Up & Coming Weekly

August 09, 2022

Up and Coming Weekly is a weekly publication in Fayetteville, NC and Fort Bragg, NC area offering local news, views, arts, entertainment and community event and business information.

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WWW.UPANDCOMINGWEEKLY.COM AUGUST 10 - 16, 2022 UCW 13 e Fayetteville City Council gave consensus approval at its meeting Aug. 1 to have city administrators research the possibilities of a tax- deferred compensation plan for its members after they leave office. e directive was in response to Councilmen D.J. Haire and Chris Davis, who asked for information on "some form of retirement" similar to plans offered to federal, state and county elected officials, according to the councilmen's written request. "I just want to get a clarification," said Councilwoman Shakeyla Ingram. "We are asking staff to bring back what we can and cannot do, correct?" Mayor Mitch Colvin responded that the intent is to gather more informa- tion on the proposal. Haire laid out four conditions for el- igibility for the plan: Available to a sit- ting council member who has served 10 years on the council; Participants must be 60 years old to apply; Money would not be received until the of- ficial leaves the City Council; Each of- ficial would receive $500 per month. Councilman Johnny Dawkins, who is a job benefits and Medicare con- sultant, said his suggestion would be to put $500 a month in a tax-deferred compensation plan for each sitting member of the council. "You cannot touch it while you're on council," Dawkins said. "It would not be a retirement plan." He said a member of the Cumberland County Board of Com- missioners makes about $10,000 more a year, including benefits and pay, than members of the City Council. "at's not right," Dawkins said. "We work just as many hours. To say this is part-time is just not true. Tech- nically, if it were part-time, we could not be on the health insurance plan. But we are allowed to participate on the health insurance plan, which is a federal requirement for 30 hours a week. I can assure you we put in 30 hours a week and more." According to the city, the salary for a council member is $19,044 per year. e mayor pro tem receives about $20,160 per year, and the mayor takes home $34,833 per year. Elected city officials are eligible for medical, vi- sion and dental insurance at the same costs paid by city employees. Cumberland County sets the starting salary for a county commis- sioner at $23,297 a year. e board vice chairman is paid $25,297 and the chairman, $31,100 a year. e commissioners are eligible to invest in a 401k-like matching invest- ment plan with the county, including a deferred compensation plan. e county matches up to 4.9% of a board member's salary for those who opt to participate. Glenn Adams, chairman of the county Board of Commissioners, said he chose a plan with Nationwide Insurance. "ose are our funds," Adams said. "We have to fund it ourselves. If I want to do it, I take it out of my salary." But he noted that there is a matching component to the investment plan. Some cities do offer plans to elected officials to provide retirement and survivor income. Financing for them is by employee contributions, invest- ment earnings and city contributions. But other cities in North Carolina offer no such plans. Winston-Salem has no retirement plan for City Council members, ac- cording to Frank Elliott, director of communications for that city. "We do not pay a pension plan for elected officials," Elliott said Monday. "ey receive an annual stipend for their service." e stipend ends when an official leaves office. A year ago, the annual stipend for council members in Winston-Salem was $18,220. is year, they got a raise and receive $25,700 a year, Elliott said. Members of the Durham City Council are not part of the state employees retirement plan, and the city does not offer a separate retire- ment plan to them, a city representa- tive said. "Our commissioners do not have a retirement plan," said interim communications director Amanda Perry in an email. "Adding a retire- ment benefit was discussed as part of the 2023 budget process but not adopted." City Council considers compensation plan for members by MICHAEL FUTCH, CityView Today NEWS Lumb e e Gu ar ant y B a nk .c o m Great news from Lumbee Guaranty Bank! Open a Lumbee Perks checking account, and get so much more than full-service checking and convenient banking. Our personal checking accounts come with benefits that save you money and provide peace of mind: • Free Debit Card and Online and Mobile Banking 1 • Discounts on Shopping, Dining, and Travel 2 • Fuel Savings • Cell Phone Protection 3 • Identity Theft Aid 3,4 • And More! Stop by our nearest branch, or visit our website for details on our Lumbee Perks accounts. Benefits subject to additional terms and conditions and vary based on account product opened. 1 For Online and Mobile Banking, mobile carrier messaging and data rates may apply. 2 Participating merchants are not sponsors of the program, subject to change without notice, may not be available in all regions, and may choose to limit deals. 3 Insurance products are NOT A DEPOSIT, NOT FDIC INSURED, NOT INSURED BY ANY FEDERAL GOVERNMENT AGENCY, NOT GUARANTEED BY THE BANK, MAY GO DOWN IN VALUE. 4 Identity monitoring and credit monitoring each require additional activation to begin. Get Instant Savings Get Instant Savings with with MICHAEL FUTCH, CityView Today. COMMENTS? Editor@upandcomingweekly. com. 910-484-6200.

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