HomeMy WebLinkAbout2018-33RESOLUTION 2018-33
Creation of a One -Time Voluntary
Early Retirement Incentive Program for Eligible Employees
WHEREAS, the Town of Pulaski, Virginia, is a municipal corporation organized and existing
under the laws of the Commonwealth of Virginia; and
WHEREAS, as part of continued cost control measures for the Town of Pulaski, the Town has
considered the possibility of offering a one-time Voluntary Early Retirement Incentive Program
to Town Employees who qualify for reduced and unreduced VRS retirement benefits and have
a minimum of 15 years of service for the Town by September 18, 2018; and
WHEREAS, the intent of the Program is to reduce annual ongoing payroll costs by providing
incentives for eligible employees to retire by providing retirement benefit enhancements; and
WHEREAS, the Program will offer incentives than include 100% Town of Pulaski contribution
for premium towards health insurance for one of three options: (1) employee only health
insurance for five years or until the employee is eligible for Medicare (If applicable), (2)
employee plus one health insurance for 3 years, or (3) employee plus family health care
insurance for 2 years; and
NOW, THEREFORE be it RESOLVED that the Town of Pulaski, Virginia establishes a One -Time
Early Retirement Incentive Program as follows:
Section 1: All current employees of the the Town of Pulaski Employee who qualify for
reduced or unreduced retirement benefits with VRS as of September 1, 2018 and have a
minimum of 15 years of service with the Town of Pulaski as of September 1, 2018.
Section 2: Eligible Employees retiring pursuant to the Program between September 19,
2018 and January 4, 2019 will receive 100% Town of Pulaski premium contribution, limited by a
a maximum total contribution of $50,000.00, for one of the following:
(a) Employee only health insurance for five (5) years or until the employee is eligible
for Medicare (If applicable),
(b) Employee plus one health insurance for three (3) years, or
(c) Employee plus family health care insurance for two (2) years.
Section 3: In exchange for the incentives described, each participating employee shall execute
an Agreement with the Town of Pulaski, Virginia setting forth the intended retirement date
which shall be no later than January 4, 2019, and releasing all claims against the Town of
Pulaski, Virginia.
Section 4: The aforementioned sections generally define the Program, and the attached
form of Agreement contains all the terms, conditions, timing, specifics and limitations of the
Program as established by the Town.
This resolution is hereby adopted by the Town Council of the Town of Pulaski, Virginia this 18th
day of September, 2018 by the duly recorded vote of the Town Council of the Town of Pulaski,
Virginia as follows:
Lane R. Penn
-Ave
Joseph K. Goodman
-A�ye
Brooks R. Dawson
-Aye
G. Tyler Clontz
- y -
Gregory C. East
-Aye
James A. Radcliffe
-Aye
ZTH::N
vo
ATTEST:
David N. Quesenberry
Clerk of Council
TOWN OF PULASKI EMPLOYEE
VOLUNTARY EARLY RETIREMENT INCENTIVE PROGRAM AGREEMENT
This Agreement, is entered into on the date of signature of the last party to sign it, by and
between the TOWN OF PULASKI (hereinafter, the "TOP"), a municipal corporation, and
, an employee of the TOP (hereinafter, "Employee"). In consideration of the
mutual promises contained herein, the TOP and Employee agree to be bound by the terms of this
Agreement.
RECITALS
WHEREAS, on September 18, 2018, the TOP established by resolution a voluntary one-time
early retirement incentive program (the "Program") attached hereto as Exhibit A, pursuant to
which the TOP offers eligible employees (defined below) certain additional benefits in exchange
for retiring by January 4, 2019; and
WHEREAS, the election period for the Employee to participate in the Program shall commence
on September 19. 2018 and shall conclude at 5:00pm (EST) November 5.2018: and
WHEREAS, the Employee has determined to proceed voluntarily with retirement pursuant to the
Program established by Town Council on September 18.2018; and
WHEREAS, the parties desire to confirm the specific details pertinent to the Employee's
voluntary retirement; and
NOW, THEREFORE, in consideration of the mutual promises and forbearances stated elsewhere
in this Agreement, the parties agree as follows:
(1) Eligibility Requirements. In order to be eligible for the Voluntary Early Retirement
Incentive Program a TOP Employee must meet the following eligibility requirements as
of September 18, 2018:
a. Must be eligible to retire under VRS, whether reduced or unreduced VRS; and
b. Must have at least 15 years of service for the Town of Pulaski.
(2) Election to Participate in Program by Em llooyee.
a. Employee may voluntarily elect to participate in the Program by executing
documentation as described in this section. Employee may submit election
documentation as soon as September 19, 2018; however, the deadline for submission
is 5:00pm (EST) November 5, 2018.
{2345688-2,108892-00001-01)
b. Letter of Retirement By Employee: Prior to, or coinciding with, the execution of this
Agreement, the Employee submitted a letter of retirement from his/her position with
the Human Resources Manager, effective , 2018/9. The effective date of
retirement must be January 4, 2019 or before.
c. Execution of Agreement: Subsequent to, or coinciding with, the submission of a
Letter of Retirement, the Employee submitted an executed Agreement to the Human
Resources Manager, effective , 2018/9.
d. The execution of this Agreement by the TOP will constitute acceptance of the
tendered retirement without the necessity of further action on the part of the TOP.
(3) Special Retirement Incentive for Eligible Employees. In consideration of the
covenants, agreements, and releases made herein by the Employee, the TOP will provide
one (1) of the following options to the Employee:
a. Special Retirement Incentive Options:
i. Five (5) years of single health insurance coverage, 100% premium paid by TOP
{Initial here for election: } ;or
ii. Three (3) years of health insurance coverage for the employee plus one dependent,
100% premium paid by TOP {Initial here for election: }; or
iii. Two (2) years of health insurance coverage for the employee plus family, 100%
premium paid by TOP {Initial here for election: I.
iv. The Employee understands that such health insurance benefit will continue
through the earlier of (i) the time period of the selected plan; the date Employee
becomes Medicare eligible; or the date Employee dies. In the case of Employee
becoming Medicare eligible, Employee -only will be transferred to the Medicare
supplement program for the remainder of the originally agreed upon term, and the
premium for the Medicare Supplement Plan through the current provider shall be
paid by TOP. If the Employee selected option "ii" or "iii" above, coverage for the
dependent(s) will continue until the end of the originally selected timeframe,
subject to Medicare eligibility of the dependent which shall be treated the same as
the Employee.
v. All of the benefits and options described in this Program from the TOP provide
Special Retirement Incentives subject to limitations detailed within this
Agreement, the majority of which are listed below.
b. Limitations on Special. Retirement Incentive:
Town of Pulaski Voluntary Early Retirement Incentive Program Agreement
2
i. The benefit shall be for the medical insurance through the then current provider to
TOP employees. The current provider is The Local Choice administered by
Anthem BCBS.
ii. The benefit shall be for the insurance plan through the current provider known as
the Key Advantage 500 Plan, though the Retiring Employee may elect a then
offered lower deductible plan and pay the additional premium quarterly in
advance. In the event the insurance provider or program shall change, the
insurance program which shall be provided to the Retiring Employee shall be such
plan/program that the TOP offers which is most similar to the current Key
Advantage 500 Plan.
iii. The benefit for an individual who transitions to Medicare is a Medicare
Supplement known as Advantage 65. In the event the insurance provider or
program shall change, the insurance program which shall be provided to the
Retiring Employee shall be such plan/program that the TOP offers which is most
similar to the current Advantage 65.
iv. The benefit shall be the amount of contribution the TOP pays in premium to
provide the respective coverage option the Employee elected. In the event
Employee elects a lower deductible plan, Employee is responsible for difference in
premium cost payable in advance quarterly, and shall make payment for their
respective portion 15 days prior to the quarter of coverage.
v. The benefit payout provided herein is capped at Fifty Thousand Dollars
($50.000.00). The amount herein is a cap and is not redeemable or otherwise due
in any other form to the employee. This cap exceeds what premiums would be
paid based on the aforesaid elections, but is not guaranteed to cover future
premiums due to inability to predict future premium costs.
vi. The election is permanent once made, and cannot be altered to extend any time
limits or expand to additional covered individuals, even if the cap has not been
consumed.
(4) Confirmation and Acknowledgement. Employee further understands and agrees that
the TOP, prior to entering into this Agreement, was not required to make the payment
specified herein under its normal policies and practices and Employee will receive no
further wages, benefits, incentives or similar payments from the TOP, except those to
which he/she would otherwise be entitled to as a retiree of the TOP or as set forth in this
Agreement.
(5) General Release. In consideration of benefits provided for herein and other good and
valuable consideration, the receipt and sufficiency of which are hereby acknowledged,
the Employee hereby releases, acquits, and forever discharges the TOP, together with the
TOP's former and/or present individual officers, members, agents, representatives,
Town of Pulaski Voluntary Early Retirement Incentive Program Agreement
3
contractor employees, and subcontractor employees, and attorneys (collectively referred
to as the "TOP Releasees") from, and Employee does hereby covenant and agree never to
institute or cause to be instituted any suit or other form of action or proceeding of any
kind or nature whatsoever against any of the TOP Releasees based upon: Any and all
claims, demands, indebtedness, agreements, causes of action, obligations, damages,
attorneys' fees, court costs, or liabilities of any nature whatsoever, including without
limitation any claims under any federal, state or local employment laws, whether known
or unknown, direct, indirect, contingent, suspected, or claimed, or from any act(s) or
omissions(s) of any of the TOP Releasees, occurring as of or at any time prior to the
execution of this Agreement, including but not limited to, those claims arising out of the
Employee's participation in the Program, and also including but not limited to, any and
all claims based on any state or federal statute, including but not limited to claims arising
under the Civil Rights Act of 1964, as amended, the Age Discrimination in Employment
Act, as amended, the Americans with Disabilities Act, and the Family and Medical Leave
Act.
Nothing in this Agreement is intended to, or shall, interfere with Employee's rights under
federal, state, or local civil rights or employment discrimination laws to file or otherwise
institute a charge of discrimination, to participate in a proceeding with any appropriate
federal, state, or local government agency enforcing discrimination laws, or to cooperate
with any such agency in its investigation. The provisions of the above paragraph shall
not prohibit the Employee from filing a charge, testifying, assisting, or participating in
any manner in any investigation, hearing, or proceeding with the Equal Employment
Opportunity Commission or any other federal, state or local government agency,
including the Virginia Employment Commission and the National Labor Relations Board;
however, Employee knowingly and voluntarily waives his/her right to seek or accent
any personal relief, monetary or otherwise, in such complaint, charge or
proceedings brought against any of the TOP Releasees, regardless of who filed or
initiated such complaint, charge or proceeding.
(6) Covenants and Warranties. The parties covenant and warrant that they have not
assigned, pledged, or transferred, in whole or in part, any of the claims, demands,
indebtedness, agreements, promises, causes of action, obligations, damages, attorneys'
fees, court costs, or liabilities released pursuant to this Agreement, as of or prior to the
execution of this Agreement.
(7) No Future Lawsuits. Employee promises never to file a lawsuit asserting any claims
that are released in paragraph (5) herein. In the event Employee breaches this paragraph
(7), Employee shall pay to the TOP (or other TOP Releasee affected by the breach) all of
its expenses incurred as a result of such breach, including but not limited to reasonable
attorney's fees and expenses.
(8) Special Release Notifications. Employee acknowledges the following:
Town of Pulaski Voluntary Early Retirement Incentive Program Agreement
4
a. That the benefits provided to Employee herein are greater than those to which
Employee is already entitled to receive from the TOP; and
b. That Employee has been advised that this release includes, but is not limited to,
all claims under the ADEA arising up to and including the date of execution of
this release, and that this release does not include claims that may arise after the
date of execution of this release; and
C. That Employee has been advised to consult with an attorney and/or other advisor
of his choosing concerning his rights and obligations under this release; and
d. That Employee has been advised to consider fully this release before executing it;
and
e. That Employee has been offered ample time and opportunity, in excess of 45
days, to do so; and
£ That, during the 7 day period following the date Employee executes this
Agreement, Employee may revoke his acceptance of the Agreement by delivering
written notice to Town Manager, 42 1st Street NW, Pulaski, VA 24301. If
Employee revokes acceptance, this Agreement shall not become effective or
enforceable; if Employee does not revoke acceptance, the eighth (8th) day after
execution by Employee shall be the effective date of this Agreement.
(9) Construction of Agreement.
a. Governing Law. This Agreement is, and shall be, governed by the laws of the
Commonwealth of Virginia and is enforceable only in the state or federal courts of
the Commonwealth of Virginia.
b. Severablility Clause. Should any provision in this Agreement be declared or
determined to be illegal or invalid, the validity of the remaining parts, terms, or
provisions shall not be affected thereby, and the illegal or invalid part, term, or
provision shall be deemed not to be part of this Agreement, and all remaining
provisions shall remain valid and enforceable.
(10) Acknowledgement. Employee acknowledges that Employee has signed this Agreement
freely and voluntarily without duress of any kind. Employee has conferred with an
attorney or has knowingly and voluntarily chosen not to confer with an attorney about the
Agreement. In addition, Employee acknowledges that attached to this Agreement as
Exhibit B is a chart listing the job titles and ages of all individuals participating the
Program (as of this time) and the job titles and ages of all individuals (including those in
the same job classification or organizational unit) not selected for the Program. The only
time limitations and eligibility factors applicable to the Program are those contained in
Town of Pulaski Voluntary Early Retirement Incentive Program Agreement
5
this Agreement. All employees in all departments of TOP were considered under the
program.
(11) Binding Agreement
a. The parties agree that they are entering into this Agreement knowingly and
voluntarily.
b. The parties understand and agree that all terms of this Agreement are contractual
and are not a mere recital, and represent and warrant that they are competent and
possess the full and complete authority to covenant and agree as herein provided.
It is the intention of the parties that the provisions hereof be binding upon the
parties, their employees, affiliates, agents, heirs, successors and assigns forever.
C. Employee understands, agrees, and represents that the covenants made herein and
the releases herein executed may affect rights and liabilities of substantial extent
and agrees that the covenants and releases provided herein are in his/her best
interest. Employee represents and warrants that, in executing this Agreement, he/
she has had an adequate opportunity to consult competent counsel or other
representatives of his/her choosing concerning the meaning and effect of each
term and provision hereof, and that there are no representations, promises or
agreements other than those expressly set forth in writing herein.
d. The parties have carefully read this Agreement in its entirety; fully understand and
agree to its terms and provisions, intend and agree that it is final and binding and
understand that, in the event of a breach, either party may seek relief, including
damages, restitution and injunctive relief, at law or in equity, in a court of
competent jurisdiction. Furthermore, the parties agree that this document
constitutes the entire agreement among the parties, and supersedes all prior
written and verbal agreements.
e. Any modification of this Agreement shall be binding only if evidenced in writing
signed by both parties.
THE REMAINDER OF THIS PAGE IS INTENTIONALLY BLANK
Town of Pulaski Voluntary Early Retirement Incentive Program Agreement
6
(SEAL)
Employee
Date of signature
STATE OF
TOWN/COUNTY OF
Pulaski Town Manager
Date of signature
to -wit:
(SEAL)
1, , a Notary Public in and for the said
jurisdiction, do hereby certify that , whose name is signed to the foregoing, did
appear before me to acknowledge the same in the jurisdiction aforesaid.
GIVEN under my hand and seal this day of
My commission expires:
STATE OF
TOWN/COUNTY OF
to -wit:
Notary Public
2018.
1, , a Notary Public in and for the said
jurisdiction, do hereby certify that Shawn M. Utt, Town Manager for the Town of Pulaski,
Virginia, whose name is signed to the foregoing, did appear before me to acknowledge the same
in the jurisdiction aforesaid.
GIVEN under my hand and seal this day of
Notary Public
My commission expires:
Town of Pulaski Voluntary Early Retirement Incentive Program Agreement
7
2018.
EXHIBIT B
TOWN OF PULASKI
VOLUNTARY EARLY RETIREMENT INCENTIVE PROGRAM
DISCLOSURE STATEMENT
ELIGIBILITY FACTORS
The decisional unit for the Voluntary Early Retirement Incentive Program (i.e., those
employees who were considered for inclusion) includes all employees of the Town of Pulaski
("TOP") . Employees are eligible and are included in the program only if they are eligible to
retire under VRS, whether reduced or unreduced VRS, and that have at least 15 years of service
with the TOP as of September 18, 2018.
TIME LIMITS
The only time limits are those described in Sections 2 and 8 of the Voluntary Early
Retirement Incentive Program Agreement.
THE JOB TITLES AND AGES OF ALL INDIVIDUALS SELECTED AND NOT
SELECTED FOR VOLUNTARY RETIREMENT OFFER WITHIN THE DECISIONAL
UNIT ARE SHOWN BELOW:
Job Title
Age as of
September 18, 2018
(Selection Date)
Selected for Voluntary
Retirement Offer
[yes/no]
Account Clerk II
43.6
No
Accounts Payable Specialist II
58.9
Yes
Acount Clerk III
50.7
No
Administrative Manager III
48.9
No
Administrative Manager III
57.4
Yes
Administrative Manager III
50.6
Yes
Administrative Secretary II
46.2
No
Administrative Secretary II
52.3
No
Administrative Secretary II
23.5
No
Assistant Finance Director
48.7
No
(2345718-1,108892-00001-01)
Assistant Superintendent
49.2
No
Assistant to the Town Manager/Clerk of
Council
61.2
Yes
Building Permits Clerk
37.2
No
Captain - Fire
35.0
No
Captain - Fire
47.5
No
Captain - Fire
35.8
No
Captain - Police
53.3
Yes
Code Enforcement Officer
56.3
No
Community Relations Director
54.3
Yes
Corporal - Police
28.8
No
Corporal - Police
32.8
No
Corporal - Police
26.2
No
Corporal - Police
27.4
No
Crew Leader - Streets
34.6
No
Crew Leader - Streets
50.7
No
Crew Leader - Streets
57.9
No
Deputy Town Manager
42.0
No
Director of Parks & Facilities
63.8
Yes
Equipment Maintenance Technician
48.3
No
Equipment Operator I
27.3
No
Equipment Operator I
60.6
No
Equipment Operator I
27.7
No
Finance Director
42.3
No
Fire Chief
39.0
No
Fire Marshal
53.8
Yes
Firefighter I
31.0
No
Firefighter I
37.1
No
(2345718-1,108892-00001-01)
Firefighter I
31.9
No
Gatewood Park Manager
54.0
Yes
General Properties Superintendent
59.6
Yes
Horticulturalist
56.5
Yes
Human Resources Manager
66.1
No
Information Technology Manager
64.1
Yes
Laborer - General Properties
23.6
No
Laborer - Sewer
20.2
No
Laborer - Sewer
61.3
Yes
Laborer - Streets Department
59.1
No
Laborer - Streets Department
59.8
No
Laborer - Streets Department
57.0
No
Lieutenant - Police
44.0
No
Lieutenant - Police
45.7
No
Lieutenant - Police
53.0
Yes
Meter Reader - Water Department
62.7
Yes
Park Maintenance Technician
57.4
No
Police Chief
64.6
Yes
Police Detective
44.4
No
Police Officer I
41.1
No
Police Officer I
24.9
No
Police Officer I
29.0
No
Police Officer I
22.4
No
Police Officer II
23.0
No
Police Officer II
26.9
No
Police Officer II
23.5
No
Police Officer III
32.0
No
Police Officer III
32.1
No
(2345718-1. 108892-00001-01)
Police Officer III
32.1
No
Police Officer III
28.7
No
Project Engineer
34.7
No
Sergeant - Fire
38.2
No
Sergeant - Fire
27.3
No
Sergeant - Fire
30.0
No
Sergeant - Police
42.9
No
Sergeant - Police
42.5
No
Sergeant - Police
37.1
No
Sergeant - Police
32.9
No
Sergeant - Police
34.8
No
Sergeant - Police
56.7
Yes
Street Superintendent
54.9
No
Tax Specialist II
61.1
No
Town Engineer
54.0
Yes
Town Manager
42.2
No
Town Planner
34.3
No
Utility Billing Specialist II
44.5
No
Vehicle Maintenance Superintendent
63.8
Yes
Vehicle Mechanic
45.2
No
Vehicle Mechanic
57.3
No
Water Plant Assistant Chief Operator
55.2
No
Water Plant Chief Operator
62.5
No
Water Plant Operator I
30.2
No
Water Plant Operator II
38.9
No
Water Plant Operator II
55.5
No
Water Plant Operator II
39.1
No
Water Plant Operator II
40.2
No
(2345718-1, 108892-00001-01)
Water/Sewer Superintendent 49.1 No
(2345718-1,108892-00001-01)