(From Policies and Procedures, “Retirement Policy,” Section 4000, Series 4070, Pages 1-2, and Series 4071, Page 1)
I. Deferred Compensation Retirement
Deferred compensation retirement is defined as voluntary retirement after a given number of years of service but at least three (3) years prior to full eligibility of social security benefits.
Full-time employees who have completed a minimum of 15, 20, 25 or 30 consecutive years of service prior to July 1 of the ensuing year have the option to apply for early retirement after the employment anniversary date but prior to three (3) years before eligibility for full social security benefits. Consecutive years of service refers to years during which the employee is eligible for all full-time benefits. Educational leave does not count as a year of service but does not break the continuity of service.
B. The deferred compensation retirement program is based on the financial benefits to the College and the employees. The Board of Trustees maintains the right to refuse any or all applications for early retirement in its sole discretion.
C. The Board of Trustees may offer this benefit in lieu of termination to any personnel who meet the stipulated qualifications for early retirement.
D. The retiree shall receive a deferred salary benefit as noted:
1. Faculty. Based on nine-month contract salary at the time of retirement;
2. Executive, classified and administrative staff. Based on the annual salary at the time
E. Payment of Deferred Salary Benefit
Payments will be made over a period of five (5) years from inception, in equal installments in
F. Beneficiary Payments
Payments to beneficiaries shall be made in the same amount and manner as to the faculty or
G. Group Health Insurance Participation
An employee receiving the deferred salary benefit shall not be eligible for any type of
Early Retirement Procedures
A. An application, on approved form and accompanied by an official work record history, must be submitted to the Director of Employee Services through the appropriate supervisor not more than 18 months and not later than 6 months prior to anticipated date of early retirement.
B. Determination of eligibility shall be made by the Director of Employee Services. Fiscal ramifications shall be documented and firm direction for replacement shall be formulated at this time.
C. The completed request, accompanied by all documentation, shall be forwarded to the President of the District for recommendation to the Board of Trustees.
D. The Board of Trustees shall take action not later than sixty days after receipt of the request.
E. Deferred compensation can be taken at 15, 20, 25 and 30 years of service. Each year of service is compensated at 6% per year in multiples of five years. The compensation would be as follows (% per year X last contracted salary):
90% at 15 years