Plan Revision Information

St. Vrain Valley Schools recently underwent a revision of its 403(b) and 457 optional retirement plans at the recommendation of the District Retirement Plan Committee.  (These plans do NOT affect your regular PERA retirement account.)  Your Retirement Committee representatives worked closely with the District’s independent retirement plan consultant and District administrators in a nine month process to revise the plan in order to best serve the retirement needs of all SVVSD employees.  For more information on the transition, please read through the Frequently Asked Questions below and consider attending an informational meeting.

Plan Revision Frequently Asked Questions

The District is excited to announce that it has selected the PERAPlus 401(k) and 457(b) plans as the exclusive optional retirement plan for all employees.  The District “froze” its previously existing District-sponsored 403(b) and 457 plans, grandfathering in existing participants.  This means:

  • On an ongoing basis, the District now affords all employees the opportunity to participate in the PERAPlus 401(k) and PERAPlus 457(b) plans.  Any employee who wishes to save for retirement under an optional retirement plan is encouraged to consider participating in one of these plans.  For instructions on how to sign up, visit our page on How to Sign-up for PERAPlus.
  • All participants in the previous District-sponsored 403(b) and 457 plans who were actively contributing to their accounts as of June 30, 2013 may continue to do so at their discretion, and all five approved investment providers will continue to provide service to grandfathered participants (AXA, Security Benefit, Thrivent, VALIC, and Waddell & Reed).
    • Contribution amounts under the old plan may be increased, decreased, or stopped at any time (changes received by Payroll after the 10th of the month will be effective the following month.)
    • Once a contribution is stopped under the old plan, it may not be resumed.
    • The previous District-sponsored 403(b) or 457 plans will no longer accept new participants, providers, contracts, or salary reduction agreement “adds.”

Last November, the District Retirement Committee distributed a survey to all employees regarding its optional retirement plans.  The results of that survey indicated that employees desired an improved plan design, better education and communication, and lower fees.  In addition, the District received negative feedback from employees regarding some of the existing 403(b) and 457 providers, and there had been no official performance or fee review process in place to address these concerns.  Further study revealed large discrepancies among the different providers regarding products offered and fees charged.

Over a nine-month period, the District Retirement Committee met with the District’s independent retirement plan consultants and District administration to review the existing plan design, evaluate RFP responses from investment providers, and make a recommendation to the Board of Education on how to improve the optional retirement plan offerings for employees.  The committee desired to provide lower fees, better resources, education, and communication to help employees more effectively save for retirement.

The Retirement Committee determined that by recommending that the District afford its employees the opportunity to participate in the PERAPlus 401(k) and 457(b) plans, employees can experience the following benefits:

  • Significantly lower investment fees for participants compared to the old plan
  • Improved access to educational resources (meetings, call center, website, etc.)
  • Clear, consistent information and communication regarding retirement options

If you have additional questions or need more information:

The SVVSD Retirement Plan Website: https://blogs.svvsd.org/retirementplan

Informational Meeting Schedule: Click Here

Frequently Asked Questions: Click Here

Plan Revision Information: Click Here

The PERAPlus website: https://www.copera.org/pera/active/dc.htm

PERA and PERAPlus customer service phone number: 800-759-7372

List of Legacy SVVSD 403(b) and 457 Representatives (not PERAPlus): Click Here

List of SVVSD Retirement Plan Committee Members: Click Here

 

To contact the Plan Administrator: Click Here

 


All participants in the legacy District-sponsored 403(b) and 457 plans who were actively contributing to their accounts as of June 30, 2013 may continue to do so at their discretion, and all five approved investment providers under that plan will continue to provide service to their participants (AXA, Security Benefit, Thrivent, VALIC, and Waddell & Reed).

  • Contribution amounts may be increased, decreased, or stopped at any time (changes received by payroll after the 10th of the month will be effective the following month.)
  • Once a contribution is stopped under the old plan, it may not be resumed.

The legacy District-sponsored 403(b) or 457 plans will no longer accept new participants, providers, contracts, or salary reduction agreement “adds.”


On May 14, 2013, the District Retirement Committee voted to recommend these changes to the Board of Education.  The Board of Education reviewed the changes on June 12, and approved the recommended changes to Board Policies DLB and DLB-R on June 26, 2013, effecting a PERAPlus 457 affiliation and a District-sponsored 401(k) and 457 plan freeze as of July 1, 2013.


If you do not currently participate in an optional retirement savings plan with St. Vrain:
  • As a benefit to employees, the District participates in the optional PERAPlus 401(k) and 457(b) retirement savings plans.  You are encouraged to consider supplementing your expected PERA retirement income by saving additional amounts from each paycheck.  If you sign up for PERAPlus, the Payroll office will deduct an amount you designate from your paycheck (on a pre-tax basis) and remit it to your PERAPlus account each month.  Your savings account will grow to provide you with supplemental savings that you can access once you retire.
  • You may set up a new PERAPlus 401(k) and/or 457(b) account and contribute to either or both of these plans simultaneously.
    • If you wish to sign up for either of these plans, please click here to view instructions on how to do so.
If you currently participate in the PERAPlus 401(k) plan, but not the District’s 403(b) or 457 plans:
  • You do not need to do anything with regard to your PERAPlus 401(k) plan — any payroll deductions in place will continue.
  • The District now offers participation in the PERAPlus 457(b) plan.  If you have reached your maximum annual contribution limits for PERAPlus but want to save more, you should consider signing up for the 457(b) plan, as it does not share the contribution limit with the 401(k) plan.  Click here for current contribution limits.
If you contributed to a District-sponsored 403(b) or 457 retirement account through a payroll deduction as of June 30, 2013:
  • You may continue contributing to that provider, if desired
    • You may increase, decrease, or stop your contributions with that provider at any time
      • If you stop contributing to that provider for any reason, you may not resume contributions to that provider
  • You may not roll over your account balance from your old provider into the PERAPlus plans unless a triggering event occurs.
  • You may set up a new PERAPlus 401(k) and/or 457(b) account and contribute to either or both of those plans in addition to or instead of your contributions with your previous provider

 


You will most likely be required to leave the balance of your account with your old provider.  The District freezing the SVVSD 403(b) and 457 plans did not trigger a distributable event, so you may not rollover the balance of your account unless you qualify under the normal distribution provisions, which are:

  • 403(b)
    • Separate from service/retire
    • Attain age 59 1/2
    • Become Disabled
    • Death
  • 457(b)
    • Separate from service/retire
    • Attain age 70 1/2
    • Death

If you have two separate pre-existing accounts with two different approved providers under the old 403(b) or 457 plans, you have to option to combine these accounts at any time.  (Doing so may subject you to contract surrender fees with the old provider—please talk to your advisor first.)


No.  Your participation in the PERAPlus 401(k) plan will continue normally unless you take action to change it.  While this plan revision will not affect you, we should mention that the District now affords you the opportunity to enroll in the PERAPlus 457(b) plan as well, if you desire.  The two plans do NOT share annual contribution limits, so if you would like to save more than the allowed annual amount for the 401(k), you may now do so by participating in the PERAPlus 457(b) plan as well.

For a comparison of the two plans, please view the PERAPlus 401(k) vs. 457(b) Comparison Chart.


 

Plan changes affect Board Policies DLB and DLB-R.  You may also read through the Plan Transition Summary Report to the Board of Education.