The stipend, which is $15.00 for each year of creditable public service up to a maximum of $300.00 yearly, will be paid retroactively to the date of retirement and annually as a part of their pensions from this point on.

For some members who have been retired for many years, the retroactive payment will amount to several thousand dollars, a well-deserved windfall for these veterans. The retroactive payment, as well as future stipends of up to $300.00 yearly, will be considered taxable income under the IRS code.

The State and Teachers’ Retirement Boards are now in the process of notifying accidental disability retirees of this benefit. Veterans will be asked to send a copy of their DD214 or separation papers to their board.

The law, Chapter 161, allowing this benefit, was enacted by the House and Senate on July 10 and signed into law by Governor Romney on July 19. It officially takes effect 90 days from that date.

Chapter 161 is actually an amendment to Chapter 157 of the Acts of ’05, which was passed last year as an option for our 104 local retirement systems. Due to a snafu, the state and teachers’ systems were not included in the law.

“The House and Senate leadership were very cooperative in making this correction (Chapter 161)” said Association Legislative Chairman Bill Hill. “There was some uncertainty over the total cost of the retroactive payments, but once we were able to produce some solid numbers, Bobby DeLeo (Rep. Chairman House Ways and Means) and Therese Murray (Sen. Chair Senate Ways and Means) shepherded the legislation to their floors for a vote.”

Local Boards Active

At this time, 58 of our local retirement boards and their respective governing bodies have voted to accept last year’s Chapter 157, which allows them to pay the retroactive accidental disability veterans’ stipend. Acceptance of Chapter 157 is open-ended and can be voted at a future date.

Also, three boards: Attleboro, Easthampton and West Springfield, were denied retroactive approval by their governing bodies. Current retirees will receive the stipend going forward.

Seven other retirement boards: Hull, Malden, Methuen, Northbridge, Reading, Winthrop and Worcester, voted for a stipend for current retirees going forward, but not for a retroactive payment. Framingham’s Retirement Board voted for the retroactive and future stipends, but were denied by Town Meeting on both. The Board will seek another vote at a future Town Meeting.

The following Boards and their governing bodies have voted for the accidental disability vets’ stipend, both retroactively and going forward.