The Atlantic School Board, Monday night approved an early retirement incentive for teachers, that could reportedly save the district about $1.8-million over the next five years. District Business Manager and Board Secretary Mary Beth Fast told KJAN News the offer is being made available to those teachers who are age 55 or older, and have served the district full-time, for at least 10-years. Fast said the district will provide $25,000 for each eligible employee, over a 3-year period. The money will be paid to a third-party administrator, to cover eligible medical expenses.
That includes medical premiums, out-of-pocket co-pays, prescriptions, Medicare supplement premiums, which in-theory, could last much longer than 3-years, depending on how fast the money was used-up. The funds she says are not taxable to either the employee or the district. The first payment would be made on behalf of the teachers, on July 1, 2014. Interested teachers have until March 31st to submit their application for the Early Retirement plan.
According to Fast, the district has never offered anything like this before. In the past, they’ve usually just offered cash, which is taxable. The current incentive offers retirees the opportunity to remain on the district’s medical insurance plan or they can find their own. The incentive addresses concerns people may have, with regard to health care reform
Fast says there are, at present, 14 teachers who have expressed an interest in applying for the incentive. A meeting will be held this Friday afternoon beginning at 3:45 in the High School Media Center for all interested persons, where additional information will be presented on the offer.
In other business, the Atlantic School Board approved the termination of Head Tennis Coach Shawn Petersen, and the 2014-2015 School Calendar, which will be based on 1,080 hours of instruction instead of 180-days. They also approved May 22nd, 23rd and 27th as make-up days for snow-day class cancellations this year.