PERAA holds election for Trustee
at-large
FIVE REPRESENTATIVES of top Participating
Institutions confirmed their nomination, by the PERAA Board
of Trustees, as candidates for election of one Trustee at-large.
The board seat is currently occupied by Dr. Reynaldo C, Bautista,
re-electionist.
The elected Trustee shall have a tenure of four years effective
upon confirmation of his election by the Board of Trustees,
with expiry date on April 30, 2010
The nominees in this year's election are:
(1) Dr.
Reynaldo C. Bautista (Re-electionist), Chairman,
University of Baguio, Baguio City;
(2) Engr. Marvin E. Marcojos, Chairman,
Board of Trustees, John Bosco College, Inc., Mangagoy, Bislig,
Surigao Del Sur;
(3) Dr. Ricardo P. Pama
President, Angeles University Foundation, Angeles City;
(4) Sr. Luz Emmanuel Soriano, R.A., Treasurer,
Assumption Antipolo, Antipolo City;
(5) Fr. Jose Ramon T. Villarin, S.J., President,
Xavier University (Ateneo de Cagayan), Cagayan de Oro City
Biodata of the nominees and a ballot form have been sent earlier.
PERAA will be accepting votes up to May 31, 2006, through mail,
fax and email.
"All is
well" - Fabella
DR. ARMAND V.
FABELLA, Board Chairman,
stressed three points in his statement to the delegates at the
2005 PERAA Administrators Conference: First, he declared that
"All is well" in PERAA." Referring to its fund performance (maintaining
a two-digit ROI -10.3% as of April 30, 2005), Dr. Fabella assured
the administrators that PERAA continues to find ways to safeguard
the fund and improve upon its administrative capabilities.
Presently, PERAA is working on its IT System, which will speed
up fund status reporting, among others. In addition, he informed
the members, "Your fund is safe" citing PERAA's biggest 'stakeholders,'
the Trustees who "will strive to achieve balance between prudence
and yield." Dr. Fabella also mentioned PERAA's being non-profit
in nature and being a Defined Contribution Plan in contrast
with other pre-need plans. As an added service, the Chairman
informed PERAA's Participating Institutions that "There is a
new requirement" for financial statements involving school compliance
with the new retirement pay law effective 2005.
Although this actually concerns the school, not PERAA, Dr. Fabella
opened assistance to interested PERAA Participating Institutions
in terms of determining the total retirement liability of the
institution to comply with a requirement of the Philippine Financial
Reporting Standard (PFRS).
IAS 19 /PAS
19
PERAA to assist schools in meeting new requirements
THE PERAA BOARD of Trustees is encouraging
its current and incoming member-schools to make the first step
to comply with new requirements of the International Accounting
Standards (IAS) 19 / Philippine Accounting Standards (PAS) 19.
The new requirement, as approved by the country's regulatory
authorities - SEC, BOA, PRC & BSP - pertains to employee
benefits and zeroes in on the revised standards in the preparation
of annual financial reports effective January 2005.
The assistance offered by PERAA is the preparation of an actuarial
valuation and eventual establishment of a Reserve Fund.
IAS 19/PAS 19, which came after R.A. 7641, states that "the
cost of providing employee benefit should be recognized by the
employer within the period in which the benefit is earned by
the employee rather than when it is paid or payable." R.A. 7641
requires employers to give at least the minimum retirement benefits
to qualified employees equivalent to 22.5 days per year of service.
PERAA, a defined contribution plan, requires Participating
Institutions to contribute 3.25% (minimum) of the employee's
pay per month. The accumulated amount, despite the competitive
earnings (10.38% average for 10 years) is not enough to cope
with the requirement. Hence there is a need for a Reserve Fund
from which the deficiency can be taken.
At the Administrators' Conference last year, Fr. Antonio Samson,
S.J., Trustee for Mindanao, briefed PERAA Participating Institutions
on 'Meeting R.A. 7641 Requirements and the new Accounting Standards.'
In his talk, he underscored the need for employers "to compare
the Employer Accumulated Value to be received by the retiring
employee with the regulatory benefit." (PERAA can help the schools
in this regard through the actuarial valuation.) At the same
time, he urged them to consult their respective external auditors.
PERAA posts 14% fund growth
Board declares 10.3% ROI, net of tax
THE PERAA BOARD
of Trustees has declared a 10.3% return on investments (ROI)
for the fiscal year ending April 30, 2005. The rate is above
the 9% target earnings set by the Board and the 91-day T-bill
benchmark averaging 5.98% for the fiscal year.
Total Assets rose by 14%, i.e. from P3.26 to P3.71 billion
as of fiscal yearend with total revenues from members' contributions
(P335M) and net investment earnings (P371.87M) recorded at
P 706.93 M. The growth was attained despite the numerous economic
drawbacks due to political unrest and the continuing rise
in oil price among others.
PERAA, under the leadership of Chairman Armand V. Fabella,
10.4% average ROI, net of tax, for the past 10 years.
Samson re-elected to a 3rd term
FR. ANTONIO S. SAMSON, S.J., president of
Ateneo De Davao University (ADDU), was reelected as Trustee
for Mindanao for a four-year term ending April 30, 2009. He
served as president of Xavier University before his current
appointment as ADDU president and currently sits in the board
of other Jesuit schools including Ateneo de Naga University,
Ateneo de Zamboanga University and Sacred Heart School of
Cebu.
He has served as director of Catholic Educational Association
of the Philippines since 1993. He received his doctorate and
masteral degrees in Chemistry from Brandeis University and
his MA in Philosophy from Berchmans College. He finished his
BSChemistry at Ateneo de Manila University, cum laude,
where he later served as EVP and Associate professor.
A recipient of PAASCU's James Meany Award, "in recognition
of his leadership…promoting the growth of accreditation movement
in the Philippines," Fr. Samson was ordained priest on March
25, 1973.
