A decision has been issued by the Contributory Retirement Appeal Board (CRAB) concerning the granting of creditable service pursuant to G.L. c. 32, § 4(2)(b) for Police & Fire who had reserve time and this has been accepted by the Public Employee Retirement Administration Commission (PERAC).
There were two recent cases – Grimes v. Malden Ret. Bd. & PERAC, CR-15- 5 (CRAB 2016) and Gomes v. Plymouth Ret. Bd. & PERAC, CR-14- 127 (CRAB 2016) – which has changed the decision rendered back in 2013 in the case of MacAloney v. Worcester Regional Ret. System and PERAC, CR-11-19 (CRAB 2013) that mandated a buyback to obtain credit for time spent on a reserve list up to five (5) years. Some members in Taunton have made buyback payments since then.
In its recent memo dated December 13, 2016 to all retirement boards, PERAC has informed us that if a Police officer or Firefighter was on their respective reserve list and was never compensated while on said list, then all time spent on the reserve list is considered free creditable service (up to five (5) years) and this assumes that the individual was later appointed to the position of Police Officer or Firefighter.
At its board meeting on 12/28/2016, a motion was made by board member Dennis Smith, seconded by board member Barry Amaral, and the Board unanimously voted to grant free credit for reserve service and to reimburse any member who previously made a makeup payment
Refunds are being processed for any member who made a buyback payment with interest.