Special Note for Retirees or Former Employees with VALIC Retirement Accounts in our Plan

Participants who took distributions from their VALIC Retirement accounts last year may receive multiple Form 1099s for the 2008 plan year. VALIC Retirement’s recordkeeping system was changed in mid-September 2008. Distributions taken when the former recordkeeping system was in place will appear on one 1099. Any subsequent distributions (those taken after the September transition but before 12/31/08) will appear on a second 1099. All 1099s will be sent January 31, 2009.

Going forward, participants will receive one Form 1099 per account. 

Deferral and Age 50 Contributions Limits

The 2010 elective deferral maximum limit for governmental 457(b) plans including the Age 50 contribution limit has remained the same as 2009:

The 2010 normal deferral and the Retirement Catch-up limit also remain the same at $33,000. As in prior years, participants are not eligible to contribute to both Retirement Catch-up and Age 50 Contributions in the same calendar year.

If you have any questions, please contact your Union Board representative (see listing on this site) or leave a message at 853-5424.

Important Announcement concerning VALIC Retirement Services:

There have been many questions regarding the financial status of AIG.  Assets invested in mutual funds are owned by its shareholders and managed by a professional portfolio manager; thus, such funds are not affected by business actions involving AIG or AIG Retirement.

1. If your money is in individual mutual funds those assets are held with those fund companies not with AIG.
2. If your money is in the Fixed Interest account we have been informed by Valic that the money is protected under the Valic account and the protection laws of the state of Texas.
3.  For Additional information contact your Representative.

T. Rowe Price Sponsor Alert: Recent Market Events in the Financial Sector

Dear Plan Sponsor,

In light of the recent upheaval in the financial sector, and the news over the past few days about Lehman Brothers, Merrill Lynch and American International Group (AIG), we wanted to take this opportunity to communicate with you directly about how T. Rowe Price is responding to the crises in the housing, mortgage, and credit markets. In short, we are continuing to do what we have done for the last seven decades: remain focused on our disciplined investment and business processes to navigate the current market conditions and continue to build value for our clients. This prudent approach has positioned us well in the current business climate-and we are confident that it will serve us well in the future.

While unsettling, the disorder in the financial sector over the last year is not a complete surprise, nor is it the result of a single event. As such, our investment professionals have been closely monitoring these developments for some time, and have been taking the changing market conditions into consideration in the management of our client portfolios. It is important to note that the position of T. Rowe Price Group in the financial markets is significantly and fundamentally different from other diversified financial services companies such as Lehman Brothers, Merrill Lynch and AIG that may be involved in numerous businesses,
including insurance, lending, investment banking, and various capital market activities. T. Rowe Price is not a diversified financial services provider. We essentially have one business: we manage money on behalf of our clients.

Given the extensive news media coverage of these events, and their dramatic nature, we understand that your participants may feel discouraged by the market's near-term prospects, as well as market values reported on their account statements. However, just as T. Rowe Price remains focused on the long term, so too should your participants. As with any period of market fluctuation, participants may need to be reminded not to allow short-term losses to derail their long-term
strategies.

To address any concerns that your participants may have, we have prepared a message, similar to this, that will be posted to the myRetirementPlan Web site. In closing, please rest assured that T. Rowe Price's financial position remains strong, with no debt on our balance sheet, and we have the wherewithal to withstand short-term periods of market instability.
Sincerely,

T. Rowe Price Retirement Plan Services, Inc.