The school district offers an early retirement plan for full-time licensed employees.  Full-time licensed employees are licensed employees who work 40 hours per week for 190
work days per year and who are currently performing their assigned duties within the school district.  A licensed employee is eligible under the early retirement plan when the
licensed employee:

            Has reached or will reach at least the age of 55 at the actual date of retirement;

            Completes a total of 20 years of service as a full-time licensed employee to the school district;

            Submits an application to the superintendent for participation in the plan not later than January 15 of the year in which the licensed employee wishes to retire.

                            Applications submitted after January 15 may be considered at the discretion of the board depending on the circumstances for the late application;

            Submits a written resignation.  The resignation may be contingent upon approval by the board of participation in the voluntary early retirement plan; and,

            Receives board approval of the licensed employee's application for participation in the early retirement plan, of the licensed employee's resignation and of the
disbursement of early retirement incentive to the licensed employee.

            Has not received a notice concerning termination of the employee contract, unless the notice is based upon reasons which are related to staff reduction.

            Has not previously received early retirement benefits from the District.

Approval by the board of the licensed employee's early retirement application shall constitute a voluntary resignation. 

Approval by the board of the licensed employee's early retirement application will also make the licensed employee eligible for disbursement of the early retirement incentive
the sooner of July 1 following the licensed employee's approval for early retirement or a date mutually agreed upon by the school district and the licensed employee. 

Failure of the board to approve the licensed employee's early retirement application will make the licensed employee's current contract with the board continue in full force and
effect.

Early retirement benefits are offered as an inducement to, and consequence of, retirement and are not to be construed as a continuation of salary.

The Board reserves the right to amend or revoke this Early Retirement Policy or any provisions of this policy at any time, with or without notice.

The Board reserves the right to waive any requirement or condition of this policy at its discretion and at any time.  Any decision by the Board to waive a requirement or
condition which is a part of this policy shall not establish any precedent with regard to future requests for a waiver.

 

Board's Right To Limit or Deny Benefits

The board reserves the right to determine whether any early retirement benefits will be paid in a given year, and, if so, to determine how many employees will be granted
benefits.  The Board expressly reserves the right to reject any application for early retirement benefits.

If the Board decides that only a limited number of employees will be granted early retirement benefits in a given year, the Board will then determine the maximum number of
employees who may receive benefit.  Recipients will be selected on a seniority basis.  If there is a tie between or among employees using the seniority rule, the tie will be
broken by a random process.  Seniority is defined in terms of the number of years served in the district.

 

Health Reimbursement Arrangement

The early retirement incentive for each eligible licensed employee approved by the board will be a lump sum amount of $20,000 and an additional amount based on $50 per day, up to
90 days, of unused sick leave at the time of retirement - the total amount to be paid into a health reimbursement arrangement administered by a firm of the school district's choosing. 
Should the employee have at least 90 days of unused sick leave at the end of the retirement year, an additional $500 will be added to make a total of $25,000.   Early Retirement
benefits will be paid to the health reimbursement arrangement in three installments on the first of September each year for three consecutive years starting with the employee's year of
retirement.  Payments will be made as follows:

        Year 1          $10,000

        Year 2          $10,000         

        Year 3          The balance remaining as determined by unused sick leave.

 

Continuation of Insurance Benefits

Employees retiring under the early retirement program are eligible to continue participation in the School District's group insurance plan until Medicare eligible at the
employee's own expense.  Employee must meet the requirements of the insurer and must pay the monthly premium amount in full to the board secretary prior to the due date
for the School District's premium payment to the insurer.

 

 

Legal Reference:  29 U.S.C. §§ 621 et seq. (2004).
                                        Senate File 2366, 77^th General Assembly, 2^nd Reg. Sess. (1998).
                                        Iowa Code §§ 97B; 216; 279.46; 509A.13 (2007).
                                        581 I.A.C. 21.
                                        1978 Op. Att'y Gen. 247.
                                        1974 Op. Att'y Gen. 11, 322.

Cross Reference:  401.14     Recognition for Service of Employees
                                        407.3       Licensed Employee Retirement

Approved    2-15-2010                                                              
Reviewed   6/16/2014           
Revised     5-17-2010