Joseph E. Connarton, Executive Director
August 11, 2011
Joyce Karpinski, Chairwoman
Northampton Retirement Board
210 Main Street, Room 3
Northampton , MA 01060
REFERENCE: Report of the Examination of the Northampton Retirement Board for the three year period from January 1, 2007 through December 31, 2009.
Dear Chairwoman Karpinski:
The Public Employee Retirement Administration Commission has completed a follow-up review of the findings and recommendations contained in its audit report of the Northampton Retirement Board for the most recent period referenced above. We conduct these visits as a regular part of the oversight process. They are designed to ensure the timely implementation of corrective action for the recommendations cited in that report. The results are as follows:
1. The Audit Report cited a finding that retirement deductions were not being withheld from on call pay in two departments.
Follow-up Result: A review of payroll for these two departments shows that deductions are now being withheld properly from on call pay. This finding is resolved.
2. The Audit Report cited a finding that transactions for two separate bank accounts were being accounted for in one general ledger account.
Follow-up Result: The two bank accounts have now been consolidated. This finding is resolved.
3. The Audit Report cited a finding that the salaries used in retirement calculations were based upon member deductions and not on actual payroll information.
Follow-up Result: A review of recent retiree folders showed that payroll information is now being used to determine salaries. This finding is resolved.
The Commission wishes to acknowledge the effort demonstrated by the staff of the Northampton Retirement Board to correct the deficiencies cited in the most recent examination of the system.
Thank you for your continued cooperation in this important matter.
Sincerely,
Joseph E. Connarton
Executive Director