasurer $ 3,624.76 December's Administrator's Salary W.B. Mason Co., Inc. $ 17.95 Administrative Expense — supplies Pension Technology Group $ 15,225.00 Service Contracts SECONDED BY: FRANCIS DRISCOLL VOTED: (4-0-0)UNANIMOUS • INFORMATION/OUESTIONS/OTHER TFEMS • Received memo from Contributory Retirement Appeal Board regarding Donald Stead excess earnings for prior years. CRAB threw out the case because Mr. Stead's lawyer did not present exhibits. We will continue withholding his retirement allowance for prior years excess earnings from 2005-2006. • Discussed David Roy's make up payment for time worked in Burlington Public Schools as a substitute teacher from October 1978 through June 1979. Mass Teachers' Retirement System will not accept liability. Middlesex has also denied accepting liabilty. According to Barbara Phillips at PERAC, the member is entitled to purchase service and Reading would have to accept liability based on Chapter 32, § 4. The Board would like clarification as to why Reading Retirement Board would have to accept liability. • Received a summons in connection with the denial of an appeal of Donald Stead v. PERAC and the Reading Retirement Board. Waiting to hear from PERAC. • The Board received notice from PERAC that the amount to be appropriated for the Reading Retirement System for FY 12 is $4,420,234. • Received notification that the Commission has scheduled a joint medical examination to evaluate James Rich on Tuesday, January 4, 2011 at 3:30 pm. The town would like to be notified by the Board when Mr. Rich receives his first payment from the Retirement System. • Final Notice Affidavits were mailed to all retirees on November 30, 2010. There is 1 affidavit still due. ®• Copies of the following Reading Retirement Board reports were handed out for review: The PRIT fund's monthly statement & fund performance for period ending October 31, 2010, General Ledger Trial Balance as of October 31, 2010. Bank Reconciliation for the month ending October, 2010. 1193 • The next board meeting is scheduled for January 25, 2011 at 6:00 pm in the Lower Level Conference Room. `MEMORANDUMS & LETTERS RECEIVED Memo from Ralph White regarding updates on Boards that approved the COLA Base/Section 101 PERAC Memo #39/2010 — Age 70-12 Distribution — requirement that persons who attain age 70-1/2, who are not receiving a retirement allowance and who are not employed must begin taking a distribution from the System by April 1 of the year following the year they attain age 70-1/2. PERAC — 2010 Edition of PERAC's Publications Library on CD OLD BUSINESS • Discuss Chapter 188 of the Acts of 2010 — COLA. Under the provisions of Chapter 32, § 1030) inserted by Section 19 of Chapter 188 systems may increase the maximum base on which the COLA is calculated in multiples of $1,000. Each increase must be accepted by a majority vote of the retirement board approved by the legislative body. OPEN SESSION FOR TOPICS NOT REASONABLY ANTICIPATED 48 HRS IN ADVANCE OF MEETING ADJOURNMENT • RICHARD FOLEY moved to adjourn this open session at 6:35 P.M. SECONDED BY: FRANCIS DRISOLL VOTED: (4-0-0)UNANIMOUS Vice Chairman, Francis P. Driscoll, 1" elected Thomas A. Clough, Y'" appointed E