PLANSPONSOR - May - June 2023 - 30

AWARDS | 2023 PLAN SPONSOR OF THE YEAR FINALISTS
leadership and strategic investments, has been able to do this
for the past five years. It credits a combination of improved
company match-to 4.5%-automatic enrollment, annual
automatic escalation, education, plan service enhancements,
qualified birth or adoption distributions, and the efforts of a
new trustee dedicated to helping meet fiduciary responsibilities
and strengthening the plan. These improvements have also
contributed to a drop in plan loan usage: from 10.8% to 7.8%.
The BCF supports its employees' financial health, in general,
through supplementary benefits such as tuition assistance and
the Live Near Your Work homebuying program.
Wright-Hennepin
Cooperative
Electric Association
Rockford, Minnesota
Wright-Hennepin Cooperative
performed a reenrollment sweep in 2021, and trustees decided,
last July, to raise the employer match by 40%-i.e., to 100%
of 7%-and reduce the percentage that employees must defer
to fully benefit. The plan now boasts 98% participation; an
average 13% contribution rate from employer and employee
combined; and a 97.4% average income replacement ratio. The
college also lowered the plan's fees and enhanced its qualified
default investment alternative via multiple glide paths and a
guaranteed income component.
Electric
Association is a member-owned, not-forprofit
electric utility, providing power to
rural Wright County and west Hennepin
County, Minnesota. With safety, the
cornerstone of Wright-Hennepin's culture, in mind, the utility
last year analyzed the tools and approaches used with its two
401(k) plans-union and nonunion-and 457(b), 457(f) and
409a plans. It reapproved the 6% automatic-enrollment amount
and 3.5% match but opted to align its additional contribution
with employee tenure: 4% for zero to two years, up to 11% for
20 years plus. To address 6%-savers' inertia, it added automatic
escalation up to 10%. And to help its nonqualified plans
outcompete other utilities', it significantly lowered the vesting
schedules and allowed for investing incentives/bonuses. It also
now offers managed accounts.
Jennifer Severson, Vice
President Human
Resources
Nonprofit DC >$300mm
Finalists
Ithaca College
Ithaca, New York
In what it calls a " 'Rocky' comeback
story, " Ithaca College, after suspending
employer contributions to its 403(b) plan,
then restoring them to just half during
the pandemic, " roared back with several
plan enhancements that have delivered
outstanding outcomes, " the plan sponsor
says. The school, a midsize private college,
30 PLANSPONSOR.COM May - June 2023
Point32Health
Canton, Massachusetts
When Harvard Pilgrim Health Care and
Tufts Health Plan merged in January
2021, forming Point32Health, this called
for harmonizing the two heritage organizations'
defined contribution plans. Plan
fiduciaries for the new entity, a heath plan
and tool provider, set out to produce a
rebranded 401(k) delivering best-in-class investments, planning
tools and advice services that would prompt participants to reengage
with retirement saving. Among plan design provisions and
improvements were 1% automatic escalation up to 10%, a higher
default deferral rate, immediate match eligibility for employees
who worked at least 20 hours weekly, a more generous vesting
schedule and a match true-up program. The plan also created
a new investment lineup and now offers optional investment
services including self-directed brokerage and managed accounts.
Jennifer Mangiaratti,
Director, Benefits
The Jackson Laboratory
Bar Harbor, Maine
The Jackson Laboratory, or JAX, a
nonprofit biomedical research institute,
also breeds mice for research. This has
created a workforce demographic split
between
researchers
high-income/highly
and scientists,
educated
and lowerKirra
Franzese,
Associate Vice
President and Chief
Human Resources
Officer
income staff. Concerned that many on its
mice services team were not saving for
retirement, it enhanced its 403(b) plan,
adding automatic enrollment at 5% and automatic escalation
up to 15%, plus it reenrolled, at 5%, all eligible employees
needing to save more in the plan. Participation jumped from
82% to 97% and is 94% today. Measures to ensure the wellness
of its team members range from offering on-site education
and one-on-one meetings to partnering with the town to
build affordable housing for JAX workers in need. It also helps
finance higher education and recently broke ground on a child
care facility. -Judy Faust Hartnett, Karen Wittwer
Martha Munhall,
Executive Director,
Human Resources
Operations
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PLANSPONSOR - May - June 2023

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