Joseph Potemri

Thank you for the opportunity to testify. Much like the young lady from Coventry who testified on video with Frank Flynn, I too am significantly impacted by the pension changes of 2005, 2009 and 2011.



I began my career while still in college. My first job was coaching high school girls' basketball and substitute teaching in Woonsocket whenever I was available. After graduating, I was fortunate to get a job teaching math and computer science at Woonsocket High School in the spring of 1992. For SY '92, I did not have enough substitute and full time days to count toward my pension.



My first full year of teaching was 1992-1993. I spent 13 years at Woonsocket High as a teacher, advisor and coach.

In 2005 I was offered an administrative position in Cranston. I was an assistant principal at Park View Middle School for 3 years and then the Assistant Principal for Academic Affairs at Cranston East for 12 years.

At the end of the COVID 2019-2020 school year, I opted to "retire" after 28 years at the age of 51.



When I began my career, I was told I could retire after 28 years of service, at any age, and collect 60% of the highest three year average. Because I did not have a choice in participating or not, I took that as part of my contract of employment. As a young man, it was my intention to eventually teach and/or coach at the college level so my plan was to teach and coach at the high school level for 28-30 years, retire with a small pension and have a bit of cushion and support to pursue other possibilities. I was a young man, earning less than $20,000, and had no idea what the future had in store for me.



In 2009, after 17 years of service, that all blew up. Changes in 2011 didn't make things much better but here I was 20 years into my career so what could I do...



I could share many examples of mentors and older peers who went on to retire, collect their pension, start new careers in other states or other fields, and the money they had the opportunity to earn. Some my call that "double dipping" but quite simply that's deferred income from working for a lower salary in the early years and having the chance to level the field later.



Comparing our situation (those of us stuck in A/B) to theirs may just sound like envy so I'll just stick to some facts and figures...



If these reforms had not occurred, I would have retired in 2020, age 51, and began collecting 60% of an approximate $100,000 three year average. Instead, I "retired" from teaching in 2020, age 51, and have deferred my pension until I reach age 59 1/2, at which point I will start to receive 48.2% of that same average.



The first obvious difference is in the years between age 51 and 59 1/2. Over those 8 years (just to keep numbers round), I would have had a pension of $60,000 or a total of $480,000. With or without COLAs, that is close to half of a million dollars that I will not receive.



When I do become eligible to collect a pension in February of 2029, the amount will be based on 48.2% of a number established just short of 10 years prior with no cost of living increase calculated at all. The starting benefit will be $48,200, not $60,000 (or more with COLA).



Let's just say I live to be 80. Over those 20 years, the difference in total distributions would be another $236,000.

In total, with raw numbers and no actuarial calculations, the changes will cost me $716,000.



Granted, over the 3 years between 2009 and 2011 before A/B, there was investment in TIAA. I do have about $50,000 in my TIAA account. So let's call the final estimated amount $666,000.



I'm sure the committee can access the number of us in the A/B category with very similar stories. For every one of us, there is over a half million short fall.



After a 28 year career of serving kids from Woonsocket and Cranston as a teacher, administrator, coach, advisor, and mentor; all the while earning a moderate salary as compared to others with my education and experience; I have been forced, not asked, to give back over half a million dollars.



Again, I thank you for the opportunity to testify. This has been a testimony that I've shared with others for years and have always wondered if anyone would ask.



Sincerely,

Joe

Submitted via online webform