Hanes’ salary to drop upon rehire

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Editor’s Note: This article discusses about Piqua City Schools Superintendent Rick Hanes’ benefits, one being insurance coverage. Treasurer Jeremie Hittle requested to add the fact that Hanes pays the same amount on insurance deductables as any other employee of PCS as well as receives the same insurance package. Nothing has changed in his insurance plan.

PIQUA — Piqua City Schools Superintendent Rick Hanes’ compensation package as a reemployed superannuate has been released. The contract between Hanes and the board states an annual salary of $110,000 with benefits, and he will receive pension from the State Teacher Retirement System.

The new salary will not be in effect until July 2, when Hanes is to officially be rehired. He will retire on June 30 from his current annual salary of $118,900 due to his desire to remain on the old retirement rules in STRS. Teachers and administrators in Ohio schools who do not retire on or before June 30 will be under a new format in the retirement system.

The salary Hanes will have once reemployed will be the salary he began with when he first started at PCS in 2007, Board Treasurer Jeremie Hittle said in an email. The new salary will be in effect until July 31, 2018, unless the contract is further modified, terminated, or suspended.

Hittle also commented on the reasoning for Hanes’ new salary not being released prior to the June 2 board meeting and public hearing on the issue of Hanes’ rehire.

“We needed to confirm with legal the language in the retirement section was correct (in the contract). The contract was not finalized until all board members were brought up to speed in executive session prior to the vote,” Hittle said.

The contract states that the board has the right to increase Hanes’ salary during the life of the contract. A public vote must be made by the board in order for the salary to increase. “The rationale for any increase is to be determined by the Board of Education at that time (of vote). This language has been in previous contracts,” Hittle said.

“The superintendent will also receive any general increases and stipends received by the rest of the board’s employees and administrators,” the contract states. Those increases are 2 percent in 2016 fiscal year and 1.5 percent in 2017, Hittle said. The percent increase for 2018 is yet to be determined.

Provided by the board, a retention bonus payment will be paid to Hanes in the final year of the contract equal to $5,500.

Hanes will receive the following benefits:

  • Medical, dental, and vision insurance, the board covering the superintendent’s insurance premiums.
  • Life insurance: A paid term life insurance policy of not less than $250,000.
  • Medicare payroll tax, being 1.45 percent of salary.
  • For each year of the contract, Hanes receives equal installments of $6,600 in cash, or made to a custodial account or annuity contract.
  • Paid legal holidays.
  • Entitled to 40 vacation days with pay each year contract is in effect. Has the choice to “roll over” unused vacation days into the next contract year, or be reimbursed for unused vacation days, at his per diem rate at that time.
  • Sick leave: Upon separation of employment, the board will pay Hanes 25 percent of the total accrued days earned while employed by the board at the daily rate in effect under the contract.
  • Hanes is entitled to paid personal leave in accordance with the board policy for all other administrators.

Hittle wanted to make sure the public knew the following:

“The total compensation of the superintendent is less in fiscal year 2016 than we are paying in fiscal year 2015. The district does not pay his pension and has no additional cost associated with his retirement. The district would have the expense of a superintendent with or without Rick Hanes,” he said.

If the public is interested in seeing the contract in full, a public records request can be made to Hittle. He can be reached via phone call at (937) 773-4321, extension 0211 or email, hittlej@piqua.org.