Scala not eligible for state pension

Superintendent Dr. David Scala's announcement last week of plans to retire at the end of the school year came as a surprise to many. Some have speculated he is retiring after his third year on the job to take advantage of Missouri's pension program and cash in on an additional retirement. However, according to state officials, Scala would need to work two more years to be vested.

Southeast Missourian readers criticized him online as a "job hopper," saying he "just needed to finish vesting his MO teaching pension," and speculating he came here to "get a 2nd retirement."

Scala has worked in three states during his career, spending 30 years in Iowa as a teacher and administrator, six in South Dakota as an assistant superintendent, and the past two years in Cape Girardeau. His salary during the 2006-2007 year was $135,150.

In order to be vested in the Missouri Public School Retirement System, an employee needs five years of service, according to Mary Hiatte, an executive assistant for PSRS.

Scala said that means he won't draw a monthly retirement from Missouri, and will only be able to recoup the money he paid into the system. He had the option to buy additional credits in the Missouri system, but said he chose not to do so.

"That didn't have anything to do with my decision," he said. "It was personal."

Scala said he would like to have more time to spend with his family and would like to "pursue other interests," although he doesn't have anything specific in mind as to how he will stay busy. He also hasn't decided whether he will retire in Cape Girardeau or relocate.

A number of factors go in to determining a public employee's pension, including years of service in that state, the employee's age and salary, and the type of benefit plan. Generally, a public employee can only earn credits toward a pension based on the number of years worked in that particular state. Collecting pensions from multiple states is typically not more beneficial than working longer in one state, according to those who specialize in retirement systems.

"I would argue that it is debatable whether hopping from one state to another for short periods of time would result in any larger of a pension than staying in one location because there are so many variables involved," said Corinne Koch, a South Dakota retirement benefits manager.

In South Dakota, an employee can be vested after three years and most collect at age 65. Scala will be 63 when he retires.

The school board granted a contract extension to Scala in February, extending his three-year contract by two years. Scala said that at the time he had not determined he wanted to retire but is letting the board know now so it will have adequate time to find a replacement.

During his time in Missouri, Scala said he is most proud of the development of the district's Comprehensive School Improvement Plan, the addition of preschool classes at two schools, and making district salaries more competitive.

This last year he would like to complete a five-year facilities plan and a three-to-five-year financial plan.

In a letter to the board of education, Scala said, "I will continue to diligently carry out my duties as superintendent and will make every effort to provide for a smooth transition of administration."

lbavolek@semissourian.com

335-6611, extension 123