WAIVER and PLAN/ Retiree Health Benefit System/ FLAWS?

Hi All,
 TONIGHT:   MONDAY,  March 12, 2018 Board of Trustees meeting is this agenda item:


This is the action and documentation that the township is asking to submit for a WAIVER....




MY COMMENT
I have the next sentence from the above document isolated here so I can comment:  
 
This RHCT - OPEB TRUST FUND
.....the contributions made to the FUND  are not made for all the employees.  The township has created more sub-groups in the OPEB FUND... without officially changing the TRUST document...and depositing money into the Trust in special sub-accounts.   The sub-accounts are those departments that earn FEES.  Therefore, in my opinion,  the taxpayers are paying these OPEB benefits with FEES rather than voted for tax dollars.   Then, there are the other employees, fire, police, some town  that have not had funds taken out of their budget, but rather have had "surplus' general fund money deposited into the OPEB FUND under their category.  The Library, which isn't even part of Bl. Township government,  but apparently part of this plan,  has not deposited much, if any, money toward their employees in recent years.
HOWEVER,  the township prefers to give ONE figure for the total amount in the FUND, even though all employees are NOT sufficiently covered equally.   The FUND may look like it is being funded at an OK rate,  but it is not for all.

 

MY COMMENT:
This is March 2018.  

• The documents submitted for this waiver are old (SEE the documents in the board packet).  
• In my opinion the township does not have strong financial operations.   
• The Trustees and the public have not received/nor granted all  the documents nor the quarterly financial/investment meetings required the past several years.  
• The 2018-2019 proposed budget was not posted on the township website page: BUDGET/ and HOME page.  
• Yet, here, tonight is a Public Hearing on that Budget which was not noticed under LEGAL, or anywhere else on the township website, except the agenda.  
• This is the third year the township has EXCLUDED the Water and Sewer Budget,  a $25+/- million budget  from the approval process.  
• There is a class action lawsuit involving the W&S department, a potential $11 million loss depending on the outcome.    
• The township continues to approve NO BID contracts and then the Trustees  have no idea the final outcome of those bids.  
• Recently, the Safety Path budget was adjusted by $100,000.  Well, the contractor was paid $100,000 over his "not to exceed contract" but that was not the reason for the adjustment.  Not what was told to the Trustees and the public.  
• A lot of money has been transferred from what accounts and deposited in a FUND at Oakland County.   Those transfers were never mentioned at a public meeting, therefore, no Trustee approval.  I want to say, last I saw was $50 M.   Where did that money come from?  

• Cars, gas, insurance, maintenance  not identified anywhere as to who is benefiting.... lots of money spent by this administration.... money that should be going toward funding the OBLIGATIONS that the administration has approved.   
• The Township should also mention that the Retirees are suing the township.  Has that lawsuit been resolved?   Think they should mention that.  Don't you?

If this township wants a WAIVER... they should file truthful and current documentation.  My opinion.


Here are more documents from the BOARD PACKET:  
https://bloomfieldtwpmi.documents-on-demand.com/
you must choose:  Board of Trustees/  Board Packet/ 2018/ March 12










STATEMENTS ON THE WAIVER APPLICATION:






More documents being submitted with this WAIVER request....
 
ONE: 
 
from the Milliman report  date July 1, 2015.p.8

 p.7


MY COMMENT:
Why a July 1, 2015 document?   In fact,  this July 1, 2015 report date was not officially completed until late Nov/Dec. 2015.   The report uses approx.  $2.7 million from a newly created sub-category called Water and Sewer  which was NOT initiated and completed by the Bloomfield Board of Trustees until the end of November 2015.   An * asterisk in the July 1, 2015 Actuarial report mentions this very late addition of funds and new category.   Since then,  the township has created other sub-categories in the FUND.   Where is the latest report from Milliman?   Payroll and Vouchers show payments to this company.  Where are those reports?

TWO:



 NOTICE the document the township is submitting is from 2009 and is just a Proposal

 The other submitted document is from 2011:


THREE


  The submitted document is from 2013: