NON-CERTIFICATED EMPLOYEES RETIREMENT PLAN
September 16, 2012
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Volume 52
Christina Carpenter, client service manager, opened her annual presentation by providing the strategic direction of State Street Retirement
Services which is basically to provide top notch service to all clients. The main emphasis specifically is to increase the goals of the Information
Technology department to position the company for enhanced growth.
That acceleration includes the ability to provide faster time to market, an integrated security environment, real-time data infrastructure, and an advance platform for product innovation resulting in strengthened client service.
Carpenter further disclosed to the NCERP committee that the market value of the NCERP retirement fund has decreased by 0.78 percent during the period of June 30, 2011, through June 30, 2012. She outlined in detail that market value for the plan as of June 30, 2011, was $62,684,612.20, and the market value as of June 30, 2012, is $62,193,524.71, a mere 0.78
percent decrease, not even a whole percentage point. Carpenter further indicated that gains are always a plus of course, but if losses are present, the smaller the better. She insisted the plan is in great shape from a trust stand point with only minimal losses from the previous year.
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30, 2012:
James Wilkinson, senior institutional relationship manager, Columbia
Management, started his quarterly presentation by stating the first quarter real Gross Domestic Product (GDP) reversed downward to 1.9 percent, well below fourth quarter growth of 3.0 percent. Manufacturing contracted for first time since July 2009, labor markets indicators have shown some weakness after a strong start to the year may have been driven by seasonal factors. The unemployment rate rose to 8.2 percent in May 2012, but the under employed rate is at about 15 percent. Housing market has brought about some broad-based gains that suggest that real-estate is stabilizing and inflation is currently under 2 percent.
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The plan started fourth quarter at a little under $63.5M, withdrawals were a little over $200K, the amount of income earned reflected $334K, the change in market value was a negative – $1,396,435, ending market value was $62,196,674, with a loss of a minus 1.69 percent. The plan year to date earned 6.69 percent, 1 year earned 3.16 percent, last three years earnings were at 12.81 percent and over the last five years over 3 percent. Wilkinson proclaims the plan benefits because of the diversification of its funds. A sneak peek for the month of July 2012 reveals about a 1 percent increase in market value thus far.
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This quarter the plan’s actuary, Don Schisler, Tower’s Watson, was not present at the quarterly committee meeting as he is preparing for his meeting the NCERP committee Sept. 25, 2012. This meeting will discuss the annual actuarial report.
Each NCERP committee representative is soliciting input from their respective plan participants to address any plan concerns, possible enhancement ideas, or evaluations of the plan’s future, to be discussed at the Sept. 25, 2012, special meeting. Please take the necessary steps to contact your NCERP representative by email to express your concerns and their point of contact information is listed on the back panel of this brochure.
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Congratulations are in order for Vicki Lucido who has been elected to serve the NCERP as the chairperson for the upcoming year and Mike
Wibbenmeyer has also been elected to serve as the NCERP vice chairperson. These elections were conducted on the recent NCERP quarterly committee meeting held Aug. 8, 2012.
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The plan’s actuary, Schisler, Towers Watson, has recently shared with the
NCERP committee via email, the results of him checking with the United
States Department of Labor Consumer Price Index (CPI-U) data from
June 2011 to June 2012, resulting in a CPI-U increase of 1.7 percent.
Under NCERP policy the committee may recommend a cost-of-living adjustment (COLA) to the Board of Trustees (BOT) for retirees if the
CPU-I increases is less than 4 percent for the year. The NCERP committee has decided to move forward and recommend a 1.7 percent
COLA increase for all eligible retirees. There wasn’t a COLA increase for
January 1, 2010, a 1.1 percent increase for Jan. 1, 2011, and a 3.7 increase for January 2012. Pending the BOT’s approval the COLA increase will tentatively go into effect Jan. 1, 2013.
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During the period of April –June 30, 2012, eight new participants were added to the plan and two participants terminated from the college. The returned contributions and credited interest for those individuals leaving the plan totaled almost $10K.
Also, during the same period, two plan participants chose to retire and selected annuity payments for life. Four elected the lump sum option and among those includes one participant opted for the 50 percent annuity/50 percent lump sum option. One NCERP plan participant elected to apply for deferred vested status, allowing him access to retirement benefits upon his eligibility. There were two retirees who passed away during this past quarter; Edwin Howell who worked at the Florissant Valley campus, and
Henderson Tuggles who worked at the Meramec campus.
NCERP’
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The fiscal year budget report as of June 30, 2012, includes the following:
• Total budget for FY 2011: $398,431.00
• Total invoices paid at through the end of quarter is; $346,784.60
• Balance of budget as of June 30, 2012, after all bills paid: $51,646.40
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The quarterly NCERP Committee meetings now are being rotated from various campus locations. The tentative schedule is as follows:
Nov. 14, 2012, Florissant Valley, 9:15 a.m.
Feb. 13, 2013, Cosand Center, 9:15 a.m.
May 8, 2013, Forest Park, 9:15 a.m.
Aug. 14, 2013, Meramec, 9:15 a.m.
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Make sure beneficiary information on file for NCERP retirement contributions is accurate. Failure to do so could result in retirement contributions being paid to the employee’s estate versus having the contributions going to loved ones. I f there are questions or concerns, contact
James Hayden
, plan coordinator, at ext. 5217
.
If employees would like an estimate of their retirement benefits, attend any of the campus visits made by
James Hayden
, plan coordinator, ext.
5217
. Please call at least one week before the scheduled visit to ensure the retirement assessment is complete. Every participant is encouraged to contact Hayden at any time to obtain a retirement benefit assessment.

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NCERP Coordinator’s Proposed Schedule of Campus Visits
Date:
Sep. 20, 2012
Sep. 27, 2012
Location:
Meramec
Cosand Center
Time:
2 p.m.
2 p.m.
Oct. 4, 2012
Oct. 11, 2012
Oct 18, 2012
Nov 1, 2012
Nov 7, 2012
Nov 14, 2012
Nov 22, 2012
Dec 6, 2012
Dec 13, 2012
Dec 20, 2012
January 3, 2013
January 10, 2013
January 17, 2013
January 24, 2013
February 7, 2013
February 14, 2013
February 21, 2013
March 7, 2013
March 14, 2013
March 21, 2013
March 28, 2013
April 4, 2013
April 11, 2013
April 18, 2013
May 2, 2013
May 9, 2013
May 16, 2013
May 23, 2013
Forest Park
Florissant Valley
Meramec
Forest Park
Florissant Valley
Meramec
Cosand Center
Forest Park
Florissant Valley
Meramec
Forest Park
Florissant Valley
Meramec
Cosand Center
Forest Park
Florissant Valley
Meramec
Forest Park
Florissant Valley
Meramec
Cosand Center
Forest Park
Florissant Valley
Meramec
Forest Park
Florissant Valley
Meramec
Cosand Center
June 6, 2013
June 13, 213
June 20, 2013
Forest Park
Florissant Valley
Meramec
Noon
2 p.m.
2 p.m.
Locations are: Florissant Valley
, Training Center, TC-109;
Forest Park
, VP Academic Affairs’ Conference Room;
Meramec
, BA-106;
Cosand Center
, Room 208.
Noon
2 p.m.
2 p.m.
Noon
2 p.m.
2 p.m.
2 p.m.
Noon
2 p.m.
2 p.m.
Noon
2 p.m.
2 p.m.
2 p.m.
Noon
2 p.m.
2 p.m.
Noon
2 p.m.
2 p.m.
2 p.m.
Noon
2 p.m.
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Noon
2 p.m.
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2 p.m.
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NCERP IS A DEFINED BENEFIT PLAN:
Recent stock market volatility has many of us thinking about the safety of our retirement savings. Good news is you needn’t worry about your future NCERP retirement benefit. Your retirement benefit is safe, in large because NCERP is what is known as a defined benefit plan.
In a defined benefit plan or DB plan, your benefit at retirement is not at risk, even when investment returns are down.
A Formula for a Lifetime:
Your benefit amount is determined by a preset formula. The formula takes into account your years of service credit at retirement, and your final average monthly salary.
You and your employer, St. Louis Community College, make contributions to the retirement plan, paid directly to the plan’s trust agency, State Street Corporation, Specialized Trust Service. These funds are invested by professionals, Columbia Management, and used to pay retirement and survivor benefits to NCERP retirees.
Your account balance (the contributions you have paid and the interest earned) has no impact on your benefit amount. The monthly benefit amount is guaranteed for our lifetime so you cannot outlive your retirement benefits.
How a Defined Contribution Plan Differs:
Consider this in contrast to the defined contribution or DC plans offered by many employers [examples include 457, 401(k), 403(b) accounts]. In this type of plan, retirement benefits are determined by the amount in your personal retirement account at the time of retirement. Typically, both you and your employer contribute to the personal account while you are working, but you have responsibility for determining how the funds will be invested. Lack of investment expertise, along with volatile markets, can lead to situations in which you may outlive your retirement funds or have to delay your retirement for a few more years while rebuilding your assets.
NCERP membership has its benefits:
• Predictable, guaranteed benefits for life
• Disability survivor and death benefits
• Early retirement, lump and partial lump sum options for all participants
• Professionally invested – you don’t have to try to do it yourself
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Board of Trustees Appointment
Calla White
6688 Chesapeake Drive
Apt. C
Florissant, MO 63033
Phone: 314-355-9112
Term expires: BOT’s pleasure
Unit Representative
Kevin White
FP - Media Services
Phone: 314-644-9213
E-mail: kwhite@stlcc.edu
Term expires: June 30, 2013
Board of Trustees Appointment
Ruth Lewis
10455 Litzsinger Road
St. Louis, MO 63131
Telephone: 314-567-7098
Term Expires: BOT’s pleasure
Physical Plant
Mike Wibbenmeyer
MC – Utilities/HVAC
Phone: 314-984-7749
Vice Chair
E-mail: mwibbenmeyer@stlcc.edu
Term expires: Oct. 30, 2013
Individuals with speech or hearing impairments may call via Relay Missouri by dialing 711.
Non-Unit Representative
FV - VP Academic Affairs office
Telephone: 314-513-4214 e-mail: vlucido@stlcc.edu
Term expires: June 30, 2014
Any suggestions for improvements, questions, comments or other concerns about the retirement plan may be directed to any of the NCERP Committee representatives. Any proposed agenda items may be sent to James Hayden or the employee representative 10 days prior to the meeting date.
This newsletter is designed to summarize and explain basic changes in the Non-Certificated
Employees Retirement Plan and provides updates on other related matters. Since it is only a summary, this newsletter does not cover the plan's provisions in detail. Therefore, if there is any conflict between this newsletter and the plan document itself, the plan document will always govern. An official copy of the plan is available for inspection in the Human Resources department at the Joseph P. Cosand Community College Center, 300 South Broadway, St. Louis, Mo. and in each campus’ library during regular business hours.
NON-DISCRIMINATION STATEMENT
St. Louis Community College is committed to non-discrimination and equal opportunities in its admissions, educational programs, activities and employment regardless of race, color, creed, religion, sex, sexual orientation, national origin, ancestry, age, disability, genetic information or status as a disabled or Vietnam-era veteran and shall take action necessary to ensure non-discrimination.
For information or concerns relating to discrimination matters, contact the following: for matters relating to disabilities, contact Section 504/Title II Coordinator Donna Dare at
314-539-5285; for matters relating to sex discrimination, contact Title IX Coordinator Pam
McIntyre at 636-422-2250.
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