School Board offers new retirement package

By WAYNE QUESENBERRY/Staff

It was out with the old and in with the new for the Wythe County School Board on Monday night. The board unanimously suspended its original retirement policy while providing different allowances for possible retirees, beginning this year.
Meeting in an evening session at George Wythe High School, the School Board agreed to the keep the former retirement policy on file. It can re-instate the plan later if members vote to do so.
In recommending the new plan, Superintendent Lee Brannon noted retirement was an “individual decision.” He pointed out that employees considering retiring should assess how they feel about going to work every day and how they feel about their jobs.
According to personnel director Richie Thomas, approximately 93 School Board employees will be eligible to retire under the new plan. This includes at least 60 teachers, administrators and counselors.
“I have had several employees speak to me about the plan,” Thomas said Tuesday morning. “Most of them support the new plan.”
Faced with significant loss of state funding over the next two years and possibly longer, the School Board is struggling to maintain programs and personnel. The board enacted the retirement plan as a possible means to reduce costs.
“If our goal is to keep everyone working in their current position,” Brannon said, “it is up to us to look at our programs.”
Under the new plan, a retiree will receive 14 percent of his final annual salary per year for seven years until death, acceptance of disability, failure to complete the annual 14 days of employment requirements, resumption of full-time employment in a Virginia Retirement System covered position or the initiation of the end of benefit by the employee which ever comes first.
The retirement benefit will be paid in 12 equal installments. All applicable taxes and deductions will apply.
The benefits are not transferable.
Qualifications for retirement include being at least 50 years old and having 20 years in public education employment covered by the VRS. Five years of VRS-covered employment must be in Wythe County for employees first appointed by the School Board before July 1, 2004 and 10 years for employees first appointed on or after July 1, 2004.
Other qualifications include being a school employee in good standing, not retiring through disability and retiring from School Board employment under VRS. Retirees are required to complete all 14 days of employment with the School Board by June 1 of each school year.
Retiring employees should apply at least 90 days before the intended retirement date. Benefit payments may be delayed for participants applying later than this timeframe.
Participants must retire at the end of the current year through VRS or during the current year with recommendation of the superintendent.
The School Board will reserve the right to amend or terminate the plan by June 1 of each year. Payments under this plan will receive priority consideration at the time of budget formulation and adoption.
If the School Board does not receive adequate funding for payments from the Wythe County Board of Supervisors, all rights and obligations of the School Board and participants will be void and of no further effect.
The new policy states that retired school employees resuming full-time employment with the School Board will have their retirement plan benefits suspended with payments of the remaining balance resuming following their retirement again. Benefits will resume based on final annual salary as of the participant’s initial retirement, not any subsequent final annual salary.
In no event will a participant receive more than seven years of payment under this plan. Participants may resume substitute or temporary part-time employment without affecting their retirement plan benefits.
The School Board will conduct another budget work session Thursday, March 25, at 9 a.m. at the School Board Office in Wytheville.
Wayne Quesenberry can be reached at 228-6611 or wquesenberry@wythenews.com.