Membership:
August 9, 2019:
The criteria for eligibility for membership in the Methuen Retirement System is that the employee is employed in a permanent position which requires the employee to work at least 30 hours each week for 52 weeks per year. The member is then considered a full time employee and earns creditable service in full years. For employees of the School Department who are employed during the school year, from on or about the last week in August through the last week in June, and are employed in a permanent position consisting of working at least 30 hours each week, membership in the System is granted on a full time basis. Creditable service for those employees will be earned in full years. Any employee working in an intermittent position or an acting position is not eligible for membership. Elected officials in a position with an annual salary of at least $5,000 are eligible for membership.
May 9, 1995:
The criterion for eligibility for membership is that the individual works a minimum of thirty hours a week, for a minimum of forty weeks a year. All employees will then be considered full time and earn creditable service in full years.
January 7, 1994:
The criterion for eligibility to become a member of the retirement system is that the individual works a minimum of 20 hours per week.
(Amended by supplementary rule approved May 9, 1995)
December 26, 1985:
The criteria for eligibility to become a member of the retirement system is that the individual work a minimum of 20 hours per week or receive a minimum salary of $4,000 annually.
(Amended by supplementary rule approved January 7, 1994).
In all cases of application for membership, when no set hours are required, the retirement board shall determine, after hearing evidence, the eligibility of the applicant pursuant to G.L. c. 32, § 4(2)(b).
In the case of a person employed as a temporary worker, upon the extension of their initial employment period, the retirement board would then review their status as to whether he/she would become a full time employee.
Creditable Service:
April 1, 2008: (RESCINDED as of July 2, 2024)
December 3, 2003:
CREDITABLE SERVICE FOR BOARD MEMBERS:
Members wishing to purchase creditable service for service on a paid [unelected] board will be granted three months of service time for each year served. The retirement board determined that one week per month of service is fair and equitable where a member received a stipend for service on a City board resulting in twelve weeks of service per calendar year. (RESCINDED as of July 2, 2024)
September 26, 2003: RESCINDED as of November 26, 2024
VETERAN'S BUY BACK:
After proper application by the member, the board will notify the member of the cost of purchasing their veterans service. The member will have 30 days to decide whether they wish to make this purchase. The payment may be spread over five years time, but must begin 30 days from the date of notification of the cost. (RESCINDED as of November 26, 2024)
November 29, 2001:
Any member employed on a full-time basis who becomes part-time shall receive credit for his/her part-time service on a pro-rated basis as it related to a full-time position.
Any member who became part-time before [the date of this regulation] shall receive creditable service as though full-time creditable service has been performed, and as of [the date of this regulation] shall receive credit for his/her part-time service on a pro-rated basis as it related to a full-time position.
RESCINDED as of November 26, 2024: The purchase of military service time [pursuant to the voluntary purchase provisions of G.L. c. 32, § 4(1)(h)] must be paid in full before retirement, [and] the payment can be spread over five years. The decision to purchase this service [after the member has applied within the 180 day application period] must be made 30 days from (RESCINDED as of November 26, 2024)
October 12, 2001:
The purchase of military service time [pursuant to the voluntary purchase provisions of G.L. c. 32, § 4(1)(h)] must be paid in full before retirement, [and] the payment can be spread over five years.
May 9, 1995:
Employees whose beginning service was less than 20 hours/40 weeks will have this creditable service credited as actual.
When calculating part time service prior to March 27, 1995 for the purposes of a buy back, the retirement board will grant creditable service equal to what was actually worked using 40 weeks a year as the minimum for a full year of service. Example, if an employee worked 20 hours a week for 40 weeks a year for ten years they would be allowed to purchase 5.7 years of service (20/35x10=5.7143).
When calculating retirement allowances of part time employees currently in the system, full years of service and actual salary will be used.
December 26, 1985:
When calculating creditable service, the exact number of weeks in proportion to the normal full time workweek for the particular position would be used. Example, if a person works 20 hours a week and the full workweek is 35 hours, they would be given 20/35 or 4/7 of a year as creditable service.
That 35 hours be considered the standard workweek for High School Lunch employees in calculating their pensions.
That 40 weeks be considered a full year of service for cafeteria workers, teacher aides, and school secretaries.
Regular Compensation:
Miscellaneous:
January 24, 2023
ELECTRONIC SIGNATURE POLICY
Electronic signatures are permitted for any forms relating to the business of the Retirement Office except for: Application for Superannuation, Application for Disability, Option Selection Form, Biannual Affidavit, and the Treating Physician's Statement. Electronic signatures will be accepted through email and fax via a scanned document or picture. Digital signatures will only be accepted using Adobe Acrobat on forms that originate from within the Retirement Office. Digital signatures will be requested via an adobe document through a confirmed email address to the member. The desired signature locations will be predetermined to ensure proper completion before submitting the document. Upon completion, the forms will be recorded, maintained and secured in accordance with the internal controls of the Methuen Retirement System. The Board reserves the right to disqualify signatures deemed inauthentic.
September 5, 2018
PAYMENT OF INTEREST IN THE CORRECTION OF ERRORS
In all cases in which a benefit calculation error occurs that results in an underpayment or non-payment of a pension or benefits to a member or beneficiary, or in the event of any overpayment as a result of an error to a member or beneficiary, the Board shall, consistent with the provisions of M.G.L. c. 32, s. 20(5)(c) pay to or collect from the member or beneficiary, as the case may be, the actuarial equivalent of the benefit paid or received in error. Pursuant to the Supreme Judicial Court’s decision in Herrick v. Essex Regional Retirement Board, 465 Mass. 801 (2013) and PERAC Memorandum #32/2013, the Board has determined that the actuarial equivalent requires that the interest to be applied will be the regular interest rate determined pursuant to G.L. c. 32 s. 22 (6) (b).
January 19, 2017:
THE PAYMENT OF INTEREST IN THE CORRECTION OF ERRORS
The provisions of M.G.L. c. 32, § 20(5)(c)(2) state "[w]hen an error exists in the records maintained by the system or an error is made in computing a benefit and, as a result, a member or beneficiary receives from the system more or less than the member or beneficiary would have been entitled to receive had the records been correct or had the error not been made, the records or error shall be corrected and as far as practicable, and future payments shall be adjusted so that the actuarial equivalent of the pension or benefit to which the member or beneficiary was correctly entitled shall be paid. If it is determined that a member has contributed an incorrect amount to the retirement system, the member shall be required to contribute an amount sufficient to correct such error or the board shall pay an amount to the member to correct such error, as the case may be."
The Board's policy with respect to the correction of such errors, and the calculation of what constitutes the actuarial equivalent, consistent with the decision rendered in Herrick v. Essex Regional Retirement Board, 465 Mass. 801 (2013) and PERAC Memorandum #32/2013, shall require the Board to pay to the member or beneficiary, or in the case in which a member or beneficiary has been overpaid by the Board, the amount of the corrected benefit, together with the 10 year Treasury Bond Interest Rate in effect January 1 for each year the benefit was paid or owed, as the case may be, computed from the date the error occurred to the date the error was corrected. In a circumstance in which the Board owes funds to the member or beneficiary, the Board will make a one-time lump-sum payment of the amount owed, and prospectively from the date of payment correct the error such that the member or beneficiary receives the corrected monthly benefit. In a circumstance in which the Board is owed funds by a member or beneficiary to correct an error, the Board shall in its sole discretion withhold an amount it deems appropriate from the member's or beneficiary's monthly benefit until such time as the debt is fully recovered. In a circumstance in which the Board is owed funds by a member or beneficiary to correct an error, and the member or beneficiary is no longer entitled to receive a monthly benefit, the Board will seek to recover any amount owed in the most prudent and practical manner possible, and reserves the right to maintain an action in contract to recover any amount due from the member, beneficiary or the member's or beneficiary's estate.
May 1, 1991:
APPEAL PROCEDURES:
Upon receipt of any written decision of the Division of Administrative Law Appeals and after consultation with the Solicitor; the Administrator, Chairman and Secretary will confer via telephone and decide by a majority of the Board if Objections should be filed in the case.
At the next regularly scheduled Board meeting this action will be either ratified or the objections will be withdrawn.