CAT SAYS “SLAMMING” OF PENSION PLAN IS OLD NEWS
(Harrisburg) – CAT board of directors has long been aware of the 40 year old executive pension situation raised by Cumberland County officials earlier today. The current board directed an audit of the plan in the summer of 2016, which was completed in January 2017, and approved by the board in February 2017. The board has also taken steps to freeze the pension plan.
“If I could get rid of the plan today, I would,” Tony Johnson, CAT general manager, said today.
The so called executive pension plan was established by the CAT board of directors in 1977 to compensate key executive personnel formerly with Harrisburg Railways who were not covered by an earlier employee pension plan established when CAT was incorporated by Cumberland County, Dauphin County and the City of Harrisburg in 1973.
“There has been no ‘cloud of mystery’ with this issue,” Eric Bugaile Board Chairman said today. “The plan has been included in CAT financial audits and annual budgets for decades. Under my tenure as board chair all of CAT financials have been audited without a single finding by the Auditors. The board, including the members from Cumberland County has voted repeatedly to approve those audits and budgets.”
Responding to criticism from county officials about CAT transit service in Cumberland County, Bugaile noted, “We have gone out of our way to provide excellent service to the citizens of Cumberland County. We conducted a pilot circulator project in the Borough of Carlisle, as well as provide current Shippensburg service and special warehouse employee service, connecting job seekers in Dauphin County with warehouse jobs in Cumberland County.”
Capital Area Transit was incorporated in 1973 when Cumberland County and Dauphin County Commissioners and the City of Harrisburg organized CAT to provide mass transit Fixed-Route and Paratransit shared-ride services, which today conveniently and safely transport more than 2 million riders a year in the thousand square mile capital region.
Visit www.cattransit.com, follow CAT on Facebook or Twitter at @CATTransit, or call CAT’s Public Information Office at 717-238-8304 for more information.