MEMORANDUM
DATE:
October 22, 2002
TO: Greg Fox, Chair
Flexible
Compensation Benefits Committee
FROM: David
Bosserman
SUBJECT: Committee
Recommendations
Thank you for
the opportunity to discuss Flexible Compensation Benefits Committee
recommendations with you and Terry Lehenbauer. At our meeting on August 29, we
reviewed the procedure for recommendations as well as those recommendations that
were currently pending. I hope you will convey my gratitude to the Committee for
their many hours of work.
We concluded
that my office has received recommendations for an increase in life insurance
for retirees, changes to the flexible benefits plan (expansion to a cafeteria
approach), adoption of a 457(b) retirement plan, and removal of the 1600-hour
cap on sick leave. In addition, you presented an update of recommendations from
the Retirement Subcommittee regarding Oklahoma Teachers' Retirement System
participation and benefits. This recommendation has been shared with Judge
Morris, President Halligan, and is part of two legislative studies that will be
conducted this legislative session. It appears this process is working well and
no additional plans are anticipated at this time.
I urged the
Committee to move forward sharing the recommendations on the 457 (b) plan and
removal of the 1600-hour sick leave cap with the campus, and constituent groups
in particular. I believe this process is outlined in the charge to the Committee
and part of the reappointment letter sent by President Halligan to every member.
Once appropriate input has been received from Faculty Council and Staff Advisory
and other interested groups, I eagerly look forward to administrative discussion
of possible implementation of the recommendations.
The
recommendation to increase life insurance for retirees has been discussed again
by the OSU/A&M Fiscal Officers. On September 27, I sent you an update on
their decision not to increase retiree life insurance at this time, due to the
continuing dismal budget forecast.
I have reviewed the recommendation for expansion of current flexible
benefit offerings into a cafeteria approach. You had requested that I provide
you with some initial thoughts.
INTERIM VICE PRESIDENT FOR
BUSINESS AND FINANCE, AND CONTROLLER
206 Whitehurst
405-744-5982
Fax: 405-744-6423
Greg Fox
Oct. 22, 2002
Page 2
The
recommendation is very expansive and can be considered as multiple
recommendations. As noted in our meeting, some of the recommendations can be
implemented more easily and with less cost impact than others. Also, some of the
recommendations can be implemented gradually over time. The task is to gain
campus review to determine desirability of the recommendations and possibly set
some priorities or preferences, given reductions in administrative and financial
resources.
I would suggest that recommendations be presented to Staff Advisory
Council, Faculty Council, University Budget Committee, and Administrative
Officers to gain some initial input from the campus. Assuming the campus is
generally in favor, I would ask that the Committee then group and prioritize
recommendations.
I did not find
anything absolutely impossible, assuming resources could be found or allocated
to make implementation feasible. The Oklahoma College Savings Plan has already
been implemented.
I am hopeful
campus review can begin so that we will have advance discussion completed and an
idea of where the campus wants to go with our benefit programs.
cc:
Anne Matoy