2. Retirement Incentive Program September 2012

3. Retirement Incentive Who would be eligible?  Full (Unreduced) Retirees  Early Retirees

4. Retirement Incentive Full (Unreduced) Retirees At least 50 years old with 30 years of VRS service At least 65 years old with 5 years of VRS service $10,500 incentive

5. Retirement Incentive Early Retirees  At least 50 years old with 10 years of VRS service  At least 55 years old with 5 years of VRS service  $2,000 incentive

6. Retirement Incentive Regulation 8-42 Changes effective 7/1/13 Employees who have at least 10 years of service with Chesapeake Public Schools who elect the early retirement incentive will be able to continue participation in the health care plan at the current level of CPS premium contribution. Employees who elect early retirement after 7/1/13 may retire with a significantly reduced CPS premium contribution.

7. Regulation 8-42 Retire Before 7/1/13 Tiers only apply Pre-65 Retire After 7/1/13 Tiers apply pre-65 AND post-65 10+ CPS Years of Service for Contribution CPS (service-based) CPS (service- based) 100% Tier20+ VRSFull or Early*10+Full 75% Tier15+ VRSFull or Early**20+Early* 50% Tier10+ VRSFull or Early***15+Early** 0% Tier<10 VRS or CPS Full or EarlyFull: <10 CPS Early: < 15 CPS Full Early*** Full retirees with 10 years CPS will ALL get 100% of the CPS contribution Early Retirees will need 15 years (not 10) with CPS to get a premium contribution

8. Retirement Incentive Requirements Employee’s effective retirement date must be as of or after November 1, 2012. Employee must notify Human Resources by 4 p.m. December 15, 2012 Resignation letter must be submitted at time of election. Legal agreement must be signed. Resignation date must be no later than 6/30/2013.

9. Retirement Incentive  Incentive Distribution Payout of the incentive will be made on 6/30/13. Distribution will be made in a lump sum payment.

10. Retirement Incentive All employees considering retirement are encouraged to verify benefit information with VRS. Please visit the VRS website to view member information. www.varetire.org/myVRS  View your member information, including service credit and compensation reported to the VRS by your employer.  Check the status of an application for retirement, purchase services or refund.  Estimate your retirement benefit using current information.  View and update your personal contact information online.

11. Retirement Incentive  Important Dates to Remember Employees must notify the Department of Human Resources by 4 p.m. on December 15, 2012, of their intent to participate in the retirement incentive program. Resignation date must be no later than 6/30/2013.