Common use of Retirement Restructuring Lump Sum Contribution Clause in Contracts

Retirement Restructuring Lump Sum Contribution. In response to both the mandate and opportunity provided by Public Law 253 (Acts of 2001) commonly known as Senate Enrolled Act 199 the Association and the School District engaged in a retirement restructuring review for several years culminating in an agreement in 2008. As a result of this restructuring, teachers (1) who do not elect the transition option benefits of Article XIII, Section B or who (2) do not qualify for retirement benefits pursuant to Article XII, Section D, will receive a one-time lump sum buy-out contribution. A teacher’s eligibility and the data for determining the amount of the lump sum data will be frozen as of the 2007-2008 school year. The amount of the buy-out contribution was actuarially determined and the amount of the buy-out contribution is set forth in a “Retirement Restructuring Buyout of Medicare Bridge Benefit Program Memorandum of Agreement” by and between the School District and the Association. The amount of the buy-out specified in the Memorandum of Agreement is enforceable through the grievance procedure of the Agreement. These contributions will be deposited on or before November 15, 2008. The lump sum buyout will be deposited into a separate account for each eligible teacher in the Retirement 501(c)(9) Trust (“Retirement VEBA”) with the exception of the following contribution: Teachers who would be eligible for a buy-out above in paragraph one (1) but are in dental only, vision only, or dental/vision, will receive a prorated buy-out to the equivalent of a buy-out toward a health insurance program as to those teacher’s current respect premiums (dental only, vision only, dental/vision). These amounts will not be deposited in the Retirement VEBA but will be deposited in the teacher’s 401(a) account. If there are any fees charged by the VEBA vendor for the active teachers prior to their retirement, the School District will reimburse for the first four (4) years following the deposit date any fees charged by depositing an amount equal to the fee or fees charged to the account. After the third year (November 2011) a joint committee of up to three (3) Association members and up to three (3) administrators will review the current VEBA vendor with the purpose of determining whether the vendor should be changed for the Retirement VEBA Plan. Since this Retirement Restructuring Program is a replacement for the benefits provided for in Article XIII, Section C, that contribution to eligible teachers will not vest until the teacher has a total of ten (10) years or more of service in the Metropolitan School District of Xxxxxxxx Township and reaches the age of fifty (50) years. A teacher who qualifies for and is receiving benefits from the Metropolitan School District of Xxxxxxxx Township Long Term Disability Insurance Plan will continue to accrue years of service credit. Teachers on approved leave will accrue years of service for vesting if the teacher’s approved leave pursuant to the Collective Bargaining Agreement grants service credit for salary schedule placement. Teachers on recall who were laid off by the School District will continue to accrue years of service for vesting until the earlier of the following events:

Retirement Restructuring Lump Sum Contribution. In response to both the mandate mandates and opportunity provided by Public Law 253 (Acts of 2001) commonly known as Senate Enrolled Act 199 the Association and the School District Corporation engaged in a retirement restructuring review for several years culminating months in an agreement in 20082002, 2003 and 2004. As a result of this restructuring, teachers (1) who do not elect the transition option benefits of Article XIIIIX, Section B 2 or who (2) do not qualify for retirement benefits pursuant to Article XIIIX, Section D4, will receive a one-time lump sum buy-out contribution. A teacher’s eligibility and the data for determining the amount of the lump sum data will be frozen as of the 2007-2008 school year. The amount of the buy-out contribution was actuarially determined and the amount of the buy-out contribution is set forth in a “Retirement Restructuring Buyout of Medicare Bridge Benefit Program Memorandum of Agreement” Agreement dated February 23, 2005 by and between the School District Corporation and the Association. The amount of the buy-out specified in the Memorandum of Agreement is enforceable through the grievance procedure of the Agreement. These contributions will be deposited on or before November 15July 29, 20082005. The That portion of the lump sum buyout one-time buy-out that has been calculated for the buy-out of a portion of the Retirement Pay will be deposited into a separate account for each eligible teacher in the 401(a) Retirement Savings Plan. That portion, if any, of the lump sum one-time buy-out that has been calculated for the buy-out of the teacher’s potential right to receive, in the future, a Board contribution towards his/her retirement health insurance premiums will be deposited into a separate account for each eligible teacher in the Retirement 501(c)(9) Trust (“Retirement VEBA”) with the exception of the following contribution: Teachers who would be eligible for a buy-out above in paragraph one (1) but are in dental only, vision only, or dental/vision, will receive a prorated buy-out to the equivalent of a buy-out toward a health insurance program as to those teacher’s current respect premiums (dental only, vision only, dental/vision). These amounts will not be deposited in the Retirement VEBA but will be deposited in the teacher’s 401(a) account. If there are any fees charged by the VEBA vendor for the active teachers prior to their retirement, the School District will reimburse for the first four (4) years following the deposit date any fees charged by depositing an amount equal to the fee or fees charged to the account. After the third year (November 2011) a joint committee of up to three (3) Association members and up to three (3) administrators will review the current VEBA vendor with the purpose of determining whether the vendor should be changed for the Retirement VEBA Plan. Since this Retirement Restructuring Program is a replacement for the benefits provided for in Article XIIIVII, Section C1(F) and Article IX, Retirement Pay Section 1 (year of service component of the Retirement Pay formula) and any right to retirement health insurance premiums, that contribution to eligible teachers will not vest until the teacher has a total of ten (10) years or more of service in the Metropolitan School District of Xxxxxxxx Washington Township and reaches the age of fifty (50) years. A teacher who qualifies for and is receiving benefits from the Metropolitan School District of Xxxxxxxx Washington Township Long Term Disability Insurance Plan will continue to accrue years of service creditbecome vested. Teachers on approved leave will accrue years of service for vesting if the teacher’s approved leave pursuant to the Collective Bargaining Agreement grants service credit for salary schedule placement. Teachers on recall who were laid off by the School District Corporation will continue to accrue years of service for vesting until the earlier of the following events:

Retirement Restructuring Lump Sum Contribution. In response to both the mandate mandates and opportunity provided by Public Law 253 (Acts of 2001) commonly known as Senate Enrolled Act 199 the Association and the School District engaged in a retirement restructuring review for several years culminating months in an agreement in 20082002, 2003 and 2004. As a result of this restructuring, teachers (1) who do not elect the transition option benefits of Article XIIIIX, Section B 2 or who (2) do not qualify for retirement benefits pursuant to Article XIIIX, Section D4, will receive a one-time lump sum buy-out contribution. A teacher’s eligibility and the data for determining the amount of the lump sum data will be frozen as of the 2007-2008 school year. The amount of the buy-out contribution was actuarially determined and the amount of the buy-out contribution is set forth in a “Retirement Restructuring Buyout of Medicare Bridge Benefit Program Memorandum of Agreement” Agreement dated February 23, 2005 by and between the School District and the Association. The amount of the buy-out specified in the Memorandum of Agreement is enforceable through the grievance procedure of the Agreement. These contributions will be deposited on or before November 15July 29, 20082005. The That portion of the lump sum buyout one-time buy-out that has been calculated for the buy-out of a portion of the Retirement Pay will be deposited into a separate account for each eligible teacher in the 401(a) Retirement Savings Plan. That portion, if any, of the lump sum one-time buy-out that has been calculated for the buy-out of the teacher’s potential right to receive, in the future, a Board contribution towards his/her retirement health insurance premiums will be deposited into a separate account for each eligible teacher in the Retirement 501(c)(9) Trust (“Retirement VEBA”) with the exception of the following contribution: Teachers who would be eligible for a buy-out above in paragraph one (1) but are in dental only, vision only, or dental/vision, will receive a prorated buy-out to the equivalent of a buy-out toward a health insurance program as to those teacher’s current respect premiums (dental only, vision only, dental/vision). These amounts will not be deposited in the Retirement VEBA but will be deposited in the teacher’s 401(a) account. If there are any fees charged by the VEBA vendor for the active teachers prior to their retirement, the School District will reimburse for the first four (4) years following the deposit date any fees charged by depositing an amount equal to the fee or fees charged to the account. After the third year (November 2011) a joint committee of up to three (3) Association members and up to three (3) administrators will review the current VEBA vendor with the purpose of determining whether the vendor should be changed for the Retirement VEBA Plan. Since this Retirement Restructuring Program is a replacement for the benefits provided for in Article XIIIVII, Section C1(F) and Article IX, Retirement Pay Section 1 (year of service component of the Retirement Pay formula) and any right to retirement health insurance premiums, that contribution to eligible teachers will not vest until the teacher has a total of ten (10) years or more of service in the Metropolitan School District of Xxxxxxxx Washington Township and reaches the age of fifty (50) years. A teacher who qualifies for and is receiving benefits from the Metropolitan School District of Xxxxxxxx Washington Township Long Term Disability Insurance Plan will continue to accrue years of service creditbecome vested. Teachers on approved leave will accrue years of service for vesting if the teacher’s approved leave pursuant to the Collective Bargaining Agreement grants service credit for salary schedule placement. Teachers on recall who were laid off by the School District will continue to accrue years of service for vesting until the earlier of the following events:

Retirement Restructuring Lump Sum Contribution. In response to both the mandate mandates and opportunity provided by Public Law 253 (Acts of 2001) commonly known as Senate Enrolled Act 199 the Association and the School District engaged in a retirement restructuring review for several years culminating months in an agreement in 20082002, 2003 and 2004. As a result of this restructuring, teachers (1) who do not elect the transition option benefits of Article XIIIIX, Section B 2 or who (2) do not qualify for retirement benefits pursuant to Article XIIIX, Section D4, will receive a one-one- time lump sum buy-out contribution. A teacher’s eligibility and the data for determining the amount of the lump sum data will be frozen as of the 2007-2008 school year. The amount of the buy-out contribution was actuarially determined and the amount of the buy-out contribution is set forth in a “Retirement Restructuring Buyout of Medicare Bridge Benefit Program Memorandum of Agreement” Agreement dated February 23, 2005 by and between the School District and the Association. The amount of the buy-out specified in the Memorandum of Agreement is enforceable through the grievance procedure of the Agreement. These contributions will be deposited on or before November 15July 29, 20082005. The That portion of the lump sum buyout one-time buy-out that has been calculated for the buy-out of a portion of the Retirement Pay will be deposited into a separate account for each eligible teacher in the 401(a) Retirement Savings Plan. That portion, if any, of the lump sum one-time buy-out that has been calculated for the buy-out of the teacher’s potential right to receive, in the future, a Board contribution towards his/her retirement health insurance premiums will be deposited into a separate account for each eligible teacher in the Retirement 501(c)(9) Trust (“Retirement VEBA”) with the exception of the following contribution: Teachers who would be eligible for a buy-out above in paragraph one (1) but are in dental only, vision only, or dental/vision, will receive a prorated buy-out to the equivalent of a buy-out toward a health insurance program as to those teacher’s current respect premiums (dental only, vision only, dental/vision). These amounts will not be deposited in the Retirement VEBA but will be deposited in the teacher’s 401(a) account. If there are any fees charged by the VEBA vendor for the active teachers prior to their retirement, the School District will reimburse for the first four (4) years following the deposit date any fees charged by depositing an amount equal to the fee or fees charged to the account. After the third year (November 2011) a joint committee of up to three (3) Association members and up to three (3) administrators will review the current VEBA vendor with the purpose of determining whether the vendor should be changed for the Retirement VEBA Plan. Since this Retirement Restructuring Program is a replacement for the benefits provided for in Article XIIIVII, Section C1(F) and Article IX, Retirement Pay Section 1 (year of service component of the Retirement Pay formula) and any right to retirement health insurance premiums, that contribution to eligible teachers will not vest until the teacher has a total of ten (10) years or more of service in the Metropolitan School District of Xxxxxxxx Washington Township and reaches the age of fifty (50) years. A teacher who qualifies for and is receiving benefits from the Metropolitan School District of Xxxxxxxx Washington Township Long Term Disability Insurance Plan will continue to accrue years of service creditbecome vested. Teachers on approved leave will accrue years of service for vesting if the teacher’s approved leave pursuant to the Collective Bargaining Agreement grants service credit for salary schedule placement. Teachers on recall who were laid off by the School District will continue to accrue years of service for vesting until the earlier of the following events:

Retirement Restructuring Lump Sum Contribution. In response to both the mandate and opportunity provided by Public Law 253 (Acts of 2001) commonly known as Senate Enrolled Act 199 the Association and the School District engaged in a retirement restructuring review for several years culminating in an agreement in 2008. As a result of this restructuring, teachers (1) who do not elect the transition option benefits of Article XIIIXII1, Section B or who (2) do not qualify for retirement benefits pursuant to Article XII, Section D, will receive a one-time lump sum buy-out contribution. A teacher’s 's eligibility and the data for determining the amount of the lump sum data will be frozen as of the 2007-2008 school year. The amount of the buy-out contribution was actuarially determined and the amount of the buy-out contribution is set forth in a “"Retirement Restructuring Buyout of Medicare Bridge Benefit Program Memorandum of Agreement” " by and between the School District and the Association. The amount of the buy-out specified in the Memorandum of Agreement is enforceable through the grievance procedure of the Agreement. These contributions will be deposited on or before November 15, 2008. The lump sum buyout will be deposited into a separate account for each eligible teacher in the Retirement 501(c)(9) Trust (“"Retirement VEBA”") with the exception of the following contribution: Teachers who would be eligible for a buy-out above in paragraph one (1) but are in dental only, vision only, or dental/vision, will receive a prorated buy-out to the equivalent of a buy-out toward a health insurance program as to those teacher’s 's current respect premiums (dental only, vision only, dental/vision). These amounts will not be deposited in the Retirement VEBA but will be deposited in the teacher’s 's 401(a) account. If there are any fees charged by the VEBA vendor for the active teachers prior to their retirement, the School District will reimburse for the first four (4) years following the deposit date any fees charged by depositing an amount equal to the fee or fees charged to the account. After the third year (November 2011) a joint committee of up to three (3) Association members and up to three (3) administrators will review the current VEBA vendor with the purpose of determining whether the vendor should be changed for the Retirement VEBA Plan. Since this Retirement Restructuring Program is a replacement for the benefits provided for in Article XIII, Section C, that contribution to eligible teachers will not vest until the teacher has a total of ten (10) years or more of service in the Metropolitan School District of Xxxxxxxx Township and reaches the age of fifty (50) years. A teacher who qualifies for and is receiving benefits from the Metropolitan School District of Xxxxxxxx Township Long Term Disability Insurance Plan will continue to accrue years of service credit. Teachers on approved leave will accrue years of service for vesting if the teacher’s 's approved leave pursuant to the Collective Bargaining Agreement grants service credit for salary schedule placement. Teachers on recall who were laid off by the School District will continue to accrue years of service for vesting until the earlier of the following events:

Retirement Restructuring Lump Sum Contribution. In response to both the mandate and opportunity provided by Public Law 253 (Acts of 2001) commonly known as Senate Enrolled Act 199 the Association and the School District engaged in a retirement restructuring review for several years culminating in an agreement in 2008. As a result of this restructuring, teachers (1) who do not elect the transition option benefits of Article XIII, Section B or who (2) do not qualify for retirement benefits pursuant to Article XII, Section D, will receive a one-one- time lump sum buy-out contribution. A teacher’s eligibility and the data for determining the amount of the lump sum data will be frozen as of the 2007-2008 school year. The amount of the buy-out contribution was actuarially determined and the amount of the buy-out contribution is set forth in a “Retirement Restructuring Buyout of Medicare Bridge Benefit Program Memorandum of Agreement” by and between the School District and the Association. The amount of the buy-out specified in the Memorandum of Agreement is enforceable through the grievance procedure of the Agreement. These contributions will be deposited on or before November 15, 2008. The lump sum buyout will be deposited into a separate account for each eligible teacher in the Retirement 501(c)(9) Trust (“Retirement VEBA”) with the exception of the following contribution: Teachers who would be eligible for a buy-out above in paragraph one (1) but are in dental only, vision only, or dental/vision, will receive a prorated buy-out to the equivalent of a buy-out toward a health insurance program as to those teacher’s current respect premiums (dental only, vision only, dental/vision). These amounts will not be deposited in the Retirement VEBA but will be deposited in the teacher’s 401(a) account. If there are any fees charged by the VEBA vendor for the active teachers prior to their retirement, the School District will reimburse for the first four (4) years following the deposit date any fees charged by depositing an amount equal to the fee or fees charged to the account. After the third year (November 2011) a joint committee of up to three (3) Association members and up to three (3) administrators will review the current VEBA vendor with the purpose of determining whether the vendor should be changed for the Retirement VEBA Plan. Since this Retirement Restructuring Program is a replacement for the benefits provided for in Article XIII, Section C, that contribution to eligible teachers will not vest until the teacher has a total of ten (10) years or more of service in the Metropolitan School District of Xxxxxxxx Township and reaches the age of fifty (50) years. A teacher who qualifies for and is receiving benefits from the Metropolitan School District of Xxxxxxxx Township Long Term Disability Insurance Plan will continue to accrue years of service credit. Teachers on approved leave will accrue years of service for vesting if the teacher’s approved leave pursuant to the Collective Bargaining Agreement grants service credit for salary schedule placement. Teachers on recall who were laid off by the School District will continue to accrue years of service for vesting until the earlier of the following events:four

Retirement Restructuring Lump Sum Contribution. In response to both the mandate and opportunity provided by Public Law 253 (Acts of 2001) commonly known as Senate Enrolled Act 199 the Association and the School District engaged in a retirement restructuring review for several years culminating in an agreement in 2008. As a result of this restructuring, teachers (1) who do not elect the transition option benefits of Article XIIIXII1, Section B or who (2) do not qualify for retirement benefits pursuant to Article XII, Section D, will receive a one-time lump sum buy-out contribution. A teacher’s 's eligibility and the data for determining the amount of the lump sum data will be frozen as of the 2007-2008 school year. The amount of the buy-out contribution was actuarially determined and the amount of the buy-out contribution is set forth in a “"Retirement Restructuring Buyout of Medicare Bridge Benefit Program Memorandum of Agreement” " by and between the School District and the Association. The amount of the buy-out specified in the Memorandum of Agreement is enforceable through the grievance procedure of the Agreement. These contributions will be deposited on or before November 15, 2008. The lump sum buyout will be deposited into a separate account for each eligible teacher in the Retirement 501(c)(9) Trust (“"Retirement VEBA”") with the exception of the following contribution: Teachers who would be eligible for a buy-out above in paragraph one (1) but are in dental only, vision only, or dental/vision, will receive a prorated buy-out to the equivalent of a buy-out toward a health insurance program as to those teacher’s 's current respect premiums (dental only, vision only, dental/vision). These amounts will not be deposited in the Retirement VEBA but will be deposited in the teacher’s 's 401(a) account. If there are any fees charged by the VEBA vendor for the active teachers prior to their retirement, the School District will reimburse for the first four (4) years following the deposit date any fees charged by depositing an amount equal to the fee or fees charged to the account. After the third year (November 2011) a joint committee of up to three (3) Association members and up to three (3) administrators will review the current VEBA vendor with the purpose of determining whether the vendor should be changed for the Retirement VEBA Plan. Since this Retirement Restructuring Program is a replacement for the benefits provided for in Article XIII, Section C, that contribution to eligible teachers will not vest until the teacher has a total of ten (10) years or more of service in the Metropolitan School District of Xxxxxxxx Township and reaches the age of fifty (50) years. A teacher who qualifies for and is receiving benefits from the Metropolitan School District of Xxxxxxxx Township Long Term Disability Insurance Plan will continue to accrue years of service credit. Teachers on approved leave will accrue years of service for vesting if the teacher’s 's approved leave pursuant to the Collective Bargaining Agreement grants service credit for salary schedule placement. Teachers on recall who were laid off by the School District will continue to accrue years of service for vesting until the earlier of the following events:: a three (3) years on the recall list when the teacher's recall rights terminate; or b rejects a recall offer to a position for which the teacher is licensed. In the event that either of the above two (2) events occur and the teacher has not become vested then the value of the teacher's account will be forfeited to the Plan and will be reallocated. A teacher meeting the above vesting requirement will become fully vested. A teacher whose employment is terminated prior to vesting or who is on recall status and a forfeiting event occurs prior to vesting will have the then current value of the Retirement Restructuring Buy-Out Payment reallocated at the end of each school year among the then remaining separate Retirement Restructuring Buy-Out Payment accounts in a similar ratio for the reallocation as was the ratio for the initial deposit of the remaining accounts.