Editor Linda Wyatt Jorgenson Email [email protected]Retired Employees Association of Ventura County, Inc. P O Box 7231, Ventura CA 93006 Telephone: 805/6447814 “DEDICATED TO THOSE WHO HAVE ALREADY SERVED” MAY/JUNE 2015 R E A V C Once again our Ventura Police K-9 unit dogs and their officer partners were the stars of the luncheon on May 5th. These specially bred and trained dogs work with selected police officers for the safety of the community. Most frequently these dogs are called upon to locate fleeing suspects and find illegal drugs. The Ventura K-9 Unit is not funded by the City of Ventura but depends upon a local not-for-profit foundation and individual donations. Thank you REAVC members for your donations to support our K-9 unit. Our featured guest speaker for the upcoming luncheon on September 1st will be Scott Barash, Program Administrator for the County’s Employee Assistance Program (EAP). He will inform us of EAP programs and services available to County Retirees. Please join us for a delicious lunch and learn about how you may benefit from EAP services. What’s Inside President’s Letter .................................... 1 CRCEA Spring Conference ...................6 Retirement Security Comm. .................... 2 Scholarship Information ........................6 Luncheon ................................................ 3 See’s Candy ..........................................7 Why Should I Join? ................................. 3 New Members .......................................7 New Retirees .......................................... 4 Retirement Board News ........................8 In Memoriam ........................................... 5 Survivor’s Corner ..................................9 Note to Survivors .................................... 5 Pension Reform 2016 ...........................9 REAVC Board ......................................... 5 The California Retired County Employees Association (CRCEA) Spring Conference was held April 19 in San Bernardino County. This was the first time I’ve attended a CRCEA conference. It was a horizon broadening experience to get together with 20 other County associations also constituted under the 1937 retirement act. We all equally share concerns about protecting defined benefit pension plans. There are still efforts underway to place a statewide initiative on the ballot to do away with defined benefit pension plans. As of the publication of this newsletter a revised Pension Reform 2016 ballot measure has been filed to amend the California constitution. The next steps for such an initiative are funding and gathering signatures. Funding for “pension reform” in the past has come from John Arnold, former Enron Trader and Texas billionaire. Further details on the ballot initiative are provided in a related article in this newsletter. REAVC and CRCEA will be watching this closely and will alert our members of any needed action. Additionally, Paul Angelo, Sr. Vice President and Actuary of Segal Consulting spoke to us about managing retirement funds and ensuring that assumptions about investments will meet future expectations on returns. Mr. Angelo is also the consultant for Ventura County Retired Employees Association (VCERA). I now have a better understanding and appreciation for how well Ventura County retirement funds have been managed. One last conference tid-bit, be sure to eat two squares of dark chocolate per day with 70% cocao content and laugh! It’s good for your brain, health and longevity. PRESIDENT’S LETTER By Nancy Settle 1
Retired Employees Association of Ventura County, Inc. P O Box 7231, Ventura CA 93006 Telephone: 805/644-‐7814
“DEDICATED TO THOSE WHO HAVE ALREADY SERVED” MAY/JUNE 2015
R E A V C
Once again our Ventura Police K-9 unit dogs and their officer partners were the stars of the luncheon on May 5th. These specially bred and trained dogs work with selected police officers for the safety of the community. Most frequently these dogs are called upon to locate fleeing suspects and find illegal drugs. The Ventura K-9 Unit is not funded by the City of Ventura but depends upon a local not-for-profit foundation and individual donations. Thank you REAVC members for your donations to support our K-9 unit. Our featured guest speaker for the upcoming luncheon on September 1st will be Scott Barash, Program Administrator for the County’s Employee Assistance Program (EAP). He will inform us of EAP programs and services available to County Retirees. Please join us for a delicious lunch and learn about how you may benefit from EAP services.
What’s Inside President’s Letter .................................... 1 CRCEA Spring Conference ................... 6 Retirement Security Comm. .................... 2 Scholarship Information ........................ 6 Luncheon ................................................ 3 See’s Candy .......................................... 7 Why Should I Join? ................................. 3 New Members ....................................... 7 New Retirees .......................................... 4 Retirement Board News ........................ 8 In Memoriam ........................................... 5 Survivor’s Corner .................................. 9 Note to Survivors .................................... 5 Pension Reform 2016 ........................... 9 REAVC Board ......................................... 5
The California Retired County Employees Association (CRCEA) Spring Conference was held April 19 in San Bernardino County. This was the first time I’ve attended a CRCEA conference. It was a horizon broadening experience to get together with 20 other County associations also constituted under the 1937 retirement act. We all equally share concerns about protecting defined benefit pension plans. There are still efforts underway to place a statewide initiative on the ballot to do away with defined benefit pension plans. As of the publication of this newsletter a revised Pension Reform 2016 ballot measure has been filed to amend the California constitution. The next steps for such an initiative are funding and gathering signatures. Funding for “pension reform” in the past has come from John Arnold, former Enron Trader and Texas billionaire. Further details on the ballot initiative are provided in a related article in this newsletter. REAVC and CRCEA will be watching this closely and will alert our members of any needed action. Additionally, Paul Angelo, Sr. Vice President and Actuary of Segal Consulting spoke to us about managing retirement funds and ensuring that assumptions about investments will meet future expectations on returns. Mr. Angelo is also the consultant for Ventura County Retired Employees Association (VCERA). I now have a better understanding and appreciation for how well Ventura County retirement funds have been managed. One last conference tid-bit, be sure to eat two squares of dark chocolate per day with 70% cocao content and laugh! It’s good for your brain, health and longevity.
PRESIDENT’S LETTER By Nancy Settle
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The following article was written by Mike DeBord, Co-Chair, CRCEA Retirement Security Committee. The article was sent to all 37 Act Associations to insert in their newsletters.
U.S. Ranks 19th On Retirement Security California Is Even Worse Off Than The Nation
First the bad news! According to Natixis Global Asset Management, the U.S. barely ranks in the top 20 countries in terms of overall “Retirement Security”. America has held the lowly 19th rank for 3 straight years, just above Slovenia and behind the United Kingdom, Republic of Korea, Czech Republic, Canada, Iceland and many northern European countries. In their study, “Quality of Life”, largely measuring well-‐being of individuals, the U.S. doesn’t even make it to the top 30. Income inequality is a big factor in the Natixis measure of well-‐being, and John Hailer, President and CEO of Natixis said “that is what sank the U.S.” Now the even more distressing news! The U.C. Berkeley Labor Center, in their research, found that access to workplace retirement plans in California’s private sector is inadequate and declining. Their 3 year study found that only 45% of private sector workers age 25-‐64 in California work for an employer that even sponsors a retirement plan—much less than the U.S. average of 53%. And within California, only 37% of private sector workers actually participate in their employer-‐sponsored retirement plan. California also has the nation’s highest poverty rate in the Country at nearly 25%. So clearly, California (the 5th largest economy in the world) is not doing better than the nation on these important issues. In California, there has been a downward trend in workplace retirement coverage since 1998-‐2000 when 50% work for firms with less than 100 employees. More than 6.3 million California private sector workers currently do not have access to employer sponsored plans including a disproportionate percentage (64%) of these workers being people of color. It’s been a generation now since the shift from traditional pensions (defined benefit plans) to mostly self-‐funded 401(k) savings plans (defined contribution plans) and fewer workers than ever are setting aside what they need for their retirement. Employers aren’t contributing enough to the plans and employees aren’t saving enough (50% of American workers aren’t saving anything for their old age). Many workers that have under saved for retirement use the excuse that they’ll work forever. That’s not realistic and not always up to them, said Greg McBride, senior vice president at Bankrate.com. “That’s the point where it can reach a crisis at the household level.” With 10,000 baby boomers turning 65 each day, the U.S. retirement crisis is here and growing rapidly. Sadly, each generation is now projected to retire poorer than the last. Even with all these facts, “pension reformers” continue their efforts to destroy all remaining public defined benefit plans and the retirement security they provide. If they are successful, the race to the bottom will be realized. America needs to change course and we need to be involved in that change!
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LUNCHEON By Ray Holzer
I am sure you all enjoyed our May luncheon and our special guests Migo, Rover and their officers. I am pleased to let you know that over $800.00 was donated by our members in support of the Ventura Police Department K9 program! And in case you missed how Rover got his name, he was donated (purchased) by the Ventura Land Rover dealer. If you missed the May luncheon we will be having another one September 1, 2015, at the Poinsettia Pavilion, 3451 Foothill Road, Ventura. To make a reservation please contact one of the following volunteers:
Reservations will be taken until noon August 25, 2015, or until we reach room capacity. If you leave a message, or email, and you do not hear back in two days please try again. If you find you are unable to attend let us know ASAP as we pay for the reservation number given the caterer August 25, whether or not the lunch is served. Finally, carpool if you can, remember Food Share, and leave parking spaces at the check in level open for handicapped attendees.
Why Should I Join REAVC? By Butch Britt, REAVC Board Member
People ask me occasionally, “Why should I join the Retired Employees Association of Ventura County (REAVC)? -‐ What’s in it for me?” Becoming a member of REAVC does result in a $1.50 ($18 per year) per month payroll deduction for dues. It will not impact your total County pension. So what do you get for your $18? Interaction with other County retirees – one of the main things that I missed on retirement was interaction with my co-‐workers. You might even meet a new and interesting person at one of our luncheons. Luncheons – REAVC sponsors four general membership meetings per year. These luncheons are free to all members. If you only attend one luncheon per year, you essentially recover the total annual cost of your membership. Newsletter – REAVC publishes a bi-‐monthly newsletter which is sent to all members. The newsletters provide information relevant to a wide range of county retirees, such as the latest in retirement legislation or health care tips. Representation at other county or state forums that might impact not only current but future retiree benefits. Members of the REAVC Board attend Ventura County Retired Employees’ Association meetings, California Retired County Employees Association meetings, and even state legislative meetings. We review pending legislative bills and work to ensure that our retiree benefits are considered fairly and equitably. Scholarship program – REAVC awards a number of college scholarships annually to a member, a child, grandchild or great-‐grandchild of a member or of an associate member. See’s Candy certificates – We offer See’s 1-‐lb candy certificates to members at a reduced price, lower than at retail or outlet stores. They make really “SWEET” gifts, without the hassle of shopping or wrapping. These are just a few of the benefits REAVC provides to its members. But we can’t accomplish our mission alone. We need to ensure that current and future county retirees who might not be members, or might not even be aware of REAVC consider joining. Please help us to get the word out to anyone who might be considering retirement, and encourage them to join. Remember, with numbers our voice is stronger! For further information, contact any REAVC Board Member or visit our website at REAVC.org.
Note: Linda Webb, the new VCERA Retirement
Administrator, will be attending this luncheon. Please take a
moment to introduce yourself and welcome Linda to Ventura County.
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Steven R. Adam Sheriff Scott C. Anderson Probation Carla J. Ardissoni Public Defender Milton B. Bagley HCA Steven A. Baker Fire Donald P. Beese Sheriff Ivor Benci-Woodward Public Works Maneet Bhatti HSA Debora M. Bohand HCA Philip Bonhan HSA Deborah W. Burke Library Irene Camarena HSA Alan L. Campbell Fire Charlotte Carbone HCA Karen A. Carpenter HSA Debora A. Carrington Public Defender Jessica Carson HCA Dana Chavolla HCA Connie F. Clark HCA Cyndie R. Cole HCA Anne M. Dana Public Works Connie A. De LA Rosa HSA Teresa Del Castillo HSA Wilma L. Donovan Child Support Christopher D. Dumbauld Fire Sylvia Escalante Superior Courts Doni J. Farmer-Smith Fire Janet H. Foreny Library Melba P. Fry HCA Linda B. Galvan HCA Jon M. Gatewood GSA Ines V. Gonzalez RMA Nancy J. Gray HCA James B. Hall Harbor Kenneth Hamilton Public Defender Robert A. Hartley RMA Daniel D. Jordan HCA Lauretta A. Kail HCA Brent L. Kerr Sheriff Margaret Kimbell-Drewry CEO David King Sheriff Maria L. Landeros HCA Ruby Lara-Leon HSA Alice L. Lopez Superior Courts Minerva Loya District Attorney Faith L. Lugo HSA Nancy J. Mahon HCA Gladys V. Mena HSA John E. Miller Sheriff Denise Mindoro Fire Rebecca Nelson Public Defender Alicia Pascua HSA John M. Pennington Public Works Phillip M. Poulson Courts Mary L. Poulson Courts Gilberto Puno HSA Marta G. Rea HSA Ronna L. Robledo Probation Raymond Rodriguez BoS Kelly A. Ryan Sheriff Joshua K. Scott Assessor Kirk M. Seitz HCA
N E W R E T I R E E S
Kelly Shirk Charles Singer GSA Thomas P. Sloyan Probation Star Soto Library Gary L. Stallings Sheriff Barbara J. Stallings Sheriff Mary K. Stanistreet HCA Linda Torres HSA Ernesto G. Vasquez GSA Yolanda C. Walker CEO Christina F. Zarate Probation
NO
CLOWNING
AROUND !
ENJOY YOUR RETIREMENT
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When we think of those companions who traveled by our s ide down l ife’s road, let us not say with sadness that they left us behind but rather say with gratitude that they once were with us.
Linda Wyatt Jorgenson 805/642-‐4676 [email protected] Executive Assistant
Marla L. Beimforde Ryoko Bilderback Aust in R. C line
John F. Connel ly Jr . James R. Easton Armando Garcia Mar ie L. Kel ler Judith C. King
Mildred Korth Lanquist Sue A. Ross
El lsworth Shinavar
A note to SURVIVORS. We need your help in trying to reach out to other Survivors. Please invite Survivors to our luncheons and share the value of membership in our organization.
If and when you identify a Survivor needing assistance, please contact a board member and we will try to
find the appropriate help. THANK YOU!
Maryellen Benedetto Associate Member Representative
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Notes from the CRCEA Spring Conference Hosted by San Bernardino County By Jim Crow
The conference committee did an outstanding job of selecting speakers for the conference. While not all speakers addressed retirement issues all the speakers addressed issues that are pertinent to Californians. One of the speakers, Ms Kathleen Springer, who is associated with the San Bernardino County Museum. She has lead geologic and paleontology studies throughout Southern California, Arizona and Nevada. The topic of her speech was earthquakes, specifically the San Andreas Fault that has a history of producing large earthquakes in California, a 7.9 magnitude earthquake in 1857 in Southern California, and the famous 1906 7.8 earthquake that devastated San Francisco. She and her colleagues have concluded on average, a large earthquake occurs in California every one hundred fifty years – so the message is we are due. All Southern Californians should be prepared for this event when it occurs. Their agency has prepared a list of seven steps to earthquake safety:
1. Identify potential hazards in your home and begin fixing them. 2. Create a disaster preparedness plan. 3. Prepare a disaster supply kit (three gallons of water for every person, first aid
supplies, a battery operated radio, flashlights with extra batteries, blankets, etc.) 4. Identify your homes potential weaknesses and begin fixing them. 5. Protect yourself during an earthquake by dropping, covering and holding on! 6. After the earthquake, check for injuries and damages. Be prepared to evacuate. 7. When safe, continue to follow your disaster preparedness plan.
The Earthquake County Alliance has a website that answers many of your questions on the subject.
The web site is www.earthquakecountry.org
THERE IS MONEY WAITING -‐ SPREAD THE WORD By Maryellen Benedetto, Scholarship Committee
Have you heard that REAVC offers FIVE $1000 scholarships each year? These one-‐time only awards are available to members, associate members of REAVC, or one of their children, grandchildren or great grandchildren. These scholarships are named in honor of John MacIntyre, a past president of REAVC, who had a strong interest in furthering higher education.
Applications for these scholarships must be received by July 1st for the September awards and by October 15th for the December awards. We need you to advertise to your families that all the information, application and rules can be obtained at www.reavc.org by just clicking on Scholarship Program. The application is also available on line and all your questions can be answered by contacting us at [email protected] . If you leave your phone number and time zone, a member of the Scholarship Committee will contact you. What an easy way to supplement the higher cost of education! REAVC would like to thank the Ventura County Federal Credit Union for its financial support of our Scholarship Program and for spreading the word about these awards to its members.
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SEE’S CANDY CERTIFICATES
NOTICE OF PRICE INCREASE - EFFECTIVE JANUARY 1, 2016 We sell SEE’s Candy Certificates to members solely as a benefit to our membership. They are redeemable for one pound of candy or a standard See’s candy box at any SEE’s store or outlet. The current cost of each certificate is $14. This is below the market cost at most locations. However, See’s Candy Company has increased the amount that we pay for purchasing the certificates. As a result, the REAVC Board recently voted to increase our selling price to $15 for each 1 pound certificate effective January 1, 2016. The Board wanted to give members time to purchase certificates through this year’s holiday season at the current price of $14 each at the REAVC luncheons or via mail order. The certificates make excellent gifts for Christmas or other holidays. No hassle with holiday crowds, wrapping or shipping. They are easy to mail, and the certificates do not expire. You can acquire certificates one of three ways:
1. Purchasing at our luncheons 2. Via the postal service @ REAVC, PO Box 7231, Ventura CA 93006 3. Placing your order over the phone @ 805/644-7814
Remember if you order by mail or over the phone, include extra postage for mailing large orders.
Save a BUCK – or two – or three - or more - purchase before January 1, 2016 at $14 each.
Welcome New REAVC Members Mary K. Alegre Rod Megli Nancy Austin Evelyn B. Parks Teresa Baez Jack L. Peveler Kathy Barraza-Lee Marta G. Rea Rita Batchley Charles E. Singer, Jr. Cheryl M. Collart Star Soto Judith C. Collinge Linda Torres Sarah L. Craig Sharon L. Velasquez Jackie Dalton David W. Whaley Jean Farley Judith Youman-Taylor Robert Garcia Stan Zarkowski Barbara Gerber Lawrence R. House Jr. Susan A. Kearney Faith Lugo
I would be unstoppable if I could
just get started.
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RETIREMENT BOARD NEWS By ART GOULET
VCERA’s investment news is getting to be repetitive from month to month; down and up or vice versa! After an increase in February, the value of VCERA’s assets dropped to $4.36 billion in March, but increased in April to $4.42 billion, very close to what they were at February’s end. Unless there is a dramatic turn-‐around in May and June, it still appears that VCERA will be unable to earn its assumed rate of return of 7.75 % in the 2014-‐2015 fiscal year. Although the assumed rate of return will continue to be 7.75% for the 2015-‐16 fiscal year, at its meeting of May 18, the Board of Retirement, on a vote of 5-‐4, decided to reduce the rate to 7.50% beginning with the 2016-‐17 fiscal year, based on the recommendation of VCERA’s actuary. Based on past practice, that rate will remain in effect for the 2017-‐18 and 2018-‐19 fiscal years. The 5-‐4 vote was quite interesting. After a lengthy discussion, during which two members of the Board advocated a rate even lower, they voted against the motion to reduce the rate to 7.50%. Had one of the “aye” votes been otherwise, there would have been no reduction and, presumably the rate could easily have remained at $7.75%. At the same meeting, there was a limited discussion concerning reducing the amortization period for differing portions of the system’s unfunded liability. This would result in increasing the County’s contributions, but not the employees’, since the County is responsible for paying down the unfunded liability. Since that subject had not been agendized, it could not be voted upon, and the subject was put off to a future meeting. In my last report, I had mentioned that the Board had approved a new allocation to a tactic referred to as Global Tactical Asset Allocation (GTAA). While the Board heard presentations from three candidate firms brought forward by VCERA’s investment consultant on May 18, it decided to hold off on making a selection(s). This is no small decision since it could involve shifting about $435 million from other investment allocations. It’s hard to believe that the time has gone on so fast but our Administrator, Linda Webb, is closing in on the end of her first six months in office. I sure hope she’s been having fun! As far as state legislation is concerned, there are only two bills being considered this session that are of importance to VCERA. The first is AB 1291, the current version of which would give the Board of Retirement the authority to hire the Retirement Administrator, Chief Financial Officer, Chief Operating Officer, Chief Investment Officer, and General Counsel as employees of VCERA and make them eligible to participate in the retirement plan. They are currently all county employees and eligible to participate but, as VCERA employees, legislation is required to make them eligible. AB 1291, as originally submitted by VCERA, gave the Board broader authority with respect to hiring individuals as employees of VCERA. However, the County Executive Office wanted to limit the authority to just the five positions set forth above. Just as a side bit of information, there has never been an agendized item or formal vote of the Board of Supervisors one way or another regarding AB 1291. The second bill is AB 663, which would create the position of an alternate for the public members of the Board of Retirement. As you know, there are currently alternates for the retiree member and for the safety employee member (who also acts as alternate for the general employee members). This bill is sponsored by the County. Only one other county retirement system (Contra Costa County Employees’ Retirement System) has an alternate public member. Both bills have passed out of the Assembly without opposition, and are awaiting hearing by the relevant Senate committee. Frankly, I’m surprised there has been no opposition to AB 663 by a general employee union. Regarding no opposition, I was unopposed, and was elected Secretary of the State Association of County Retirement Systems (SACRS) at the SACRS conference in May.
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SURVIVOR’S CORNER By Maryellen Benedetto
Summer can present a multitude of emotions for survivors. This time of year brings thoughts and plans for
vacation, BBQ’s, family outings, etc. It can revive memories of good times and/or feelings that we “did not do enough” when we had the opportunity to enjoy life. Plans for the future were pretty clear when everyone was healthy and well intentioned. We ran out of time is a thought that many share when they are dealing with grief.
It often helps to know that both good times and difficult times bring up similar feelings of loss in the “memory bank.” We cannot go back and do more in the past but we can focus on doing more in the present and planning effectively for the future – even without the presence of the loved one.
Creating a “reach-‐out” plan with family and friends can be an aid to discovering new events and places to visit.
While it takes energy to call and initiate a request, it might become a new adventure or one that helps to reminisce about past joys.
Another way to deal with loss is to try to say yes before saying no to a request for an outing. Such a request may be for a cup of coffee, lunch, or a weekend away. Sometimes fun travel plans might be new and different and present some fearful or lonely thoughts but time with others is a valuable way to work through grief – even when one “does not feel like it.”
If you are reading this, and you know a survivor think about what you can do to reach out and invite that person to join you for some type of outing. If you get a “no thanks” the first few times try not to take it personally and ask the survivor what she/he would like to do to “create some Summer fun”!
From Pension Reform 2016 -June 4 Press Briefing Former San Jose Mayor Chuck Reed(D) and former San Diego City Councilmember Carl DeMaio(R) have filed a statewide ballot initiative to reform how compensation and pension benefits of state and local government employees are determined. Some of the features are: a) Voters have the right to use the power of initiative or referendum to determine the amount of and manner in which compensation and retirement benefits are provided to employees of a government employer. (Retirement benefits includes defined benefit pension plans, defined contribution plans, retiree health care plans, or any of the deferred compensation offered by government employers.) c) Government employers shall not allow new government employees (those hired on or after January 1, 2019) to enroll in a defined benefit pension plan unless the voters of that jurisdiction approve enrollment in such a plan for new employees. d) Government employers shall not pay more than one-half of the total cost, including unfunded liability costs, of retirement benefits for new government employees unless the voters of that jurisdiction have approved paying that higher amount for such new employees. Backers of the initiative will have to obtain the signature of 585,000 registered voters. Last year Reed took $200,000 from the Arnold Foundation, who have been supporting complete elimination of Defined Benefit plans. They could partner again this time around he said. The last hurdle is getting what they would consider a favorable ballot summary from the Attorney General. CRCEA, our state association will be watching this closely.
A related article was posted in the Friday, June 5, 2015 Ventura County Star.
