are improving and interest rates are expected to remain low, though
Wilkinson stated they will drift a little higher as the government discontinues
the purchase of loans. The war on terror continues to affect the economy as
our country continues to be on guard. The labor force is still not materially
growing and unemployment rates remain around 9 percent.
Wilkinson reminded the committee that this economy will not make a
quick recovery and it will take a long process to recover.
NON-CERTIFICATED EMPLOYEES RETIREMENT PLAN
June 30, 2011
Volume 47
LUMP SUM FACTORS ADDED TO NCERP
WEBSITE CALCULATOR
All NCERP plan participants who have Web access will soon be able to
calculate estimated lump sum benefits. There has been an increased interest
in calculating the estimated lump sum benefit and the necessary steps have
been taken to accomplish this on the NCERP website. The NCERP website
is at www.stlcc.edu/Faculty_and_Staff_Resources/NCERP/Index.html. Click
on the Benefit Calculator on the left-hand side of the page. Estimated
completion of this enhancement feature is anticipated to be completed by
July 30, 2011.
COLUMBIA MANAGEMENT’S INVESTMENT
PRESENTATION AS OF MARCH 31, 2011:
Jim Wilkinson opened his quarterly presentation May 11, 2011, at the
quarterly committee meeting by stating that this quarter has progressed as
a reasonably good pace. The market value of the plan was $60,855,175 on
January 1, and is currently $62,867,139 as of March 31, which is an increase
of $2,158,396. The plan has performed well and exceeds all of the plan’s
benchmarks. The plan is currently up 4.13 percent for the quarter and 14.5
percent year-to-date.
Wilkinson further stated that the markets are still challenging due to the
civil unrest in the Middle East, the tsunami that hit Japan, the financial debt
crisis in Europe and the numerous uncertainties concerning Greece. Locally
there has been some distress over the tornado disasters and the amount of
rivers that will soon reach flood levels. However, these disasters can also aid
the economy due to the increase in workers required to accomplish the
necessary rebuilding efforts. Wilkinson suggested that discretionary spending
may take a hit due to gas prices lingering near $4 per gallon and many
households are contemplating down-sizing their current homes and
vehicles.
The Gross Domestic Product (GDP), reported by Wilkinson, is up 1.8
percent and has remains consistent around 2 percent. Financial conditions
[AFFIX LABEL HERE]
REPORT
FROM
ACTUARY
Don Schisler of Towers Watson, the plan’s actuary, announced to the
NCERP Committee that due to the lump sum factors being the same as last
year’s the factors he previously e-mailed to the NCERP Coordinator, Mr.
Hayden, earlier this week are accurate and can be utilized for the NCERP
calculator on the NCERP website. He understands that the lump sum factors
will now be made available on the NCERP website so all NCERP participants
will soon be able to calculate their estimated lump sum benefit.
Julie Hupperts, Towers Watson, plan’s actuary, stated for the new plan year
beginning July 1, 2011, the lump sum factors will remain the same because they
are at the lowest level, which is 4.5 percent. She also announced the interest
rates for all NCERP participants’ contributions will be set to earn 0.3 percent
for contributions. The rate of return will be calculated and added to all
NCERP participants contributions by July 31, 2010.
The credited interest was determined based upon the plan document,
Section 2.7, which states, “The rate of Credited Interest for each Plan Year ending
on or after June 30, 2001 shall be equal to one-twelfth of the monthly average yields
on one-year Treasury Constant Maturity Securities during the 12 months ending on
April 30th preceding the end of the Plan Year. Such yields shall be taken from
statistical data published by or otherwise available from the Federal Reserve System
Board of Governors.The rate of Credited Interest shall be rounded to the nearest onetenth of one percent.”
The annual average interest over the last year ending April 2011 was
determined to be 0.278 percent and rounded up to .30 percent. All NCERP
participant contributions will earn .30 percent on their NCERP contributions
as of June 30, 2011, and their annual statements reflecting the increase will be
provided by July 31, 2011. This actuarial update was also provided at the
NCERP quarterly committee meeting held May 11.
THE QUARTERLY UPDATES
During the period of January 1-March 31, 2011, six new participants were
added to the plan and three employees separated from the college. Their
returned contributions and credited interest totaled $8,191.50.
Also, four plan participants chose to retire. Two chose the annuity payment
for life, and two chose lump sum payments totaling $207,698.43.
There were two retirees who passed away during this period;
James H. Miller and Dorothy M. Carson, who both worked at Forest Park.
NCERP’S ACCOUNTING SYSTEM
The fiscal year budget report as of March 31 includes the following:
• Total budget for FY 2010: $393,175
• Total invoices paid at the end of quarter as of March 31: $255,883.32 to
include all encumbered expenses
• Balance of budget remaining as of March 31 after all bills paid:
$140,291.68
RETIREMENT INTERVIEW SCHEDULE
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.
NCERP COORDINATOR’S PROPOSED SCHEDULE OF
CAMPUS VISITS
Date: Location:
July 7, 2011
July 14, 2011
July 21, 2011
July 28, 2011
Time:
Forest Park
Florissant Valley
Meramec
Cosand Center
Noon
2 p.m.
2 p.m.
2 p.m.
August 4, 2011
August 11, 2011
August 18, 2011
Forest Park
Florissant Valley
Meramec
Noon
2 p.m.
2 p.m.
September
September
September
September
Forest Park
Florissant Valley
Meramec
Cosand Center
Noon
2 p.m.
2 p.m.
2 p.m.
October 6, 2011
October 13, 2011
October 20, 2011
Forest Park
Florissant Valley
Meramec
Noon
2 p.m.
2 p.m.
November 3, 2011
November 10, 2011
November 17, 2011
Forest Park
Florissant Valley
Meramec
Noon
2 p.m.
2 p.m.
December 1, 2011
December 8, 2011
December 15, 2011
Forest Park
Florissant Valley
Meramec
Noo
2 p.m.
2 p.m.
1, 2011
8, 2011
15, 2011
22, 2011
January
January
January
January
5, 2012
12, 2012
19, 2012
26, 2012
Forest Park
Florissant Valley
Meramec
Cosand Center
Noon
2 p.m.
2 p.m.
2 p.m.
February 2, 2012
February 9, 2012
February 16, 2012
Forest Park
Florissant Valley
Meramec
Noon
2 p.m.
2 p.m.
March 1, 2012
March 8, 2012
March 15, 2012
Forest Park
Florissant Valley
Meramec
Noon
2 p.m.
Noon
UNOFFICIAL…
Locations are:
Cosand Center, Room 208, Florissant Valley, Training Center, TC-109;
Forest Park,VP Academic Affairs’ Conference Room; Meramec, BA-106;
NCERP COMMITTEE MEETING SCHEDULE
S
M
T
W
T
The quarterly NCERP Committee meetings now are being rotated from
various campus locations. The tentative schedule is as follows:
August 10, 2011, Meramec, 9:15 a.m.
November 9, 2011, Forest Park, 9:15 a.m.
February 8, 2012, Cosand Center, 9:15 a.m.
May 9, 2012, Florissant Valley, 9:15 a.m.
BENEFICIARY ACCURACY
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. If there are questions or concerns,
contact James Hayden, plan coordinator, at ext. 5217.
e a ppy
v
a
H
ha
d
an July!
e
saf h of
4t
F
S
MISTAKES THAT CAN DERAILYOUR FINANCIAL SECURITY:
The best way to stay on track with your money is to take a detour around these
common financial planning errors:
• Losing sight of the big picture
Unless you set financial goals and prioritize them, you won’t have a road
map to guide our decisions. For example, if your number one goal is to
send the kids to college, you may have to put off buying a larger house or
taking an expensive vacation:
• Ignoring insurance needs
One uninsured disaster can wipe out years of hard-earned savings.
• Getting into debt problems
Credit is so easy to obtain that it can take a lot of self-discipline to say
“no” to more debt.
• Sending dollars in the wrong direction
For example, it may make more sense to pay off that high-interest credit
card than to try to make an extra payment on your home mortgage.
• Taking a narrow-minded approach to investing
Don’t get caught in a common investor trap of buying and selling stocks
with the single goal of trying to beat the market at all costs.You risk
ending up with an unbalanced portfolio, excessive transaction costs and
taxable capital gains.
• Changing jobs for a bigger salary
It’s equally important to compare the new employer’s benefits with the
ones you already have.
• Ignoring estate planning needs
A will and other estate planning documents can save your heirs a lot of
heartache – and maybe a lot of money.
• Overlooking tax implications
People often fail to take advantage of legal tax breaks or to consider the
tax consequences of financial decisions. Hiring a savvy tax accountant or
financial professional can be money well spent.
• Spending retirement dollars early
When making career changes it is important to place retirement
contributions into IRAs or other investment vehicles rather than using
the retirement funds to offset career move expenses.
• Leaving half the retirement contributions
When retirement funds are matched by the employer (under certain
conditions, i.e., upon retirement, etc.) it is more beneficial to meet those
conditions and receive all the retirement benefits than just taking the
amount paid into the plan.
St. Louis
Community
College
FLORISSANT VALLEY FOREST PARK MERAMEC WILDWOOD
IMPORTANT POINTS OF CONTACT:
Board of Trustees Appointment
Calla White
6688 Chesapeake Drive
Apartment C
Florissant, Missouri 63033
Phone: 314-355-9112
Term expires: BOT’s pleasure
Board of Trustees Appointment
Ruth Lewis
10455 Litzsinger Road
St. Louis, MO 63131
Telephone: 314-567-7098
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
Physical Plant
Mike Wibbenmeyer - Vice Chair
MC – Utilities/HVAC
Phone: 314-984-7749
E-mail: mwibbenmeyer@stlcc.edu
Term expires: Oct. 30, 2013
Non-Unit Representative
Vicki Lucido - Chair
FV - VP Academic Affairs' Office
Telephone: 314-513-4214
e-mail: vlucido@stlcc.edu
Term expires: June 30, 2014
Individuals with speech or hearing impairments
may call via Relay Missouri by dialing 711.
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.
ACCOMMODATIONS STATEMENT
St. Louis Community College makes every reasonable effort to accommodate individuals with disabilities.
If you have accommodation needs, please contact the Access office at the campus where you are
registering at least six weeks before the beginning of the class. Event or other public service
accommodation requests should be made with the event coordinator or applicable location nondiscrimination officer at least two working days prior to the event or public service.
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.
In furtherance of the college’s commitment, grievance procedures for the prompt and equitable
resolution of complaints are set forth in the college’s designated Administrative Procedures.
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.
100468 3/2011