Teachers’ Retirement Board

 

 

At a Glance

 

DARLENE PEREZ, Administrator

Established - 1917

Statutory authority – CGS Chapter 167a

Central office - 21 Grand Street

                Hartford, CT  06106

Average number of full-time employees - 23

Recurring operating expenses - $1,950,266

Appropriation expended for Funding Normal Cost

and Past Service Liabilities and Health Services -

$197,554,209

Organizational structure - Administrative Division, Retirement Division, Accounting Division, Information Systems Division.

 

Mission

The mission of the Teachers' Retirement Board is to obtain adequate funding to pay all benefits and to effectively administer the retirement system; to protect and administer the statutory rights and benefits of members of the State Teachers' Retirement System, and to provide pre/post retirement services.

 

Statutory Responsibility

     The provisions of the Teachers' Retirement System are contained in Chapter 167a of the Connecticut General Statutes to provide retirement, disability, survivorship and health insurance benefits for Connecticut public school teachers and their beneficiaries.  The benefits of the program are funded by employee contributions, state appropriations and investment income.  The program is intended to provide financial security at retirement for career Connecticut public school teachers, to replace lost income as a result of disability and to provide benefits to survivors of teachers who die while actively teaching.  Members of the system are informed of their rights, benefits and responsibilities to claim benefits by receiving annual statements of benefits, newsletters and topical publications.  In addition, individual counseling programs are available, on a limited basis, to assist members in the retirement planning process.

 

Public Service

     The agency is committed to providing each member with the necessary information to make intelligent and informed decisions regarding disability, retirement, survivor, and health benefits.  Each non-retired member receives an Annual Statement of Benefits that provides a complete record of their credited service and earnings history. In addition, the agency publishes a newsletter for both active and retired members, The TRiB, and a variety of topical publications and brochures to assist in dealing with retirement issues.  The agency continues to improve and expand its website www.state.ct.us/trb to provide better and timely access to information to members.

 

Improvements/Achievements 2003-04

     Organizational changes were identified and executed to help the agency through the recovery process of losing many staff members to layoffs and the early retirement incentive program.  The agency fulfilled its statutory requirement of issuing retirement benefits to all current and newly retired members in a timely manner.  The retirement benefits that the agency initiates are based on current salary information, therefore the initial benefits are accurate at time of initiation. 

 

Reducing Waste

     The agency saved thousand of dollars by posting its newsletter on the website rather than mailing it to the home of each member.  Additional savings in print, postage and staff costs were realized by posting various forms and bulletins on the web for members to download, print and utilize.  The agency has found the website to be an invaluable source of savings as changes to forms and bulletins can be done on an “as needed” basis.

 

Strategic Planning

     The agency took the opportunity to perform a workflow and workload analysis deemed necessary due to layoffs and an early retirement incentive program which resulted in the loss of many senior staff members with a great number of years of institutional knowledge.  There are a growing number of “baby boomers” approaching retirement age who are in need of specific financial retirement information.  The goal of the agency is to restore and maintain an adequate workforce to keep up with the growing demands.

     Plans continue on the goal of making the agency website interactive.  The agency expects to receive a budget for this project within the next two years.  This project will allow members to gain access to their account information and initiate changes.

 

Affirmative Action

     It is the policy of the Teachers’ Retirement Board to assure non-discrimination and affirmative action in all phases of the employment process including recruitment, application, interviewing, selection and testing, appointing, assigning, orientation, training, evaluation, promotion and counseling without regard to race, color, religious creed, sex, age, national origin, ancestry, physical disability, learning disability, marital status, sexual orientation, present or past history of mental disorder, mental retardation, political beliefs or criminal record.

     To carry out this policy, the Board has undertaken positive action to overcome the present effects of past discrimination and to achieve, in a meaningful way, the full and fair utilization of women and minorities in the work force.  It has developed a program of affirmative action and equal employment opportunity as an immediate and necessary objective that it pledges to aggressively pursue in every phase of its personnel policies.  The Board shall continue to provide its services in a fair and impartial manner.                 

 

       Administration - Personnel

Management of the Teachers’ Retirement System is vested in the Teachers’ Retirement Board.  The following persons were members of the Teachers’ Retirement Board on June 30, 2004:

 

Teacher Members                                    Public Members                                          Ex-Officio

Mrs. Clare H. Barnett                             Eugene Cimiano                                          Betty Sternberg

Chairperson                                              Hartford, CT                                                 Commissioner

Danbury Teacher                                                                                                             State Department

                                                                     Elaine T. Lowengard                                   Of Education

Rosalyn B. Schoonmaker                       West Hartford, CT                                     

Vice-Chairperson                                   

Retired Teacher                                       Deborah Freedman                                      Patricia Wilson-Coker

Bridgeport                                                 Simsbury, CT                                               Commissioner

                                                                                                                                             State Department

                                                                     Martin M. Lilienthal                                   of Social Services

Marion S. Jewell                                      Meriden, CT

Retired Teacher                                      

Darien                                                        Augustine M. Masiello

                                                                     Woodstock, CT

Mary Nicholas

Vernon Teacher

 

Robert Scalzo

Danbury Teacher

 

 

                                                                                                                           2003-2004                          2002-2003                       

AGENCY STAFF (FUNDED)                                                                                 26                                                    29

MEMBERSHIP

        Active                                                                                                         51,791                                             48,888

        Inactive                                                                                                         8,511                                               8,342               

        Retired                                                                                                        23,608                                             22,770

 

RETIREMENT DURING THE YEAR                                                             1,497                                              1,532

        Regular retirement                                                                                          896                                                  811

        Disability retirement                                                                                        32                                                    36

        Early Retirement                                                                                             470                                                  551

        Proratable                                                                                                          41                                                    88

        Deferred retirement                                                                                          58                                                    46

        Average age at retirement                                                                              59.32                                               59.1

        Average length of service                                                                              31.38                                               30.8

        Average salary base                                                                               $68,289                                           $66,516

        Average annual retirement allowance                                                 $41,436                                           $39,266

 

AVERAGE ANNUAL RETIREMENT ALLOWANCES

        All retirements                                                                                         $35,372                                           $34,091

        Regular retirement                                                                                   $41,362                                           $39,732

        Disability retirement                                                                               $24,691                                           $24,226

        Early retirement                                                                                       $31,809                                           $30,964

        Proratable retirement                                                                              $14,143                                           $13,598

        Deferred retirement                                                                                 $11,003                                           $10,680

 

RETIREMENT FUND BALANCE 7/1                                         $6,915,050,228                           $6,844,380,906

 

RETIREMENT PAYMENTS DURING THE YEAR

        Total Retirement Payments                                                          $874,593,010                                  $811,028,527

 

REFUNDS OF TEACHERS CONTRIBUTIONS                               $5,571,647                                   $6,988,264

        Total Expenditures for benefits                                                   $880,164,657                                  $818,016,791

 

RECEIPTS OF THE RETIREMENT FUND                                                    2003-2004                      2002-2003

Teacher contributions, including                                                                             

        installment payments                                                                    $210,417,889                                  $199,792,994

        Teachers’ personal payments                                                        $27,509,599                                    $32,854,864

 

 

Investment Income (Treasurer’s Estimate)                                  $491,547,067                               $487,012,027

 

        State appropriation for Funding normal

        cost and past service liabilities                                                    $185,348,144                                  $179,823,603

 

        Interest late assessments (town deposits)                                         $16,462                                             $5,488

 

      Interest late assessments (ERIP Plans)                                                   $6,371                                                    $0

 

      Early Retirement Payments                                                                 $1,495,353                                      $4,651,928

 

STIF Income                                                                                                            $0                                         $191,285

       

Transfer to Health Fund                                                                        ($24,242,639)                                 ($27,993,646)

 

Total revenue                                                                                      $892,144,994                               $876,338,543

 

Retirement Fund Balance 6/30                                                    $6,915,050,228                           $6,902,702,658

 

                                                                                                              

                                                                                                              2003-2004                                 2002-2003

HEALTH INSURANCE FUND

BALANCE 7/1                                                                                      $11,522,793                                 $10,902,581

 

Receipts from                                                                

Teacher Contributions                                                                           $32,019,430                                    $35,530,538

    Active and Retired

 

Investment Income                                                                                         $91,480                                         $115,107

General Fund Income                                                                              $12,206,066                                    $11,367,016

Payments to retirees/school districts                                                  ($52,015,360)                                 ($46,392,448)

Health Insurance Fund Balance 6/30                                                      $4,019,010                                    $11,522,794