First Selectman Joseloff Backs Out of Pension Request [Update]

After First Selectman Gordon Joseloff’s unprecedented attempt to join the town pension plan became and perceived conflicts of interest, he canceled his request on Feb. 4.

“Clearly the Pension Board was conflicted in that there was no explicit provision for my joining now that I would be vested," Joseloff said in a statement. "I had been told when I was elected that I could join if and when I had five years of service – but that was bad advice."

By no longer seeking a pension, a unique chapter in town history is seemingly closed. But the broader story of the growing costs of defined-benefit contribution plans is still ongoing.

The Non-Union Supervisory Pension contract, which Joseloff requested to participate in, is mandatory for all employees except those 60 or older. When he first took office in 2005, he was 60 years old and opted out of the pension plan. Joseloff makes $101,475 a year, according to the 2010-11 budget documents, and has not received a raise since his inauguration in 2005. He is serving his second term.

Tom Hamilton, the director of personnel, told the Non-Union Supervisory Pension Board last month that he had never encountered this specific request before because all other selectmen he has worked with have been younger than 60 when they first took office.

In Joseloff's statement, he sought to clarify media reports and noted that three former first selectman are enrolled in the pension plan, as they were required to do so because they were younger than 60 years old.

“Contrary to some media reports, it is not unprecedented for a first selectman to be in a town pension plan. What has not occurred before is for a first selectman over 60 who did not choose to join the plan when initially elected later to ask to join the plan," he said.

However, Patch never said that no first selectman had ever been in the town pension plan.

By paying $20,676 in retroactive contributions and $3,447 in interest for five years and one month of pension credit, Joseloff would have 'bought back' into pension plan. It takes five years to be vested. The annual payout was never submitted to the pension board.

"I was told once I was vested, I could request to contribute," Joseloff said at the January meeting. He was advised by Hamilton that he could do this.

As Westport is saddled with the rising cost of retired employees, pensions have become a hot-button issue in the past year.

• In the 2010-11 budget, nearly $8 million had to be spent to cover the decline in pension values. In past years, little or nothing was contributed. The pension is still underfunded.
• Top officials in the police and fire department . The three officials now collect pensions in the vicinity of $100,000, in addition to collecting a salary starting at $98,000. Joseloff told reporters this move saved the town money.
• In November, pair of contracts for was rejected partly because they did little to address the growing cost of pensions. A state arbitrator will now weigh in on the contracts.

Liz Mitchell contributed to this report.

This story has been updated to include a statement from First Selectman Gordon Joseloff. He was previously unable for comment when the story was first published.