To: Edward Thomas

Secretary of the Faculty 

From: Marc Goetschalckx,

Chairperson, Faculty Benefits Committee, 2000-2001

cc: Faculty Benefits Committee Members 2000-01

Date: 09/19/00 1:27 PM

Re: Annual Report from the Faculty Benefits Committee, Year 1999-2000

The elected members of the Faculty Benefits Committee during the year 1999-2000 were:

James Higgins (GTRI)

Jackie McGill (GTRI)

Marilyn Williamson (Library)

Christina Shalley (Mgt)

Rajiv Wansundera (Student)

Mac Goetschalckx (ISyE)


The ex-office member of the committee were:

Chuck Donbaugh (OHR)

Blair Funderburk (Advisor)

John Grovenstein (OHR)

Andrew Hharris (Presidents Office)

Nile Hartman (Executive Comm. Liaison)


Jim Higgins,chairperson of the Faculty Benefits Committee during the academic year 1999-2000, has transferred to Huntsville, AL.

The Faculty Benefits Committee met four times during the year 1999-2000. The minutes of the meetings are available at

The committee discussed the following issues:

Health Insurance

Dramatic changes in health insurance premiums and providers occurred during 1999-2000, which will go in effect during 2000-2001. The premium increases will be very large for the traditional indemnity plan. In addition, two insurance providers were not renewed for the coming year. At the current time, the final details are not yet known. The employees received several information letters and electronic mail messages. A large number of employees will be impacted during this open enrollment period, which will be scheduled earlier this year.

Retirement, TRS and ORP

A misleading heading on the monthly payroll statements for ORP participants causes lots of confusion. A temporary explanation is scheduled for the October statements and a permanent correction is scheduled for the January 2001 statements as part of a general OHR software upgrade.

Tax Deferred Annuities, 403B Plans

Educational institutions have been audited in this area by the IRS. To limit Georgia Tech's exposure, Georgia Tech is developing a new contract with TDA providers. The new contract is currently in review by the legal department. Only providers that sign the new contract would be eligible for new contributions. Some smaller providers may decide to no longer participate. The number of Georgia Tech employees impacted by this change will then be determined and possible actions reviewed.


The increased cost of parking caused a discussion if parking should become a component of the benefits package. Employees could register on-line for parking for the year 2000-2001 and, in general, was perceived as a very positive experience. Parking fees will become a pre-tax deduction and will be reported on the W2 forms.


Georgia Tech is taking the lead in building a new child care facility in the Home Park area. This involved replacing the heating system on an emergency basis and signing a long-term lease. In exchange, a 75 percent of the capacity is reserved for Georgia Tech faculty and students and the facility must be operated by a professional organization. The facility will accommodate 120 children. Estimated completion time is January 2001.

Voluntary Insurance Benefits

Georgia Tech employees can use the CFN (Financial Network) for auto and home insurance. The policies can be offered as payroll deductions. Because of the upgrade of the OHR software, more flexibility in offering these kind of benefits will exist starting in 2001.

Staff Salary and Benefits

The committee has a statutory duty to review the staff salary and benefits. OHR will report annually to the committee with a salary and benefits comparison during the February (Winter) meeting.

Action Items for 2000-2001

Comprehensive Benefit Comparison

The committee will create a comprehensive comparison of benefits of Georgia Tech employees with local employers and competitive institutions on the national level. This will include, among others, parking, health benefits, life insurance, long-term disability, and voluntary programs. It will also include the preparation of the document comparing TRS with ORP with respect to contributions and benefits paid.

ORP Withholding Reporting

Verification that the announced changes to the pay stubs regarding ORP withholding have been implemented.

TDA Providers

After providers had a chance to sign the new contract, the number of employees that need to change their provider will be determined at that time and possible actions discussed.

Long-Term Disability for Academic (9 Month) Contract Employees

Verification that academic contract employees receive 60 percent of their 12 month pay under the current contract.