By Patricia Bogumil
Editor
Changes in the retirement benefits now paid to employees of the Waterford Sanitary District are being considered, as commissioners continue to work on the 2013 WSD budget.
At their Nov. 7 monthly meeting, commissioners delayed taking action on the benefits issue, instead voting to ask the WSD accountant to report back to them on what legal options are available from which to choose.
The way it’s been
At the Nov. 7 meeting, commissioners discussed employee retirement benefits now paid through a 457(b) retirement plan that has been in effect since 1995.
Rather than a typical pension program like the one offered for town employees, the WSD plan is more like the 401(k) plans offered by private employers.
WSD does not require its employees to pay anything into their 457(b) retirement plans; instead, WSD pays the entire retirement package for its three full-time employees.
The 2012 WSD budget lists $22,000 to be paid into the retirement plan of Debbie Nelson, the WSD administrator.
Another $38,500 is budgeted in 2012 for retirement plans offered to the two full-time WSD operations employees: Norm Nelson ($16,500) and Gerald Ignatowski ($22,000).
These retirement funds are paid over and above what each employee earns in wages.
That level of benefit appears not likely to continue in the 2013 WSD budget currently being prepared.
Changes eyed
Board President Dan Dickinson recommended Nov. 7 that the current system be modified to “bring our employees here more in line with what we see in the private and public sector.”
Typically, that means a plan in which employees can pay in about 6 percent of their salary, and the employer pays in a matching amount up to a specified maximum limit, Dickinson explained.
“We would not make you pay in,” Dickinson said in answer to a question from Norm Nelson.
According to whatever maximum contribution limit is set, “We would only match what you pay,” Dickinson explained.
Another concept could be for WSD to pay in a fixed (and presumably lower) amount, regardless of whether or how much an employee also contributes.
Legal representation
Commissioners also discussed the issue of legal representation Nov. 7.
John Macy, who had been the WSD attorney, resigned in September as the board was about to begin a discussion about releasing his firm.
Since that time, the full-time WSD employees have hired their own legal counsel to represent their interests as WSD commissioners mull unspecified disciplinary actions that are being considered.
After discussion Nov. 7, the WSD board unanimously voted to hire attorney Michael Dubis for everyday “nuts and bolts” legal representation of the district.
Dubis has represented WSD as legal counsel in years past. He is currently the Town of Waterford’s attorney.
Monday night, town officials unanimously voted their support of Dubis also representing the Sanitary District.
“There’s no conflict of issue – none whatsoever,” commented Town Chairman Robert Langmesser before the town meeting.
Should a conflict of interest ever arise, then Dubis would not represent WSD in the matter.
Before his appointment, Dubis had asked that WSD personnel issues be handled by another law firm.
As a result, commissioners also unanimously approved hiring attorney Dawn Drellos-Thompson of the law firm Pellmann, Drellos & Associates, Brookfield, for representation on Human Resources issues.
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