The Watertown Local Development Corp. has arranged to set up a new pension package for its two employees, amid the fallout of a 2012 state ruling that they and similar workers are not part of the state retirement system.
The WLDC, also known as the Watertown Trust, approved a resolution for RBC Wealth Management, a Watertown securities broker, to handle the pension package for its two employees, CEO Donald W. Rutherford and executive assistant Kim S. Taylor. The board approved the package during a special meeting Thursday.
Under the new retirement benefits, they will receive a 401(k) profit-sharing package that goes back to July 1 of last year, when they no longer were eligible for the states retirement system.
The employees were put in retirement-fund limbo when state Comptroller Thomas P. DiNapoli concluded in February 2012 that they should not have received pension credits in the years they had worked for subagencies of the Jefferson County Industrial Development Agency.
Since last summer, a three-member ad hoc committee board members Erika F. Flint and Jeffrey T. Fallon and former board member Mark S. Bellinger looked at several proposals from companies to handle the pension package.
It was a thorny issue, said Mayor Jeffrey E. Graham, who also is the WLDCs chairman. I think we did the right thing.
In recent months, the board also has retained Paychex, Rochester, to handle payroll duties.
JCIDA and the Watertown Industrial Center Local Development Corp. are going through the same situation for their employees as a result of the comptrollers ruling.
The Watertown Trust also severed its ties with JCIDA and has become its own entity because of the situation.