Membership:
May 3, 2016:
Pursuant to the provisions [of] G.L. c. 32, § 3(2) (d) in all cases involving part-time, provisional, temporary, temporary provisional, seasonal or intermittent employment or service of any employee of the Town, no person holding a position requiring less than 20 hours of regular employment each week for 52 weeks of any calendar year shall be eligible for initial membership, and the retirement board shall have full jurisdiction to make such determination as to eligibility.
In order to be eligible for initial membership in the Saugus Contributory Retirement System, permanent part-time or permanent full time employees must be hired to work at least twenty (20) hours per week in a calendar year.
January 1, 2009:
Pursuant to the provisions if G.L. c. 32, § 3(2) (d) in all cases involving part-time, provisional, temporary, temporary provisional, seasonal or intermittent employment or service of any employee of the Town, no person holding a position requiring less than 25 hours of regular employment each week for less than 52 weeks of any calendar year shall be eligible for membership, and the retirement board shall have full jurisdiction to make such determination as to eligibility.
The Saugus Contributory Retirement System, permanent part-time or permanent full time employees must be hired to work at least twenty five (25) hours per week in a calendar year.
These rules are to become effective for all new employees of the Town of Saugus on and after the date of the approval of said local Rule by the Public Employee Retirement Administration Commission.
Creditable Service:
January 1, 2009
Members of the Saugus Retirement System who are employed on or after January 1, 2009 shall receive creditable service for service rendered consistent with this regulation in the following manner:
- For a member in service who is employed in a full-time capacity while an employee in the Town of Saugus, or in any member unit of the Saugus Retirement System, he/she will receive one year of creditable service for each full calendar year in which the employee is receiving regular compensation for said service.
- For a member in service who is employed in a part-time capacity throughout his/her entire career while an employee in the Town of Saugus, or in any member unit of the Saugus Retirement System, he/she will receive one year of creditable service for each full calendar in which the employee is receiving regular compensation for said service.
- For a member in service who has been employed in both a full-time and part-time capacity while an employee in the Town of Saugus, or in any member unit of the Saugus Retirement System, the member will receive full-time credit for full-time service, and prorated credit for part-time service based on the full-time equivalency of 35 hours for the position.
- For a member who is employed in a part-time capacity throughout his/her entire career while an employee in the Town of Saugus, or in any member unit of the Saugus Retirement System, but who either purchase’s past refunded service, or has transferred into the Saugus Retirement System, service rendered in a full-time capacity, the members part-time service shall be prorated based on the full-time equivalency of the position.
- In the case of School Department or Town employees whose full-time employment requires them to work from on or about September 1 to on or about June 30. said employees shall receive one month of creditable service for each full month the employee is receiving regular compensation, with 10 months being the equivalent of one year of creditable service.
- Any member who purchases past part-time service rendered shall have said service prorated based on 35 hours being considered a full week of service.
- Any member of the Saugus Retirement System who has purchased and received creditable service prior to January 1, 2009 will not be affected by this regulation.
Supplemental Creditable Service Regulation for Saugus Public School Department Employees
Members of the Saugus Retirement System who are employed on or after January 1, 2009 in the Saugus Public Schools shall receive creditable service for service rendered consistent with this regulation in the following manner:
- For a member in service who is employed in a full-time capacity, he/she will receive one year of creditable service for each full calendar year in which the employee is receiving regular compensation for said service.
- For a member in service who is employed in a part-time capacity throughout his/her entire career, he/she will receive one year of creditable service for each full calendar in which the employee is receiving regular compensation for said service.
- For a member in service who has been employed in both a full-time and part-time capacity, the member will receive full-time credit for full-time service, and prorated credit for part-time service based on the full-time equivalency of 35 hours for the position.
- For a member who is employed in a part-time capacity throughout his/her entire career, but who either purchase’s past refunded service, or has transferred into the Saugus Retirement System, service rendered in a full-time capacity, the member’s part-time service shall be prorated based on the full-time equivalency of the position,
- In the case of School Department employees whose full-time employment requires them to work from on or about September 1 to on or about June 30, including but not limited to cafeteria workers, clerical and secretarial staff, teacher’s assistant and teaching professionals, such as therapists, said employees shall receive one month of creditable service for each full month the employee is receiving regular compensation, with 10 months being the equivalent of one year of creditable service.
- Notwithstanding the foregoing, the Board recognizes that certain employees, including but not limited to certain secretaries and custodians, are required to work the entire calendar year, and in such a situation, said employees will receive one year’s credit based on 12 months of employment, and partial year’s credit-based one 12 month year.
- Creditable service for 10 month employees shall be calculated based on the equivalent of 1,202.5 hours per year, whereas creditable service for 12 month employees shall be based on the equivalent of 1,820 hours per year.
- Any member who purchases past part-time service rendered shall have said service prorated based on 35 hours being considered a full week of service.
- Any member of the Saugus Retirement System who has purchased and received creditable service prior to January 1, 2009 will not be affected by this regulation.
Regular Compensation:
Miscellaneous:
April 11, 2017:
Payment of Interest – 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 three percent (3%) annual interest on the benefit 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.