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6A j The Birmingham News Sunday, November 28, 2010 FROM PAGE ONE PENSIONS: Part of wages went to pension From Page 1A In at least two cases, the federal government has gar- nished up to a quarter of the pension amounts following sentences resulting from probes into the state’s two- year college system and Jef- ferson County’s sewer sys- tem. The federal govern- ment also is asking for garnishment of one other pension. Birmingham lawyer Bart Slawson said the state Legis- lature or County Commis- sion should attempt to get the pension obligations can- celed for people who com- mitted crimes for personal gain working for two-year colleges or Jefferson County. Slawson represents a group that won an environ- mental lawsuit to force Jef- ferson County to fix its leaky sewer system. The work re- sulting from lawsuit set- tlement became the central focus of the county sewer corruption scandal. “They don’t deserve them (the pensions) and they should be disgorged as un- just enrichment,” he said. Among the long-standing ideals for pensions is that you provide your employer with loyal and valuable serv- ice, “not committing illegal acts to damage your em- ployer, and that’s exactly what these guys did,” Slaw- son said. Don Yancey, RSA’s direc- tor of benefits, said if an em- ployee works at an institu- tion and makes contributions, they can get their pension once they meet eligibility require- ments. “A criminal conviction does not do anything to eliminate a person’s eligibil- ity for a pension if they’ve earned a pension,” Yancey said. “It doesn’t matter whether that offense was re- lated to your job.” Under the RSA’s teacher retirement plan, employees such as those convicted in the two-year college scandal contribute 5 percent of their pay to their pensions. The amount that the state con- tributes each year varies but is currently equivalent to 12.5 percent of the person’s salary, he said. Under the Jefferson County system, each mem- ber contributes 6 percent of his or her compensation, according to the system’s attorney, Beth Beaube. The county matches that contri- bution. Eight former two-year college employees who were either convicted or pleaded guilty in the federal investi- gation get pensions ranging from $11,005 to $1,032, or about $440,000 a year com- bined, from the state retire- ment system. Johnson gets the most, $11,005 a month, and will continue getting it while in prison. Former state Rep. Sue Schmitz draws the smallest pension, $1,032 a month. Five people who com- mitted crimes in the Jeffer- son County sewer scandal collect pensions ranging from $3,805 to $2,174, for a total of about $240,000 a year, from the county’s re- tirement system. Two other former county employees who pleaded guilty in the sewer scandal — Harry T. Chandler and Donald R. El- lis — will be eligible for pen- sions when they turn 60, ac- cording to county pension system records. Chandler, Jefferson Coun- ty’s former assistant director of environmental services, will get $5,140 a month. El- lis, the environmental department’s former senior civil engineer, will get $2,526 a month. Two officials covered by the Jefferson County retire- ment system and convicted in the sewer scandal elected to get a refund of their own retirement contributions when they left the county’s employment, the records show. They will not get a county pension. Former Jefferson County Commissioner Larry Lang- ford got a refund of $21,076 and former employee Ron- ald K. Wilson collected a re- fund of $29,322, according to the retirement system. Langford is now serving a 15-year prison term on pub- lic corruption charges. Wil- son was sentenced to 13 months in prison. Courts and prosecutors do have a way to take part of the pensions of people con- victed of crimes. A court order is required to allow the government to take part of a person’s pen- sion to pay toward court-or- dered fines and restitution. The Consumer Credit Pro- tection Act limits the gar- nishment of wages to 25 percent of a pension, except in certain circumstances in- cluding child support In one case in the two- year college probe, former state Rep. Sue Schmitz had her retirement credit taken away for her work with a state program for troubled youths after her conviction, Yancey said. She had been convicted of charges relat- ing to a no-show job with that program. Schmitz kept her retire- ment credit for her career as a public school teacher, Yancey said. Federal prosecutors have garnished up to 25 percent of the monthly pensions of a few of the convicted officials pension to repay court or- dered fines, or restitution. Those who have had wages garnished in the two- year college or sewer scan- dals include: y Jack Swann, former head of the Jefferson County sewer department, who had his $6,928 gross monthly pension garnished at a rate of 25 percent by federal prosecutors. y Robert Nix, former deputy director of the Ala- bama Fire College, has a garnishment of $928 a month off his $4,394 a month pension, also about 25 percent. The U.S. Attorney’s Office also has asked to garnish the $2,198 a month pension of former Jefferson County Commissioner Chris McNair. The garnishment has not been finalized, said McNair’s attorney Doug Jones. Federal prosecutors have not sought to garnish the pension of Johnson, who has been ordered to pay $18.2 million in forfeiture and give up his house in Opelika. Peggy Sanford, spokeswoman for the U.S. Attorneys Office, said it’s premature to comment on what steps may be nec- essary to collect forfeiture in the Johnson case. E-MAIL: [email protected] FORMER TWO-YEAR COLLEGE EMPLOYEES Roy Johnson (pleaded guilty) Dec. 2006 $11,000 Sue Schmitz (guilty verdict) Mar. 2010 $1,032 Melinda Kay Umphrey (pleaded guilty) Dec. 2009 $1,344 W.L. Langston Sr. (guilty verdict) July 2006 $6,173 Joanne Jordan (pleaded guilty) Jan. 2008 $8,082 Robert Nix* (pleaded guilty) Sep. 1996 $4,394 Gail Phillips (guilty verdict) June 2007 $2,512 Rick Rogers (state charges pending) Sep. 2007 $8,190 Karen Van Luvender (state charges pending) June 2010 $5,189 Bryant Melton (pleaded guilty) Sep. 2006 $2,255 Jimmie Clements (state charges pending) Sep. 1996 $6,972 Dana Clements** (state charges pending) Sep. 2017 $2,800 FORMER JEFFERSON COUNTY EMPLOYEES AND COUNTY COMMISSIONERS IN SEWER SCANDAL Clarence R. Barber (pleaded guilty) Dec. 2004 $3,805 Mary M. Buckelew (pleaded guilty) Nov. 2006 $2,174 Larry P. Creel (pleaded guilty) Feb. 2005 $3,452 Chris McNair (guilty verdict) Mar. 2001 $2,198 Gary White*** (guilty verdict) Dec. 2006 $2,336 Harry T. Chandler** (pleaded guilty) Jan. 2017 $5,140 Donald R. Ellis** (pleaded guilty) May 2020 $2,526 Jack Swann* (guilty verdict) July 2006 $6,928 Pensions of former two-year college employees or Jefferson County officials convicted or have charges pending PUBLIC PENSION AMOUNTS Name * Nix and Swann have federal garnishments for restitution. ** Dana Clements, Harry Chandler and Donald R. Ellis eligible to begin drawing at age 60. *** Gary White completed his term as a commissioner on Nov. 3, 2006 and elected deferred retirement. His retirement benefits became payable on Dec. 30, 2006. Monthly benefit Retirement date Sources: State retirement system, General Retirement System of Jefferson County, and federal court records Monthly benefit Retirement date

FROMPAGEONE Sunday,November28,2010 PENSIONS: …media.al.com/birminghamentries/other/Pensions entry page 2.pdf6A j TheBirminghamNews FROMPAGEONE Sunday,November28,2010 PENSIONS: Partofwages

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Page 1: FROMPAGEONE Sunday,November28,2010 PENSIONS: …media.al.com/birminghamentries/other/Pensions entry page 2.pdf6A j TheBirminghamNews FROMPAGEONE Sunday,November28,2010 PENSIONS: Partofwages

6A j The BirminghamNews Sunday, November 28, 2010FROM PAGE ONE

PENSIONS:Part of wageswent to pensionFrom Page 1A

In at least two cases, thefederal government has gar-nished up to a quarter of thepension amounts followingsentences resulting fromprobes into the state’s two-year college system and Jef-

ferson County’s sewer sys-tem. The federal govern-ment also is asking forgarnishment of one otherpension.

Birmingham lawyer BartSlawson said the state Legis-lature or County Commis-sion should attempt to getthe pension obligations can-celed for people who com-mitted crimes for personalgain working for two-yearcolleges or Jefferson County.

Slawson represents a

group that won an environ-mental lawsuit to force Jef-ferson County to fix its leakysewer system. The work re-sulting from lawsuit set-tlement became the centralfocus of the county sewercorruption scandal.

“They don’t deserve them(the pensions) and theyshould be disgorged as un-just enrichment,” he said.

Among the long-standingideals for pensions is thatyou provide your employerwith loyal and valuable serv-ice, “not committing illegalacts to damage your em-ployer, and that’s exactlywhat these guys did,” Slaw-son said.

Don Yancey, RSA’s direc-tor of benefits, said if an em-ployee works at an institu-t i o n a n d m a k e scontributions, they can gettheir pension once theymeet eligibility require-ments.

“A criminal convictiondoes not do anything toeliminate a person’s eligibil-ity for a pension if they’veearned a pension,” Yanceysaid. “It doesn’t matterwhether that offense was re-lated to your job.”

Under the RSA’s teacherretirement plan, employeessuch as those convicted inthe two-year college scandalcontribute 5 percent of theirpay to their pensions. Theamount that the state con-tributes each year varies butis currently equivalent to12.5 percent of the person’ssalary, he said.

U n d e r t h e J e f f e r s o nCounty system, each mem-ber contributes 6 percent ofhis or her compensation,according to the system’sattorney, Beth Beaube. Thecounty matches that contri-bution.

Eight former two-yearcollege employees who wereeither convicted or pleadedguilty in the federal investi-gation get pensions rangingfrom $11,005 to $1,032, orabout $440,000 a year com-bined, from the state retire-ment system.

Johnson gets the most,

$11,005 a month, and willcontinue getting it while inprison. Former state Rep.Sue Schmitz draws thesmallest pension, $1,032 amonth.

Five people who com-mitted crimes in the Jeffer-son County sewer scandalcollect pensions rangingfrom $3,805 to $2,174, for atotal of about $240,000 ayear, from the county’s re-tirement system. Two otherformer county employeeswho pleaded guilty in thesewer scandal — Harry T.Chandler and Donald R. El-lis — will be eligible for pen-sions when they turn 60, ac-cording to county pensionsystem records.

Chandler, Jefferson Coun-ty’s former assistant directorof environmental services,will get $5,140 a month. El-l i s , t h e e n v i r o n m e n t a ldepartment’s former senior

civil engineer, will get $2,526a month.

Two officials covered bythe Jefferson County retire-ment system and convictedin the sewer scandal electedto get a refund of their ownretirement contributionswhen they left the county’semployment, the recordsshow. They will not get acounty pension.

Former Jefferson CountyCommissioner Larry Lang-ford got a refund of $21,076and former employee Ron-ald K. Wilson collected a re-fund of $29,322, accordingto the retirement system.Langford is now serving a15-year prison term on pub-lic corruption charges. Wil-son was sentenced to 13months in prison.

Courts and prosecutorsdo have a way to take part ofthe pensions of people con-victed of crimes.

A court order is requiredto allow the government totake part of a person’s pen-sion to pay toward court-or-dered fines and restitution.The Consumer Credit Pro-tection Act limits the gar-nishment of wages to 25percent of a pension, exceptin certain circumstances in-cluding child support

In one case in the two-year college probe, formerstate Rep. Sue Schmitz hadher retirement credit takenaway for her work with astate program for troubledyouths after her conviction,Yancey said. She had beenconvicted of charges relat-ing to a no-show job withthat program.

Schmitz kept her retire-ment credit for her career asa public school teacher,Yancey said.

Federal prosecutors havegarnished up to 25 percentof the monthly pensions of afew of the convicted officialspension to repay court or-dered fines, or restitution.

Those who have hadwages garnished in the two-year college or sewer scan-dals include:

y Jack Swann, formerhead of the Jefferson Countysewer department, who hadhis $6,928 gross monthlypension garnished at a rateof 25 percent by federalprosecutors.

y Robert Nix, formerdeputy director of the Ala-bama Fire College, has agarnishment of $928 amonth off his $4,394 amonth pension, also about25 percent.

The U.S. Attorney’s Officealso has asked to garnish the$2,198 a month pension offormer Jefferson CountyC o m m i s s i o n e r C h r i sMcNair. The garnishmenthas not been finalized, saidMcNair’s attorney DougJones.

Federal prosecutors havenot sought to garnish thepension of Johnson, whohas been ordered to pay$18.2 million in forfeitureand give up his house inOpelika.

P e g g y S a n f o r d ,spokeswoman for the U.S.Attorneys Office, said it’spremature to comment onwhat steps may be nec-essary to collect forfeiture inthe Johnson case.

E-MAIL: [email protected]

FORMER TWO-YEAR COLLEGE EMPLOYEES Roy Johnson (pleaded guilty) Dec. 2006 $11,000Sue Schmitz (guilty verdict) Mar. 2010 $1,032Melinda Kay Umphrey (pleaded guilty) Dec. 2009 $1,344W.L. Langston Sr. (guilty verdict) July 2006 $6,173Joanne Jordan (pleaded guilty) Jan. 2008 $8,082Robert Nix* (pleaded guilty) Sep. 1996 $4,394Gail Phillips (guilty verdict) June 2007 $2,512Rick Rogers (state charges pending) Sep. 2007 $8,190Karen Van Luvender (state charges pending) June 2010 $5,189Bryant Melton (pleaded guilty) Sep. 2006 $2,255Jimmie Clements (state charges pending) Sep. 1996 $6,972Dana Clements** (state charges pending) Sep. 2017 $2,800

FORMER JEFFERSON COUNTY EMPLOYEES AND COUNTY COMMISSIONERS IN SEWER SCANDALClarence R. Barber (pleaded guilty) Dec. 2004 $3,805Mary M. Buckelew (pleaded guilty) Nov. 2006 $2,174Larry P. Creel (pleaded guilty) Feb. 2005 $3,452Chris McNair (guilty verdict) Mar. 2001 $2,198Gary White*** (guilty verdict) Dec. 2006 $2,336Harry T. Chandler** (pleaded guilty) Jan. 2017 $5,140Donald R. Ellis** (pleaded guilty) May 2020 $2,526Jack Swann* (guilty verdict) July 2006 $6,928

Pensions of former two-year college employees or Jefferson County officials convicted or have charges pending

PUBLIC PENSION AMOUNTS

Name

* Nix and Swann have federal garnishments for restitution. ** Dana Clements, Harry Chandler and Donald R. Ellis eligible to begin drawing at age 60.*** Gary White completed his term as a commissioner on Nov. 3, 2006 and elected deferred retirement. His retirement benefits became payable on Dec. 30, 2006.

Monthly benefit

Retirementdate

Sources: State retirement system, General Retirement System of Jefferson County, and federal court records

Monthly benefit

Retirementdate