By Taylor Boyd
The Stuart Town Council approved paying the death and service liability of $130,000 to the Virginia Retirement System (VRS) at its April 15 meeting.
The liability status was for Susan Slate, the town’s former clerk/treasurer, who passed away in April 2025.
In talking with VRS representatives, Town Manager Bryce Simmons said it became clear that for the town to become solvent with the VRS — and potentially rejoin it, the death and service liability would have to be paid on behalf of Slate’s survivors.
“That is essentially something that we will not be able to get around, assuming that we want to continue to be following down the path of having the town be in-line with VRS,” he said.
While rejoining VRS would benefit him, Simmons said it currently provides no real benefit to the town. “But it is something that we will have to do if we ever want to get square with VRS.”
Town Attorney Christopher Corbett said it must be paid.
Vice-mayor Dave Hoback asked if there were ever any deductions from Slate’s paycheck for VRS benefits, or if the town ever paid VRS benefits.
“The town has not been in compliance with VRS for at least 40 years,” and has not provided any revenue or capital to the agency, Simmons said.
Hoback asked if deductions were being made from Slate’s paycheck or if the town made a contribution on her behalf before the town withdrew from VRS,.
“Not to VRS. She has never paid into VRS, which is why this is a substantial sum. This is a calculation of 40 years of her service as a death and service benefit being paid out,” Simmons said.
Hoback asked if the town has other employees who could be subject to the death and service benefit.
Simmons said they are not.
“This death and service benefit was because she was a salaried employee, which was a requirement to be reported to VRS. Because the town had essentially not been reporting her, they knew she was a salaried employee. Therefore that’s why it was required that she be reported,” Simmons said, noting that the obligation exists because Slate was still a town employee at the time of her death.
Simmons noted that the town has rainy day funds that could cover the liability.
Council member Rebecca Adcock asked which town employees could be started with VRS if the liability were paid.
Simmons said there would be an actuary to determine if the town’s three salaried employees could join.
“There would be the calculation to become compliant for the salaried employees, and then hourly employees would be able to sign up, and they would be given the option to buy the last previous four years.
“Hourly employees are treated a little bit different, but salaried employees are required,” Simmons said.
Council member Erica Wade asked if the town would have the lump sum necessary to get employees compliant.
Simmons answered affirmatively, and added that he assumes hourly employees would have the option to join, or that the town could mandate that five percent would be going toward VRS.
“I think that would probably be what we would want to do,” Simmons said.
“That would make the most sense so that we don’t end up in one of these situations again in case the rules change,” Wade said.
After becoming compliant with VRS, Simmons said VRS would perform another actuary report. That should take about 90 days, he said, adding the current situation is an obstacle.
Adcock said that while she wasn’t thrilled with making the motion, she feels if the town doesn’t pay the liability, it would lose more by not getting qualified employees.
In other matters, council:
*Answered questions from Matilda Hunsicker, of Mattie B’s Gifts & Apparel, regarding protecting the entryways of Main Street businesses during the annual Strawberry Festival and about reserving a date in November for a second annual Stock and Stroll Christmas Shopping event.
*Discussed the proposed fiscal year 2026-2027 budget and the proposed water and sewer utility rate increases.
*Adopted a resolution to authorize Mayor Terry Dalton, Simmons, and Clerk/Treasurer Misty Raines on the account at First Community Bank.
*Approved recommendations from the town’s Planning Commission on the property adjacent to Subway sandwich shop on Blue Ridge Street.
*Approved Stuart Community Hospital’s designation as critical access.
*Heard an update on the Patrick County Public Service Authority utility rate analysis.
*Voted against directing Simmons to purchase a $5,000 mower, and approved a motion for him to conduct a search and purchase a new mower, up to $10,000.
*Approved increasing festival vendor fees from $25 to $40.
*Approved changes to the utility service rules and regulations.
*Heard an update on public works projects.
*Heard an update on the Stuart Downtown Revitalization project.
*Heard an update on unsafe structures.
*Approved the March 18 meeting minutes.
*Paid the bills.
