Henrico County VA
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School Board analyzes post-retirement program


A program that pays retired Henrico school system employees a percentage of their final annual salaries in exchange for their part-time work within the system saves considerable money on substitute teacher expenses but could provide even more value to the system with several adjustments.

That was the conclusion of an in-depth analysis completed by county and school system finance officials, who presented their findings to the School Board Sept. 13.

At the beginning of the current fiscal year in July, the board increased the requirements of retirees who participate in the Post-Retirement Earnings Plan (PREP) program, mandating that they work at least 28 days during the school year in order to receive pay equal to 20 percent of their final annual paychecks. Eligible retirees may participate in the program for a maximum of seven years; 388 participate currently.

It was the third change made in the past three years by the board, which is seeking to squeeze more value from the 32-year-old program while reducing its annual cost. The PREP budget has dropped from its peak of $8.9 million in 2009 to $5.6 million during the current fiscal year. Prior to this year’s change, PREP participants received 22 percent of their final paycheck in exchange for working 24 days a year.

The program was created in 1980 as a way to provide a benefit to employees, encourage early retirement and save the school system money. During its budget process this spring, the School Board sought specific data to better determine the effectiveness and value of the program. But last week’s work session was proof that categorizing that value is a challenging exercise.

Though it’s relatively easy to determine the cost savings that results from using PREP retirees as substitute teachers – since there is a standard rate of pay for substitutes – it’s much more difficult to determine the value of administrative retirees who perform a variety of other responsibilities, Henrico Finance Director Gene Walter told the School Board.

Walter and his staff studied 507 PREP participants who entered the program during the past seven years and whose replacements were hired immediately upon their retirement. (The study didn’t include nearly 50 other participants whose former positions were eliminated, he said.)

Of those 507, 317 were retired teachers whose combined participation during those seven years saved the system $1.18 for each $1 it spent on the program, Walter said.

But Walter and his analysts could not determine a dollar-to-dollar estimate for the other 190 participants because their roles within the system were less defined and often entailed duties for which the system wouldn’t have hired temporary help.

School system officials recommended that the board consider a number of changes to the program that would make it easier to determine a clear value for each dollar spent in the program, including:

• assigning every participant to serve either as a substitute teacher (if qualified) or to fill another capacity with specific and direct calculable benefit to the system (such as SOL remediation);

• capping the maximum allowable salary to a participant at $90,000 annually;

• increasing the number of required years of Henrico service from 10 years to 15 years for eligible retirees and reducing the number of required years of service in the Virginia Retirement System from 16 to 15;

• requiring that interested participants notify the system of their intent by Dec. 1 annually and begin their participation the following July 1 (as opposed to the current system, which permits entry throughout the year – a minimum of 30 days after retirement – and makes budgeting for the program less predictable);

• grandfathering all current participants under the current standards until they have completed their seven years or dropped out of the program.

“We have determined that there’s a large responsibility on everyone’s part here to develop something that’s going to be very beneficial and cost-effective and also value-added to the school system,” Superintendent Pat Russo said during the work session. “That’s where we want to move this program.”

Current guidelines require that participants be at least 50 years old without having attained the age for full, unreduced Social Security benefits. The program initially was designed in part to serve as a bridge between retirement and Social Security, HCPS Finance Director Kevin Smith told the board. Using current standards, 854 current school system employees would be eligible to participate in the PREP program if they retired, HCPS Human Resources Executive Director Howard Banks said.

The board is expected to discuss the recommendations and the PREP program again at a meeting next month.
Community

Author, child abuse survivor to speak at Henrico event

To help celebrate twenty years of service to advocating for abused and neglected children in Henrico County, Henrico Court Appointed Special Advocates, Inc. (CASA) will host an evening with bestselling author K.L. Randis on Tuesday, Aug. 26, from 5:30 p.m. to 7:30 p.m. at Belmont Recreation Center in Lakeside.

Randis is best known for her bestselling novel, Spilled Milk, which tells her painful – but ultimately triumphant – personal story of abuse and of child abuse prevention. The book is her first novel.

The event is free to the public, but seating is limited Reservations may be made by e-mailing .(JavaScript must be enabled to view this email address). Belmon Recreation Center is located at 1600 Hilliard Road. > Read more.

Philippines ambassador to the US visits Filipino Festival in Henrico


The Ambassador of the Philippines to the United States Jose L. Cuisia, Jr. attended the Ninth Annual Filipino Festival at Our Lady of Lourdes Church earlier this month. Cuisia (pictured above with festival performers) was welcomed by County Manager John Vithoulkas and Brookland District Supervisor Dick Glover (below) at the church, which is located in Lakeside.

While enjoying some of the cultural performances at the festival, the ambassador and his wife had a private lunch with Vithoulkas, Glover, Eldon Burton (an outreach representative from U.S. Senator Mark R. Warner’s Office) and Father James Begley, the pastor of OLL. > Read more.

Dragon boats invade the James

Hundreds of spectators filled the banks of the James River to watch two dozen teams of competitors in the Walgreen’s Richmond International Dragon Boat Festival at Rocketts Landing Aug. 2. The event included a number of races, as well as several cultural performances. The sport is billed as the fastest growing water sport in the world.(Photo by Roger Walk for the Henrico Citizen) > Read more.

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Entertainment

‘Planes’ sequel crashes

‘Fire and Rescue’ proves too predictable, boring

Planes: Fire and Rescue opens with a dedication to the hero firefighters of the world. It’s an admirable notion, and it makes sense, given that this is a film about planes that fight fires.

But here it might be a little out of place, as Planes: Fire and Rescue has a few things on its mind besides supporting the men and women who routinely throw themselves into burning buildings.

Like money. Lots and lots of money – into the 11-figures-and-counting range. In case you weren’t aware, 2006’s Cars was the biggest moneymaker Disney had in decades – not because of how much green the film printed at the box office, but because a combination of toys, games and snack foods stamped with the Cars seal of approval routinely pulls in tens of billions of dollars per year. > Read more.

Weekend Top 10


This weekend in Henrico, you can learn about fall herbs or mad science. Enjoy some laughs from West End Comedy or Three-Penny Theatre’s production of “The Rivah Home Companion.” For music lovers, Jennifer Nettles is in concert tonight and the fifth annual GWAR-B-Q takes place tomorrow at Hadad’s Lake. For all our top picks this weekend, click here! > Read more.

Restaurant watch

Find out how your favorite dining establishments fared during their most recent inspections by the Virginia Department of Health. > Read more.

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Best-selling author K.L. Randis will discuss her novel, “Spilled Milk,” as well as her personal story of child abuse and child abuse prevention at 5:30 p.m. at Belmont Recreation Center… Full text

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