Under the retirement law (Chapter 32), an accidental disability retiree (Section 7) receives a very modest allowance for children who meet certain conditions (i.e., under 18, over 18 but in college, physically or mentally incapacitated). A child allowance continues to be paid to the widow (or widower) of these retirees if they died from their disability and the widow receives what is called an accidental death benefit (Section 9).

According to Legislative Chairman Bill Hill, “Back in ’87, they passed a local option law that increased the meager amount of the child allowance for accidental disability retirees from $312 a year to $450. They also provided that the amount would be increased annually by the same percentage that is applied to the disability pension itself.

“Unfortunately, the same adjustment was not provided to the widows mentioned above. They continued to receive just $312 each year.”

Fortunately, the legislature took action, last year, that would eliminate this inequity. Chapter 55 of the Acts of 2006 allows local retirement systems, with the approval of the community’s executive officer and legislative body, to increase Section 9 (accidental death) child allowances at the same amount as they raise the Section 7 (accidental disability) child allowances. Currently, the Section 7 child allowance is $648.48.

Accepted Locally

“Within weeks of its passage, our Board accepted Chapter 55,” reports Newton Board Director Kelly Byrne. “When Mayor Cohen and the Board of Aldermen ratified the Board’s acceptance, two widows were extremely grateful to receive a bit more each month.”

“Since Chapter 55 was enacted after most town meetings were held last year, most local systems would not have been able to complete acceptance until this year,” continues Hill. “We expect to see more and more systems correcting this inequity throughout ’07.”

“Our Board accepted the law in 2006 but has to wait for Andover’s Town Meeting approval,” according to Elena Kothman, retirement administrator of the Andover Board. “It’s unfortunate that it took so long to remedy the situation. Nevertheless, the opportunity now presents itself, and the Board intends to act on it.”

It should be noted that the increased child allowances are automatic for the state and teacher retirement systems. At press time 17 local systems have adopted Chapter 55. They are: Attleboro, Barnstable Cty, Berkshire Cty, Cambridge, Dukes Cty, Gardner, Greenfield, Hampshire Cty, Haverhill, Lawrence, Methuen, Newton, Plymouth Cty, Revere, Taunton, Weymouth, and Winthrop.