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St. Joseph’s Pension Fund Bankruptcy Could Be Just One of Many in RI

Tuesday, September 05, 2017

 

Bishop Tobin

Church pension plans controlled by the Diocese of Providence, like the bankrupt pension fund of St. Joseph Health services, may be in distress too - but no one knows and the Diocese of Providence will not respond to repeated requests for comments.

These unregulated secret funds, that many Rhode Islanders are counting on for the retirement are, as one top federal regulator told GoLocal, "the wild, wild, west.”

Church Plans Under Scrutiny

So called "church plans" are not regulated by any state or federal regulatory agencies. They are not required to file reports.

According to GoLocal’s investigation into the St. Joseph pension fund bankruptcy, the impending collapse could have been identified years earlier when Rhode Island Attorney General Peter Kilmartin had the chance to flag the pension fund's deficit during the 2014 review of the sale of St. Joseph to CharterCARE.

READ THE LIST OF FEDERALLY INSURED PLANS BELOW - DID YOUR PENSION MAKE THE LIST

His office failed to - or choose not to - identify the massive deficit.

Tax documents filed by the hospital pre-merger, and by the orphaned pension fund post-merger, show that the retirement fund faced a growing deficit — which rose to over $126 million in 2014.

In August, St. Joseph's pension filed for bankruptcy and nearly 3,000 in the pension fund are facing a 40 percent cut to their pension payments. 

The Pension Rights Center warns, “Unlike other private pension plans, church plans are not required to maintain set funding levels nor are they required to pay the benefits they have promised their employees. This can leave employees and retirees at risk of losing their pensions because the plan could run out of money.”

Bankruptcy

Diocesan Lay Employees’ Retirement Plan 

According to a 2009 article in the Diocese of Providence’s newspaper, Rhode Island Catholic, the Lay Employees’ Retirement Plan was in distress and the benefits payouts were being cut back.

The then-administrative secretary to the Lay Employees’ fund, J. Timothy Kocab, administrative secretary of the Lay Employees’ Retirement Board said, “The plan’s assets…have declined significantly in value during the past several months.”

In addition, Kocab is quoted as saying, "These are necessary steps in order for us to refocus our resources on strengthening the funding position of the Lay Employees’ Retirement Plan.”

Kocab told Diocesan employees in a letter, "Your employer remains committed to helping you build financial security for your retirement years.” 

The Diocese fiscal office refused to answer questions about the St. Joseph pension fund bankruptcy, the Lay Employees’ Retirement Fund, or any other church funds associated with the Diocese of Providence.

According to the Diocese’s website, the fiscal office was “established in 1973 to assist the Roman Catholic Bishop of Providence and related Diocesan Corporations in their administration of the temporal resources of the Church, the Fiscal Office operates in a multi-corporate environment and is responsible for the day to day activity of some 30 separate internal corporations.” 

Lack of Public Disclosure

How many church fund retirement plans exist in Rhode Island is unknown. The office material states, "[The Diocese] is responsible for the direct coordination, administration, enrollment and billing processes for more than 3,600 Lay Employees and 270 Active/Retired Priests for the following Diocesan sponsored benefit programs."

Phone calls, emails, and social media information requests were not responded to by five different Diocese employees including Bishop Thomas Tobin. The refusal to answer questions stands in stark contrast to years of responsiveness to media calls by the Diocese to GoLocal.

“Church plans are not required to inform workers and retirees or the federal government about their financial health. They also are not obligated to tell employees about their benefits or legal rights under the plans,” reports the Pension Center.

Most pensions of private-sector workers and retirees are protected by the Pension Benefit Guaranty Corporation (PBGC). 

When pension plans fail, the PBGC guarantees that “subject to certain limits, those who are already retired will continue to receive their pension payments and current employees will receive the benefits that they had earned as of the plan’s termination date.”

Church pension plans are not protected by PBGC.

 

Related Slideshow: List of RI Active Single-Employer Pensions Plans Insured by Federal PBGC Insurance

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SPARKS COMPANY  INC. CASH BALANCE PLAN

Adamsville, RI

Sparks Company  Inc.

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THE AUBER GROUP  LLC DEFINED BENEFIT PLAN

BARRINGTON, RI

THE AUBER GROUP  LLC

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RICHARD SCHULTZ PHOTOGRAPHY CASH BALANCE PLAN

Barrington, RI

Richard Schultz Photography

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TRIANGLE WIRE & CABLE INC PENSION PLAN FOR HOURLY EMPLOYEES

Barrington, RI

Ocean View Capital Inc

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HTW  INC. DEFINED BENEFIT PENSION PLAN

CRANSTON, RI

HTW  INC.

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MCLAUGHLIN & MORAN  INC. UNION EMPLOYEES SUPPLEMENTAL RETIREMENT PLAN

CRANSTON, RI

MCLAUGHLIN & MORAN  INC.

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RAFFA YOGA CASH BALANCE PLAN

CRANSTON, RI

RAFFA YOGA WORKSHOPS  LLC

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ROSSI ELECTRIC CO.  INC. DEFINED BENEFIT PLAN

CRANSTON, RI

ROSSI ELECTRIC CO.  INC.

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MOSHASSUCK CEMETERY CORPORATION PENSION PLAN

Central Falls, RI

Moshassuck Cemetery Corporation

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RIDE  INC. DEFINED BENEFIT PLAN

Coventry, RI

RIDE  INC.

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COASTWAY COMMUNITY BANK DEFINED BENEFIT PLAN

Cranston, RI

COASTWAY COMMUNITY BANK

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GENERAL EMPLOYEES RETIREMENT PLAN

Cranston, RI

Cranston Print Works Company

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JEWELRY CONCEPTS INC. PENSION PLAN

Cranston, RI

Jewelry Concepts Inc.

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OMEGA FINANCIAL CORP. CASH BALANCE PLAN

Cranston, RI

Omega Financial Corp.

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CHELSEA INDUSTRIES INC. RETIREMENT PLAN

Cumberland, RI

Chelsea Industries Inc.

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THE SHUSTER GROUP  LLC CASH BALANCE PLAN

Cumberland, RI

The Shuster Group  LLC

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MCCARTHY & ASSOCIATES  LLC DEFINED BENEFIT PLAN

East Greenwich, RI

McCarthy & Associates  LLC

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COMMUNITY AND TEACHERS FEDERAL CREDIT UNION RETIREMENT PENSION PLAN

East Providence, RI

Community and Teachers Federal Credit Union

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DASKO IDENTIFICATION PRODUCTS  INC. RETIREMENT PLAN

East Providence, RI

Dasko Identification Products  Inc.

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BENNYS RETIREMENT PLAN

Esmond, RI

BENNYS INC.

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THOMAS J. BOTTONE  JR. RETIREMENT PLAN

Hope, RI

Thomas J. Bottone  Jr.

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FACTORY MUTUAL INSURANCE COMPANY PENSION PLAN

JOHNSTON, RI

FACTORY MUTUAL INSURANCE COMPANY

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INTERBUILD  INC. DEFINED BENEFIT PLAN

LINCOLN, RI

INTERBUILD  INC.

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RI TOOL CO. & UNITED STEEL WRKS OF AM. AFL-CIO 1530

LINCOLN, RI

GREYSTONE  INC.

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AMICA PENSION FUND

Lincoln, RI

AMICA MUTUAL INSURANCE COMPANY

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RHODE ISLAND NURSERIES INC RETIREMENT PLAN

Middletown, RI

RHODE ISLAND NURSERIES INC

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THE PEOPLES CREDIT UNION DEFINED BENEFIT PLAN AND TRUST

Middletown, RI

The Peoples Credit Union

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E.A. SHERMAN PUBLISHING CO. DEFINED BENEFIT PENSION PLAN

Newport, RI

E.A. Sherman Publishing Company

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THE EPPLEY LABORATORY INC RETIREMENT PLAN

Newport, RI

THE EPPLEY LABORATORY INC

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THE SPOUTING ROCK BEACH ASSOCIATION RETIREMENT PLAN

Newport, RI

SPOUTING ROCK BEACH ASSOCIATION

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J. GOODISON COMPANY CASH BALANCE PENSION PLAN

North Kingstown, RI

J. Goodison Company

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RECRUE MEDIA  LLC PENSION PLAN

North Kingstown, RI

Recrue Media  LLC

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BENEFIT AUTO SERVICE CORP. PENSION PLAN

PAWTUCKET, RI

BENEFIT AUTO SERVICE CORP.

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PASCOAG UTILITY DISTRICT DEFINED BENEFIT PENSION PLAN

Pascoag, RI

Pascoag Utility District

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COOLEY INCORPORATED PENSION PLAN FOR HOURLY EMPLOYEES

Pawtucket, RI

COOLEY INCORPORATED

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FAST CASH PAWN AND CHECKCASHERS INC. DB PLAN AND TRUST

Pawtucket, RI

Fast Cash Pawn and Checkcashers Inc.

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HASBRO  INC. PENSION PLAN

Pawtucket, RI

Hasbro  Inc.

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NEPTCO INCORPORATED PENSION PLAN

Pawtucket, RI

NEPTCO INCORPORATED

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PAWTUCKET MUTUAL INSURANCE CO DEFINED BENEFIT PENSION PLAN AND TRUST

Pawtucket, RI

PAWTUCKET INSURANCE COMPANY

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THE MEMORIAL HOSPITAL DEFINED BENEFIT PENSION PLAN AND TRUST

Pawtucket, RI

Memorial Hospital of Rhode Island

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THE TEKNOR APEX COMPANY RETIREMENT PLAN

Pawtucket, RI

Teknor Apex Company

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TRUEX INCORPORATED RETIREMENT PLAN

Pawtucket, RI

Truex Incorporated

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WEINBERG GLASS  LTD. DEFINED BENEFIT PLAN

Pawtucket, RI

Weinberg Glass  Ltd.

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MICHELE S. FOSTER  ARCHITECT PENSION PLAN

Portsmouth, RI

Michele S. Foster  Architect

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UNITED FOOD & COMMERCIAL WORKERS UNION LOCAL 328 DEFINED BENEFIT PEN PLN & TRST

PROVIDENCE, RI

UNITED FOOD & COMMERCIAL WORKERS UNION LOCAL 328 AFL-CIO

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BELL HELICOPTER TEXTRON MASTER RETIREMENT PLAN

Providence, RI

Textron Inc.

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CARE NEW ENGLAND PENSION PLAN

Providence, RI

Care New England

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CHISHOLM CHISHOLM & KILPATRICK CASH BALANCE PLAN

Providence, RI

Chisholm Chisholm & Kilpatrick Ltd.

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CWC CASTINGS DIVISION OF TEXTRON INC. HOURLY-RATED EMPLOYEES PENSION PLAN

Providence, RI

Textron Inc.

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E.F. ODONNELL & SONS  INC. PENSION PLAN

Providence, RI

E.F.ODonnell & Sons  Inc.

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HOPE CLUB RETIREMENT PLAN

Providence, RI

HOPE CLUB

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LIFESPAN CORPORATION RETIREMENT PLAN

Providence, RI

Lifespan Corporation

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MARC ALLEN  INC. DEFINED BENEFIT PENSION PLAN

Providence, RI

Marc Allen  Inc.

Prev Next

NEPC CASH BALANCE PLAN

Providence, RI

N.E. Private Client Advisors  LTD

Prev Next

NORTEK INC RETIREMENT PLAN

Providence, RI

NORTEK INC

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PROVIDENCE AUTO BODY  INC. DEFINED BENEFIT PENSION PLAN

Providence, RI

Providence Auto Body  Inc.

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PROVIDENCE COLLEGE PENSION PLAN

Providence, RI

PROVIDENCE COLLEGE

Prev Next

PROVIDENCE PUBLIC LIBRARY RETIREMENT PLAN

Providence, RI

PROVIDENCE PUBLIC LIBRARY

Prev Next

RHODE ISLAND CREDIT UNION RETIREMENT PENSION PLAN

Providence,RI

Rhode Island Credit Union

Prev Next

RIPARIAN PARTNERS  LLC CASH BALANCE PLAN

Providence, RI

Riparian Partners  LLC

Prev Next

TEXTRON MASTER RETIREMENT PLAN

Providence, RI

Textron Inc.

Prev Next

WESTMINSTER EYE CARE CASH BALANCE PLAN

Providence, RI

Westminster Eye Care Associates Inc. 

Prev Next

CFG PENSION PLAN

Riverside,RI

Citizens Financial Group  Inc.

Prev Next

NATIONAL LAMINATING  INC. DEFINED BENEFIT PLAN

Riverside, RI

National Laminating  Inc.

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NEW ENGLAND CONSTRUCTION COMPANY  INC. CASH BALANCE PENSION PLAN AND TRUST

Rumford, RI

New England Construction Company

Prev Next

A. T. CROSS COMPANY PENSION PLAN

Smithfield, RI

A. T. Cross Company

Prev Next

ALCOR SCIENTIFIC INC. CASH BALANCE PLAN

Smithfield, RI

ALCOR Scientific Inc.

Prev Next

GROOV-PIN CORPORATION EMPLOYEES PENSION PLAN

Smithfield, RI

Groov-Pin Corporation

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NAVIGANT CREDIT UNION DEFINED BENEFIT PENSION PLAN AND TRUST

Smithfield, RI

Navigant Credit Union

Prev Next

UNCLE SAMS GLASS AND DOOR INC DEFINED BENEFIT PENSION PLAN

Smithfield, RI

Uncle Sams Glass And Door Inc

Prev Next

ROBERT BAXTER ASSOCIATES  INC. CASH BALANCE PLAN

WARWICK, RI

ROBERT BAXTER ASSOCIATES INC.

Prev Next

W.F. SHEA DEFINED BENEFIT PENSION PLAN

WARWICK, RI

W.F. SHEA & CO.  INC.

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EMPLOYEE BENEFITS PLAN OF BIG BROTHERS OF RI INC

Wakefield, RI

Big Brothers of Rhode Island Inc.

Prev Next

SOUTH COUNTY HOSPITAL RETIREMENT PLAN

Wakefield, RI

South County Hospital

Prev Next

A T WALL COMPANY DEFINED BENEFIT PENSION PLAN

Warwck, RI

A T WALL COMPANY

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AHLBORG CONSTRUCTION CASH BALANCE PLAN

Warwick, RI

Ahlborg Construction

Prev Next

EMPLOYEE BENEFIT PLAN OF KENT COUNTY VISITING NURSE ASSOCIATION

Warwick, RI

Kent County Visiting Nurses Association

Prev Next

KINETEKS  LLC CASH BALANCE PLAN

Warwick, RI

Kineteks LLC

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PROVIDENCE WASHINGTON INSURANCE COMPANY EMPLOYEES PENSION PLAN

Warwick, RI

Providence Washington Insurance Company

Prev Next

CENTREX DISTRIBUTORS INC UNION EMPLOYEES SUPPLEMENTAL RETIREMENT

West Greenwich, RI

CENTREX DISTRIBUTORS INC

Prev Next

ORIGINAL BRADFORD SOAP WORKS INC RETIREMENT PLAN FOR UNION EMPLOYEES

West Warwick, RI

BRADFORD SOAP WORKS INC

Prev Next

PENSION PLAN FOR EMPLOYEES OF CENTREVILLE SAVINGS BANK

West Warwick, RI

CENTREVILLE SAVINGS BANK

Prev Next

THE MOORE COMPANY FOUR PERCENT PLAN

Westerly, RI

The Moore Company

Prev Next

THE WASHINGTON TRUST COMPANY PENSION PLAN

Westerly, RI

The Washington Trust Company

Prev Next

WESTERLY COMMUNITY CREDIT UNION DEFINED BENEFIT PLAN AND TRUST

Westerly, RI

Westerly Community Credit Union

Prev Next

CVS HEALTH CORPORATION LEGACY PENSION PLAN

Woonsocket, RI

CVS Health Corporation HR Retirement Benefits

Prev Next

DURALECTRA INC PENSION PLAN

Woonsocket, RI

Duralectra-Sanford

Prev Next

MERRIMAC CORP RETIREMENT PLAN

Woonsocket, RI

FIRST REPUBLIC CORPORATION OF AMERICA

Prev Next

OMNICARE GENERAL PENSION PLAN

Woonsocket, RI

CVS Health Corporation HR Retirement Benefits

 
 

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