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The InformerRETIRED EMPLOYEES ASSOCIATION OF ORANGE COUNTY, INC.

March/April 2010 • Volume 45 Number 2

Proposal process has commencedfor selection of HMO providers forthe year beginning 2011. Two Boardmembers, Gaylan Harris and SaraRuckle-Harms are participating onthe evaluation panel for selection ofthe providers. Additional informationwill be provided when the RFPprocess is concluded.

On another significant note, theOrange County Employee’s RetirementSystem (OCERS) has notified retireesthat this year’s Cost of LivingAdjustment (COLA) will be affectedby a downturn in the Consumer PriceIndex. To determine if you will receivea COLA this May, please refer to theOCERS website at www.ocers.org.An explanation of the COLA process,together with a chart detailing whatis in your “COLA Bank” (whichdepends on your date of retirement)will be available to assist you in mak-ing that determination.

As published in previousnewsletters, REAOC formed a sepa-rate 501(c)(4) corporation as anadjunct to our association to allow

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Spring Luncheon Set for Wednesday,March 24th

Spring begins on March 20th.Come and celebrate the newseason with friends, REAOCmembers and guests at the March24th luncheon at Mile Square ParkGolf Course Clubhouse in FountainValley. A special menu is being pre-pared, see page 7 for the details.

Come and see the springtimedecorations our luncheon coordina-tor, Sharon Sedgwick, has plannedfor this luncheon. And, one luckyperson at each table will take theircenterpiece home. You may also beone of the winners of the drawing fora gift card.

You’ll hear the latest on RetireeHealth Benefits litigation and otherpertinent Retiree information. Prizesand surprises await, including the$50 Progressive Drawing! You couldbe the next winner but you must bein attendance to win. Don’t miss out.

Reservations prior to the lunch-eon are required. Please make yourreservation today by sending in theform on page 7 with your check toarrive at REAOC no later thanWednesday, March 17th. Check instarts at 11:00 AM and lunch isserved at noon. Please carpool ifpossible.

See you on Wednesday, March 24th!

Presidents’ MessageFrom the Desks of Linda Robinson and Doug Storm

It’s good to know that Spring is just around the corner and topersonally see and experience the renewal and beauty of nature.We hope you can all take a few moments to enjoy this wonder-ful time of year.

Allow us to give you an update ofrecent Board of Director activity.During the last two months membersof your Board have been workingdiligently to update the REAOC web-site and to make the site moreinformative and user-friendly. Theprocess calls for meetings, reviewand creativity. We would welcomeyour comments and suggestions forimproving the site. Please feel free tocall, write or contact us atreaoc@reaoc.org.

Retiree medical continues to be aprimary focus for the Board ofDirectors. We are patiently awaitinghearing date notification from theU.S. 9th Circuit Court of Appeal inPasadena and will notify you via theREAOC website or email as soon as acourt date is scheduled.

The REAOC Legislative Committeeis tracking health care legislation thatcould affect future retiree medicalcosts. We will keep you updated aschanges occur in that arena.

Speaking of medical costs, aswell as quality of care, the Countynotified REAOC that a Request for

Presidents’ MessageCONTINUED FROM PAGE 1

your Board of Directors greater abili-ty to formally represent retiree inter-ests in a number of activities. Theformal name of the corporation is theAssociation of Retired Employees ofOrange County (AREOC). ThroughAREOC we are able to engage inmore legislative, lobbying, legal andpolitical actions for the benefit of ourmembership. As of March 1st, all liti-gation funds will be tracked andprocessed through AREOC. Thosemembers who have generously mademonthly litigation contributions fromtheir retirement checks will be pre-vented from doing so beginningMarch 1st due to last year’s actionsby the Board of Supervisors. Manymembers have asked how they cancontinue supporting REAOC’s legalefforts. There are a number ofoptions available such as makingseparate monthly, quarterly, semi-annual or annual contributions ORsetting up monthly transfer of fundsfrom personal checking accounts, toname a few. Contributions to theretiree medical Litigation Fund can bemade to AREOC and mailed to theREAOC P.O. Box in Santa Ana.Please include the contribution formon page 7. For further informationcontact us at reaoc@reaoc.org. Onbehalf of your entire Board ofDirectors, we sincerely thank you foryour continued generosity and will-ingness to support your fellowretirees through REAOC’s legal efforts.

In April several members of yourBoard of Directors will be attendingthe California Retired CountyEmployees Association (CRCEA)conference in Santa Barbara. CRCEAis a statewide association with retiree

REAOCP.O. Box 11787Santa Ana, CA 92711-1787Phone: 714-840-3995Website: www.reaoc.orgE-mail: reaoc@reaoc.org

OFFICERSLinda Robinson Co PresidentDoug Storm Co PresidentJune Marcott General SecretaryFrank Madrigal Recording SecretaryChuck Hulse TreasurerBob Griffith Past President

DIRECTORSRobert Austin Gaylan HarrisJohn LaRoche Sara Ruckle-Harms

APPOINTED STAFFIlene Barcenas Office ManagerJohn Iagjian Membership CommitteeJohn LaRoche The Informer EditorJune Marcott Board Watch &

Scholarship CommitteesGloria Phillips Volunteer CoordinatorLinda Robinson CRCEA DelegateLou Scarpino Legislation

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The Informer is published 5 times a year.Readers are encouraged to write TheInformer expressing their views and com-ments on the subjects of interest to themembers. Luncheons are held at MileSquare Golf Course in Fountain Valley onthe fourth Wednesday of January, March,May and September, and on the firstWednesday of December.

A local chapter of REAOC is active inHemet. Association membership is limitedto OCERS Retirees and their spouses.Membership dues are $3.00 per month,payable through payroll deduction. The mis-sion of REAOC is to promote and maintainthe fellowship and camaraderie of OCERSRetirees and their spouses by sponsoringsocial and recreational activities, and bymaintaining contacts via a newsletter andother means of communication. A second-ary purpose of REAOC is the tracking anddissemination of information relating topension and legislative actions, financialmatters, physical and mental health care,volunteer and employment opportunitiesand other concerns that may be of interestto our members.

membership from the twenty ’37 Actcounties in California. CRCEA repre-sents approximately 180,000 countyretirees. The conference is an excel-lent opportunity to network andstrategize with other retiree associa-tions. You will hear more regardingthis activity in the next issue of TheInformer.

In closing, we want to thank eachand every member for your willing-ness to increase REAOC membershipdues to $3 a month. The benefitsyou’ve earned during your careerwith the County continue to be asource of considerable interest bythose seeking to make budget cutsduring the current economic times.Please be aware that retiree medicalis not the only issue confrontingretirees. Members of the public arenot provided with complete andaccurate information regarding ourearned benefits, our retirement sys-tem nor the importance of publicservices provided by retirees duringthe course of our careers. We mustbe ever-vigilant and proactive in pro-tecting our rights. Without meaning-ful representation and input intopolitical decision making, retireevoices will not be heard or consid-ered. This could have a devastatingeffect on your standard of living.Please know we and your entireBoard of Directors are committed togiving you that voice. Once again,thank you for your continued mem-bership and support.

Sincerely,Linda and Doug

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T he beginning of 2010 is agood time to summarize sev-eral important issues thatimpact OCERS and our pensions.2008 was a tough year for invest-ments. 2009 was much better. I willsummarize what happened with theOCERS investments. A brief discus-sion of the County’s adoption of anew retirement formula for newemployees will be interesting formany of you. And finally a discussionof the Cost of Living Adjustment(COLA) for this year is important.

2009 Investment Year in ReviewAfter 2008 that saw most institution-al (and individual ) investors loose30% or more as the stock marketand most other investment optionsfell drastically, we were all very con-cerned what 2009 would have instore for investors. As has been pre-viously reported OCERS did muchbetter in 2008 than most other publicpension funds. The OCERS loss of21%, while still very substantial, wasbetter than 95% of public pensionfunds. We are very happy that ourconservative investment bias limitedour losses in the worst year since thegreat depression. In a recent com-parison of all the 1937 Act Countypension systems, OCERS had thebest return and the lowest risk of the20 systems. Sometimes goodreturns come with high risk. OCERSis very proud that we were able to dowell while keeping risk low.

After hitting lows in March of2009, the stock market steadilyimproved for the remaining monthsof the year. I am happy to report thatby the end of the year OCERS invest-

ments had grown by 18%. This goodyear helps make up for some of theloss and pain of 2008. Good returnshelp keep employer contributionslow and keep our fund secure. Wewill work hard in 2010 to keep upour pattern of prudent and success-ful investment of our retirementfunds.

Register Request for Retiree NamesSeveral times in recent months theOrange County Register newspaperhas requested that OCERS give themthe names of all retirees makingmore than $100,000 per year in pen-sion.( In various requests theRegister has requested the informa-tion in different formats including atleast once asking for the names andpension amounts for all retirees.)The Register claims that under theFreedom of Information Act, OCERSis obligated to release the informa-tion. We know from past experiencethat the names and salaries of activepublic employees is a public recordand must be released upon request.However, the retirement law prohibitsthe release of this information unlessthe member approves or a courtorders the release. After consideringthe request, the OCERS Board hasdeclined to release the names. OCERShas provided a list of pensions paidwithout including individual names.In addition to the legal requirement,OCERS is concerned about the inva-sion of individual member privacythat would result from the informa-tion being published.

Recently, action has been filed onbehalf of the Register in OrangeCounty Superior Court to compel

OCERS to release the information.We will keep you informed as thecase goes forward.

Cost of Living Adjustment (COLA)for May 2010As most retirees know, our pensionchecks are usually increased on May1st depending on the change in theConsumer Price Index (CPI) in thepreceding year. Usually we receiveup to a 3% pension increase if infla-tion, as measured by the CPI,increases 3% or more. If the CPIincreases more than 3%, we get a3% increase and the remainder is putin our individual “bank” that will bedrawn on in years when the CPIincreases less than 3%. In yearswhen the CPI increases less than3%, we would get a smaller increaseunless we have enough in the “bank”to bring the total increase up to amaximum of 3%.

2009 was a very unusual year forinflation. For the first time sinceWorld War II, the CPI actuallydeclined (by 1%). In most ways asmall decline in CPI is good news forretirees. It means that the things webuy are cheaper than they used tobe. However, a CPI decline greatlycomplicates the calculation of ourCOLA. In brief, first the negative 1%is deducted from our “bank”, andthen our COLA is calculated based onwhat (if anything) remains in the“bank”. Depending on when weretired, each of us has a differentamount in the “bank”. If you retiredafter April 2009, you do not have a“bank” and so you will not receive aCOLA in May. Your pension will not

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News from OCERSBy Bob Griffith

T he Adult Services Division ofthe Orange County SocialServices Agency administersthe In-Home Supportive Servicesprogram which assists the elderlyand disabled adults and children toremain safely in their home and theAdult Protective Services programthat provides assistance to elderly ordisabled adult victims of abuse.

In-Home Supportive Services (IHSS)Services such as house cleaning,shopping, cooking, laundry and per-sonal services are provided to eligi-ble persons who are limited in theirability to care for themselves andcannot live safely at home withouthelp. This includes those who wouldbe able, with help, to return to theirhome from a hospital, nursing home,or board and care home.

To be eligible for the program anapplicant must meet all of the follow-ing criteria:• Must be disabled, blind or age 65or older• Unable to live safely at home• Meet the financial need requirement(Same as Medi-Cal)

Applicants who receive SSI/SSPautomatically meet the financial needrequirement. Others may also be eli-gible, but may be required to pay aportion of the cost of services.

For those determined eligible forservices, a needs assessment iscompleted by a Social Worker on theinitial home visit. Need for in-homecare is based on medical condition,living arrangement, and what assis-tance is already being received fromfamily, friends or available communi-ty resources. An applicant’s doctormay be consulted to verify medicalcondition.

Upon completion of the needsassessment and authorization ofservices, recipients of IHSS inOrange County hire and supervisetheir own provider. The provider pay-ments are issued by the State ofCalifornia directly to the provider.

To apply for this program or foradditional information contact the Social Services Agency at 714-825-3000.

Adult Protective ServicesVictims of elder and dependent adult

abuse live throughout the county andare at all income levels. On average,almost 600 reports of abuse arereceived by the Registry each month.Abuse can take many forms such asphysical abuse, financial abuse, men-tal abuse, neglect, abandonment,abduction, isolation and self-neglect.

Benefits of reporting abuseinclude the following:• The elder or dependent adult will begiven options to keep him/her safefrom harm. • The victim and their family mem-bers can be linked with appropriatecommunity services.• Unaware family members and friendscan be alerted to step in and help.• The Adult Protective Services socialworker can assist victims and theirfamilies in developing individualizedcare plans.• The reporter can feel relief in know-ing that a professional is assessingthe situation.

To make a report, call AdultProtective Services at 800-451-5155.

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Adult Services ProgramsOrange County Social Services Agency

Scholarship Applications Due April 1stReminder: 2010 Keith L. ConcannonScholarship applications along withofficial transcripts must be post-marked no later than April 1, 2010.Eligible applicants must be related toan active REAOC member and have aGPA of at least 3.0. They includehigh school seniors entering collegefor the fall 2010 semester, or stu-dents already attending an accredited

educational institution as candidatesfor a degree program, or attendingan accredited institution that isauthorized to provide a training pro-gram to prepare students for gainfulemployment in a recognized occupa-tion. Orange County residence is notrequired. Good luck to all the candi-dates. Completed applications shouldbe mailed to REAOC at PO Box

11787, Santa Ana, CA 92711-1787.Further information regarding

the scholarships and the applicationforms can be obtained at the REAOC website, www.reaoc.org, orby contacting the REAOC office at714-840-3995 or via e-mailreaoc@reaoc.org.

• Install a peephole in your front door.• Never leave keys in obvious places– like under the door mat.

Crime Prevention on the Streets• Carry your purse very close – neverleave it in a shopping cart.• Have paychecks or governmentchecks deposited directly into yourbank account when possible.• If attacked, make as much noise aspossible.

Crime Prevention in the Car• Keep your gas tank full and yourcar serviced regularly to avoid break-downs.• If your car breaks down, pull overas far to the right as possible, raisethe hood, and wait inside with thedoors locked until law enforcementarrives.

ResourcesHere are some national, state andlocal organizations that can help you.• National Fraud Information Center:www.fraud.org• Medicare: 800-633-4227• Social Security Administration:(800) 772-1213• California Department of Justice –Consumer Service InformationComplaints: 800-952-5225• DOJ Elder Abuse Hotline: 800-722-0432• Elder Abuse – Social ServicesAgency: 800-451-5155• Legal Aid Society of OrangeCounty: 714-571-5245• Office on Aging – Orange CountyCommunity Services: 800-510-2020,714-567-7500

Telephone ConsTelemarketing scams are a multi-bil-lion dollar a year business. Individu-als over the age of 60 are often thetarget of unscrupulous telemarketers.Protect yourself and your savings bypaying close attention and followinga few simple guidelines.

Remember these things: Don’tbuy over the telephone from a com-pany you’re not familiar with. Andnever feel rushed into making a deci-sion. If you’re genuinely interested,ask for a phone number and call themback when it’s convenient for you.

There are many ways to tell ifyou’re being solicited over the phoneby a dishonest person. Here are afew things to listen for.• The caller says you have to “actnow.”• The caller claims you’ve won a freegift, vacation or prize and you onlyhave to pay a fee.• You are asked to give financialinformation over the telephone, orthey offer to send a courier to yourhouse to pick up a check.• They are uncooperative when askedfor references or other informationabout their company.

The “Do Not Call” list stopsunwanted solicitations by addingyour name and phone number. Call1-888-382-1222 or go towww.donotcall.gov.

Crime Prevention at Home• Always keep doors and windowslocked, and have deadbolt locksinstalled.• Keep your home well lit inside andoutside, with curtains closed.

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Keeping Yourself, Your Moneyand Your Property Safe

CRCEA SpringConference

Santa Barbara County will hostthis year’s CRCEA SpringConference which is scheduledfor April 26th – 28th. The conferencewill be held at the Mar Monte Hotelwhich is located at 1111 East CabrilloBoulevard, on Santa Barbara’s water-front. There is a special room ratethat includes all taxes and a full buf-fet breakfast. Call 805-963-0744 tomake your reservation.

The program will include sub-stantive and timely items of interestto those involved with RetirementBoards and local associations, suchas REAOC, as well as interest to indi-vidual retirees. Presentations include:“Medicare and You,” “The Economy– What’s Next,” “Stress Managementfor Better Health,” “Public PensionFunds,” and “Legislative Updates.”There will also be a panel discussionon Health Care.

Monday afternoon a SantaBarbara Trolley tour (land only) or aLand Shark tour (land and shortocean ride) are available for a specialrate of $10 for registered attendees.

All of our members are invited toattend what promises to be aninformative and fun conference.REAOC will be represented at theconference by our Co-PresidentsLinda Robinson and Doug Storm,REAOC Director Gaylan Harris, andAREOC Director Lou Scarpino.

For further information callRESBC at 805-568-5933 and leave amessage and your call will bereturned.

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News from OCERSCONTINUED FROM PAGE 3

decline but it won’t increase either. Ifyou retired before April 2005, your“bank” is 4% or greater, so you willreceive a COLA of 3%. If you retiredbetween April 2005 and April 2009your situation is a too complicated tosummarize in this article. Please seethe OCERS web site for a moredetailed review.

I hope this explanation helps youunderstand a somewhat complicatedsituation. For more detail please goto the OCERS website atwww.ocers.org or call OCERS at714-558-6200.

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E G F HIn Memoriam

We extend our deepest sympathy tothe families and loved ones of thosewho meant so much to so many.

October 2009 – February 2010

Inglis, Joy, Superior CourtsJanson, Russell, OC Public WorksKrieger, Ellen, Health Care AgencyNoel, Lois, Social Services AgencyRichardson, OliviaReid, BarbaraRill, Robert, Superior CourtsRohn, Dennis, Sheriff’s Dept.Sanderson, Philip, EMATeverbaugh, Mac, LibraryWeinheimer, Ralph, Sheriff’s Dept.

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REAOC members enjoying themselves at the Januaryluncheon – visiting with old friends, making new acquaintancesand hearing updates on the latest issues affecting retirees.

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AREOC Litigation FundPrint Name:______________________Address: ________________________City, State, Zip: ___________________Enclosed is a check in the amount of:$____________

Please make your check payable toAREOC Litigation Fund and mail thecheck with this form to:

REAOC, P.O. Box 11787,Santa Ana, CA 92711-1787

Thank you very much for your contri-bution to this fund!

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Springtime LuncheonMenu for March 24th

Fettuccini Alfredo with Chicken

Broccoli Florets

Julienne Carrots

House Salad with Italian orRanch Dressing

Dessert

Coffee and Iced Tea

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Hemet ChapterLuncheon

REAOC’s Hemet Chapter will hold itsnext luncheon on Tuesday, April 13,2010 at 11:30 a.m. at the FirstPresbyterian Church located at 575 E.Kimball in Hemet. The cost is $9.50per person. Make your reservation bycalling Jeri at 951-672-4594 or JackEdwards at 951-654-8511.

Upcoming luncheons will be heldon the second Tuesdays in June andOctober 2010.

On the Calendar: 2010REAOC Luncheons

Wednesday:May 26

September 22

December 1

Directions to Luncheonat Mile Square Park,Fountain Valley

Mile Square Golf Course is located in MileSquare Park, 10401 Warner Ave., FountainValley. From the San Diego Freeway (405),take the Warner Ave. exit and proceed Easton Warner. Turn into Mile Square Park GolfCourse Clubhouse entrance at Ward St.and park (parking is free). Mile SquarePark is bounded north by Edinger Ave.,south by Warner Ave., east by Euclid Ave.and west by Brookhurst.

Luncheon Reservations DueWednesday, March 17, 2010

Print Name: _______________________ Enclosed is my check for $ ___________for _________ lunches at $17.00 each.______ Vegetarian lunch(es)Check-in begins at 11:00 a.m. and lunch is served at noon. Please make your checkpayable to REAOC and mail to: REAOC,P.O. Box 11787, Santa Ana, CA 92711-1787Also enclosed is a separate check for$ _________ for AREOC Litigation Fund.

PLEASE CAR-POOL!

REAOC Updates via E-mail

REAOC officers often send e-mails toour members in order to keep theminformed of current events and activi-ties, such as the status of the lawsuitchallenging the reduction of retireehealth care benefits. If you are not onREAOC’s e-mail list, please forwardyour name and e-mail address toreaoc@reaoc.org. This will help toensure you have the latest informationin between editions of The Informer.Thank you.

Progressive Drawing$50.00

Joan Wehn of Cypress won $700at the January luncheon. So nowwe start the drawing over at $50.Just like Joan, you must be pres-ent at the time of the drawing towin!

See you on Wednesday,March 24 at Mile Square Park.

The InformerRETIRED EMPLOYEES ASSOCIATION OF ORANGE COUNTY, INC.P.O. Box 11787, Santa Ana, CA 92711-1787

PRESORTEDFIRST CLASSU.S. POSTAGE

PAIDGARDEN GROVE, CA

PERMIT NO. 1

INSIDE THE INFORMERSpring Luncheon Set For Wednesday, March 24th

OCERS & COLA Updates

Social Services Agency Programs For Adults

Keeping Yourself Safe

Dated Material – Please Deliver Immediately

Coria-Romano, Danni Murphy, StephenWomackSSA: Margaret Mooney, Nguyet T. Le,Nancy Schram, Roger JamesSuperior Court: Ann Stotts, CarmenLopez, Julie Carson, Diane Walter-Duim

Surviving Spouse: Patricia Snider

Not Stated: Johnny Hing, MarilynKossky

CEO: Judith JohnsonCounty Counsel: Nancy PupichDistrict Attorney: John Santy, JosephAvalosHCA: Anthony Gordon, Gerald Plesetz,Ralph Huff, John R. MartinoOCCR/OC Parks: Beverly Brice, JohnRobinsonOCPW: Tim Neely, Larry AbadOCSD: Cheryl OldhamProbation: Phuoc D. Vo, Donna PickrellPublic Defender: Patsy Vasquez, Silvana

ccccccccccWelcome, New Members

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