WHEREAS, the County of Albemarle Personnel Policy Manual has been adopted by the Board of Supervisors; and
WHEREAS, it is proposed that Personnel Policy P-63, Retirement, be amended to include a one time retirement incentive by providing additional benefits to employees eligible to retire under the Voluntary Early Retirement Incentive Program (VERIP) who retire by June 30, 2009; and
WHEREAS, the Board of Supervisors desires to adopt the revisions to Personnel Policy P-63.
NOW, THEREFORE, BE IT RESOLVED THAT the Board of Supervisors of Albemarle County, Virginia, hereby adopts Personnel Policy P-63, Retirement, of the County of Albemarle Personnel Policy Manual, as attached hereto and incorporated herein, effective January 7, 2009.
COUNTY OF ALBEMARLE
I. REGULAR RETIREMENT
Retirement shall be at the discretion of the employee. Full-time regular employees of Albemarle County who qualify are eligible for the benefits of the Virginia Retirement System (“VRS”). Additional information describing VRS benefits is available on-line at varetire.org.
All employees retiring under VRS and/or the County’s VERIP policy are eligible for continuous participation in the group medical and dental insurance plan until they are eligible for Medicare coverage.
Salaried Board Members and full-time or part-time regular employees who are not retiring under VRS and/or VERIP, are eligible for continuous participation in the County’s group medical and dental insurance plan until they are eligible for Medicare coverage, provided that they meet the following requirements:
1. be 55 years of age or older;
2. retire from service or separate from employment in good standing after four (4) or more years of continuous service or employment; and
3. be participants in the County’s Group medical and dental insurance plan on the day prior to separation from the County.
Individuals eligible to participate in the County’s group medical and dental insurance plan shall pay the full cost of health coverage, including any applicable administrative expenses.
II. LONGEVITY INCENTIVE PROGRAM
The County values the service of all of its employees, both full-time and part-time. Since part-time employees are not covered by VRS, the County has elected to establish a Longevity Incentive Program (the “Program”) and thereby provide eligible part-time employees with certain benefits as more fully explained in this section.
A. Scope of Program
All regular, part-time employees of the County will be covered by the Program provided that they work the minimum number of hours necessary to establish eligibility for County benefits. Salaried Board Members are not eligible for participation in this program.
The following benefits will be provided to eligible part-time employees under the Program:
1. Life Insurance: A term life insurance policy will be provided equal to twice the employee’s annual salary with double indemnity for accidental death and dismemberment payments for the accidental loss of one or more limbs or of eyesight.
2. Annuity Program: Based on length of service in the County, part-time employees will be provided with an annuity program. The Board will contribute an annual amount according to the following formula:
a. 5 - 9 years of County service - five percent of annual salary.
b. 10 - 14 years of County service - seven percent of annual salary
c. 15 - 19 years of County service - nine percent of annual salary.
d. 20+ years of County service - eleven percent of annual salary.
III. Retirement Pay/Payment upon Death
In recognition of employee service to Albemarle County, regular full-time and part-time employees who meet the age and service criteria for retirement under VRS and have been employed a minimum of five (5) years with Albemarle County shall be paid upon their retirement or death in service $200 per year for each year of service to the County as a regular employee up to a maximum payment for 25 years of service, less any years previously paid for under this policy. Years of service do not have to be continuous.
IV. Voluntary Early Retirement Incentive Plan (VERIP)
Participants in the Albemarle County VERIP must be regular full-time or regular part-time employees eligible for benefits as defined in P-02, Definition of Employee Status and meet the following additional requirements:
1. Full-time employees must be eligible for early or full retirement under the provisions of VRS. Part-time employees must meet the same age and service criteria as if they were full-time employees covered under VRS.
2. Have been employed by Albemarle County for 10 of the last 13 years prior to retirement.
3. Employees retiring under the disability provisions of VRS and/or Social Security shall not be eligible for the VERIP.
4. VERIP benefits will cease if the retiree returns to work in a regular full-time or regular part-time position with Albemarle County.
5. VERIP benefits will continue if the retiree returns to work in a temporary part-time or temporary full-time position with Albemarle County.
1. VERIP benefits shall be paid monthly for a period of five years after retirement or until age 65, whichever comes first.
2. Benefits under VERIP will be calculated as follows:
a. Compute the annual VRS benefit. This computation shall include any reductions for early VRS retirement if appropriate;
b. Recompute the annual VRS benefit with the addition of five more years service or the number of additional years needed to reach age 65, whichever is lesser;
c. The difference between these two calculations shall be the annual VERIP benefit to be paid on a monthly basis.
d. Benefits for part-time employees who are eligible to participate in VERIP shall be determined as if the part-time employees are eligible for an annual VRS benefit and the amount shall be calculated in the same manner as benefits for VRS-eligible employees under subsections (a) – (c) above.
3. The County Executive will recommend to the Board an annual adjustment to the early retirement benefit after having been apprised of the VRS adjustment for retirees.
4. The Board will pay to the employee an amount equal to the Board’s annual contribution toward an employee’s health insurance as long as the employee is covered by VERIP benefits.
Applications for VERIP must be made to the Human Resources Department prior to December 1st of the year preceding the fiscal year the VERIP takes effect.
All VERIP applications are subject to approval by the County Executive or designee.
The Board of Supervisors reserves the right to modify this policy in its discretion, and all benefits described in this policy shall be subject to future modifications and annual appropriations by the Board of Supervisors.
F. Additional Benefits
1. Current employees who apply for VERIP by February 27, 2009 and who meet the eligibility standards identified below shall be entitled to receive, at their election, one of the following:
a. Two additional years of Board contributions toward health
insurance beyond the duration established by Section IV.B, paid on a monthly basis. Employees who retire at 65 years of age or older shall receive two years of contributions toward health insurance.
b. The cash equivalent of two additional years of Board contributions
toward health insurance, calculated at the FY 2009-10 annual rate and paid in one or more installments.
2. To be eligible for the additional benefits in this section, employees must:
a. Submit VERIP applications by February 27, 2009;
b. Submit a letter by April 1, 2009 establishing a retirement date no later than June 30, 2009; and
c. Retire after the effective adoption date of this subsection (F) but no later than June 30, 2009.
Amended: August 4, 1993; April 19, 1995; June 2, 2004
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