By Kelsie Hoitomt
GLENWOOD CITY — After several months of discussion over various proposals, the Glenwood City School Board officially agreed upon a teacher retirement plan on Monday night.
There was a quorum vote cast with Jon Mrdutt and John Logghe voting yes, Charlotte Obermueller-Stout voted no and President Charles Rasmussen abstained.
Board members Judy Achterhof, Lisa Kaiser and Lori Klinger were absent from the meeting so despite the 2-1 vote, Superintendent Tim Johnson stated that he would be making contact with the Wisconsin School Board Association to double check that the vote was indeed cast correctly and therefore approved.
The proposal that is written in the teacher handbook states that all current teaching staff will be given the opportunity to choose one of two benefit options.
Individuals must make their selections, communicated in writing to the District Accountant, prior to December 31, 2014.
All teaching staff members hired after January 1, 2015 will receive the Defined Benefit (Tax Shelter Annuity) plan.
Option 1: Defined Contribution – Post-Employment Benefit; states that early retirement shall be available to teachers at age 55 who resign from their full-time duties after 15 years of teaching in the School District of Glenwood City.
Teachers shall be permitted to retire under this section at the end of the semester following their 55th birthday.
Qualifying teachers who wish to retire and receive the retirement provisions stated below must apply to the Board prior to March 1, 2018.
This provision expires after the 2017-18 school year. A teacher eligible for early retirement under this section shall receive a $750 monthly contribution to a TSA of a District-approved vendor.
This $750 monthly contribution shall continue for 60 months.
After the provision expires in 2018, teachers who are at least 55 years of age, who resign from their full-time duties after completing 15 years of teaching in the District, will be paid a TSA contribution over period of 60 months after retirement that is equal to $1,000 per year of service in the District. This contribution will max out at 30 years or $30,000.
Option 2: Defined Benefit (TSA); states that all teachers choosing Option 2, Defined Benefit (TSA) will receive a $500 per year contribution to a District approved TSA vendor.
In addition, the District will match 1:2, the teacher’s contribution to a TSA, up to an annual maximum of $1,500.
The maximum District contribution to an individual’s TSA will be $2,000 per year.
Teachers who wish to receive the District TSA contribution beyond the $500 flat rate must apply by August 31, of each fiscal year.
Newly hired teachers must indicate their contribution amount within 60 days of hire in order to receive the District contribution their first year.
Part time teachers who qualify for the TSA benefit will receive the benefit on a pro-rated basis.
Other business discussed included the schedule for the facility improvements, which is the community task force list that includes items such as office relocation and upgrade to the HVAC system.
Johnson stated that there will be a meeting on Wednesday, December 17 with building consultants and the community task force so discussion can be had on a cost layout.
Also a more detailed discussion will be had on what can exactly be done construction wise depending on the extent of the costs.
The ultimate goal would be to have these projects completed on a no tax impact basis, however to accomplish everything requested by the task force on their list of projects, it is not possible.
There will be more information and better numbers laid out at the December 17 meeting and then by the end of January, the resolution is to be passed.