Newport-Mesa’s top business official, whose benefits have been scrutinized, says he’ll retire Dec. 30
Paul Reed, the Newport-Mesa Unified School District’s deputy superintendent and chief business official whose retirement benefits have come under public scrutiny, announced Tuesday that he plans to retire Dec. 30 after 14 years with the district.
Sharing the news at a school board meeting, Reed, 69, told trustees that he is confident the district will find someone to be “an excellent next-generation CBO for Newport-Mesa.”
Reed added Wednesday through district spokeswoman Annette Franco: “I feel I’m leaving on good terms, but as I approach 70, it’s simply time to focus more on family, especially grandkids.”
Newport-Mesa said it expects to have his position filled before he retires.
District officials have said Reed’s fiscal responsibility and expertise are invaluable and that he has guided the district through recession and changes in state funding.
“Paul is a dedicated professional, and his strong leadership has greatly contributed to the success of the district,” Supt. Fred Navarro said in a statement Wednesday. “His vast business and educational knowledge and thoughtful approaches, especially through challenging times, will be deeply missed.”
Earlier this year, John Caldecott, the district’s former director of human resources, brought to light that the district has been putting money into a separate retirement fund for Reed as an incentive for him to delay his retirement. Annual payments to the tax-sheltered annuities started in the 2010-11 fiscal year.
That money is in addition to what Reed will receive in his pension. According to Michelle Mussuto of media relations at CalSTRS, the amount in Reed’s pension will not be known until he files for retirement.
As of April this year, the district had paid $339,346 in tax-deferred money to Reed over the past decade through the separate retirement fund and through checks payable to him as a vendor instead of through the traditional payroll system.
The checks, from 2006 to 2009, were to reimburse Reed for his annual purchases of a half year of credit, also known as “airtime,” from the State Teachers’ Retirement System. The credit, in essence, increased Reed’s years of service in public education in the eyes of the state retirement agency. That number is used as part of a calculation to determine an employee’s pension, according to CalSTRS.
According to Reed’s contract, the district also agreed to provide him and his wife with full paid medical, dental and vision group insurance coverage for 10 years after his retirement date.
Reed’s duties at Newport-Mesa include overseeing the district’s fiscal operations, information technology, transportation and maintenance operations.
His 48-year career in education also has included roles as a principal, labor negotiator and special-education teacher.
Twitter: @AlexandraChan10
