After delaying the vote at the Tuesday, October 18, 2022 meeting, Bulloch County Commissioners first order of business at the Tuesday, November 1, 2022 meeting was to approve a retirement pension plan for full-time employees.
The affirmative vote ends an over years long process to figure out the best path forward in structuring a retirement pension plan. A good bit of the work was done by an employee committee led by Bulloch County Sheriff's Captain Marcus Nesmith.
"First and foremost, we would like to thank the Sheriff for shedding light on the issue of retirement and helping to get us moving in the right direction. For someone who doesn't benefit from today's decision, I think it shows his genuine concern for all county employee's. I would also like to thank all the members of the committee for giving their time, energy and thoughts on how to improve our retirement for employees of Bulloch County. This could not have been done without everyone bringing their ideas and concerns to the table," said Captain Marcus Nesmith, a member of Bulloch County Sheriff's Office Crime Suppression Team and chair of the employee retirement committee.
"Finally, we would like to thank the commissioners for voting to improve our retirement. It says a lot knowing that we have county government who cares about our employees and their future. What happened today will certainly improve the retention of present employees and the hiring of highly qualified future employees."
Sheriff Brown brought idea forward
At the September 7, 2021 meeting of the Bulloch County Board of Commissioners (BOC), Sheriff Noel Brown asked the BOC to authorize a feasibility study to examine the possibility of changing the employee retirement plan. Specifically, Sheriff Brown requested consideration for (1) a defined benefit (pension) plan and (2) post-retirement health care benefits.
"This is all about how we can better serve the County employees and attract and retain quality employees going forward," said Noel Brown, Bulloch County Sheriff. We want to let our people now that we really do care about them."
The county currently offers a 401(a) plan, which is a defined contribution plan. In contrast, the pension is a defined benefit plan.
The New Retirement Plan
The new pension retirement plan will offer a defined retirement benefit that does not fluctuate between employees. Instead, it is calculated based on a set salary multiplier and retirement age, similar to social security benefits.
The benefit is, therefore, determined by the employee’s years of full-time service. It is a deferred, vested benefit.
Rather than a lump sum upon retirement, a pension is paid out in a guaranteed monthly benefit for the remainder of the employee’s life. Upon death, the payments will end. The employee does have the option to attach their spouse to the pension plan when setting it up. The spouse would then receive a monthly benefit after the employee’s death.
Employees always have the option to save on their own through their tax-deferred 457 plan.
What are the next steps?
Tom Couch, Bulloch County Manager estimates a six month implementation window for the new retirement plan. If all goes well it could be a little faster. Plan documents need to be drawn up with a couple of policy issues that will need review. Then there is a lot of tedious verification paperwork that HR and Finance need to do that will take time, along with individual employee education, and then enrollment. The holidays will naturally slow the process down some as well.