The Retired Teachers’ Health and Medical Benefits Fund (“VSTRS OPEB”) is established to pay retired teacher health and medical benefits, including prescription drug benefits, when due in accordance with the terms established by the Board of Trustees of the State Teachers' Retirement System of Vermont and administered by the Vermont State Treasurer. As per 16 VSA 55 § 1944b (d) the Treasurer may invest monies in the Benefits Fund in accordance with the provisions of 32 V.S.A § 434 or, in the alternative, may enter into an agreement with the Vermont Pension Investment Commission to invest such monies in accordance with the standards of care established by the prudent investor rule under 14A V.S.A. § 902, in a manner similar to the Commission's investment of retirement system monies.
The Vermont State Employees’ Retirement System Other Post-Employment Benefits Trust Fund (“VSERS OPEB’) is established for the purpose of accumulating and providing reserves to support retiree postemployment benefits for members, and to make distributions from the Benefits Fund for current and future postemployment benefits for retirees of the Vermont State Employees' Retirement System, excluding pensions and benefits otherwise appropriated by statute and for the payment of reasonable and proper expenses of administering the Benefits Fund and related benefit plans. As per 3 VSA 16 § 479a(c), the fund is administrated by the State Treasurer who may invest monies in the Benefits Fund in accordance with the provisions of 32 V.S.A. § 434 or, in the alternative, may enter into agreement with the Commission (Vermont Pension Investment Commission) to invest in accordance with the standards of care established by the prudent investor rule under 14A V.S.A. § 902, in a manner similar to the Commission’s investment of retirement system monies.
The investment of these Funds are governed by an Investment Policy which can be found here. The trustee of the Funds has entered into agreement with the Vermont Pension Investment Commission, the details of that agreement can be found here for VSERS and for VSTRS. This agreement was extended in September 2023.
For more details about the VSTRS and VSERS OPEB's including health care eligibility, please follow this link for VSERS and this link for VSTRS or go to the "Retirement" tab on the left of this webpage and click on "State Employees VSERS" or "Teachers VSTRS" respectively; each system has a "Health Insurance Info" page with more details.
For the Financial Reports, please follow this link for VSERS and this link for VSTRS respectively.
