Pension plans have been updated for Salisbury Township nonuniformed employees and uniformed employees.

The Salisbury Township Board of Commissioners voted 5-0 to approve an ordinance to amend the nonuniformed defined benefit pension plan to set the employee contribution rate for 2025. Commissioner Alex Karol made the motion, seconded by Commissioner Alok Patnaik, to bring the ordinance to a vote.

Commissioners voted 5-0 to approve a motion to approve nonuniformed defined contribution pension plan funding for 2024. Commissioner Vice President Rodney Conn made the motion, seconded by Karol, to bring the motion to a vote.

The amendment reduces nonuniformed employee contributions from 3.5% to 3% for 2025 only.

The amendment pertains to the Salisbury Township Public Works Employees Association, the collective bargaining representatives of the township’s nonmanagerial public works employees, which has a collective bargaining agreement, effective Jan. 1, 2023 through Dec. 31, 2026.

According to the ordinance, the amendment “does not change the cost of the plan at all, but only the allocation of payment between the township and the employees.

“So, for every dollar the employee is not required to pay in to the plan, the township will have to contribute an additional dollar.

“Accordingly, the reduction for 2025 means the township must pay an extra 0.5% of all members’ compensation for 2025 more than it would have if there had been no reduction.

“However, for very many years before 2025, the township eliminated all employee contributions each year and in 2019 the employee contribution rate was reduced to 1% of compensation, and so in 2025 the township will actually be taking on a lesser portion of the ‘regular’ employee contributions stated in the plan agreement than in previous years.”

The township defined benefit pension plan for its nonuniformed employees is administered by the Pennsylvania Municipal Retirement System.

The Salisbury Township Board of Commissioners voted 5-0 to approve a resolution to set the police pension plan employee contribution rate for 2025. Patnaik made the motion, seconded by Conn, to bring the resolution to a vote.

The resolution sets the contribution rate during 2025 at 3.25% of a member’s compensation.

According to the resolution, “the township has determined the amount of state aid will be insufficient to pay for the total financial requirement, therefore necessitating the police to contribute to the plan.”

The resolution also states “the police pension consultant employed by the township of Salisbury prepared the Jan. 1, 2023 actuarial report valuation and the township has certified its annual minimum municipal obligation for 2025, which includes a total financial requirement to the police pension plan in the amount of $613,772.”

In other business at the Dec. 12 meeting, commissioners voted 5-0 to approve:

-Motion approving payment No. 1 of $66,870 to Wexcon, Inc. for the 2024 Sanitary Sewer Rehabilitation Project. Commissioner Heather Lipkin made the motion, seconded by Conn, to bring the motion to a vote.

-Motion approving payment No. 2 of $205,080.84 and Change Order No. 1 for $53,019.30 increase for Wexcon, Inc. for the Louise Lane Water Line Project. Karol made the motion, seconded by Lipkin, to bring the motion to a vote.

-Motion approving payment of $15,044.19 from fire fund capital reserves for repairs to a Western Salisbury Fire Department fire engine. Patnaik made the motion, seconded by Lipkin, to bring the motion to a vote.

-Motion appointing Joseph El Chaar as 3rd Ward representative to the environmental advisory committee. Lipkin made the motion, seconded by Patnaik to bring the motion to a vote.

The Salisbury Township municipal meeting schedule includes: 7 p.m. Jan. 8, zoning hearing board; 7 p.m. Jan. 9, board of commissioners and 7 p.m. Jan. 22, planning commission.