Serving Gogebic, Iron and Ontonagon Counties
Serving Gogebic, Iron and Ontonagon Counties
By RICHARD JENKINS
Ironwood Township — The Ironwood Township Board directed Clerk Mary Segalin to explore new options for pension funds Monday after a number of issues were raised regarding the way MetLife Inc. is handling the funds.
MetLife doesn’t seem to want to work with the plan,” said Eric Reigler, who works for Edward Jones and handles the funds for the township. “We’ve given them ample opportunity to reach out and service the plan...We had one gentleman who we called at MetLife that commented that the department we are trying to reach ‘aren’t the most pleasant to deal with,’ and that was a MetLife employee.”
Reigler explained he has unsuccessfully been trying to enroll Segalin in the plan since she took office in April 2015.
He explained Segalin was asked to fill out a document to enroll that was considerably more in-depth than the standard forms.
“I would say it’s the most complex one we deal with. They’re asking practically for a DNA sample,” Reigler told the board.
Segalin said since she can’t enroll in the plan, her payments are accruing in the general account and she has to keep track of them.
Reigler said he had difficulty getting answers from the company and even attempts to get an area MetLife representative to contact the board about assuming responsibility for managing the plan have gone unanswered.
“It’s clear to me at this point, they’re not even hungry for the business. I think it’s an unfortunate disservice to you guys, and the participants,” he said.
Treasurer Jyl Olson-DeRosso added MetLife was so difficult to work with that the township was unable to get the name of the clerk changed in the company’s records, meaning mail continued to be sent addressed to former clerk Gayla Salmi.
On top of the difficulties working with the plan, Reigler said he felt it was probably an antiquated plan and other products might better fit the township’s needs.
“I would say you could probably shop around and do much better,” Reigler said.
The company is also charging an annual fee of approximately 1.2 percent on all township funds in the plan.
While there are some benefits to the plan, Reigler said they don’t appear to be used enough to justify continuing with MetLife.
Segalin and Reigler still need to investigate if there are any restrictions to the township’s specific pension plan — a 457 plan — has in place that would negatively impact the township if a switch was made.
The township would also need to see if the union representing the township employees in the plan would allow a potential switch since the plan is included in the existing contract.
In other action:
—The board asked Coleman Engineering’s Ron Jacobson for something in writing stating the Michigan Department of Natural Resources and Michigan Department of Transportation were unwilling to negotiate over language in an easement agreement for township-owned land across Country Club Road that is part of the planned Regional Gateway Trail.
Jacobson told the board the state is threatening to hold its grant funding if the agreement isn’t signed. Township attorney Mark McDonald recommended the board decline to sign the agreement because it doesn’t include language that would waive the township’s liability if an accident happened on the property.
—The board authorized Supervisor Alan Baron to sign a letter in support of Bessemer Township’s grant application to the DNR.
—The board also approved a resolution adopting state and federal poverty guidelines, a standard process the township must complete every year.
